Retirement Calculator
Find how much you need to save now to retire comfortably.
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Retirement Calculator
Use the formula and worked example below to calculate manually.
Overview
The retirement calculator estimates the corpus you need to retire, how much you must save monthly to reach that corpus, and whether your current savings are on track — all adjusted for inflation.
How to use this calculator
- Enter your current age and desired retirement age.
- Enter your current monthly expenses.
- Set the expected inflation rate and post-retirement investment return.
- Set life expectancy (how long you plan the corpus to last).
- The calculator shows the retirement corpus needed and the required monthly savings.
Understanding the inputs & results
Retirement corpus
The total lump sum you need at retirement to sustain your lifestyle for the rest of your life.
Monthly expenses (today)
Your current monthly living costs. These will grow with inflation by retirement.
Inflation rate
The annual rate at which costs are expected to rise.
Post-retirement return
The conservative return you expect your corpus to earn after retirement (typically 6–7% from fixed-income instruments).
Accumulation phase
The years from now until retirement — when you are growing your corpus.
Distribution phase
The years after retirement — when you are drawing down from the corpus.
The formula
Retirement corpus needed
Corpus = Inflated Annual Expense / (Return − Inflation) × [1 − (1+g)^−n/(1+r)^n]
The corpus is the present value of all future inflated expenses discounted at the post-retirement return. Simplified: Corpus = Inflated monthly expense × 12 / (r − g) for perpetuity, or use PV of growing annuity.
Worked example
Age 30, retire at 60, monthly expenses ₹50,000, 6% inflation, 7% post-retirement return, live to 85.
- Inflated expense at retirement (30 yrs at 6%) = 50,000 × (1.06)^30 ≈ ₹2,87,175/month.
- Corpus needed for 25 years post-retirement ≈ ₹3.8 crore.
- Monthly SIP needed (at 12% return for 30 years) ≈ ₹7,500.
✓ Need ≈ ₹3.8 crore at retirement; start a ₹7,500/month SIP today.
Frequently asked questions
Tips & things to know
- Start early — even small amounts at 25 outperform large amounts at 40.
- Revisit this calculator every 3–5 years as income and expenses change.
- Factor in healthcare inflation (10%+) separately — it's significantly higher than general CPI.
Retirement projections are estimates based on assumed constant rates. Actual returns, inflation, and life expectancy vary. Consult a certified financial planner for a personalised retirement plan.