NPS Calculator
Plan your National Pension System retirement corpus
Project your NPS corpus at 60, lumpsum, annuity purchase, and monthly pension. Works for Tier I subscribers.
NPS plus 80CCD(1B) = extra ₹50K saved.
We open your Tier 1, optimize allocation, and stack with 80C / 80CCD. Free 15-min call.
What is a NPS Calculator?
The National Pension System (NPS) is India's voluntary, market-linked retirement scheme regulated by PFRDA. You contribute during your working years (Tier I is the tax-saving retirement account), your money is invested in a mix of equity, corporate debt, and government securities of your choice, and at age 60 you withdraw up to 60% as a tax-free lumpsum and use the remaining 40%+ to buy a monthly annuity (pension).
NPS offers the largest stack of tax deductions any single instrument offers — ₹1.5L under 80CCD(1) within the 80C overall cap, plus an additional ₹50K exclusive deduction under 80CCD(1B), and for salaried employees up to 10% of basic under employer contribution 80CCD(2) (above the 80C cap). This last one is the biggest win most employees miss.
Our calculator projects your corpus at 60 based on monthly contribution, expected return (historic NPS equity sub-funds average 10–12%), current age, and your chosen annuity share. It then shows how much you can take as lumpsum and what your monthly pension looks like at the assumed annuity rate (typically 6–7%).
Why use this NPS Calculator
Built for Indians, by Indians. Every number, every formula, every slab — tuned to FY 2026-27 reality.
Long-horizon compounding
Model contributions from your current age all the way to 60 — typically 20–40 years of compounding.
Lumpsum vs pension
Split the corpus into tax-free lumpsum (up to 60%) and annuity (40% minimum) — see the trade-off instantly.
Annuity rate sensitivity
Adjust the annuity rate (5–8%) to see how much pension each rupee of corpus can buy.
All local
No server calls. Your retirement planning stays on your device.
Using the NPS Calculator in 4 steps
No onboarding, no signup. Answer three fields and the numbers update live.
Enter monthly contribution
Your own contribution. Include employer contribution only if you're modelling combined corpus.
Enter current age
Must be under 60. The calculator projects till 60 automatically — NPS cannot be extended beyond without separate arrangements.
Set expected return
Aggressive equity-heavy (75%E): assume 10–12%. Balanced (50%E): 9–10%. Conservative (25%E): 7–9%.
Pick annuity share & rate
40% is the mandatory minimum. The rest (up to 60%) is a tax-free lumpsum. Annuity rate reflects today's market — 6% is realistic.
Tips to get the most out of it
Use 80CCD(1B) — the ₹50,000 extra deduction over and above 80C — it's the highest-ROI tax move for any earner above the 20% slab.
If your employer offers NPS (80CCD(2)), use it — employer contribution up to 10% of basic is deductible outside the ₹1.5L 80C cap.
For equity allocation, Active Choice lets you set up to 75% in equity (under 50 years old). Auto Choice rebalances for you.
Delaying annuity purchase to age 75 is now allowed — keeps more corpus compounding if you don't need the pension immediately.
Don't treat NPS as your only retirement vehicle. Complement with PPF (tax-free, 7.1%) and equity MFs (inflation beater).
Real-world scenarios
How Indians actually use this calculator — concrete inputs, concrete outcomes.
₹5K/month from age 30 to 60, 10% return, 40% annuity
Corpus ≈ ₹1.13 crore. Lumpsum ~₹68 lakh tax-free, annuity ~₹45 lakh → pension ~₹22,500/month at 6%.
₹10K/month from age 25 to 60, 12% return, 50% annuity
Corpus ≈ ₹6.4 crore. Lumpsum ~₹3.2 cr, annuity ~₹3.2 cr → pension ~₹1.6 lakh/month at 6%.
₹2K/month from age 35 to 60, 9% return, 40% annuity
Corpus ≈ ₹22 lakh. Lumpsum ~₹13.2 lakh, annuity ~₹8.8 lakh → pension ~₹4,400/month. Basic retirement floor.
Frequently Asked Questions
Still have a question? Our team replies within a business day.
The National Pension System is a voluntary, defined-contribution retirement scheme regulated by PFRDA. You contribute during working years, the money is invested in equity/debt/government securities of your choice, and at 60 you get a lumpsum + monthly pension via an annuity.
Three stacks: (a) 80CCD(1) — up to ₹1.5L within 80C cap, (b) 80CCD(1B) — exclusive ₹50K extra, and (c) 80CCD(2) — up to 10% of basic (14% for govt employees) as employer contribution, above 80C. Stack a + b + c can save ₹60K–₹2L+ in tax annually.
Up to 60% of the corpus as a tax-free lumpsum. The remaining 40% (minimum) must buy an annuity from an empanelled insurer, which pays you a monthly pension for life.
Different purposes. PPF is fully tax-free (EEE) at 7.1% — safe, predictable. NPS is market-linked (10–12% long-term) with larger tax deductions but partial annuity compulsion. Most planners suggest both, not either/or.
Historic NPS equity sub-fund returns have averaged 11–13%, government securities ~7–8%, corporate debt ~8–9%. A 75% equity allocation held for 20+ years should realistically compound at 10–11%.
Premature exit allowed after 5 years of contributions — but only 20% can be withdrawn as lumpsum; the remaining 80% must buy an annuity. Exit at 60 is the optimal path.
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