Under this scheme, individuals are required to invest small amounts during their working years to receive a monthly pension after the age of 60. This scheme is quite beneficial.

The Atal Pension Yojana (APY) was launched in 2015. Its purpose is to provide financial security in old age to those who are employed in private jobs, the unorganized sector, or small businesses and who lack a stable source of regular income after retirement. Under this scheme, individuals are required to invest small amounts during their working years to receive a monthly pension after the age of 60. While this scheme is quite beneficial, it is not for everyone.

The government has established certain eligibility criteria. If a person does not meet these criteria, they are not eligible for the benefits of this scheme. So, let's find out who is not eligible for the Atal Pension Yojana (APY) and the reasons behind it.

Who cannot benefit from the Atal Pension Yojana?

1. People outside the age limit - There is a certain age limit for joining the Atal Pension Yojana. If you are under 18 or over 40, you cannot apply for this scheme. The government believes that investing in this scheme for at least 20 years is essential. Therefore, this scheme is only for those who can contribute regularly between the ages of 18 and 40. Applications are not accepted if you fall outside the prescribed age limit.

2. Income Tax Payers - If you are eligible for income tax, that is, you pay taxes, you will not be eligible for the benefits of the Atal Pension Yojana. This is because the government has specifically launched this scheme for low-income individuals and those working in the unorganized sector. These individuals generally do not pay taxes and do not have any future pension benefits, so taxpayers are excluded from this scheme.

3. Those who do not have a bank account - The Atal Pension Yojana is a completely bank-linked scheme. If you do not have a bank account or your bank account is not linked to Aadhaar, you cannot join the scheme. Monthly contributions are deducted directly from your bank account, and the pension is credited to the same account. Therefore, having a bank account is a mandatory requirement.

4. Those who are not Indian citizens - The Atal Pension Yojana benefits are available only to Indian citizens. If a person is not an Indian citizen, they cannot avail themselves of this scheme.

What is covered under the Atal Pension Yojana?

Those eligible for this scheme receive a fixed monthly pension after the age of 60. There are five pension options: 1000 per month, 2000 per month, 3000 per month, 4000 per month, and 5000 per month. You can choose any pension plan based on your needs and capabilities.

How much investment is required?

The investment amount in this scheme depends on your age and the pension chosen. If a person joins at the age of 18 and wants a pension of ₹5,000, they need to invest approximately ₹210 per month. Meanwhile, if a person joins at the age of 30, they need to deposit approximately ₹577 per month for a pension of ₹5,000. The earlier you join the scheme, the less investment you need to make.