NPS Calculator
Calculate your National Pension Scheme retirement corpus, monthly pension, lump-sum & annuity split under the 2026 PFRDA rules (80/20 & 60/40), and FY 2026-27 tax benefits — instantly, in your browser.
Lump Sum vs Annuity Split
Year-wise Corpus Growth
📋 Year-wise Projection (Age → Corpus)
See how your NPS corpus builds year by year — contributions vs interest earned.
| Age | Financial Year | Contribution (₹) | Interest (₹) | Corpus (₹) |
|---|
⚖️ Return Scenario Comparison — Same Contribution, Different Strategies
Compare how your choice of investment strategy (return assumption) changes your corpus, lump sum and monthly pension.
| Scenario | Assumed Return | Projected Corpus | Lump Sum | Monthly Pension |
|---|
What is NPS (National Pension Scheme)?
The National Pension System — commonly called the National Pension Scheme — is India's voluntary, market-linked retirement savings scheme, regulated by the Pension Fund Regulatory and Development Authority (PFRDA). Introduced for government employees in 2004, it was opened to all citizens in 2009. Today, 2 crore+ Indians save for retirement through NPS.
You contribute regularly during your working years (as little as ₹500/month for Tier I). Your money is invested across Equity (E), Corporate Bonds (C) and Government Securities (G) by regulated pension fund managers. At retirement, you withdraw a lump sum (up to 80% for private subscribers under the 2025 reforms) and use the remainder to buy an annuity that pays a monthly pension for life.
NPS follows the EET model: contributions get tax benefits (Exempt), growth is tax-free (Exempt), and only the annuity/pension income is taxed at withdrawal (Taxed). It's also one of the cheapest retirement products in India — fund management charges are under 0.1% p.a. for Tier I.
How to Use This NPS Calculator
Using our NPS calculator takes less than 60 seconds. Follow these simple steps:
Select Your Subscriber Type
Choose Private/Self-employed, Corporate Employee, or Government Employee. This sets the correct lump-sum vs annuity rule (80/20 for private, 60/40 for government) and employer contribution logic automatically.
Enter Your Age & Contribution
Set your current age (18–84) and retirement age (up to 85 under the 2025 PFRDA reforms), then your monthly contribution — from ₹500 to ₹1 lakh+. Use Advanced Options to add employer contributions, an existing NPS balance, or an annual step-up.
Set Expected Return & Annuity Rate
Choose your assumed annual return — Conservative ~8%, Balanced ~10%, or Aggressive ~12% — and the annuity rate (typically 5.5–7%) that will determine your monthly pension.
View Results Instantly
The calculator instantly displays your projected corpus, monthly pension, lump-sum & annuity split, tax benefits, and a year-wise projection table. Download the results as PDF or CSV for your records.
NPS Corpus & Pension Calculation Formula
NPS corpus is calculated using the future value of an annuity formula, with monthly compounding — the same method pension fund managers use. The monthly pension is then derived from the annuity portion of the corpus.
Understanding Each Variable
- C (Monthly Contribution): Your own NPS contribution (plus employer's, if applicable). For example, ₹5,000/month.
- r (Monthly Rate): Your assumed annual return divided by 12. For 10% p.a.: r = 10 ÷ 12 ÷ 100 = 0.00833 per month.
- n (Months to Retirement): Years left × 12. Age 30 → 60 = 30 years = 360 months.
- Annuity Split: At exit, corpus is split per PFRDA rules — e.g., private subscriber: 80% lump sum + 20% annuity. Monthly Pension = Annuity Amount × Annuity Rate ÷ 12.
