How to use the NPS Calculator
- 1. Enter your planType your monthly contribution, age and exit age.
- 2. Set your assumptionsChoose the expected return, annuity share and annuity rate.
- 3. See your numbersGet the corpus, lump sum, pension and a table for every year.
How the NPS estimate is calculated
The tool adds your contribution at the start of each month, then applies one month of growth at the yearly return ÷ 12. In a single formula: corpus = C × ((1 + i)^n − 1) ÷ i × (1 + i), where C is the monthly amount, i is the monthly return and n is the number of months.
At exit, part of the corpus buys an annuity and the rest can be taken as a lump sum. Pension = annuity amount × annuity rate ÷ 12.
Example: ₹5,000 a month from age 30 to 60 at 10% builds ₹1,13,96,627. With 20% going to an annuity, ₹22,79,325 buys a pension and ₹91,17,301 is your lump sum. At a 6% annuity rate, the pension is about ₹11,397 a month.
These are illustrations, not promises. NPS is market-linked, so returns will rise and fall, and annuity rates depend on the insurer at the time.
Assumptions you should check
- Annuity share. PFRDA changed the exit rules in December 2025. Reports say non-government subscribers now need at least 20% in an annuity at normal exit, and government staff 40%. Rules differ by corpus size and for early exit, so verify yours and edit the box.
- Return. It depends on your equity share and fund manager. Try a low and a high value to see a range.
- Pension value. A pension of a given amount will buy less in 30 years because of inflation.
- Tax. NPS deductions differ by regime, and withdrawals and annuity income have their own tax rules. Verify the current position.
Raise your contribution each year using the step-up box. Salary growth usually makes this easier. Compare NPS with the EPF calculator, PPF calculator and SIP calculator. To see whether your own NPS deduction changes the best regime for you, use the old vs new tax regime calculator. This is an estimate, not tax advice.
Frequently asked questions
Is the NPS return guaranteed?
No. NPS is market-linked. The return you enter is your assumption, and it is held steady only to keep the maths simple.
How much must go into an annuity?
It depends on your sector, your corpus and how you exit. The default of 20% follows reported rules for non-government subscribers at normal exit. Verify it and edit the box.
Can I add my existing balance?
Yes. Enter it in the current NPS balance box and it will grow along with your contributions.
Is this tax advice?
No. This is an estimate, not tax advice. Verify the current rules or ask a tax professional before you decide.
Is this tool free?
Yes. It is free, and we ask for your name and WhatsApp number once when you view your result. All other Uncodemy tools then open without the form.