Essay on Schemes of Senior Citizens for Class 12, Mains Exam (UPSC, PSC, SSC)
Schemes of Senior Citizens Essay : The Indian Legal system considers any individual who has the citizenship of India and has attained the age of sixty(60) or above but less than eighty(80) years old to qualify as a senior citizen. According to the Population Census 2011, there are nearly 104 elderly persons in India; 53 million females and 51 million males. The United Nations Population Fund and HelpAge India indicate that the number of elderly persons is expected to grow to 173 million by 2026.
Discussion
The Government of India has initiated a number of lucrative schemes to strengthen financial stability and security for senior citizens
i) Atal Pension Yojana
The pension scheme is launched to benefit senior citizens belonging to low-income groups.
The scheme is especially financially favourable for those who had worked in the unorganized sector such as daily-waged labourers, peasants and farmers and artisans. The exceptional scheme encourages senior citizens from grassroots levels to save small amounts of money every month.
The subscribers of the scheme receive an additional 50% of the total contribution at the end of the year. Incase of unforeseen demise the nominee is eligible to claim the pension amount of money. The scheme also allows the subscriber to attain a monthly pension between Rs.1000-5000.
ii) National Pension System
Amidst all the pension schemes available to senior citizens, National Pension Scheme(NPS) is the most popular as it is a voluntary-contribution-based pension scheme that provides a plethora of lucrative schemes to senior citizens. Launched in 2004 NPS permitted only government service holders to subscribe to the pension scheme. Employees from all sectors could subscribe to the senior citizen scheme from 2009.
The scheme’s inflation-adjusted returns are the most appealing benefit of the scheme. A fraction of the contribution in the NPS account is invested in various market-linked instruments including equities. Pension holders receive higher pension returns than conventional fixed-income investments.
NPS allows its subscribers to withdraw a limited 60% of their contribution till the age of 60 in round sum or in instalments. The round sum withdrawn is exempted from any tax. The rest of the 40% is needed to purchase the annuity.
iii) Pradhan Mantri Vaya Vandana Yojana (PMVVY)
The government-aided scheme offers financial independence and social security from return on investment. The scheme is provided by the sole biggest insurance provider Life Insurance Corporation of India (LIC) and provides guaranteed returns in 10 years.
The PMVVY scheme offers subscribers a guaranteed 8% return per annum on deposits. With the flexibility of choosing the tenure of payment, the scheme pays returns for 10 years.
The subscribers are given the option to end the scheme whenever convenient.
iv) Varistha Pension Bima Yojna (VPBY)
The scheme also known as the LICVPBY implements its schemes through LIC requiring subscribers to the premium they choose at the start of the policy. It is a guaranteed return on investment senior citizen scheme.
Once the premium is paid the subscribers are promised to get pensions on regular basis with the flexibility of having options of acquiring the pensions on a monthly, quarterly, half-yearly or annual basis.
Conclusion
The government of India offers a plethora of senior citizen pension schemes. The offers are given to every section of society from the grassroots levels, government service-holders and even private sector employees. In conclusion, the varied senior citizen schemes provide sufficient scope to secure the second half of one’s life.
FAQ on Schemes of Senior Citizens
Q1. What is the ratio of senior citizens in India?
Ans: According to the Population Census 2011, there are nearly 104 elderly persons in India; 53 million females and 51 million males. According to the Population Census 2011, there are nearly 104 elderly persons in India.
Q2. Is the Atal Pension Yojna meant for unorganized sector employees?
Ans: The Atal Pension Yojana scheme is especially financially favourable for those who had worked in the unorganized sectors such as daily-waged labourers, peasants and farmers and artisans.
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