NPS calculator with exit and annuity
What will NPS give me at 60, as a lump sum and as income?
₹18 L put in, ₹70.81 L of growth · ₹17.82 L in today's money
Money in and growth
How this is calculated
Rules checked against their sources on 29 September 2026. Tax year FY2026-27.
What NPS is
The National Pension System is a low-cost, market-linked retirement account regulated by PFRDA. You contribute what you like (₹1,000 a year minimum in Tier I), choose a pension fund manager and an asset mix, and at 60 take part of the corpus as a lump sum and buy an annuity with the rest. Charges are among the lowest of any investment product in India.
Auto Choice or your own mix
Under Active Choice you set the equity share yourself, up to 75%. Under Auto Choice the fund follows a glide path that starts heavy in equity and shifts to bonds as you age; this calculator's default uses the same age-based path the Eazyretire planner uses, 75% equity until 35 falling to 35% at 60. The glide path is why the same contribution produces different corpora for people of different ages: an older subscriber earns the blended return of a more conservative mix.
The exit, and the tax trap inside it
Since December 2025, non-government subscribers may take up to 80% of the corpus as a lump sum at exit (government subscribers 60%), with the rest compulsorily used to buy an annuity. A corpus up to ₹8 lakh can be withdrawn in full. But the income-tax exemption under Section 10(12A) still covers only 60% of the corpus. Take 80% and the extra 20% is taxed as income in the year of exit, which for a large corpus can mean the 30% slab. The calculator shows the taxable slice for the lump-sum share you choose; 60% is the tax-free maximum.
The annuity income is taxable every year as it arrives, and its rupee amount is fixed for life. Over a 25-year retirement at 5.5% inflation it loses two-thirds of its purchasing power, which is why the value in today's money is shown beside it.
Tax while you contribute
Your own contribution earns an extra ₹50,000 deduction under 80CCD(1B), over and above 80C, but only in the old regime. The employer's contribution under 80CCD(2) is deductible in both regimes, up to 14% of basic and DA in the new regime (10% old), and is the single most valuable NPS feature for a salaried employee: it is tax-free money into a retirement account.
How this fits a retirement plan
A plan places the NPS exit on the right date, splits the lump sum and the annuity, taxes the taxable part, and treats the annuity as guaranteed income that slowly fades against inflation. The projection on this site does exactly that.
Questions people ask
- How much can I take as a lump sum?
- Up to 80% for non-government subscribers and 60% for government subscribers, with the balance used to buy an annuity. A corpus up to ₹8 lakh can be withdrawn entirely. Only 60% of the corpus is tax-free, whatever share you take.
- Is the lump sum tax-free?
- Sixty percent of the corpus is, under Section 10(12A). If you take a larger lump sum, the amount above 60% of the corpus is added to your income in the year of exit. The annuity purchase is not taxed, but the annuity income is.
- What return should I assume?
- NPS equity funds have delivered close to the broad market and the bond funds close to government-bond yields. The blended return depends on your mix and, under Auto Choice, on your age. This page uses the retirement planner's defaults for equity and debt; you can change both.
- Can I delay exit past 60?
- Yes, to 75, and keep contributing or not. The lump sum can be taken in instalments (systematic lump-sum withdrawal) and the annuity purchase deferred. This calculator assumes a single exit at the age you set.
- NPS or a mutual fund SIP?
- Different jobs. NPS is cheaper, gets the employer's 80CCD(2) contribution, and locks the money with a compulsory annuity; a fund SIP is liquid and fully yours at the end. Most salaried plans use both: NPS for the employer contribution and the ₹50,000, funds for everything else.
Want the whole picture?
A free Eazyretire plan puts this number next to your income, savings and spending and tells you whether your money lasts to the age you plan for, and what to change if it will not.