5 YEARS OF PM KISAN MAANDHAN YOJANA

Source: PIB

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Context

Over five years of implementation, the Pradhan Mantri Kisan Maandhan Yojana (PM-KMY) has significantly empowered Small and Marginal Farmers (SMFs) across India. 

Details

Implementation

• Bihar leads with over 3.4 lakh registrations while Jharkhand ranks second with over 2.5 lakh registrations.
• Uttar Pradesh, Chhattisgarh, and Odisha have over 2.5 lakh, 2 lakh, and 1.5 lakh farmer registrations, respectively.

About the Scheme

• The PM-KMYis designed to provide old age protection and social security to SMFs with landholding up to 2 hectares.
• The scheme aims to ensure a stable income for farmers post-retirement, offering various benefits.

Key Features of PM-KMY

• Minimum Assured Pension: Farmers will receive Rs. 3,000 per month after the age of 60.
• Family Pension: If the subscriber dies, the spouse will get 50% of the pension (Rs. 1,500 per month).
• Voluntary and Contributory: Farmers contribute monthly (Rs. 55-200 based on age), and the government matches the contribution.
• Eligibility:
  • • Age between 18 to 40 years.
    • Should not be covered under other statutory pension schemes like NPS, EPF, or government schemes for labor and traders.
    • Exclusions: High economic status individuals, institutional landholders, politicians, government employees, professionals like doctors and engineers, and income tax payers.

Benefits

• On Death: Spouse receives 50% of the pension.
• On Disability: The spouse can either continue the scheme or exit with the subscriber's contribution and interest.
• On Exit:
  • • If exiting before 10 years, only the subscriber's contribution with savings bank interest is returned.
    • If exiting after 10 years but before 60 years, the contribution plus interest is returned.
    • Upon death, the spouse can continue the scheme or exit with the contribution and interest.

Sources:PIB

PRACTICE QUESTION Q: Consider the following statements about PM Kisan Maandhan Yojana: 1.Farmers’ contribution to the scheme is dependent on the size of their landholding. 2.If a subscriber passes away while receiving their pension, their spouse will be entitled to 100%  family pension. Which of the above statements is/are incorrect? a) 1 only b) 2 only c) Both 1 and 2 d) Neither 1 nor 2   Answer: c Explanation: 1st statement is incorrect: Monthly contributions are in the range from Rs. 55 to Rs. 200, based on the farmer's age at the time of entry into the Scheme. 2nd statement is incorrect: If a subscriber passes away while receiving their pension, their spouse will be entitled to a family pension equal to 50% of the amount the subscriber was receiving i.e. Rs.1500 per month as Family Pension. This is only applicable if the spouse is not already a beneficiary of the scheme. The family pension benefit is exclusively for the spouse.