What is NPS (National Pension System)?
The National Pension System (NPS) is a government-sponsored pension scheme that encourages individuals to save for retirement. It's a defined contribution scheme, meaning your retirement corpus depends on the contributions you make and the returns earned on those contributions. Use this One For All Financial Calculator to quickly estimate your pension needs.
How Does This NPS Calculator Work?
This calculator estimates your potential NPS corpus at retirement and the monthly pension you can expect based on the following inputs:
- Current Age: Your current age in years.
- Retirement Age: The age at which you plan to retire.
- Monthly Contribution: The amount you contribute to your NPS account each month.
- Expected Return on Investment (%): The expected annual return on your NPS investment during the accumulation phase.
- Expected Annuity Return (%): The expected annual return on your annuity plan after retirement.
- Percentage Invested In Annuity (%): Percentage of corpus invested in annuity plan.
Key Benefits of the National Pension System:
- Retirement Planning: Helps you plan for your retirement income needs.
- Tax Benefits: Contributions to NPS are eligible for tax deductions under Section 80C and Section 80CCD(1B) of the Income Tax Act.
- Flexibility: Offers flexibility in terms of investment choices and contribution amounts.
- Portability: NPS account can be easily transferred across jobs and locations.
Disclaimer:
This NPS calculator is for informational purposes only and provides an estimate. Actual values may vary. Consult with a financial advisor for personalized retirement planning advice.