India’s government has long recognized the need to provide financial security to its citizens, especially in their old age and for those belonging to vulnerable sections of society. To address these needs, the government has implemented a variety of pension and social security schemes under its Sarkari Yojanas. These schemes aim to provide financial assistance to the elderly, unorganized workers, and economically weaker sections, ensuring a more secure and dignified life after retirement.
This comprehensive guide explores the key pension and social security schemes available under various Sarkari Yojanas in India, including details about eligibility, benefits, and how to apply.
1. Pradhan Mantri Shram Yogi Maandhan (PMSYM)
The Pradhan Mantri Shram Yogi Maandhan (PMSYM) is a pension scheme specifically designed for workers in the unorganized sector, including daily wage earners, street vendors, and domestic workers. The scheme provides these individuals with a monthly pension after they reach the age of 60.
Key Benefits:
- Monthly pension of ₹3,000 after the age of 60.
- The pension amount is equally contributed by the individual and the government.
- The scheme is voluntary and contributory.
Eligibility Criteria:
- Must be between the ages of 18 and 40.
- Monthly income should not exceed ₹15,000.
- Should not be covered under any other pension scheme like the Employees’ Provident Fund (EPF), National Pension Scheme (NPS), or Employees’ State Insurance (ESI).
How to Apply:
- Interested individuals can enroll at their nearest Common Service Center (CSC) or online via the PMSYM portal by providing their Aadhaar and bank account details.
2. Atal Pension Yojana (APY)
The Atal Pension Yojana (APY) is aimed at providing a pension benefit to workers in the unorganized sector. It offers a guaranteed minimum pension based on the contributions made by the individual during their working years. This scheme ensures that people have a steady income post-retirement.
Key Benefits:
- Guaranteed pension ranging from ₹1,000 to ₹5,000 per month after the age of 60.
- Contributions vary depending on the desired pension amount and the age of enrollment.
- Government co-contributes to the pension fund for eligible subscribers.
Eligibility Criteria:
- Open to all Indian citizens between the ages of 18 and 40.
- The subscriber must have a bank account and contribute regularly until they turn 60.
- Those already covered under social security schemes or income taxpayers are not eligible for government co-contribution.
How to Apply:
- Eligible individuals can apply for APY through their bank or post office.
- Enroll by submitting the APY application form and linking it with your bank account for automatic deduction of contributions.
3. Indira Gandhi National Old Age Pension Scheme (IGNOAPS)
The Indira Gandhi National Old Age Pension Scheme (IGNOAPS) is a part of the National Social Assistance Programme (NSAP). It provides financial assistance to senior citizens who belong to Below Poverty Line (BPL) households.
Key Benefits:
- A monthly pension of ₹200 for individuals aged 60-79.
- A higher pension of ₹500 per month for those aged 80 and above.
Eligibility Criteria:
- Must be 60 years or older.
- Must belong to a Below Poverty Line (BPL) household.
- No other source of regular income.
How to Apply:
- Applications can be submitted through the local block development office or panchayat office.
- Applicants must provide necessary documents such as an age proof, BPL certificate, and Aadhaar card.
4. National Pension Scheme (NPS)
The National Pension Scheme (NPS) is a voluntary, defined contribution pension system open to all Indian citizens. It was introduced to promote savings for retirement and offers a flexible option for building a pension corpus.
Key Benefits:
- Tax benefits under Section 80C and 80CCD(1B).
- Flexibility to choose between equity and debt investments to grow your pension corpus.
- Option to withdraw a portion of the corpus as a lump sum upon retirement, with the remaining amount being converted into an annuity to provide a regular income.
Eligibility Criteria:
- Open to all Indian citizens between the ages of 18 and 65.
- Anyone, including salaried individuals and self-employed professionals, can join.
How to Apply:
- Applications can be made online through the NPS Trust website or via Points of Presence (PoP) such as banks and post offices.
- Subscribers must create a Permanent Retirement Account Number (PRAN) and regularly contribute to their pension account.
5. Employees’ Pension Scheme (EPS)
The Employees’ Pension Scheme (EPS) is specifically designed for employees working in the organized sector who are contributing to the Employees’ Provident Fund (EPF). EPS offers a guaranteed pension post-retirement, funded by the employer’s contributions.
Key Benefits:
- Provides a monthly pension to employees after retirement at the age of 58.
- Pension amount is calculated based on the employee’s average salary and years of service.
- Offers survivor benefits to the employee’s family in the event of the subscriber’s death.
Eligibility Criteria:
- Must be a member of EPFO (Employees’ Provident Fund Organisation).
- A minimum of 10 years of service is required to be eligible for pension.
- Pension starts at 58 years, but early retirement is allowed from age 50 with a reduced pension.
How to Apply:
- Pension applications can be submitted through the employer or the local EPFO office.
- The claim form, Form 10D, must be submitted for availing pension benefits.
6. Pradhan Mantri Vaya Vandana Yojana (PMVVY)
The Pradhan Mantri Vaya Vandana Yojana (PMVVY) is a pension scheme for senior citizens aged 60 years and above. It offers an assured return on investments in the form of monthly, quarterly, or yearly pension.
Key Benefits:
- Guaranteed pension ranging from ₹1,000 to ₹10,000 per month based on the investment made.
- Pension for a period of 10 years with a return of the purchase price at the end of the term.
- Offers protection against falling interest rates in the financial markets.
Eligibility Criteria:
- Open to Indian citizens aged 60 years and above.
- No maximum entry age limit.
- Maximum investment allowed is ₹15 lakhs per senior citizen.
How to Apply:
- Applications can be made through Life Insurance Corporation (LIC) of India, both online and offline.
7. Pradhan Mantri Jan Dhan Yojana (PMJDY) – Social Security Linkages
While primarily a financial inclusion scheme, the Pradhan Mantri Jan Dhan Yojana (PMJDY) also provides social security benefits such as accidental insurance and life insurance to its account holders. Individuals can link their Jan Dhan accounts with pension schemes like APY to further secure their financial future.
Key Benefits:
- Accidental insurance cover of ₹2 lakhs.
- Life insurance cover of ₹30,000 for account holders.
- Linkage with other pension and social security schemes like APY and PMSYM for additional benefits.
How to Apply:
- Open a Jan Dhan account at any public or private sector bank.
- Link the account with pension schemes like APY for further benefits.
Conclusion
The Indian government’s various pension and social security schemes under Sarkari Yojanas are crucial to ensuring a secure future for citizens, especially those from the unorganized sector, economically weaker sections, and senior citizens. By providing financial assistance, pensions, and social security benefits, these schemes help individuals lead a dignified life post-retirement. Understanding these programs and taking the necessary steps to enroll can help secure a stable financial future for you and your loved ones.