NPS Calculation Examples (Worked Out)
Let's work through real examples so you can see exactly how NPS compounding builds your retirement corpus:
Example 1: ₹5,000/month at 10% from Age 30 to 60
- Monthly contribution: ₹5,000 | Return: 10% p.a. | Tenure: 30 years
- Total invested: ₹18,00,000
- Projected corpus: ₹1,03,14,217 (≈ ₹1.03 Crore)
- Lump sum (80%): ₹82,51,374 | Annuity (20%): ₹20,62,843
- Monthly pension @6% annuity: ≈ ₹10,314/month
Example 2: ₹5,000/month at 12% from Age 30 to 60 (Aggressive)
- Total invested: ₹18,00,000
- Projected corpus: ₹1,52,60,066 (≈ ₹1.53 Crore)
- Lump sum (80%): ₹1,22,08,053 | Annuity (20%): ₹30,52,013
- Monthly pension @6% annuity: ≈ ₹15,260/month
Example 3: ₹10,000/month with 10% Yearly Step-up at 10%
- Starting contribution: ₹10,000, rising 10% every year (salary-hike modelling)
- Projected corpus: ₹5,96,79,509 (≈ ₹5.97 Crore)
- Lump sum (80%): ₹4,77,43,607 | Annuity (20%): ₹1,19,35,902
- Monthly pension @6% annuity: ≈ ₹59,680/month
NPS Corpus Reference Table — Quick Estimate (2026)
Use these pre-calculated tables to quickly estimate your retirement corpus at different monthly contributions and tenures. All values in ₹ Lakh (1 Lakh = ₹1,00,000), using the reducing-balance compounding formula with monthly contributions.
Projected Corpus at 8% p.a. (Conservative)
| Monthly Contribution | 20 Years | 25 Years | 30 Years | 35 Years |
|---|---|---|---|---|
| ₹2,000 | ₹11.4 L | ₹18.2 L | ₹28.2 L | ₹42.9 L |
| ₹5,000 | ₹28.4 L | ₹45.4 L | ₹70.4 L | ₹107.1 L |
| ₹10,000 | ₹56.9 L | ₹90.9 L | ₹140.9 L | ₹214.3 L |
| ₹25,000 | ₹142.2 L | ₹227.2 L | ₹352.1 L | ₹535.6 L |
| ₹50,000 | ₹284.5 L | ₹454.5 L | ₹704.3 L | ₹1071.3 L |
Projected Corpus at 10% p.a. (Balanced)
| Monthly Contribution | 20 Years | 25 Years | 30 Years | 35 Years |
|---|---|---|---|---|
| ₹2,000 | ₹14.4 L | ₹24.7 L | ₹41.3 L | ₹68.0 L |
| ₹5,000 | ₹35.9 L | ₹61.7 L | ₹103.1 L | ₹169.9 L |
| ₹10,000 | ₹71.8 L | ₹123.3 L | ₹206.3 L | ₹339.9 L |
| ₹25,000 | ₹179.6 L | ₹308.3 L | ₹515.7 L | ₹849.7 L |
| ₹50,000 | ₹359.1 L | ₹616.7 L | ₹1031.4 L | ₹1699.4 L |
Projected Corpus at 12% p.a. (Aggressive)
| Monthly Contribution | 20 Years | 25 Years | 30 Years | 35 Years |
|---|---|---|---|---|
| ₹2,000 | ₹18.2 L | ₹33.7 L | ₹61.0 L | ₹109.2 L |
| ₹5,000 | ₹45.6 L | ₹84.3 L | ₹152.6 L | ₹273.0 L |
| ₹10,000 | ₹91.1 L | ₹168.6 L | ₹305.2 L | ₹545.9 L |
| ₹25,000 | ₹227.8 L | ₹421.6 L | ₹763.0 L | ₹1364.8 L |
| ₹50,000 | ₹455.6 L | ₹843.1 L | ₹1526.0 L | ₹2729.5 L |
Benefits of Using an NPS Calculator
Before committing to monthly contributions, calculating your NPS corpus gives you a clear retirement picture. Here's why every saver should use this calculator:
Retirement Goal Clarity
See exactly what your monthly contribution will grow into by retirement — and whether it's enough for the lifestyle you want.
Real Pension Estimates
Know your approximate monthly pension before you retire — based on your annuity split and realistic annuity yields.
Tax Savings Visibility
See your annual deduction under Sec 123 (₹1.5L) + Sec 124(3) (₹50K) and the actual tax saved at your slab rate.
