"Amar Perm" contends that true emotional fulfillment need not necessarily lie in a fructified relationship which ends with a marriage and the average two kids; it can also be found in a nameless bond between a man and a woman that transcends convention. Bruised village belle Pushpa (Sharmila Tagore) is returning home after having been abandoned by her philandering husband (Manmohan) for a younger woman. Pushpa makes a valiant bid to start life afresh but the village youth openly make passes at her while the women treat her with contempt. She tries to drown herself in the village pond but is saved by the notorious Nepali babu (Madan Puri). Romance, spurred by their shared feeling of abandonment, quietly embraces the two lonely souls. Honoring his family's wishes, Pushpa snaps off her relationship with Anand. Soon, Nandu too shifts with his family to another city.
Years go by. Pushpa is now a graying, bent and constantly-abused dishwasher at a lowly restaurant. The film climaxes with a series of events vindicating Pushpa's struggle, sorrows and sacrifices. Pushpa's now-blinded husband dies in her arms. Anand babu, who has left 'wine, women and wife', returns to her life and orchestrates a meeting between Pushpa and Nandu, now a well-to-do engineer (Vinod Mehra). Nandu takes Pushpa home, symbolically, on the day when other people are taking Durga Ma's idols home.
In a scene that showcases the filmmaker's sensitivity, Anand Babu suggests a boat ride to Pushpa when he senses her agitation at her mother's death. He assuages her with Bakshi's rare beauty Chingari koi bhadke, while she rests her head on his shoulders.