Atal Pension Yojana Calculator

Atal Pension Yojana (APY) Calculator - Check Your Monthly Contribution

Atal Pension Yojana, or APY, is a government backed pension scheme that pays a fixed monthly pension from age 60 in exchange for small contributions made earlier. This calculator works out exactly what you would need to contribute each month based on your current age and the pension amount you want. If you are new to retirement planning generally, our guidebook to saving and investment covers the basics before you commit to a specific scheme.

What Is Atal Pension Yojana (APY)?

APY is a pension scheme run by the Government of India and regulated by the Pension Fund Regulatory and Development Authority, built mainly for people working in the unorganised sector who do not have an employer pension. You choose a fixed pension amount, between Rs 1,000 and Rs 5,000 a month, at the time you join, and the government guarantees that amount from age 60 onward regardless of how markets perform in between. This is different from a market linked scheme like NPS, where your eventual pension depends on investment returns. In exchange for that certainty, the pension amount is fixed at enrollment and does not adjust for inflation later, which is worth keeping in mind when you decide how much pension to target.

Who Is Eligible for Atal Pension Yojana?

Any Indian citizen between 18 and 40 years of age with a savings bank account can join APY. Since October 2022, the scheme has been closed to anyone who is, or has previously been, an income tax payer, which narrows it specifically to lower and middle income workers without formal social security. The account needs to be linked to Aadhaar and a mobile number, and contributions are collected by auto debit from the linked savings account on a monthly, quarterly or half yearly basis.

What Is the APY Contribution Chart by Age and Pension Slab?

How much you pay each month depends entirely on two things: how old you are when you join, and which pension amount you choose. The table below shows the monthly contribution for a selection of joining ages across all five pension levels.

The pattern is consistent throughout: the earlier you join, the less you pay for the same eventual pension. Joining at 18 for the maximum Rs 5,000 pension costs Rs 210 a month, while joining at 40 for the same pension costs Rs 1,454 a month, nearly seven times as much. Use the calculator above for your own exact age rather than interpolating between the rows shown here.

What Is the Difference Between APY and NPS?

Both are pension schemes regulated by the same authority, but they work quite differently. APY guarantees a fixed pension amount decided at enrolment, with no exposure to market performance, and is generally aimed at the unorganised sector with pension levels capped at Rs 5,000 a month. NPS is market linked, your eventual pension depends on how the underlying investments perform, has no fixed cap on the corpus you can build, and is open to a much wider age range, 18 to 70, compared with APY's 18 to 40 entry window. If you want to compare what a market linked alternative could produce for the same contribution, our NPS calculator uses the same kind of input structure.

FAQs

How much do I need to contribute monthly for a Rs 5,000 APY pension?

It depends on your age at joining. At 18 it is Rs 210 a month, rising steadily with age to Rs 1,454 a month at 40, the latest age you can join. Enter your own exact age in the calculator above for a precise figure rather than the nearest row in the chart.

What happens to my APY contributions if I die before 60?

Your spouse can continue the account and receive the same pension, or receive the accumulated corpus as a lump sum instead. If both the subscriber and spouse die before 60, the nominee receives the full accumulated corpus.

Can I choose between monthly, quarterly and half yearly APY contributions?

Yes. APY contributions can be made monthly, quarterly or half yearly through auto debit from the linked savings account. The contribution amount depends on the pension slab and your age at joining.

What happens to APY contributions after I turn 60?

Once you reach 60, the selected guaranteed pension is paid monthly. After the subscriber's death, the spouse is entitled to receive the same pension, subject to the scheme rules.

Can I change my APY pension amount after joining?

The pension amount can be increased or decreased once a year during the specified period, subject to the applicable APY rules and conditions.