Pradhan Mantri Shram Yogi Mandhan Yojana

PMSYM
Pradhan Mantri Shram Yogi Mandhan Yojana

The Pradhan Mantri Shram Yogi Mandhan Yojana (PM-SYM) is a pension scheme launched by the Government of India in February 2019. It is designed to provide social security to unorganized sector workers who are not covered under any formal pension scheme. The unorganized sector includes workers such as street vendors, agricultural workers, construction workers, and domestic workers, among others.

Under the PM-SYM, eligible workers between the ages of 18 and 40 years can enroll in the scheme. They will have to contribute a certain amount of their income towards the pension fund, which varies based on their age at the time of enrollment. The contribution amount ranges from Rs. 55 to Rs. 200 per month, and the government will also make a matching contribution towards the pension fund.

Once the worker reaches the age of 60, they will be eligible to receive a monthly pension of Rs. 3000. The pension amount is fixed and will remain the same throughout the life of the beneficiary. In case of the death of the beneficiary, the spouse of the beneficiary will be eligible to receive 50% of the pension amount as a family pension.

The PM-SYM scheme aims to encourage workers to save for their retirement and provide them with a social security net in their old age. It is a voluntary scheme, and workers can exit the scheme if they wish to do so. The scheme also allows for portability, which means that if a worker changes jobs or moves to a different location, they can continue to contribute towards the pension fund and receive the benefits of the scheme.

Eligibility for the Pradhan Mantri Shram Yogi Mandhan Yojana

The eligibility criteria for the Pradhan Mantri Shram Yogi Mandhan Yojana are as follows:

  1. Age: The scheme is open to workers between the ages of 18 and 40 years.
  2. Income: The worker should have a monthly income of less than Rs. 15,000.
  3. Occupation: The worker should belong to the unorganized sector, which includes jobs such as street vendors, agricultural workers, construction workers, domestic workers, rickshaw pullers, and others.
  4. Not covered under any other pension scheme: The worker should not be covered under any other formal pension scheme.

It is important to note that the PM-SYM scheme is voluntary, and workers can choose to enroll in the scheme if they meet the above eligibility criteria. The scheme aims to provide social security to workers in the unorganized sector who are often excluded from formal pension schemes. By enrolling in the scheme, workers can contribute towards their own retirement and receive a monthly pension once they reach the age of 60.

Benefits of Pradhan Mantri Shram Yogi Mandhan Yojana

The Pradhan Mantri Shram Yogi Mandhan Yojana (PM-SYM) offers several benefits to workers in the unorganized sector. Some of the key benefits of the scheme are:

  1. Financial security in old age: The PM-SYM scheme offers a monthly pension of Rs. 3000 to eligible workers once they reach the age of 60. This provides a financial safety net in old age and helps workers in the unorganized sector to plan for their retirement.
  2. Affordable contribution amount: The contribution amount towards the pension fund is low and ranges from Rs. 55 to Rs. 200 per month, depending on the age of the worker at the time of enrollment. This makes the scheme affordable for workers in the unorganized sector, who may not have high incomes.
  3. Matching contribution from the government: The government also makes a matching contribution towards the pension fund, which doubles the amount of savings for the worker.
  4. Portability: The scheme allows for portability, which means that if a worker changes jobs or moves to a different location, they can continue to contribute towards the pension fund and receive the benefits of the scheme.
  5. Family pension: In case of the death of the beneficiary, the spouse of the beneficiary will be eligible to receive 50% of the pension amount as a family pension. This provides financial support to the family of the beneficiary in case of their untimely demise.

Implementation of Pradhan Mantri Shram Yogi Mandhan Yojana

The Pradhan Mantri Shram Yogi Mandhan Yojana (PM-SYM) is implemented by the Ministry of Labour and Employment, Government of India.

The implementation of the PM-SYM scheme involves the following steps:

  1. Enrollment: Eligible workers can enroll in the scheme through a Common Service Centre (CSC) or the nearest LIC office. The worker needs to provide their Aadhaar card and savings bank account details for enrollment.
  2. Contribution: Once enrolled, the worker needs to contribute a certain amount of their income towards the pension fund on a monthly basis. The contribution amount varies based on the age of the worker at the time of enrollment.
  3. Matching contribution from the government: The government also makes a matching contribution towards the pension fund, which doubles the amount of savings for the worker.
  4. Pension payment: Once the worker reaches the age of 60, they will be eligible to receive a monthly pension of Rs. 3000. The pension amount will be credited directly to the beneficiary’s bank account.
  5. Exit from the scheme: If the worker wishes to exit from the scheme, they can do so after completing 10 years of contribution. In this case, the entire amount of contribution made by the worker, along with the matching contribution from the government, will be returned to the worker.

The implementation of the PM-SYM scheme involves a coordinated effort between various government agencies and the private sector. The scheme has been widely advertised through various media channels to create awareness among the eligible workers in the unorganized sector. The scheme has been successful in enrolling a large number of beneficiaries, and it is expected to benefit millions of workers in India in the years to come.

Conclusion

The scheme aims to provide a monthly pension to eligible workers once they reach the age of 60, thus ensuring financial security in old age. The scheme has several benefits, including affordability, portability, and a simple enrollment process.

FAQs

Who is eligible for PM-SYM?

All workers in the unorganized sector between the age of 18 to 40 years are eligible for PM-SYM.

What is the contribution amount for PM-SYM?

The contribution amount ranges from Rs. 55 to Rs. 200 per month, depending on the age of the worker at the time of enrollment.

What is the pension amount under PM-SYM?

The pension amount is Rs. 3000 per month, which is paid to eligible workers once they reach the age of 60.

Can a worker exit from the scheme before reaching the age of 60?

Yes, a worker can exit from the scheme before reaching the age of 60 after completing 10 years of contribution. In this case, the entire amount of contribution made by the worker, along with the matching contribution from the government, will be returned to the worker.

Apna Samaaj

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