NPS Calculator

Estimate your NPS corpus and monthly pension at retirement.

Overview

Estimates retirement pension wealth and monthly annuity payouts accumulated through Tier-1 National Pension System contributions.

Formula & Calculation Method

Corpus = P × [((1 + r)^n - 1) / r] × (1 + r) | Annuity = 40% of Corpus × Annuity_Rate

P = Monthly contribution, r = Expected blended annual return (equity + debt), n = Months until age 60.

Worked Example: ₹10,000 Monthly NPS for 25 Years at 10% Return

Inputs: Monthly Deposit = ₹10,000 | Expected Return = 10% p.a. | Tenure = 25 Years (300 Months)

  • Total principal invested = ₹10,000 × 300 = ₹30,00,000
  • Accumulated retirement corpus at age 60 = ₹1,33,78,903
  • Lump-sum tax-free withdrawal (60%) = ₹80,27,342 | Annuity purchase (40%) = ₹53,51,561

Summary: Total Corpus = ₹1.34 Crores | Lump-Sum Payout = ₹80.27 Lakhs | Monthly Pension (at 6% annuity) = ₹26,758

Common Use Cases

  • Pillar Retirement Planning: Create a guaranteed lifelong monthly pension post-retirement.
  • Corporate NPS Optimization: Utilize employer contributions up to 14% of basic pay under Section 80CCD(2).
  • Asset Allocation Rebalancing: Combine equity schemes (Scheme E) with corporate and government bonds (Scheme C & G).

Frequently Asked Questions

Is the 60% NPS withdrawal taxable?

No, the 60% lump-sum withdrawal at age 60 is 100% tax-exempt under Section 10(12A).

What is the minimum annuity purchase required in NPS?

At least 40% of the accumulated corpus must be utilized to purchase a registered annuity from an insurance provider.

Can I exit NPS before age 60?

Premature exit is permitted after 5 years, but 80% of the corpus must be directed into an annuity.

Related Calculators & Tools

  • EMI Calculator - Work out your monthly loan instalment from principal, rate and tenure.
  • SIP Calculator - Project the maturity value of a monthly SIP investment.
  • GST Calculator - Add or remove GST from an amount at any slab rate.
  • FD Calculator - Estimate fixed deposit maturity with compounding.
  • Loan Calculator - Compare total interest and payoff across loan terms.
  • Income Tax Calculator - Estimate tax payable under the old and new regimes (FY 2026-27 slabs).