PM Laghu Vyapari Mandhan — Pension for Traders

What is PM Laghu Vyapari Mandhan?

Pradhan Mantri Laghu Vyapari Mandhan Yojana (PMLVMY) — also called the NPS Traders Scheme — is a voluntary pension scheme for shopkeepers, retail traders, and self-employed persons run by the Government of India. It guarantees a minimum pension of ₹3,000 per month at age 60.

This is similar to PM-SYM (labour pension) but designed specifically for small business owners and traders with GST registration or turnover below ₹1.5 crore.

Key Benefits

The government matches your monthly contribution — you pay your share, the government pays the same amount into your pension account.

Monthly Contribution by Age

Your premium is auto-debited from your savings account on the 1st of every month.

Who is Eligible?

You ARE eligible if:

• You are a shopkeeper, retail trader, or self-employed person
• Your age is between 18 and 40 years
• Your annual turnover is below ₹1.5 crore
• You have a GST registration (or are a small trader not yet required to register under GST)
• You are not already covered under any other pension scheme (NPS, EPFO, ESIC, PM-SYM)

You are NOT eligible if:

• You are a government employee or formally employed with EPF/ESIC coverage
• Your annual turnover exceeds ₹1.5 crore
• You are above 40 years of age

Documents Required

1. Aadhaar Card — mandatory for identity
2. Bank account passbook — savings account (for auto-debit)
3. Mobile number — linked to Aadhaar or bank
4. GSTIN (if registered for GST) — or self-declaration of turnover below ₹1.5 crore

How to Enroll — Step by Step

Step 1 — Visit Nearest CSC

Go to any Common Service Centre (CSC) / Jan Seva Kendra in your area. Bring your Aadhaar card and bank passbook.

Step 2 — Biometric Verification

The CSC operator verifies your identity using your Aadhaar fingerprint (biometric authentication).

Step 3 — Fill Application

Provide your:

• Date of birth (to calculate monthly premium)
• Bank account details for auto-debit
• GST number (if applicable)
• Nominee details

Step 4 — First Premium Payment

Pay the first monthly premium at the CSC (cash or UPI). The operator registers you in the system and issues a Subscriber ID card.

Step 5 — Auto-Debit Setup

Going forward, monthly premiums are auto-debited from your savings account. Ensure sufficient balance on the 1st of each month.

What Happens at Age 60?

After completing contributions until age 60:

• ₹3,000/month is deposited to your bank account every month as pension
• If you pass away, your spouse gets ₹1,500/month as family pension
• If both subscriber and spouse pass away, accumulated fund goes to nominee

Frequently Asked Questions

1. I am 42 years old. Can I still enroll?

No. The maximum entry age is 40 years. If you are 42, you are not eligible for PMLVMY.

2. I have a kirana shop but no GST registration. Can I still enroll?

Yes. Small traders whose turnover is below the GST threshold (₹20 lakh for services, ₹40 lakh for goods) can self-declare their turnover and enroll without a GSTIN.

3. Can I enroll online without visiting a CSC?

Currently, enrollment is done through CSC operators due to biometric verification requirement. Online self-enrollment is not fully available yet.

4. What if I can't pay the premium one month?

If you miss a payment, the account goes into default. You can regularize by paying the outstanding premium + penalty (prescribed by LIC/Pension Fund). Continued non-payment leads to account closure.

5. Is the ₹3,000/month guaranteed even if pension fund earns less?

Yes. The ₹3,000/month pension is a government guarantee — even if the fund earns less, the government makes up the difference. LIC manages the Life Insurance Fund for this scheme.

Official Links