NPS Calculator
See the pot at exit, how much can come as cash, how much must buy a pension, and what that pension is worth after inflation. Built around current PFRDA exit bands and the 60% tax-free lump cap.
How big can your NPS pension be?
Grow the corpus, then split it into a lump sum and a lifelong pension.
In plain words
NPS is not a mutual fund you can empty at 60. A slice must usually buy an annuity (a pension from an insurance company). The rest can come as cash. Pension is taxed as income. Up to 60% of the corpus as lump is tax-free today. PFRDA may let you take more cash than that. Tax law has not fully caught up.
1. How you want to plan
Contribution or target pension?
Private subscribers: above ₹12 lakh, at least 20% must buy an annuity. You may take up to 80% as cash.
2. You
Ages and today’s balance
Normal NPS exit is 60. You can defer till 70.
3. Money in
What goes in every month
Raise both credits with salary. 0 if it never rises.
Used only to show how much of today’s salary the pension replaces.
4. Mix
Where NPS invests
Planning guesses: Equity 12%, Corporate bonds 8%, Government bonds 7%. Not a PFRDA promise.
Active choice equity cap is 75%.
Assumed return now
9.8%
Assumed return near exit
9.8%
Auto mix falls as you age.
5. Exit rules
Lump sum vs pension
Share that buys an annuity
40% is a common tax-smart pick: 60% lump stays inside the tax-free cap. 20% is the new private-sector floor when the pot is large.
Insurers often quote about 5.5% to 7% for a lifelong pension.
Used to show today’s buying power of the future pension.
6. The picture
Corpus, cash, pension
₹1,74,979 a month, plus a lump
Corpus ₹8.08 Cr at age 60. 40% buys an annuity. ₹4.85 Cr can be the tax-free lump under today’s 10(12A) cap.
Corpus at exit
₹8.08 Cr
₹1,62,03,933 in today’s rupees
Monthly pension
₹1,74,979
₹35,109 in today’s rupees
Lump sum
₹4.85 Cr
60% of the pot
You put in
₹15,000
Grows 8% a year
Annuity buy
₹3.23 Cr
40% of corpus
Tax-free lump (10(12A))
₹4.85 Cr
Up to 60% of corpus
Lump that may be taxed
₹0
You stayed inside the 60% cap
Invested (with step-up)
₹2.09 Cr
Your credits plus starting balance
Wealth added
₹5.99 Cr
Replaces today’s salary
219%
44% in today’s rupees
Growth, then pension
After exit the green area drops to the lump you keep. The dashed line is the yearly pension in future rupees. The red line is that pension in today’s buying power. A fixed annuity does not rise with inflation unless you buy a rarer increasing plan.
Tax while you invest (this year)
If 80C is still empty
₹36,000
Deduction about ₹1,80,000 (80C share + ₹50,000 extra + employer NPS).
If 80C is already full
₹22,000
Extra ₹50,000 (80CCD 1B) plus employer NPS. First-year extra deduction about ₹1,10,000.
Employer NPS is often capped at 10% or 14% of basic. We count the amount you typed. Confirm with payroll.
What happens to the pot at exit
Full corpus
₹8,07,59,612
Annuity (40%)
₹3,23,03,845
Lump (60%)
₹4,84,55,767
Of which tax-free (60% cap)
₹4,84,55,767
Of which may be taxed
₹0
Monthly pension (annuity rate)
₹1,74,979
That pension in today’s rupees
₹35,109
PFRDA bands used here
₹8 lakh or less: full lump allowed. No annuity required.
₹8 to ₹12 lakh: up to ₹6 lakh as lump. The rest is annuity or a structured payout.
Above ₹12 lakh: at least 20% annuity (private). Up to 80% can be cash.
What to do next
This month
Put NPS on auto-debit, and match any employer credit
Skipped months do not catch up. The tax extra of ₹50,000 is only useful if money actually goes in.
Once a year
Raise the credit by about 8% with the hike
A flat SIP looks fine at 30 and thin at 55.
Before you exit
Pick annuity % with tax in mind, not only PFRDA maximum cash
Taking 80% cash can create a tax bill on the extra 20%. 60% cash plus 40% annuity still fits the tax-free cap.
Planning picture only, not advice, and not a PFRDA or tax filing. Exit rules, annuity quotes, and tax sections can change. Recheck before you submit an exit request.