Pension Schemes : Not only NPS, the government is running 4 pension schemes! Which is the most beneficial to invest in?

Pension Schemes: Not only NPS but many pension schemes are being operated by the government to secure the future of the citizens of the country. Investing in a pension scheme offers many benefits including retirement benefits, health care and travel exemptions. To encourage the financial security of senior citizens, many pension schemes are currently running. Guaranteed pension is being offered in some. Let us know in detail about these schemes-

National Pension System (NPS) is a retirement savings and investment program launched by the Central Government. Under this, you have to invest by yourself and the citizens get security as they get older. The investment made in this is based on safe and regulated market based returns. It is supervised by PFRDA. An Indian citizen between the age of 60 to 65 years can also register in NPS. Also, he can remain a member till the age of 70 years.

.You can manage your old age by investing in NPS. The main objectives of investment in this are the following- – Source of income in old age – Market based returns in long term – Expansion of security coverage in old age

Monthly pension is also available under the Indira Gandhi National Old Age Pension Scheme (IGNOAPS) launched for senior citizens in the country. Senior citizens in the age group of 60-79 years falling in the BPL category get a monthly stipend of Rs.300/-. When your age becomes 80 years, then your pension increases to Rs.500/- per month. You do not need to make any kind of investment in this pension scheme.

Atal Pension Yojana (APY) was started keeping in mind the future of the poor, the underprivileged and the workers working in the unorganized sector. There is a provision to get minimum monthly pension to the investor under APY. In this, the amount of pension can be from 1000 to 5000 rupees per month. Also, you can start investing in this from the age of 18 to 40 years. You can invest for this through your bank account. A major change was made in this from 1 October 2022. Under this, any citizen who is or has been a tax payer will not be eligible to join APY.

According to the Financial Services Department, ‘This scheme is operated through LIC. Under the scheme, customers get a guaranteed pension of 9% per annum on paying a lump sum amount. Any difference in the guaranteed return on the return generated by LIC on the fund is compensated by the Government of India paying subsidy into the scheme. Withdrawal of deposits is allowed in the plan after 15 years of purchasing the policy.

In the budget speech for the year 2014-15, the then Finance Minister proposed to revive the program for a short period from 15 August 2014 to 14 August 2015 for the benefit of citizens of 60 years and above.