How this calculation works
This calculator uses: Corpus = PMT × [(1+r)ⁿ − 1] / r | Pension = Corpus × Annuity% × Rate / 12. Enter your values above to get an immediate result. Results are rounded for readability.
Using the nps calculator
Start by entering values in the units shown. The result updates immediately, and the shareable link preserves your inputs without creating a separate indexable page. Use this as a clear estimate and check important assumptions before relying on it.
Common questions
What is NPS?
National Pension System (NPS) is a government-backed market-linked retirement scheme. It offers an additional tax deduction of ₹50,000 under Section 80CCD(1B) — over and above the ₹1.5L under Section 80C — making it one of the most tax-efficient investment options in India.
Is NPS tax-free at withdrawal?
At maturity (age 60), 60% of the corpus can be withdrawn as lump sum completely tax-free. The mandatory 40% used for annuity is taxable as regular income when you receive monthly pension payments.
Can I withdraw NPS before age 60?
Partial withdrawal (up to 25% of contributions) is allowed after 3 years for specific reasons like illness, home purchase, or children's education. Complete premature exit before 60 requires 80% to be annuitized, with only 20% as lump sum.
Which NPS fund gives the best returns?
The Equity (E) tier gives highest returns historically (10-13% p.a.) but carries market risk. The Auto-choice Lifecycle Fund automatically reduces equity exposure as you age, balancing growth and safety.