Small traders, shopkeepers and self-employed individuals who do not have access to formal retirement benefits can opt for the National Pension Scheme for Traders, Shopkeepers and Self-Employed Persons. The scheme is designed to provide old-age financial security to eligible people working in the unorganised sector.
Under the scheme, eligible subscribers can receive a minimum assured pension of ₹3,000 per month after reaching the age of 60. The pension works out to ₹36,000 a year. The scheme is voluntary and contributory, with the Central Government making an equal matching contribution to the subscriber’s monthly payment.
Who Can Join the Pension Scheme?
The National Pension Scheme for Traders is intended for traders, shopkeepers and self-employed persons. According to the Ministry of Labour and Employment, eligible applicants must be between 18 and 40 years of age at the time of joining.
For traders and self-employed persons, the annual business turnover should not exceed ₹1.5 crore. The scheme is meant for people who are not covered under EPFO, ESIC or a government-funded NPS and are not income-tax payers.
How Much Does a Subscriber Have to Pay?
The monthly contribution depends on the age at which a person joins the scheme. The contribution ranges from ₹55 to ₹200 per month.
The Central Government contributes an equal amount. This means the scheme follows a 50:50 contribution structure, with the subscriber and government each making the prescribed contribution.
After completing the required contributions and reaching 60 years of age, the beneficiary becomes eligible for the minimum assured monthly pension of ₹3,000.
How to Apply for the Traders Pension Scheme?
Eligible applicants can register through their nearest Common Service Centre (CSC). Applicants should carry their Aadhaar card and savings bank account or Jan-Dhan account details for enrolment.
Self-enrolment is also available through the official Maandhan portal. The Ministry of Labour and Employment states that the scheme’s enrolment process is available through CSCs as well as online self-enrolment.
The scheme provides a pension option for eligible traders, shopkeepers and self-employed persons who otherwise may not have access to organised-sector retirement benefits.
Disclaimer
This article is intended for general informational purposes. Eligibility conditions, contribution requirements and scheme provisions may be subject to government rules and updates. Applicants should verify their eligibility and the latest scheme details through the official Ministry of Labour and Employment or Maandhan portal before registering.