NPS Calculator
Estimate your NPS retirement corpus and monthly pension.
🔢
NPS Calculator
Use the formula and worked example below to calculate manually.
Overview
The NPS (National Pension System) calculator estimates your retirement corpus and indicative monthly pension based on your monthly contributions, current age, retirement age, and expected returns.
How to use this calculator
- Enter your current age and expected retirement age.
- Enter your monthly NPS contribution.
- Set the expected annual return on the NPS corpus.
- Set the expected annuity rate (the rate at which 40% of your corpus will be converted to a pension).
- The calculator shows the total corpus at retirement and the estimated monthly pension.
Understanding the inputs & results
Monthly contribution
The amount you invest in NPS every month.
Expected return (p.a.)
The assumed annual return on your NPS investments over the accumulation phase.
Annuity rate
The annual rate at which the annuity (pension) is paid from the 40% corpus mandatorily used to purchase an annuity.
Retirement corpus
Total NPS balance at your retirement age.
Monthly pension
Estimated monthly pension calculated from 40% of your corpus at the annuity rate.
The formula
NPS corpus and pension
Corpus = Monthly SIP formula; Pension = (40% of Corpus × annuity rate) / 12
The corpus grows using the SIP future value formula. At retirement, at least 40% must be used to buy an annuity; the rest (60%) can be withdrawn tax-free.
Worked example
₹5,000/month, age 30, retirement at 60, 10% expected return, 6% annuity rate.
- Years = 30; corpus using SIP formula at 10% ≈ ₹1.13 crore.
- Annuity corpus = 40% of ₹1.13 Cr = ₹45.2 lakh.
- Monthly pension = (45.2 lakh × 6%) / 12 ≈ ₹22,600.
✓ Approximately ₹22,600 per month pension from a ₹1.13 crore corpus.
Frequently asked questions
NPS returns are market-linked and not guaranteed. Annuity rates vary by insurer and change over time. This calculator provides estimates for planning only. Consult a financial advisor.