Chhath Puja 2026: Atal Pension Yojana Explained - Eligibility, Contributions And Benefits

Chhath Puja festival celebration is marked by expressing gratitude and devotion to the Sun and the water bodies and praying for the family’s good health, well-being, and prosperity. This festival also inspires individuals to seek blessings for the family’s prosperity and take steps to secure the family’s future financially. There are various schemes to ensure one’s financial security; however, Atal Pension Yojana (APY) stands out for being a guaranteed pension scheme and a source of regular income after turning 60 years of age.

According to the data presented by the Minister of State for Finance, Pankaj Chaudhary, in Lok Sabha in August 2026, the scheme has expanded remarkably since its launch in 2015. Its subscribers have grown to 90 billion this year, and assets under management (AUM) to over Rs 57,296 crore.  

Let’s see what this scheme offers. 

Atal Pension Yojana (APY)

The scheme was introduced to offer a guaranteed pension income for people engaged in the unorganised sector, as well as underprivileged people who require a long-term financial safety net. APY operates as a voluntary and contributory scheme where subscribers are required to make periodic contributions. Under the scheme framework, an applicant chooses a pension amount, and based on the pension amount and the age of the applicant, the periodic contribution is determined. So, this is a defined contribution, defined benefit scheme.

It offers five slabs of pension, starting from Rs 1,000 to Rs 2,000, Rs 3,000, Rs 4,000, and Rs 5,000 per month. This pension is guaranteed and payable upon the applicant turning 60 years old until death.

Who Can Apply For APY?

To be eligible for the scheme, an applicant must fulfil the following criteria:

• An applicant should be between 18 and 40 years of age at the time of opening an APY account.

• The applicant must have an active savings bank account with a commercial bank or the post office.

• The applicant must not be an income tax payer.

During the official enrollment process, subscribers need to provide their mobile number to receive regular updates.

Benefits Of APY

Notably, the scheme guarantees a lifetime regular pension not only for the subscriber but also for the spouse in case of the applicant’s death. After the demise of both the subscriber and the spouse, the nominee is entitled to receive a lump sum amount that had accumulated till the subscriber’s age of 60 years.

The Pension Fund Regulatory and Development Authority (PFRDA) regulates both APY and the National Pension Scheme (NPS). Both the schemes are mutually exclusive, which means that a subscriber is permitted to open both accounts if eligibility criteria are met. PFRDA has launched another scheme, ‘NPS Sanchay ’, for informal sector workers recently in May 2026. This scheme is open to people within the age bracket of 18 to 85 years. However, unlike APY, it doesn’t guarantee a pension.

Benefits Of APY

Notably, the scheme guarantees a lifetime regular pension not only for the subscriber but also for the spouse in case of the applicant’s death. After the demise of both the subscriber and the spouse, the nominee is entitled to receive a lump sum amount that had accumulated till the subscriber’s age of 60 years.

The Pension Fund Regulatory and Development Authority (PFRDA) regulates both APY and the National Pension Scheme (NPS). Both the schemes are mutually exclusive, which means that a subscriber is permitted to open both accounts if eligibility criteria are met. PFRDA has launched another scheme, ‘NPS Sanchay ’, for informal sector workers recently in May 2026. This scheme is open to people within the age bracket of 18 to 85 years. However, unlike APY, it doesn’t guarantee a pension.