Pradhan Mantri Shram Yogi Maan Dhan Yojana (PM-SYM)

Pradhan Mantri Shram Yogi Maan-Dhan (PM-SYM)

Those working within the unorganized sector have seen the worst time through the pandemic. The Pradhan Mantri Shram Yogi Maandhan Yojana (PM-SYM Scheme) was launched by the government for meds, cobblers, tailors, rickshaw drivers, washermen and laborers.

Those who register under this scheme, after completing 60 years of age, will get a minimum pension of 3 thousand rupees every month. If the beneficiary dies before the pension is received, then 50% of the pension shall be given to his spouse.

Based on government figures, the government pays a pension of 36 thousand rupees annually under the scheme. With which you’ll simply manage your bills. More than 42 crore people work within the unorganized sector in the nation. They’ve an opportunity to benefit from the scheme. To date, about 64.5 lakh people have registered themselves under the scheme.

Who can become a part of the scheme?

• The person works in the unorganized sector.
• Age should be between 18-40 years.
• Monthly income should not exceed Rs 15,000.
• Being a member of any other pension scheme won’t be eligible for the honorarium scheme.

How does the account open?

According to the data given on the website of the Employees Provident Fund Organization (EPFO), people of the unorganized sector can open an account under the PM-SYM scheme. Income should be less than 15 thousand rupees.

Nearest Common Service Center (CSC) needs to be found. Don’t forget to carry the documents talked about here. Make sure that the IFSC code is printed on the savings account passbook.

How much will the contribution be?

Contribution is done in line with age in the plan. The younger the member, the lower his / her contribution shall be. If someone will be a part of the scheme on the age of 18, then they have to deposit 55 rupees per month.

Equally, the age of 29 will have to pay 100 rupees and 40 years old 200 rupees. This quantity must be deposited until the age of 60 years. The amount of premium shall be deposited, the same quantity shall be deposited by the government within the name of the member.

Fixed-rate of interest under PM-SYM scheme

Although the scheme shall be run by the Life Insurance Company of India, the Insurance Regulatory and Development Authority of India has not but introduced the primary year rate of interest for its operation.

• It’s possible that to make PM-SYM extra attractive its interest rate ought to be saved almost the same as the rate of organized sector pension fund.
• Exit and Withdrawal: Exit and Withdrawal: In view of the uncertain nature of employment of the employees within the unorganized sector, the exit plans have been saved flexible as follows:
• If the subscriber exits the scheme after an interval of 10 years or extra but earlier than the age of 60 years, he/she should be accompanied by the accumulated interest earned by the fund together with the beneficiary’s share or financial savings bank curiosity, whichever is higher. , Will be given with.
• If the beneficiary has made regular contributions and dies on account of any reason, his partner can proceed the scheme by making regular contributions or with the accumulated actual interest earned by the fund or financial savings bank interest rate, whichever is higher.
• If the beneficiary has made regular contributions and is completely disabled for some reason earlier than the age of 60 years and is unable to contribute under the scheme, his partner can continue the scheme by making common contributions or funds. The beneficiary can withdraw from the scheme by receiving the beneficiary’s contribution together with the accumulated real curiosity or savings bank rate of interest, whichever is higher.
• After the death of both the holder and his spouse, your complete amount shall be deposited in the fund.
• Some other provisions to opt-out of the scheme determined by the government on the advice of the NSSB.

Fixed-rate of interest under PM-SYM scheme

Though the scheme will be run by the Life Insurance Company of India, the Insurance coverage Regulatory and Development Authority of India has not yet announced the interest rate for the first year of its operation.

It’s possible that to make PM-SYM extra engaging, its rate of interest must be saved nearly same as the rate of organized sector pension fund.

How is PM-SYM completely different from Atal Pension Yojana?

PM-SYM is a better version of the Atal Pension Scheme which was started within the year 2015.
The rate of interest under the Atal Pension Yojana is round 7.5% however to make PM-SYM extra attractive, its rate of interest might be saved higher than the rate of interest of the Atal Pension Yojana.

The Atal Pension Yojana was launched with the objective of bringing the economically backward class below pension or earnings safety in old age, whereas the Pradhan Mantri Shram Man-Dhan Yojana has been launched for the workers in the unorganized sector. It’s worthy that about 42 crore workers work within the unorganized sector of the country.