APY Calculator | Atal Pension Yojna

Estimate your annual percentage yield with our APY calculator. Plan your savings effectively.
APY Calculator

Atal Pension Yojana Calculator

What is Atal Pension Yojana Calculator?

The APY Calculator serves as a useful tool for determining the actual interest earned on investments made in the pension scheme. With this calculator, you can choose the desired pension amount that you want after retirement and the age at which you want to apply to the scheme. Atal Pension Yojana Calculator will use the data you have provided to calculate the followings:-

  • Monthly contribution that you need to make
  • The total contribution you have made till retirement
  • The duration of your contribution

Atal Pension Yojana:

The Atal Pension Yojana (APY) is a government-backed pension scheme in India specifically designed for workers in the unorganised sector. Here's a breakdown of the key features:

  • Guaranteed Pension: Upon reaching 60 years of age, subscribers receive a guaranteed minimum monthly pension ranging from ₹1,000 to ₹5,000, depending on their chosen contribution amount.
  • Tax Benefits: Contributions made towards APY are eligible for tax deductions under Section 80CCD (1) of the Income Tax Act.
  • Safe and Secure: Backed by the Government of India, APY offers a high degree of security for your retirement savings.
  • Accessible for Everyone: Open to anyone between 18 and 40 years old with a savings bank account.
Things to Consider:
  • Lock-in Period: The investment has a lock-in period until the subscriber reaches 60 years of age (with exceptions for death or terminal illness).
  • Early Withdrawal: Limited withdrawal options are available before maturity, typically with penalty charges.

How does the Atal Pension Yojana Calculator work?

The Atal Pension Yojana (APY) Calculator helps you estimate the potential pension amount you might receive at retirement based on various factors you input. Here's how it works:

  • Entry Age: This is your current age when you start contributing to the APY scheme.
  • Desired Pension Amount: This is the monthly pension you'd ideally like to receive after retirement (typically at age 60).

The calculator uses predefined assumptions for:

  • Investment Returns: This is the assumed rate of return your contributions will generate over the investment period.

Formula to Calculate

The APY calculator functions by considering two key factors: interest rate and compound frequency. By utilizing the options provided in the second box, users can compare various offers with different compounding periods.

The formula employed for calculating the Atal Pension Yojana is as follows:

APY = (1 + r/n)^n – 1


  • 'r' represents the interest rate.
  • 'n' denotes the number of times the interest is compounded per year.
Formula Use Example

Let's consider the following case:-

  • Investor age: 20 years
  • Pension amount: INR 3,000

The Atal Pension Yojana calculator generates the following results:

  • Monthly Contribution: ₹150.00
  • Total Contribution by Retirement: ₹72,000
  • Total Duration: 40 years

So, the person needs to invest ₹150 monthly for the next 40 years, totaling a contribution of INR 72,000. Upon reaching the age of 60, the subscriber will receive a monthly pension of INR 3,000.

Advantages of Using an Atal Pension Yojana Calculator

The Atal Pension Yojana Calculator offers several advantages for potential investors, making it a valuable tool for informed financial decisions.

  • Simplified Planning: The calculator allows you to estimate your potential monthly interest earnings based on your desired investment amount. This simplifies financial planning as you can see the impact of different investment levels on your income stream.
  • Informed Decisions: By visualizing your potential returns, you can make informed choices about how much to invest in the scheme. This helps you align your investment strategy with your financial goals.

Steps to use the Atal Pension Yojana Calculator

Using the Atal Pension Yojana Calculator is a straightforward process. Here's a breakdown of the typical steps involved:

  1. Input Current Age: Enter the age at which you want to start / have started your investment.
  2. Input Desired Pension Amount: Enter the desired pension that you want after retirement (choose from the drop-down menu).
  3. Click on the Calculate button: This processes your input and generates the following results:-
    • Monthly contribution that you need to make
    • The total contribution you have made till retirement
    • The duration of your contribution

Common Mistakes to Avoid While Using the Atal Pension Yojana Calculator

To ensure the accuracy of your calculations, avoid these common pitfalls:

  • Inaccurate Values: Double-check that you're entering the correct desired pension option and your current age.


The Atal Pension Yojana (APY) Calculator is a powerful tool for anyone considering this government-backed pension scheme. It goes beyond simply giving you a number - it empowers you to take charge of your retirement planning.