Pradhan Mantri Kisan Maan-Dhan Yojana (PM-KMY), Benefits and Features

The Central Sector Scheme which is administered by the Cooperation & Farmers Welfare, Department of Agriculture, Ministry of Agriculture & Farmers’ Welfare, and the Government of India in partnership with Life Insurance Corporation of India (LIC).It was Launched at Ranchi, Jharkhand by Prime Minister Narendra Modi on 12th September 2019.

The Pradhan Mantri Kisan Man Dhan Yojana (PM-KMY) was created by the government to offer social safety to small and medium-sized farmers. LIC is the Pension Fund Manager for PM Kisan Maan-Dhan Yojana that provides an assured monthly pension of Rs. 3000/- to all the small and marginal farmers (who own cultivable land up to 2 hectares) after the age of 60 years. When farmers their age have little or no income or no other way to cover their expenses, PM-KMY offers financial aid.

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Pradhan Mantri Kisan Maan-Dhan Yojana (PM-KMY)

The Pradhan Mantri Kisan Maan Dhan Yojana (PM-KMY) was introduced by the government on 12.9.2019 with the goal of providing social security to Small and Marginal Farmers in their old age when they have no means of support and little to no funds to cover their costs.

Pradhan Mantri Kisan Maan-Dhan Yojana (PM-KMY) Benefits

In accordance with this programme PM-KMY is upon reaching the age of 60, small and marginal farmers are given a minimum fixed pension of Rs. 3,000/-, subject to specific exclusion conditions. It is a contributing, voluntary pension. Depending on the entry age, the eligible farmer must contribute between Rs. 55 and Rs. 200 per month to a pension fund. Additionally, the Central Government makes an equivalent contribution to the Pension Fund.

• If the beneficiary dies before the retirement date, the spouse may continue this scheme by paying the remaining contributions.
• But if the spouse does not wish to continue, then, the total contribution made by the farmer along with interest will be paid to the spouse.
• If beneficiary has no spouse, then the total contribution along with interest will be paid to the nominee.
• If the farmer dies after the retirement date, the spouse will receive 50% of the pension as Family Pension.
• After the death of both the farmer and the spouse, the accumulated corpus shall be credited back to the Pension Fund.

Pradhan Mantri Kisan Maan-Dhan Yojana (PM-KMY) Eligibility

The Pradhan Mantri Kisan Maan-Dhan Yojana is open to all small and marginal farmers who possess cultivable land up to 2 hectares and are between the ages of 18 and 40. These farmers are also eligible to apply and can take advantage of the entire program’s benefits. Farmers who meet the exclusion requirements are not eligible for the benefit:

1. Small and marginal farmers are already registered under other schemes of Governments of India such as the National Pension Scheme (NPS), Employees’ State Insurance Corporation scheme, Employees’ Fund Organization Scheme, etc.
2. Farmers who have opted for Pradhan Mantri Shram Yogi Maan Dhan Yojana (PMSYM) administered by the Ministry of Labour & Employment as well as for Pradhan Mantri Laghu Vyapari Maan-Dhan Yojana (PM-LVM) under the Ministry of Labour & Employment.

Pradhan Mantri Kisan Maan-Dhan Yojana (PM-KMY) Feature

• For farmers in the entering age range of 18 to 40 years, the programme is voluntary and contributory.
• When they reach the age of 60, they will get a monthly pension of Rs. 3000.
• The farmers must contribute to the Pension Fund every month until they turn 60 years old, or between Rs. 55 and Rs. 200, depending on their entry-age.
• The Central Government would likewise contribute the same amount to the pension fund on an equal basis.
• After making separate contributions to the Fund, the spouse is also qualified to receive a separate pension of Rs. 3000.
• The Life Insurance Corporation of India (LIC) would be in charge of managing the pension funds and paying out pensions.
• If a farmer passes away prior to the retirement date, the spouse may continue in the plan by making payments up to the farmer’s remaining age.
• The Central Government would likewise contribute the same amount to the pension fund on an equal basis.
• After making separate contributions to the Fund, the spouse is also qualified to receive a separate pension of Rs. 3000.
• The Life Insurance Corporation of India (LIC) would be in charge of managing the pension funds and paying out pensions.
• If a farmer passes away prior to the retirement date, the spouse may continue in the plan by making payments up to the farmer’s remaining age.
• After a minimum of five years of continuous contributions, the beneficiaries may choose voluntarily to leave the Scheme.
• When they leave, LIC will repay all of their contributions together with interest calculated based on current savings bank rates.
• The farmers, who are also recipients of benefits under the PM-Kisan Scheme, would have the choice of having their contributions directly deducted from those benefits.
• The beneficiaries are permitted to regularise the payments in cases when regular contributions are not made by paying the past-due amounts plus the applicable interest.

Pradhan Mantri Kisan Maan-Dhan Yojana (PM-KMY) Significance

Within the next five years, it is anticipated that at least 10 crore people in the unorganised sector will take advantage of the programme, making it one of the world’s largest pension plans.

Pradhan Mantri Kisan Maan-Dhan Yojana (PM-KMY) UPSC

• An intermediate sector programme for farmers in India between the ages of 18 and 40 is called the PM-KMY Scheme.
• By registering with the Pension Fund run by the Life Insurance Corporation of India (LIC), beneficiaries can join the PM-KMY Scheme.
• Therefore, depending on their age, Members are expected to contribute to the Pension Fund on a monthly basis between Rs. 55 and Rs. 200, with the Central Government matching that amount.
• A total of 18,29,469 farmers in India are registered under this programme, according reports from November 14th.

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