Calculator
NPS Calculator
Amount you contribute every month.
NPS funds have historically returned ~9–11%. Not guaranteed.
Your age today.
NPS normally matures at 60; you can stay invested up to 85.
At least 20% for All Citizen and Corporate subscribers; at least 40% for government subscribers.
Invested vs wealth gained over time
- Invested
- Gains
View yearly breakdown
| Year | Invested | Gains | Total |
|---|---|---|---|
| Y1 | ₹60,000 | ₹3,351 | ₹63,351 |
| Y2 | ₹1,20,000 | ₹13,337 | ₹1,33,337 |
| Y3 | ₹1,80,000 | ₹30,650 | ₹2,10,650 |
| Y4 | ₹2,40,000 | ₹56,059 | ₹2,96,059 |
| Y5 | ₹3,00,000 | ₹90,412 | ₹3,90,412 |
| Y6 | ₹3,60,000 | ₹1,34,645 | ₹4,94,645 |
| Y7 | ₹4,20,000 | ₹1,89,792 | ₹6,09,792 |
| Y8 | ₹4,80,000 | ₹2,56,996 | ₹7,36,996 |
| Y9 | ₹5,40,000 | ₹3,37,521 | ₹8,77,521 |
| Y10 | ₹6,00,000 | ₹4,32,760 | ₹10,32,760 |
| Y11 | ₹6,60,000 | ₹5,44,255 | ₹12,04,255 |
| Y12 | ₹7,20,000 | ₹6,73,708 | ₹13,93,708 |
| Y13 | ₹7,80,000 | ₹8,22,998 | ₹16,02,998 |
| Y14 | ₹8,40,000 | ₹9,94,205 | ₹18,34,205 |
| Y15 | ₹9,00,000 | ₹11,89,621 | ₹20,89,621 |
| Y16 | ₹9,60,000 | ₹14,11,783 | ₹23,71,783 |
| Y17 | ₹10,20,000 | ₹16,63,492 | ₹26,83,492 |
| Y18 | ₹10,80,000 | ₹19,47,840 | ₹30,27,840 |
| Y19 | ₹11,40,000 | ₹22,68,245 | ₹34,08,245 |
| Y20 | ₹12,00,000 | ₹26,28,485 | ₹38,28,485 |
| Y21 | ₹12,60,000 | ₹30,32,728 | ₹42,92,728 |
| Y22 | ₹13,20,000 | ₹34,85,584 | ₹48,05,584 |
| Y23 | ₹13,80,000 | ₹39,92,143 | ₹53,72,143 |
| Y24 | ₹14,40,000 | ₹45,58,028 | ₹59,98,028 |
| Y25 | ₹15,00,000 | ₹51,89,452 | ₹66,89,452 |
| Y26 | ₹15,60,000 | ₹58,93,276 | ₹74,53,276 |
| Y27 | ₹16,20,000 | ₹66,77,083 | ₹82,97,083 |
| Y28 | ₹16,80,000 | ₹75,49,247 | ₹92,29,247 |
| Y29 | ₹17,40,000 | ₹85,19,022 | ₹1,02,59,022 |
| Y30 | ₹18,00,000 | ₹95,96,627 | ₹1,13,96,627 |
At normal exit, All Citizen and Corporate subscribers must use at least 20% of the corpus to buy an annuity and government subscribers at least 40%; a corpus of ₹8 lakh or less can be withdrawn in full. Only 60% of the corpus is tax-free as a lump sum; anything above that is added to your income and taxed at your slab rate in the year you withdraw. The pension from the annuity is taxable at your slab. Returns are market-linked and not guaranteed; this is an illustration based on a constant assumed rate.
The National Pension System (NPS) is a market-linked, government-regulated retirement scheme where you contribute monthly until 60 and build a corpus across equity and debt funds. At retirement you must use at least 20% of the corpus (40% for government subscribers) to buy an annuity that pays a monthly pension and can take the rest as a lump sum, but only 60% of the corpus is tax-free. This calculator projects your total corpus, the lump sum and its tax-free part, and the amount that goes into an annuity, based on your contribution, expected return, and age. Use it to see whether your NPS alone will fund retirement or needs topping up.
What your result means
- At exit up to 60% of the corpus comes out tax-free; All Citizen and Corporate subscribers must annuitise at least 20% (government subscribers 40%), any lumpsum above 60% may be taxed, and the pension is taxed as income.
- NPS gives an extra ₹50,000 deduction under 80CCD(1B) over and above the ₹1.5 lakh 80C limit — its standout tax edge.
- It is among the lowest-cost ways to hold equity + debt, but full access normally waits until 60 (or 15 years for All Citizen subscribers), so treat it as a retirement-only bucket.
How to use this calculator
- Enter the amount you contribute to NPS every month.
- Set a realistic expected return — 9–11% is typical for a balanced NPS allocation.
- Enter your current age and your planned retirement age (usually 60).
- Set the annuity portion — at least 20% for All Citizen and Corporate subscribers or 40% for government subscribers; a higher share means a larger pension.
- Read the corpus, then see how it splits into the lump sum (its tax-free part and any part above 60%) and the annuity amount.
The formula
Corpus = M × [((1 + i)ⁿ − 1) ÷ i] × (1 + i), where M = monthly contribution, i = monthly return (annual ÷ 12 ÷ 100), and n = months until retirement ((retireAge − currentAge) × 12). Lump sum = Corpus × (1 − annuity%), with annuity% between 20% and 100%. Tax-free lump sum = the smaller of the lump sum and 60% of the corpus; lump sum above 60% = Lump sum − tax-free lump sum. Annuity portion = Corpus × annuity%.
Worked example
Contributing ₹5,000 a month from age 30 to 60 (30 years) at an assumed 10%: i ≈ 0.00833, n = 360. The corpus grows to about ₹1.14 crore against a total contribution of ₹18,00,000. Withdrawing 60% gives a tax-free lump sum of roughly ₹68.4 lakh, while the remaining ₹45.6 lakh buys an annuity — at a ~6% annuity rate that is around ₹22,800 a month in pension, which is taxable. An All Citizen or Corporate subscriber who annuitises only 20% could take ₹91.2 lakh, of which the ₹22.8 lakh above 60% of the corpus is taxable at your slab rate.
When to use it
- Checking whether your current NPS contribution will build an adequate retirement corpus.
- Seeing how much lump sum you can withdraw tax-free versus what must fund a pension.
- Planning the extra ₹50,000 deduction under Section 80CCD(1B) on top of 80C.
- Comparing NPS against EPF or equity SIPs as a retirement-savings vehicle.
Frequently Asked Questions
References & sources
- PFRDA — Exits and Withdrawals under NPS (Amendment) Regulations, 2025
- PFRDA — Key changes to NPS exit and withdrawal rules (press release, 19 Dec 2025)
- NPS Trust — Tax benefits under NPS
- Income Tax Department — FAQs on new vs old tax regime
- Income-tax Act, 2025 — Schedule II entry 6 and section 124(6): only 60% of the NPS amount paid on exit is tax-free
How this calculator was checked: Reviewed for formula accuracy against a month-by-month contribution simulation and the standard annuity-due future-value formula, and for exit and tax rules against the PFRDA (Exits and Withdrawals under the National Pension System) (Amendment) Regulations, 2025, PFRDA’s December 2025 press release, NPS Trust’s tax-benefits page and the Income Tax Department’s new vs old regime FAQs. Not reviewed by a registered investment adviser or tax professional.