NPS Calculator – Corpus, Pension & Annuity
Project NPS Tier-1 corpus at retirement with monthly compounding, annuity split and pension estimate
Contribution Details
Pension assumes a 6% annuity rate on the annuity portion.
Projection
Est. Corpus at 60 (30 yrs)
$22,793,253
≈ $45,587/mo pension
Annuity (40%)
$9,117,301
Tax-Free Lump Sum
$13,675,952
Total Invested
$3,600,000
Growth
$19,193,253
About this Tool
The National Pension System Tier-1 account turns small monthly contributions into a retirement corpus through market-linked compounding. At 60, part of the corpus buys an annuity that pays a lifelong monthly pension while the rest can be withdrawn as a lump sum — this calculator projects both halves instantly.
Common Use Cases
Pension Targeting
Work out the monthly contribution needed for your desired post-retirement income.
Annuity Trade-Offs
Compare 40% versus higher annuity shares to balance monthly pension against lump sum.
Early Starter Edge
Show how starting at 25 instead of 35 multiplies the corpus through extra compounding.
Tax Planning
Pair NPS projections with 80CCD deductions to weigh tax savings against lock-in.
Pro Tips
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Keep 40%+ Annuity in Mind
Rules generally require annuitizing at least 40% — don't plan on withdrawing everything.
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Stay Equity-Heavy Early
Younger investors can use higher equity allocation, then shift safer near retirement.
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Treat Pension as Approximate
Actual annuity rates vary by insurer and age — 6% is a planning placeholder, not a quote.
Examples
10,000/month from age 30 at 10% to age 60
Contributing 10,000 monthly from age 30 builds a corpus of about 2,27,93,253 with a 45,587 monthly pension.
- Years = 60 - 30 = 30; monthly rate r = 10/100/12 = 0.008333 and months n = 360.
- Corpus = 10,000 x (((1.008333^360 - 1) / 0.008333)) x 1.008333 = 2,27,93,253 (rounded); invested = 10,000 x 360 = 36,00,000.
- Annuity 40% = 91,17,301; pension = 91,17,301 x 0.06 / 12 = 45,587 per month; lump sum = 1,36,75,952.
5,000/month from age 30 at 10% to age 60
Halving the contribution to 5,000 halves every outcome: corpus about 1,13,96,627 with a 22,793 pension.
- Same 30-year factor as above: corpus = 5,000 x 2279.3253 = 1,13,96,627 (rounded); invested = 5,000 x 360 = 18,00,000.
- Annuity 40% = 45,58,651; pension = 45,58,651 x 0.06 / 12 = 22,793 per month; lump sum = 68,37,976.
- Starting at 25 instead of 30 at 10,000/month would raise the corpus to about 3,82,82,767 — 5 extra early years add roughly 1,54,89,514.
FAQs
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