NPS Calculator (2026) – National Pension Scheme Calculator – Corpus, Pension & Tax
Instant Results 🔒 No Data Stored 🏛️ PFRDA Rules · Dec 2025 Updated Aug 2026 🆓 100% Free Forever
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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.

₹500Min Monthly Contribution
18–85Age Range
~10-12%Historic Equity Returns
60%Tax-Free at Exit
NPS Calculator — National Pension Scheme
Tier I minimum ₹500/month · no upper limit
Conservative ~8% · Balanced ~10% · Aggressive ~12%
Typical market annuity yield: 5.5–7% — decides your pension
Typical: 10% of Basic+DA (private) · 14% (government)
Increase contribution by this % every year (e.g. 10% with salary hikes)
For the tax-saving estimate (old regime)
Show inflation-adjusted pension
What today's ₹ will be worth at retirement
⚠️ Please check your inputs.
Projected Corpus at Retirement ₹1,03,14,217
Estimated Monthly Pension ₹10,314
Lump-sum Withdrawal ₹82,51,374
Annuity Amount ₹20,62,843
Total Invested ₹18,00,000
Wealth Gained ₹85,14,217

Lump Sum vs Annuity Split

Lump Sum Annuity

Year-wise Corpus Growth

Invested Returns
Your Deduction · Sec 123 (₹1.5L) + Sec 124(3) (₹50K)
₹1,10,000/yr
Sec 123: ₹60,000 + Sec 124(3): ₹50,000
Tax Saved Per Year (old regime)
₹22,000
Employer (Sec 124(2)): ₹0/yr exempt in both regimes
Old regime only: your own NPS contribution (within ₹1.5L shared Sec 123 limit) + extra ₹50,000 under Sec 124(3) (ex-80CCD(1B), Tier I). New regime: only the employer's contribution is deductible. 60% lump sum at exit is tax-free in both regimes.

📋 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.

⚠️ Important: NPS returns are not guaranteed — they depend on market performance. This calculator shows estimates for planning, not promises. Government employees should also evaluate the Unified Pension Scheme (UPS), which offers an assured pension instead of market-linked returns.

How to Use This NPS Calculator

Using our NPS calculator takes less than 60 seconds. Follow these simple steps:

1

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.

2

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.

3

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.

4

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.

FV = C × [((1 + r)n − 1) ÷ r] × (1 + r)
Where: FV = Future Corpus at Retirement | C = Monthly Contribution | r = Monthly Rate (Annual ÷ 12 ÷ 100) | n = Number of Months to Retirement

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 Contribution20 Years25 Years30 Years35 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 Contribution20 Years25 Years30 Years35 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 Contribution20 Years25 Years30 Years35 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
💡 Rule of thumb: Every extra 2% in annual return roughly doubles your corpus over a 30-year horizon. That's why your equity (E) allocation matters more than your contribution rate in the long run.

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:

FeatureTier I (Primary)Tier II (Optional)
PurposeRetirement corpusVoluntary top-up savings
Lock-inYes — till exit (60 or 15 yrs of subscription)No lock-in; withdraw anytime
Tax benefitsSec 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 60Lump sum + compulsory annuityFull 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:

SituationRule
Normal exit — private / corporateCorpus ≤ ₹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 — government60% 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.
VestingExit allowed after 15 years of subscription or age 60, whichever is earlier. Join after 60? No vesting — exit anytime.
Stay investedYou can now stay in NPS up to age 85 (earlier 75/70).
Partial withdrawalsUp 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 optionsSLW (Systematic Lump-sum Withdrawal) and SUR (Systematic Unit Redemption) — market-linked phased income instead of a single payout.
DeathNominee can choose 100% lump sum, annuity, SLW or SUR.
⚠️ The tax catch: PFRDA now allows 80% lump-sum withdrawal, but Section 10(12A) of the Income-tax Act still exempts only 60% of the corpus from tax. If you withdraw the full 80%, the extra 20% may be taxed as income until the law is amended. Government employees: their 60% withdrawal is fully tax-free.

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:

ProvisionWhat it coversLimitOld RegimeNew Regime
Sec 123 (ex-80C)Your own NPS contribution10% 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 contribution10% of salary (14% central govt; 14% for everyone in new regime)
Lump sum at exitUp to 60% of corpus withdrawn at retirementTax-free under Sec 10(12A) / IT Act 2025
Annuity / pensionMonthly pension from annuityTaxed 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.

Remember: NPS has no guaranteed return. Unlike EPF or PPF, your final corpus depends on markets — which is exactly why projecting with multiple return scenarios (try the scenario comparison table above!) is good planning practice.

