In a bid to increase the cover of social security for old-age, the Narendra Modi government has launched Pradhan Mantri Kisan Maan-Dhan Yojana (PM-KMY). The scheme will be working as a means to ensure an old-age pension for all landholding Small and Marginal Farmers ( who owns cultivable land up to 2 hectares)
Life Insurance Corporation of India (LIC) shall be the Pension Fund Manager.
Keeping the option of flexibility in the scheme, it has been made voluntary. There is no compulsion on anyone to join this scheme.
Salient Features of the Scheme-
- It is a contributory pension scheme. A monthly pension of Rs. 3000 will be provided to them on attaining the age of 60 years, though their contribution will differ (Rs. 55 to Rs. 200) which depends on their joining age. The beneficiary has to be within the age group of 18 to 40 years.
- The monthly contributions will be the same day every month as the enrolment date.
- There is an option to choose a contributory plan as per one’s convenience. He/She can pay on a quarterly, 4-monthly or half-yearly basis.
- In case of death before the retirement date, the spouse may continue in the scheme by paying the remaining contributions. However, if there is no spouse, then total contribution plus interest will be paid to the nominee. And, if the farmer dies after the retirement date, the spouse will receive 50% of the pension as Family Pension.
- The beneficiaries may also quit the scheme but not before 5 years of joining. On quitting, their contribution will be returned by LIC.
- There is no such thing as of late fee in this scheme on the installments, except on the first unpaid contribution.
How to apply
To apply for this scheme, one can enroll themselves through self-registration in an online mode or visit the nearest Common Service Centres. The enrollment is free of cost as the charge of Rs.30 per enrolment which will be borne by the Government.
For self-enrollment through online registration, click here