NPS Calculator — Calculate National Pension System Retirement Corpus | CalculHub
NPS Calculator
NPS Retirement Corpus
Total Invested
₹1,800,000Wealth Gained
₹9,596,627Total Corpus at Retirement
₹11,396,627Lumpsum Withdrawal (60%)
₹6,837,976Annuity Purchase (40%)
₹4,558,651Est. Monthly Pension
₹32,660NPS Calculator — Estimate Your National Pension System Retirement Corpus
The NPS Calculator (National Pension System Calculator) helps you estimate the retirement corpus you will accumulate through your monthly NPS contributions, and calculate the monthly pension you can expect after retirement. NPS is a government-backed, market-linked retirement savings scheme regulated by PFRDA (Pension Fund Regulatory and Development Authority).
NPS is especially popular among salaried individuals and government employees as it offers significant tax benefits under Section 80C, Section 80CCD(1B), and Section 80CCD(2) of the Income Tax Act — making it one of the most tax-efficient retirement instruments in India.
How NPS Works at Retirement
60% Lumpsum Withdrawal
At age 60, you can withdraw up to 60% of the total NPS corpus as a tax-free lump sum amount.
40% Mandatory Annuity
The remaining 40% must be used to purchase an annuity plan, which pays you a monthly pension for life.
Tax Benefits
₹1.5L under 80C + additional ₹50,000 under 80CCD(1B) — total up to ₹2L annual deduction.
Market-Linked Returns
NPS invests in equity, corporate bonds, and government securities. Equity allocation can be up to 75% till age 50.
NPS vs PPF vs EPF — Comparison
| Feature | NPS | PPF | EPF |
|---|---|---|---|
| Who Can Invest | Any Indian citizen 18–70 | Any Indian citizen | Salaried employees only |
| Return Type | Market-linked (8–12%) | Fixed (7.1%) | Fixed (8.15%) |
| Tax on Maturity | 60% tax-free + 40% annuity | Fully tax-free (EEE) | Fully tax-free after 5 years |
| Lock-in | Till age 60 | 15 years | Till retirement |
| Pension Guarantee | Yes (annuity) | No | Yes (EPS component) |
Frequently Asked Questions — NPS Calculator
What is the minimum monthly NPS contribution?
The minimum annual contribution for Tier-I NPS is ₹1,000 (approximately ₹84/month). However, financial planners recommend contributing at least ₹3,000–₹5,000 per month for meaningful retirement corpus building.
Is NPS safe?
NPS is regulated by PFRDA, a government body. While it is market-linked (so returns are not guaranteed), the debt and government securities portions provide stability. The auto-choice lifecycle fund automatically reduces equity exposure as you age.
Can I withdraw NPS before 60?
Partial withdrawals up to 25% of own contributions are allowed after 3 years for specific purposes like home purchase, children's education, or medical emergencies. Full withdrawal before 60 requires purchasing a 80% annuity.
What is the tax benefit on NPS under Section 80CCD(1B)?
Section 80CCD(1B) allows an additional deduction of up to ₹50,000 per year for NPS contributions — over and above the ₹1.5L limit under Section 80C. This makes NPS the only instrument with this exclusive additional tax benefit.