NPS Calculator

The National Pension System builds a retirement corpus from your monthly contributions until age 60. At 60 you can withdraw up to 60% as a tax-free lump sum, and at least 40% must buy an annuity that pays a monthly pension. For example, ₹10,000 a month from age 30 at 10% return builds a corpus of about ₹2.28 crore. Enter your details below.

Updated July 2026. Figures for FY 2025-26 (AY 2026-27).

How it is calculated

How the corpus builds

Your monthly contributions are invested in a mix of equity and debt and compound until age 60, similar to a SIP. The calculator projects the corpus at your expected annual return.

Lump sum and pension at 60

At 60 you can take up to 60% of the corpus as a tax-free lump sum. At least 40% must be used to buy an annuity, which pays a monthly pension based on the annuity rate. The pension is taxable as income.

Tax benefits

NPS offers an extra ₹50,000 deduction under section 80CCD(1B) over and above 80C in the old regime. Employer contributions under 80CCD(2) are deductible in both the old and new regimes.

Worked example. ₹10,000/month from age 30 to 60 at 10% builds about ₹2.28 crore: ₹1.37 crore tax-free lump sum and an annuity funding a monthly pension.

Frequently asked questions

How much pension will NPS give me?

It depends on your corpus at 60, how much you put into an annuity (at least 40%), and the annuity rate (around 6%). A larger corpus and higher annuity share give a bigger monthly pension.

Is NPS maturity tax free?

The 60% lump sum you withdraw at 60 is tax free. The annuity portion is not taxed when purchased, but the monthly pension it pays is taxable at your slab rate.

What tax deduction does NPS give?

Up to ₹50,000 under section 80CCD(1B), in addition to the ₹1.5 lakh 80C limit, under the old regime. Employer contributions under 80CCD(2) are allowed in both regimes.

Can I withdraw NPS before 60?

Early exit is allowed after certain conditions, but then a larger share (usually 80%) must go into an annuity, leaving a smaller lump sum. NPS is designed for retirement.

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PPF Calculator · SIP Calculator · Gratuity Calculator · Income Tax Calculator

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