NPS Calculator

NPS Calculator

Calculate your National Pension System maturity amount, monthly contributions, and retirement planning with accurate projections and tax benefits analysis.

Age must be between 18 and 65
Retirement age must be between 60 and 75
Minimum contribution is 500 per month
Return must be between 1% and 20%
Annuity rate must be between 1% and 15%
Please enter valid target amount
Please enter valid annual income
NPS calculations are based on standard formulas and current regulations. Actual returns may vary based on market performance and fund management.

NPS Calculation Results

NPS Corpus Growth Contributions Growth Total: 50,00,000
50,00,000 Maturity Corpus

NPS Summary:

Investment Period: 30 years
Total Contributions: 18,00,000
Interest Earned: 32,00,000
Maturity Amount: 50,00,000
Monthly Pension: 25,000
Lump Sum
20,00,000
Annuity Purchase
30,00,000
Tax Saved (Annual)
18,000

Additional Details:

Return on Investment: 177.78%
Effective Annual Return: 10.00%
Corpus vs Contribution Ratio: 2.78:1

About NPS

National Pension System (NPS) is a government-backed retirement savings scheme designed to provide financial security post-retirement with tax benefits and market-linked returns.

Why Choose NPS

Low-cost investment option with additional tax benefits under Section 80CCD(1B), professional fund management, and flexible withdrawal options at maturity.

Features

Maturity calculations, monthly contribution planning, Tier I vs Tier II comparison, tax benefit analysis, and retirement corpus projections with annuity options.

Benefits

Plan retirement systematically, maximize tax savings, understand withdrawal options, compare investment tiers, and make informed pension decisions for financial independence.

1

Select Calculation

Choose from maturity amount calculation, required contribution planning, tier comparison, or tax benefit analysis based on your retirement planning needs.

2

Enter Details

Input your age, retirement age, monthly contributions, expected returns, and other parameters for accurate NPS calculations and projections.

3

Analyze Results

Review detailed breakdowns including maturity corpus, monthly pension, tax benefits, and withdrawal options to optimize your retirement planning strategy.

Frequently Asked Questions – NPS Calculator

What is the difference between NPS Tier I and Tier II?

Tier I is the main pension account with lock-in until age 60, offering tax benefits under 80C and 80CCD(1B). Tier II is a voluntary savings account without lock-in period but with limited tax benefits. Tier I has higher returns due to longer investment horizon and government backing.

How much tax can I save with NPS investments?

NPS offers tax benefits under Section 80CCD(1) up to 10% of salary and additional 50,000 under 80CCD(1B). For example, if you’re in 30% tax slab and invest 50,000 annually, you save 15,000 in taxes. Total deduction can go up to 2 lakh including other 80C investments.

What are the withdrawal rules for NPS?

At maturity (age 60), you can withdraw up to 60% as lump sum (40% tax-free, 20% taxable) and must purchase annuity with remaining 40%. Partial withdrawals allowed after 3 years for specific purposes like education, marriage, medical treatment. Premature exit allowed after age 60 with 80% annuity purchase.

How are NPS returns calculated and what can I expect?

NPS returns depend on fund performance and asset allocation. Historically, equity funds have given 10-12% returns, while debt funds give 7-9%. Your returns depend on Active Choice (you decide allocation) or Auto Choice (lifecycle-based allocation). Calculator uses compound interest formula with annual contributions.

Is NPS better than other retirement investment options?

NPS offers unique advantages: additional tax benefit of 50,000 over 80C limit, low cost (0.01-0.25% fund management fees), government backing, and professional fund management. However, it has lock-in until 60 and mandatory annuity purchase. Compare with PPF, ELSS, and other options based on your risk profile and liquidity needs.