NPS Calculator

How the NPS corpus is estimated

Each monthly contribution is invested and grows at the expected return, compounded monthly, until you exit at 60. For a contribution P at the start of each month:

Corpus = P × ((1 + i) ⁿ − 1) ÷ i × (1 + i)

i is the monthly return (yearly return ÷ 12 ÷ 100) and n the months to 60; with a yearly increase, each year's contributions are added the same way. At 60 part of the corpus can be taken as cash and the rest buys an annuity, a pension for life:

Pension a month = amount annuitised × annuity rate ÷ 12

Example: starting at 30 with ₹5,000 a month, raised 5% a year, at 10% you put in ₹39,86,331 and have ₹1,79,65,105 at 60. A non-government subscriber can take ₹1,43,72,084 (80%) and annuitise ₹35,93,021, which at 6% pays ₹17,965 a month. A government subscriber takes ₹1,07,79,063 and gets ₹35,930 a month.

Exit rules at 60 (from December 2025)

From PFRDA's amendments to its exit and withdrawal regulations, notified in December 2025. Government means central and state government employees in NPS; everyone else, including corporate NPS, is non-government.

Good to know

• NPS returns are market-linked: the funds hold shares, corporate bonds and government bonds in the mix you choose, so 10% is an assumption, not a promise.
• Annuity rates depend on the insurer, your age and the plan: one that returns the purchase price to your family pays less than a pension for life alone.
• 60% of the corpus taken at exit is tax-free. Check how any lump sum above that is taxed before you withdraw; the pension from the annuity is taxed as income.
• You need not exit at 60: you can stay invested, and defer the lump sum or the annuity.

Questions