Financial Calculators
NPS Calculator
See what your monthly NPS contribution becomes at 60: lump sum in hand plus estimated pension.
Estimated monthly pension
₹13,379
from 40% of corpus via annuity
- Total contributed
- ₹15,00,000
- Corpus at 60
- ₹66,89,452
- Lump sum in hand
- ₹40,13,671
NPS rules require a minimum portion of the corpus to purchase an annuity at exit; the annuity rate depends on the provider and plan chosen at that time. All figures are estimates for illustration only.
From contribution to corpus to pension
NPS accumulates like a disciplined SIP at some of the lowest fund management costs in Indian investing, then converts at 60: a portion of the corpus can be withdrawn as a lump sum while the rules require a minimum share to purchase an annuity paying lifelong income. This calculator models both halves so you see the full picture, not just the corpus.
Because the eventual annuity rate depends on the provider and plan you choose at 60, it is an editable estimate here, not a hidden constant. Move it and watch how sensitive the pension figure is.
How the calculation works
Corpus = monthly SIP accumulation at your expected return until 60\nLump sum = corpus x (1 - annuity share)\nMonthly pension = corpus x annuity share x annuity rate / 12Worked example: Rs 5,000 monthly for 25 years at 10% builds a corpus of about Rs 66,89,452. With 40% annuitised at an estimated 6%, you receive about Rs 40,13,671 as lump sum and an estimated pension of about Rs 13,379 per month.
Frequently asked questions
What extra tax benefit does NPS give?
Contributions can qualify for an additional deduction under Section 80CCD(1B), over and above the 80C limit, subject to prevailing rules and your chosen tax regime.
What returns should I assume?
NPS lets you mix equity, corporate debt and government securities. Balanced allocations have historically delivered high single to low double digits; 9 to 10% is a common planning assumption, never a promise.
Is the pension amount guaranteed?
No. The annuity rate is fixed only when you buy the annuity at exit, and varies by provider and plan. The figure here is an estimate for planning.
NPS or mutual funds?
Both, usually: NPS as the locked, low-cost retirement core with the extra deduction, and mutual funds as the flexible layer you can reach before 60.
Set up NPS the right way.
Account opening, sensible allocation and coordination with the rest of your portfolio, handled with you.