Other government pension schemes

In the story, An essential guide to National Pension System (NPS), we learnt about the various aspects of NPS. In this story, we will read about some other pension schemes which are backed by government. Atal Pension Yojana (APY) and the newly launched Pradhan Mantri Shram Yogi Maan-dhan (PMSYM) and National Pension Scheme for Traders & Self Employed Persons Yojna (NPSTSY) are pension-oriented savings schemes focused on people in the unorganised sector. PMSYM was launched in the Budget 2019-20 (I) followed by NPSTSY (also called Pradhan Mantri Karam Yogi Maan-dhan Scheme) in the second Union Budget 2019-20 after the Lok Sabha elections. On the other hand, APY was launched in 2015. Under all these schemes, people aged 60 or above are eligible for the pension. Aimed at bringing retail traders, small shopkeepers and self-employed persons under an organised pension system, NPSTSY scheme offers pension benefits to around three crore beneficiaries with an annual turnover of less than Rs 1.5 crore. Apart from the eligibility criteria, both PMSYM and NPSTSY are similar to each other. However, you can take benefit only under one of the two schemes. Some insights into APY, PMSYM and NPSTSY are as follows: ATAL PENSION YOJANA Investment objective and risks The main objective of APY is to provide a fixed amount of pension to unorganised-sector workers who find no coverage under other social-security schemes. Capital protection The benefit of minimum pension is guaranteed by the Government of India. Entry age The minimum age of joining APY is 18 and the maximum

This article was originally published on December 14, 2021, and last updated on October 07, 2022.