National Pension Scheme (NPS) Retirement Calculator
Calculate your retirement corpus, estimated pension, and regular annuity payouts under the government-backed National Pension Scheme.
NPS Retirement Income Analysis
Your estimated retirement pension and lumpsum withdrawal metrics:
Maturity Corpus
The total pension wealth accumulated by age 60.
Lumpsum Payout (60%)
The maximum tax-free cash you can withdraw upon reaching age 60.
Est. Monthly Pension
The regular monthly pension paid out from the mandatory 40% annuity reinvestment.
How is it calculated?
Corpus = Total\,Invested \times Compounded\,Growth \quad | \quad Pension = Corpus \times Annuity\%NPS accumulates monthly contributions with compound growth until age 60. Then, a minimum of 40% of the corpus must be reinvested in an annuity to yield monthly pension.
Worked Examples
₹10,000 Monthly NPS Contribution for 30 Years
Contributing ₹10,000 monthly for 30 years at a 10% expected annual return yields a maturity corpus of ₹2.28 Crores. Reinvesting 40% in an annuity yields ₹60,780 monthly pension!
₹5,000 Monthly NPS for 20 Years
Yields a retirement corpus of approximately ₹38.28 Lakhs. Reinvesting 50% in an annuity yields around ₹11,160 monthly pension.
National Pension Scheme (NPS) Planning Guide
What is the National Pension Scheme (NPS)?
The National Pension Scheme (NPS) is a voluntary, long-term retirement savings scheme designed to enable systematic savings during your working life. Regulated by the PFRDA, it is backed by the Government of India and offers a mix of equity, corporate debt, and government securities.
Upon reaching age 60, you can withdraw up to 60% of the accumulated corpus tax-free, while the remaining 40% must be used to purchase an annuity to provide a regular monthly pension.
How the NPS Pension is Structured
NPS accounts compound your monthly contributions over your working years. The final pension is calculated as:
Pension Corpus = Total Accumulated Wealth at Age 60
Lumpsum Outflow = Up to 60% of Corpus (Tax-Free)
Annuity Reinvestment = Minimum 40% of Corpus (purchases monthly pension)
Frequently Asked Questions
What are the tax advantages of NPS under Section 80CCD?
Can I withdraw my NPS corpus before age 60?
Results are estimates and should not be considered financial advice.