Atal Pension Yojana Pros and Cons

We all know that Atal Pension Yojana(APY) is a social security scheme for unorganised sector aiming guaranteed pension during retirement(After 60 Years)

Of the three social security schemes launched by Prime Minister Modi(Pradhan Mantri Suraksha Bima Yojana- Accidental insurance, Pradhan Mantri Jeevan Jyothi Bima Yojana- Life Insurance)Atal Pension Yojana is a unique one.

It’s uniqueness lies in its subscription amount and the time period to get the benefits. While the other two schemes(PMSBY, PMJJBY)carries less premiums(12 rupees,330 rupees/annum respectively) Atal Pension Yojana carries higher premium that too in monthly subscriptions. Like a coin has flip sides, APY has its own pros and cons. Let us discuss them in detail-


  • This scheme would be beneficial to those who can’t save for their retirement voluntary
  • Brings discipline to save for the future
  • Develops Goal-Oriented approach
  • Can select pension amount as per his futuristic view
  • Plan for future as it is guaranteed pension after 60 years


  • Have to Wait for too long to receive proceeds
  • Though it is guaranteed pension, it is not inflation adjusted
  • Inflation is far higher than the pension amount during retirement
  • Premiums have to paid monthly as it is burden to unorganised workers
  • Premiums are very high and total subscription amount paid is more than the pension received monthly

These are the main pros and cons of Atal Pension Yojana. Before Opting for APY, consider the above factors and take decision

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