Atal Pension Yojana
Guaranteed Monthly Pension After 60 — For Every Worker

APY Pension Slabs and Monthly Contributions

Choose your monthly pension amount and the contribution depends on your age at joining. The younger you join, the lower the monthly payment — making early enrollment very beneficial.

All contributions are automatically debited from your savings account each month — no manual payment needed. The amount is fixed and never changes (unless you upgrade your pension slab).

Who is Eligible for APY?

• Indian citizen between 18 and 40 years of age
• Must have a savings bank account or post office savings account
• Mobile number registered with the bank
• Not a taxpayer (income tax payees are ineligible from Oct 2022 for new enrollments)
• No existing APY account (only one account per person)
• Both spouses can have separate APY accounts (total family pension: up to ₹10,000/month)

How to Open an APY Account

1. Visit any bank branch where you have a savings account (or post office)
2. Or use your bank's net banking or mobile app — most major banks allow APY enrollment digitally
3. Fill the APY registration form with Aadhaar number and nominee details
4. Choose your desired monthly pension amount (₹1,000 to ₹5,000)
5. Set up auto-debit — monthly contribution will be deducted automatically
6. Account opens immediately. You receive a PRAN (Permanent Retirement Account Number)

Benefits at Age 60 and What Happens After Death

On reaching 60: Your monthly pension starts as per your chosen slab and continues for your entire life. After your death, your spouse receives the same pension for their lifetime. After both die, the nominee receives the full pension corpus (₹1.7 lakh to ₹8.5 lakh depending on slab).

This means APY benefits three generations: (1) You receive lifelong pension, (2) Spouse receives lifelong pension after you, (3) Children/nominee receive lump sum after both parents pass away.

How to Change APY Pension Amount

You can increase or decrease your pension slab once per year during the month of April by visiting your bank branch or using net banking. Changing to a higher slab increases your monthly contribution; lower slab reduces it. Changes take effect from the next contribution cycle.

Tax Benefits of APY

APY contributions up to ₹1.5 lakh per year qualify for income tax deduction under Section 80CCD(1), which is within the overall Section 80C limit. This makes APY a tax-saving investment as well as a retirement security plan. Self-employed persons can claim this deduction in their income tax return.