NPS Calculator (National Pension System)
Corpus, lump sum and pension under the new PFRDA exit rules (80/20 and 60/40).
Exit options
Corpus by age
Year by year
How this was calculated
Results are estimates for general information and planning, not financial advice. Banks and institutions may calculate differently (rounding, fees, rate changes). Confirm figures with your lender or a qualified adviser before deciding.
About the NPS Calculator (National Pension System)
The National Pension System builds a retirement corpus from your contributions, your employer’s contributions and market returns. At exit, part of the corpus can be taken as a lump sum and the rest must buy an annuity that pays a monthly pension. This calculator projects a Tier I account month by month — with an annual step-up and an existing balance — and then applies the PFRDA exit rules as amended from 16 December 2025.
It shows how much you can withdraw, how much must go into an annuity, the pension that annuity buys at the rate you enter, and how much of the lump sum is tax-free. It handles non-government and government subscribers, early exits, the ₹8 lakh full-withdrawal limit and the ₹8–12 lakh options.
How to use it
- Choose Non-government (all citizens and corporate) or Government sector, and enter your age, your exit age and how many years you have already been in NPS.
- Enter your monthly contribution, your employer’s monthly contribution (if any), a yearly step-up and your current NPS balance.
- Enter the return you expect and an annuity rate — both are assumptions; get annuity quotes before you decide.
- Choose the share of the corpus that buys an annuity, or leave Smallest share allowed to see the biggest lump sum the rules permit.
- Read the corpus, the exit split and the year-wise table, then copy the summary or download the table as CSV.
Examples
Corpus ₹1,03,96,464 · lump sum up to ₹83,17,171 (₹62,37,878 tax-free) · annuity ₹20,79,293 → about ₹10,396 a month at 6%
Lump sum up to ₹62,37,878 (all tax-free) · annuity ₹41,58,585 → about ₹20,793 a month at 6%
In the ₹8–12 lakh band: up to 80% as a lump sum with 20% in an annuity, or up to ₹6 lakh as a lump sum with the rest paid out over at least six years
An early exit, but the corpus is under ₹5 lakh, so all of it can be withdrawn
NPS exit rules
From the PFRDA (Exits and Withdrawals under the National Pension System) Regulations, 2015, consolidated up to the amendment (Schedule I):
- Non-government subscribers (regulation 4(1)(a)) can exit after 15 years in NPS, at 60, or on superannuation. At least 20% of the corpus buys an annuity and up to 80% can be taken as a lump sum or periodic payouts.
- Government-sector subscribers retiring on superannuation (regulation 3(1)(a)) annuitise at least 40% and can take up to 60%.
- Corpus of ₹8 lakh or less: the whole amount can be withdrawn.
- Corpus above ₹8 lakh and up to ₹12 lakh: as an alternative, up to ₹6 lakh can be taken as a lump sum and the rest received by systematic unit redemption over at least six years, or used for an annuity.
- Early exit — before 60 with under 15 years for non-government subscribers, or resigning before superannuation in government service: at least 80% buys an annuity, unless the corpus is ₹5 lakh or less.
- Joining at 60 or later (regulation 4(1)(e)): at least 20% annuity, and a corpus of up to ₹12 lakh can all be withdrawn.
- You can stay in NPS until 85 and defer the annuity or the lump sum.
Tax on NPS contributions and withdrawals
Under the Income-tax Act, 2025:
- Lump sum: a payment from the NPS Trust on closure is exempt up to 60% of the total amount payable (Schedule II, serial 6). If you take 80%, the extra 20% is added to your income for that year.
- Annuity: the amount used to buy an annuity is not treated as received (section 124(9)), but the pension is taxable as income each year (section 124(6)).
- Your contributions (old regime only): up to 10% of salary (basic + DA) for employees, or 20% of gross total income for others, within the ₹1.5 lakh limit of section 123 (Schedule XV, item (y)), plus an extra ₹50,000 under section 124(3).
- Employer’s contributions: deductible up to 10% of salary, or 14% for Central and State Government employers (section 124(1)); in the new regime the limit is 14% for every employer (section 124(2)). Employer contributions to NPS, EPF and superannuation above ₹7.5 lakh a year are taxed as a perquisite (section 17(1)(h)).
Returns and annuity rates are assumptions
NPS money is invested by pension funds in the market-linked schemes you choose, so returns go up and down and are not guaranteed. The projection assumes the same return every year. Annuity rates depend on your age, the annuity type (for example, with or without return of the purchase price) and the provider; ask the annuity service providers empanelled by PFRDA for current quotes and enter the rate you are offered.
Limitations
- Uses one constant return and one annuity rate; real returns vary and NPS does not promise any return.
- Fund charges, partial withdrawals and Tier II accounts are not modelled.
- Systematic payouts and periodic withdrawals are shown as amounts, not as a payout schedule.
- Tax figures are indicative: the tax on the extra lump sum depends on your other income, and the treatment of systematic payouts should be checked with a tax adviser.
- The Unified Pension Scheme for Central Government employees has separate rules and is not covered.
Privacy
Everything happens in your browser. What you enter or open here is not uploaded or stored by MySmartCoPilot.
Frequently asked questions
How much of my NPS corpus can I withdraw at 60?
Non-government subscribers can take up to 80% as a lump sum; at least 20% must buy an annuity. Government-sector subscribers can take up to 60%. If the corpus is ₹8 lakh or less, all of it can be withdrawn.
Is the NPS lump sum tax-free?
Up to 60% of the corpus paid on closure is tax-free under Schedule II of the Income-tax Act, 2025. If you withdraw more than 60% — up to 80% is now allowed for non-government subscribers — the extra part is added to your taxable income.
How much pension will I get from NPS?
It depends on the amount you use to buy an annuity and the annuity rate: pension per month = annuity amount × rate ÷ 12. ₹20 lakh at 6% gives about ₹10,000 a month before tax.
Can I exit NPS before 60?
Non-government subscribers who have been in NPS for 15 years can exit on the normal terms. Earlier than that, at least 80% must buy an annuity, unless the corpus is ₹5 lakh or less, in which case it can all be withdrawn.
What is the ₹8 lakh to ₹12 lakh option?
If the corpus at exit is more than ₹8 lakh but not more than ₹12 lakh, you can take up to ₹6 lakh as a lump sum and receive the rest by systematic unit redemption over at least six years (or buy an annuity with it), instead of the usual percentage split.
What return should I assume for NPS?
NPS returns depend on your asset mix and the markets and are not guaranteed. Use a conservative figure and try a few — the calculator shows how much the corpus changes with each assumption.