Every individual wants that when the time for their retirement comes, they have enough funds to live the rest of their lives peacefully. This is where a pension scheme exactly comes into play. A pension scheme provides such people (who are not earning anymore and have crossed a certain threshold of their age) with a monthly amount that they can use for their well-being.
A pension scheme plays a vital role for any individual who is not earning anymore and depends upon other family members for his survival. Apparently, there can be many reasons why a person could need a pension. A few of these reasons are:
Atal Pension Yojana is a government-backed scheme aimed to improve the lives of Indian citizens by financially supporting those who are living below the poverty line and are majorly working in the unorganized sector. The Atal Pension Yojana was mentioned during the Budget speech in 2015 by the then Finance Minister Arun Jaitley. Then on May 5, 2015, it was officially launched by Prime Minister Narendra Modi.
Individuals coming under the Atal Pension Yojana scheme will need to pay a very low premium. Accordingly, they will receive a premium after their retirement. However, it is mandatory for individuals to have an active savings account in order to avail the benefits of the scheme.
The best part about this scheme is that any person who is between 18-40 years of age and who has an active savings bank account can apply for this scheme.