The subscribers would receive the fixed minimum pension at the age of 60 years, depending on their contributions.

Intended beneficiaries

  • Open to all Indians between the age of 18 and 40 having a savings bank account in a bank or post-office. Therefore, minimum period of contribution by any subscriber under APY would be 20 years or more.
  • It is mainly focused on citizens in unorganized sector.

Salient Features

  • The Central Government co-contribute 50% of the total contribution or Rs. 1000 per annum, whichever is lower, to each eligible subscriber account, for a period of 5 years, who join the NPS between the period 1st June, 2015 and 31st December, 2015 and who are not members of any statutory social security scheme and who are not income tax payers.
  • Under the APY, subscribers would receive a fixed minimum pension of Rs. 1000 to Rs. 5000 per month, at the age of 60 years, depending on their contributions, which itself would vary on the age of joining the APY.
  • It replaced the Swavalamban scheme.
  • Subscribers can voluntarily exit before the age of 60 years from APY subject to certain conditions, on deduction of Government co-contribution and return/interest thereon.
  • In case of premature death of subscriber (death before 60 years of age), spouse of the subscriber can continue contribution to APY account of the subscriber, for the remaining vesting period, till the original subscriber would have attained the age of 60 years.
  • The minimum period of contribution by the subscriber under this would be 20 years or more.
  • In case of death of subscriber, the spouse of the subscriber shall be entitled for the same amount of pension till his or her death.
  • After the death of both the subscriber and the spouse, the nominee of the subscriber shall be entitled to receive the pension wealth, as accumulated till age of 60 years of the subscribe
  • It is administered by the Pension Fund Regulatory and Development Authority. The Institutional Architecture of NPS would be utilised to enroll subscribers under APY.

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