What is a APY Calculator?
Atal Pension Yojana is a government-guaranteed pension scheme, mainly aimed at workers in the unorganised sector, offering a fixed monthly pension of ₹1,000 to ₹5,000 starting at age 60. Unlike NPS, the eventual pension amount is fixed and guaranteed by the government — what varies by entry age is the monthly contribution needed to fund it, using PFRDA’s official contribution chart.
The younger you join, the smaller your monthly contribution for the same target pension, since it has longer to accumulate.
How the contribution is determined
APY contributions aren’t computed from a simple interest formula — PFRDA publishes a fixed table (used directly by this calculator) based on actuarial assumptions about how long contributions will compound until age 60.
Worked example: what starting age actually costs you
Targeting the same ₹5,000 monthly pension, the required contribution by entry age looks like this: join at 18, and it’s ₹210 a month for 42 years (total paid: roughly ₹1,05,840). Join at 25, and it’s ₹376 a month for 35 years (total paid: roughly ₹1,57,920). Join at 30, ₹577 a month for 30 years (total: roughly ₹2,07,720). Join at 35, ₹902 a month for 25 years (total: roughly ₹2,70,600). Join at 40 — the oldest permitted entry age — it jumps to ₹1,454 a month for just 20 years, totalling roughly ₹3,48,960.
Notice that joining at 40 means paying nearly 7 times the monthly amount of joining at 18, for barely half as many years, and the total money paid over a lifetime is still more than 3 times higher — for the exact same ₹5,000 guaranteed pension. Every year of delay compounds against you here, because PFRDA’s table is pricing in less time for your contributions to build the required corpus.
Why APY contribution amounts are fixed, not calculated
Unlike NPS, where your eventual pension depends on market performance, APY guarantees the pension amount itself — the government (through PFRDA) takes on the investment risk, and the contribution table is set to (on average, across all subscribers) fund that guarantee. This is why the amount is looked up from a published table rather than computed from a return-rate assumption you control — there’s no "expected return" input in this calculator because APY doesn’t have one from the subscriber’s side.
Frequently asked questions
Who can join APY?
Any Indian citizen aged 18–40 with a savings bank account and mobile number. Contributions continue until age 60, at which point the guaranteed pension begins.
What happens to my contributions if I die before 60?
Your spouse can continue the contributions and receive the pension, or claim the accumulated corpus. After the subscriber and spouse have both passed, the corpus goes to the nominee.
Can I choose a pension amount other than the five slabs shown?
No — APY only offers five fixed pension slabs (₹1,000 / 2,000 / 3,000 / 4,000 / 5,000 per month); there’s no option to target an amount in between.
Can I increase my target pension after joining?
Yes, typically once a year, usually in April — you can move up (or down) between the five pension slabs, with the contribution amount adjusted to the new slab and your current age.
Is the APY pension amount taxable?
Yes — the monthly pension received is taxable as regular income in the year received, at your applicable slab rate.
What if I miss a monthly contribution?
A small penalty applies per missed contribution (a few rupees, scaled to your contribution slab), and persistent non-payment can lead to the account being frozen or eventually closed, with the accumulated corpus returned.
Is APY the same as NPS?
No — both are PFRDA-regulated pension schemes, but NPS is market-linked with no guaranteed outcome and no upper contribution limit, while APY guarantees a fixed pension from a much smaller, capped contribution, and is generally aimed at those without access to formal employer pension coverage.