NPS Calculator – Retirement Corpus, Tax Benefits & Monthly Pension

Estimate National Pension Scheme maturity value, tax savings under 80CCD(1B), lump sum vs annuity split, and projected monthly pension with step-up contributions.

Secure Planning
Real-time Results
60-40 Split Model
Total Corpus at Retirement
₹0

Corpus Growth

Visualize how your NPS corpus grows over time with contributions and compounded returns.

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Calculate NPS Retirement Corpus

Enter your current age, retirement age, monthly contribution, expected returns, and step-up rate to estimate your retirement corpus and pension.

30Y
Your current age determines the investment tenure until retirement.
60Y
Standard NPS maturity is at age 60, with extension options available up to 75.
₹5,000
Regular monthly contributions build your retirement corpus through systematic investing. Minimum ₹500/month recommended.
5.0%
Increase your contribution annually to match salary increments and accelerate corpus growth. Set to 0% for fixed contributions.
10.0%
NPS offers equity, corporate bonds, and government securities. Aggressive portfolios may target 10-12%; conservative 8-9%. Historical data suggests 9-11% average.
6.0%
The rate at which your annuity (40% of corpus) generates monthly pension. Typical annuity rates range 5.5-7%.
Total Investment
₹0
Total Returns
₹0
Retirement Corpus Breakdown
Total Corpus at Retirement
₹0
Total Invested ₹0
Total Returns ₹0
Lump Sum (60%) ₹0
Annuity (40%) ₹0
Monthly Pension ₹0
Annual Tax Saved (80CCD) ₹0

Smart Tips

NPS offers additional ₹50,000 tax deduction under 80CCD(1B) beyond Section 80C limit.
Starting early with even small contributions can significantly boost your retirement corpus due to compounding.
Use annual step-up to align contributions with salary increments—even 5% yearly increases make huge differences.
At retirement, mandatory 40% goes to annuity for pension; 60% can be withdrawn tax-free (conditions apply).
Review asset allocation periodically—shift from equity to debt as retirement approaches to protect gains.

Corpus Growth

Track your NPS corpus growth trajectory over your investment tenure.

How to Use NPS Calculator?

1

Select Your Currency

Choose INR, USD, or GBP from the header menu to view all calculations in your preferred currency.

2

Enter Age Details

Input your current age and target retirement age to determine investment tenure.

3

Set Contribution & Growth

Enter monthly contribution amount, annual step-up rate, expected returns, and annuity rate.

4

Review Projections

Analyze total corpus, lump sum, annuity split, monthly pension, tax savings, and corpus growth chart.

Understanding NPS Calculation

What is NPS?

National Pension Scheme (NPS) is a government-backed voluntary retirement savings scheme in India designed to encourage long-term wealth creation for retirement. It offers market-linked returns with professional fund management across equity, corporate bonds, and government securities, combined with attractive tax benefits.

How is NPS Calculated?

This calculator uses a systematic investment approach with annual step-ups. Each year, your contribution increases by the step-up percentage. Returns are compounded monthly based on your expected annual return rate. At retirement, the corpus is split: 60% as tax-free lump sum (conditions apply) and 40% mandatory annuity purchase for monthly pension.

Core Formula

Future Value with Step-up: For each year, contribution = previous year × (1 + step-up rate). Corpus Growth: FV = Σ [PMT × (1 + r/12)^n] where PMT increases annually, r is annual return rate, and n is months remaining. Lump Sum: 60% of corpus (tax-free withdrawal). Annuity: 40% of corpus invested to generate pension. Monthly Pension: (Annuity Amount × Annuity Return Rate) / 12. Tax Savings: Up to ₹50,000 deduction under 80CCD(1B) + employer contribution benefits.

Factors Affecting Your NPS Corpus

Uses & Benefits of NPS

Government-backed Security

PFRDA-regulated scheme with professional fund management and transparent operations for worry-free retirement planning.

Exceptional Tax Benefits

Additional ₹50,000 deduction under 80CCD(1B) over and above ₹1.5L limit of Section 80C, plus employer contribution benefits.

Flexible Portfolio Choice

Choose your asset allocation across equity, corporate bonds, and government securities; switch anytime as per life stage.

Portable Across Jobs

Single NPS account follows you across employers, locations, and career changes—no need to start over.

Low Cost Structure

Among the lowest fund management charges in the industry, ensuring more of your money works for your retirement.

Guaranteed Monthly Pension

40% annuity ensures regular monthly income post-retirement, providing financial stability in golden years.

Who Benefits Most?

Frequently Asked Questions

What is the 60-40 split rule in NPS?
At retirement (age 60), you must invest at least 40% of your NPS corpus into annuity (which generates monthly pension). The remaining 60% can be withdrawn as lump sum (tax-free subject to conditions). This ensures a balance between immediate liquidity and lifelong income.
How much tax can I save with NPS?
NPS offers additional ₹50,000 tax deduction under Section 80CCD(1B), over and above the ₹1.5 lakh limit under Section 80C. Employer contributions (up to 10% of salary) are also deductible under 80CCD(2) with no upper limit. Total tax savings can exceed ₹2 lakh for high earners.
What is annual step-up and why is it important?
Annual step-up means increasing your contribution by a fixed percentage each year (e.g., 5% or 10%). This aligns with salary increments and dramatically accelerates corpus growth through enhanced compounding. Even a modest 5% annual step-up can increase final corpus by 40-60% compared to flat contributions.
What returns can I realistically expect from NPS?
Historical NPS returns vary by asset class: equity (E) averaged 12-14%, corporate bonds (C) 8-9%, and government securities (G) 8-9%. Aggressive portfolios (higher equity) may target 10-12%; conservative (higher debt) 8-9%. Use conservative estimates (9-10%) for planning to account for volatility.
Can I withdraw from NPS before retirement?
Partial withdrawals are allowed (up to 25% of your contributions) for specific purposes like children's education, marriage, or medical emergencies, subject to lock-in period and conditions. Premature exit before 60 requires mandatory 80% annuity purchase. Plan accordingly for liquidity needs.
Why does this calculator show estimates and not guaranteed returns?
NPS is a market-linked scheme—actual returns depend on equity market performance, bond yields, fund manager decisions, and economic conditions. This calculator uses your input parameters to project potential outcomes. Actual corpus may be higher or lower. Use conservative estimates and review annually.

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Trust & Important Notes

Privacy First

All calculations performed locally in your browser. No data stored or transmitted.

Transparent Math

Compound interest with step-up SIP methodology based on standard financial formulas.

Input Validation

Automatic checks for age logic, valid ranges, and realistic parameters.

Planning Tool

For estimation purposes. Actual NPS returns depend on market performance and fund choices.

Disclaimer: This NPS calculator provides illustrative projections based on your input parameters. Actual retirement corpus depends on market-linked returns, fund performance, asset allocation choices, contribution consistency, and prevailing annuity rates at retirement. Tax benefits are subject to applicable tax laws and individual circumstances. The 60-40 split rule, withdrawal conditions, and lock-in periods are governed by PFRDA regulations and may change. This tool is for informational and planning purposes only and does not constitute financial, investment, tax, or legal advice. Consult certified financial advisors and review official NPS documentation before making investment decisions.