NPS Calculator
The National Pension System builds a retirement corpus from small regular contributions, then converts part of it into a lifelong monthly pension. At retirement you can take up to 60% as a tax-free lump sum; the rest must buy an annuity.
This calculator projects the corpus your contributions grow into, splits it by the share you annuitise, and estimates the monthly pension that annuity pays.
At retirement you'd have about 11,396,627. Annuitising 40% at 6% gives roughly 22,793/month pension, leaving 6,837,976 as a tax-free lump sum.
How it works
- 01Your monthly contributions compound at the expected return until your retirement age.
- 02At retirement, the share you choose to annuitise (minimum 40%) buys a pension; the rest is a tax-free lump sum.
- 03The monthly pension is the annuity corpus times the annuity rate, divided by twelve.
Frequently asked
How much of the NPS corpus is tax-free?+
Up to 60% can be withdrawn tax-free at retirement. At least 40% must be used to buy an annuity, whose pension is taxed as income when received.
What return should I assume?+
NPS lets you weight equity, corporate bonds and government securities. A moderate equity allocation has historically returned around 9–11% over long periods; use a lower figure as you near retirement.