Pension Scheme News – Pension is the most important thing in everyone’s life working for him or her. It provides fiscal security in the future and be a base of steady income even after retirement. The government has recently declared some new pension schemes which can really become a boon for the employees. It is further discussed that possible modifications regarding the Unified Pension Scheme (UPS) and Atal Pension Scheme (APY) must be thought about. Now, the question arises whether the government will actually give a pension of Rs 10,000 at the age of 40? If yes, then what will be the terms and conditions for this? Able to shed light on this matter in detail.
What Is Unified Pension Scheme?
Unified Pension Scheme (UPS) is a new pension scheme for central government employees which will come into effect from April 1, 2025. Its main aim is to provide a fixed pension to government employees retiring, so as to make them financially capable.
Changes Possible In Atal Pension Yojana
Launched in 2015, Atal Pension Yojana (APY) primarily aimed to offer pension benefits for people working in the unorganized sector. Now every sort of changes is being talked about for it.
- Minimum pension will increase: At present, where a pension of such a scheme comes to only Rs one thousand every month, for the new scheme, there are discussions about increasing that figure to Rs 10,000 per month.
- Change in contribution amount: An increase in the amount of pension will include increased contribution amounts from employees too.
- More people will benefit: After the changes are implemented, its expected increase in number will lead to an increase in people opting in for this scheme.
Will You Get A Pension Of Rs 10,000 Even At The Age Of 40?
Now, the biggest question of all: Can you really expect to get a pension of Rs 10,000 even at the young age of 40? If a person has successfully completed at least 10 years of government service, then he will continue to get a minimum pension of Rs 10,000 monthly, even if his age is just 40 years.
Under Atal Pension Yojana
At present, people can join this scheme up to the age of 40. If the change comes in the scheme, then even a person aged 40 will be able to become entitled to a pension of Rs 10,000 by joining it. However, for this, he may need to contribute more.
The final verdict is not yet available from the government regarding any of these schemes, but the discussion is at the peak. If you work for the government or are thinking of investing in Atal Pension Yojana, then get ready to update yourselves with these changes.