Return Strategy Testing
Compare Conservative vs Balanced vs Aggressive scenarios side-by-side to pick an allocation that fits your risk appetite.
Step-up Planning
Model annual contribution increases with salary growth — the single most powerful lever for building a bigger corpus.
Year-wise Transparency
View the full year-by-year breakup of contributions vs interest, and export it as CSV for your financial plan.
Who Should Use This NPS Calculator?
This calculator is designed for anyone planning retirement savings under the National Pension System:
- Salaried Professionals — Maximising the extra ₹50,000 Sec 124(3) deduction over and above the ₹1.5L Sec 123 limit
- Government Employees — Evaluating NPS vs UPS, and projecting the 60/40 lump-sum split and pension
- Self-Employed & Freelancers — Building their own retirement corpus (20% of gross income deductible under Sec 123)
- Corporate Employees — Including employer NPS contributions (Sec 124(2)) in retirement planning
- Young Investors (18–30) — Seeing the power of starting early: 30 years of compounding vs 20
- Women Entrepreneurs — Planning NPS as part of their retirement strategy
- CAs & Financial Advisors — Producing quick corpus and tax-saving estimates for clients
NPS Tier I vs Tier II Accounts
NPS offers two account types. Most people should fund Tier I for the tax benefits and retirement discipline:
| Feature | Tier I (Primary) | Tier II (Optional) |
|---|---|---|
| Purpose | Retirement corpus | Voluntary top-up savings |
| Lock-in | Yes — till exit (60 or 15 yrs of subscription) | No lock-in; withdraw anytime |
| Tax benefits | Sec 123 (₹1.5L) + Sec 124(3) (extra ₹50K) | No tax deduction |
| Minimum contribution | ₹500/month or ₹6,000/year | ₹250 per contribution, ₹1,000/year |
| Exit at 60 | Lump sum + compulsory annuity | Full withdrawal, no annuity |
NPS Withdrawal Rules 2026 (PFRDA Dec 2025 Reforms)
The PFRDA (Exits and Withdrawals) Amendment Regulations, 2025 — notified 16 December 2025 — are the biggest flexibility upgrade in NPS history. Here's the current position:
| Situation | Rule |
|---|---|
| Normal exit — private / corporate | Corpus ≤ ₹8L: 100% withdrawal. Corpus ₹8–12L: up to ₹6L lump sum, balance via annuity or systematic redemption. Corpus > ₹12L: up to 80% lump sum, minimum 20% annuity. |
| Normal exit — government | 60% lump sum / 40% annuity (unchanged). |
| Premature exit (before 60) | Lock-in removed for All Citizen Model. Corpus ≤ ₹5L: 100% withdrawal. Corpus > ₹5L: 20% lump sum / 80% annuity. |
| Vesting | Exit allowed after 15 years of subscription or age 60, whichever is earlier. Join after 60? No vesting — exit anytime. |
| Stay invested | You can now stay in NPS up to age 85 (earlier 75/70). |
| Partial withdrawals | Up to 4 withdrawals before 60 (max 25% of own contributions, after 3 years) for education, marriage, medical treatment, home purchase. After 60: withdrawals every 3 years. |
| New payout options | SLW (Systematic Lump-sum Withdrawal) and SUR (Systematic Unit Redemption) — market-linked phased income instead of a single payout. |
| Death | Nominee can choose 100% lump sum, annuity, SLW or SUR. |
NPS Tax Benefits FY 2026-27 (Income-tax Act, 2025)
From FY 2026-27, the new Income-tax Act, 2025 renumbered the familiar sections: 80C → Section 123 (read with Schedule XV) and 80CCD → Section 124. The benefits themselves are unchanged:
| Provision | What it covers | Limit | Old Regime | New Regime |
|---|---|---|---|---|
| Sec 123 (ex-80C) | Your own NPS contribution | 10% of Basic+DA (salaried) / 20% of gross income (self-employed), within ₹1.5L shared cap | ✅ | ❌ |
| Sec 124(3) (ex-80CCD(1B)) | Extra NPS deduction (Tier I only) | Additional ₹50,000 over the ₹1.5L | ✅ | ❌ |
| Sec 124(2) (ex-80CCD(2)) | Employer's NPS contribution | 10% of salary (14% central govt; 14% for everyone in new regime) | ✅ | ✅ |
| Lump sum at exit | Up to 60% of corpus withdrawn at retirement | Tax-free under Sec 10(12A) / IT Act 2025 | ✅ | ✅ |
| Annuity / pension | Monthly pension from annuity | — | Taxed at slab rate | |
Bottom line: A salaried person in the old regime can deduct up to ₹2 lakh/year on NPS (₹1.5L via Sec 123 + ₹50K via Sec 124(3)) plus the employer's contribution. In the new regime — the default since FY 2024-25 — only the employer's contribution (up to 14% of Basic+DA) gives a deduction.