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:

FeatureNPS (Govt)UPS
PensionMarket-linked, not assuredAssured 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 pensionNominee gets corpus / annuity60% of assured pension
InflationDearness Relief indexed to AICPI-IW
Lump sum at exit60% tax-free1/10th of monthly emoluments per 6 months of service (on superannuation)
Employer contribution14% of Basic+DA18.5% of Basic+DA
Risk / upsideHigher equity upside possibleGuaranteed but lower upside

Everyone: NPS vs EPF vs PPF

FeatureNPSEPFPPF
ReturnsMarket-linked (E/C/G)Fixed, declared yearly (~8.25% FY25)Fixed by Govt (~7.1% current)
RiskModerateLowVery low
Lock-inTill 60 / 15 yrs (2025 reforms relaxed exit)Till retirement / job change15 years
Tax on exit60% lump sum tax-free; annuity taxableFully tax-free (with conditions)Fully tax-free
Best forRetirement growth + extra ₹50K deductionSalaried safety netGuaranteed, 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)

What is an NPS Calculator?
An NPS calculator is a free online tool that estimates your retirement corpus and monthly pension under the National Pension System — India's market-linked pension scheme regulated by PFRDA. Based on your age, monthly contribution, expected return and annuity rate, it projects how your money will grow till retirement and how it will be split between a lump-sum withdrawal and a lifelong annuity.
How much lump sum can I withdraw from NPS at 60 in 2026?
Under the December 2025 PFRDA reforms: if your corpus is up to ₹8 lakh you can withdraw 100%; if it is ₹8–12 lakh you can withdraw up to ₹6 lakh (balance via annuity or systematic redemption); above ₹12 lakh, private/corporate subscribers can withdraw up to 80% (only 20% annuity is compulsory). Government employees follow the 60% lump sum / 40% annuity rule. Note: only 60% of the corpus is currently tax-exempt under Section 10(12A) — the extra 20% may be taxed.
What is the NPS tax benefit in FY 2026-27?
Under the old tax regime: your own NPS contribution is deductible up to ₹1.5 lakh within Section 123 (formerly 80C), plus an extra ₹50,000 under Section 124(3) (formerly 80CCD(1B)) — a total of ₹2 lakh per year. Employer contributions are exempt up to 14% of Basic+DA under Section 124(2) in both regimes. Under the new tax regime, only the employer's contribution is deductible. The 60% lump sum at exit is tax-free in both regimes.
Are NPS returns guaranteed?
No. NPS is market-linked — returns depend on your equity (E), corporate bond (C) and government security (G) allocation. Historically, equity-heavy Tier I funds have averaged 10–12% p.a., corporate bonds 8–9% and government securities 7–8%, but past performance is no guarantee of future returns. Always project with multiple return scenarios.
What is the minimum contribution to NPS?
For private (All Citizen Model) Tier I: minimum ₹500 per month or ₹6,000 per year. Tier II: minimum ₹250 per contribution and ₹1,000 per year. Government employees contribute 10% of Basic+DA (with 14% contributed by the government). There is no upper limit on contributions.
Can I exit NPS before 60?
Yes. Under the 2025 rules, the old 5-year lock-in for premature exit has been removed for the All Citizen Model. If your corpus is up to ₹5 lakh you can withdraw 100%; above ₹5 lakh, 20% is paid as lump sum and 80% must buy an annuity. You can also make up to 4 partial withdrawals (max 25% of your own contributions) after 3 years for education, marriage, medical treatment or home purchase.
Is the NPS monthly pension taxable?
Yes. Annuity income (monthly pension) is added to your income and taxed at your slab rate. Only the lump-sum portion is tax-exempt — currently up to 60% of the corpus under Section 10(12A). The 60% lump sum at retirement is tax-free in both tax regimes.
What is UPS and how is it different from NPS for government employees?
The Unified Pension Scheme (UPS), effective 1 April 2025, gives central government employees an assured pension of 50% of average basic pay (last 12 months) after 25 years of service, a family pension of 60%, a minimum ₹10,000/month, dearness relief and a lump sum at superannuation. NPS is market-linked with no assured pension but offers higher upside and a 60% tax-free lump sum. Eligible government employees could choose either — a one-time, irrevocable decision.
Who is eligible to open an NPS account?
Any Indian citizen aged 18–70, including salaried employees, self-employed professionals, NRIs and government employees. Minors can open NPS Vatsalya accounts through guardians. You can open an account online via the eNPS portal (enps.nsdl.com) or offline through Points of Presence (POPs) like banks and pension funds.
Is this NPS calculator free?
Yes — 100% free, no sign-up, no email required. All calculations run in your browser; your data never leaves your device. Results are estimates based on your assumptions and current PFRDA rules, not guaranteed figures.
PT
PDFTeq Finance Team
Retirement & Tax Planning Experts
Last updated: August 16, 2026 • Reviewed for accuracy against PFRDA Dec 2025 reforms & Income-tax Act 2025
📌 Quick NPS Facts

👥 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

🏦

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