National Pension System

NPS Calculator India 2026

Calculate your NPS retirement corpus, monthly pension and lumpsum withdrawal. See exact tax savings under Section 80CCD and find out if NPS is right for you.

✓ Corpus + monthly pension
✓ 80CCD tax savings shown
✓ 60% lumpsum + 40% annuity split
✓ Free, no login
👤 Your Details
Current Age
Years
1864
Monthly NPS ContributionMin ₹500/month
₹500₹1L
Expected Annual ReturnNPS Tier 1 equity: ~10-12%
% p.a.
5%18%
🎯 Withdrawal Settings
Annuity Purchase %Min 40% required by PFRDA
Annuity (for pension) 40%
Expected Annuity RateCurrent market: 5.5-6.5%
% p.a.
💰 Tax Savings (Optional)
Annual Income (for tax calculation)
Income Tax Slab
🏦 Total NPS Corpus at 60
after — years of investing
60% Lumpsum (Tax-free)
Withdraw at retirement
40% Annuity
Used to buy pension
📅 Estimated Monthly Pension
from annuity at 6% p.a.
✅ Annual Tax Savings from NPS
Under 80CCD(1) — up to 10% of salary
Under 80CCD(1B) — additional ₹50K
Total annual tax deduction
Tax saved at your slab
NPS Corpus Growth to Age 60

NPS FAQs

Everything you need to know about NPS in India 2026

What is NPS and who should invest? +
NPS (National Pension System) is a government-backed retirement savings scheme regulated by PFRDA. It's open to all Indian citizens aged 18-70. NPS is best for: (1) Salaried employees in the 30% tax bracket — ₹50K extra deduction under 80CCD(1B) saves ₹15,600 in tax every year. (2) Self-employed professionals who don't have EPF. (3) Anyone wanting market-linked returns with pension discipline. NPS is NOT ideal for those who need complete liquidity since 40% must be used to buy an annuity at retirement.
What is the NPS tax benefit under 80CCD? +
NPS offers two tax deductions: 80CCD(1): Up to 10% of salary (for salaried) or 20% of gross income (self-employed) — this comes within the ₹1.5L 80C limit. 80CCD(1B): Additional ₹50,000 OVER AND ABOVE the 80C limit of ₹1.5L. This is the most attractive deduction — ₹50K extra saving = ₹15,600 tax saved for 30% slab taxpayers. Total possible deduction: ₹2 lakh (₹1.5L via 80C + ₹50K via 80CCD 1B).
Can I withdraw NPS before 60? +
Partial withdrawal (up to 25% of your own contributions) is allowed after 3 years for specific reasons: higher education, marriage of children, purchase/construction of house, treatment of critical illness, starting a business. Only 3 partial withdrawals allowed in lifetime. Full premature exit before 60: Only 20% is tax-free; 80% must buy annuity. This is why NPS is a long-term, retirement-focused product. If you need flexibility, PPF or ELSS may be better options.
How is NPS different from EPF and PPF? +
EPF: Mandatory for private sector employees, guaranteed 8.25% return, employer also contributes, fully tax-free at retirement. PPF: Open to all, 7.1% guaranteed return, 15-year lock-in, fully tax-free, no annuity requirement — best for self-employed. NPS: Market-linked returns (10-12% historically), extra ₹50K tax deduction, but 40% must buy annuity. Best used in combination: EPF (automatic) + NPS ₹50K for extra deduction + PPF for flexible tax-free savings.
What returns does NPS give? +
NPS returns depend on your asset allocation: Equity (E): 10-12% historically. Corporate bonds (C): 8-9%. Government securities (G): 7-8%. Auto Choice (Lifecycle Fund): Automatically shifts from equity to bonds as you age — balanced approach. Active Choice: You decide allocation — max 75% in equity till age 50. For young investors (under 40), a 75% equity allocation historically delivers 11-12% CAGR — better than EPF (8.25%) and PPF (7.1%).