NPS Returns & Asset Allocation
NPS money is invested by registered pension funds (SBI, UTI, HDFC, ICICI, LIC and others) across three asset classes:
- Equity (E): highest return potential, higher volatility — historically ~10–12% p.a. over long horizons
- Corporate bonds (C): moderate — typically ~8–9% p.a.
- Government securities (G): safest — typically ~7–8% p.a.
You can pick your own mix (Active Choice, up to 75% equity — or 100% in the new high-equity options) or let PFRDA's Auto Choice lifecycle fund adjust equity automatically as you age. The default allocation is roughly 50% E / 30% C / 20% G. Recent years have been kind — many equity-heavy Tier I funds delivered 15%+ in FY 2024-25 — but the calculator's Conservative (8%), Balanced (10%) and Aggressive (12%) presets give you a realistic planning range.
NPS vs UPS vs EPF vs PPF
Government employees: NPS vs Unified Pension Scheme (UPS)
The UPS, effective 1 April 2025, gives central government employees (who joined after 1 Jan 2004) an assured-pension option. Eligible employees could choose between NPS and UPS — a one-time, irrevocable choice:
| Feature | NPS (Govt) | UPS |
|---|---|---|
| Pension | Market-linked, not assured | Assured 50% of avg basic pay (last 12 months) after 25 yrs service; proportionate for 10–25 yrs |
| Minimum pension | — | ₹10,000/month (after 10 yrs service) |
| Family pension | Nominee gets corpus / annuity | 60% of assured pension |
| Inflation | — | Dearness Relief indexed to AICPI-IW |
| Lump sum at exit | 60% tax-free | 1/10th of monthly emoluments per 6 months of service (on superannuation) |
| Employer contribution | 14% of Basic+DA | 18.5% of Basic+DA |
| Risk / upside | Higher equity upside possible | Guaranteed but lower upside |
Everyone: NPS vs EPF vs PPF
| Feature | NPS | EPF | PPF |
|---|---|---|---|
| Returns | Market-linked (E/C/G) | Fixed, declared yearly (~8.25% FY25) | Fixed by Govt (~7.1% current) |
| Risk | Moderate | Low | Very low |
| Lock-in | Till 60 / 15 yrs (2025 reforms relaxed exit) | Till retirement / job change | 15 years |
| Tax on exit | 60% lump sum tax-free; annuity taxable | Fully tax-free (with conditions) | Fully tax-free |
| Best for | Retirement growth + extra ₹50K deduction | Salaried safety net | Guaranteed, flexible tax-free savings |
They're complementary — many planners use EPF for safety, NPS for growth + tax, and PPF for guaranteed tax-free savings.
Frequently Asked Questions (NPS Calculator)
👥 2 crore+ NPS subscribers under PFRDA (2026)
🏛️ Launched 2004 (govt) · open to all citizens since 2009
🪙 Extra ₹50,000 deduction via Sec 124(3) (ex-80CCD(1B))
📈 Up to 75% equity in Active Choice (100% in new high-equity options)
💸 Fund charges < 0.1% p.a. — among India's cheapest
🆓 Open to all citizens aged 18–70 · stay invested till 85
Start Your NPS Journey
Open your NPS Tier I account in minutes at eNPS — or first project your retirement corpus here.
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