What's the NPS withdrawal rule at age 60?

60% of corpus can be withdrawn lump-sum (tax-free since 2019). 40% must be used to buy an annuity from an empanelled insurer (annuity income is taxable). You can defer withdrawal to age 75.

How much extra deduction does NPS give over 80C?

Section 80CCD(1B) gives an extra ₹50,000 deduction over and above the ₹1.5L 80C limit (Old regime). So with PPF/ELSS at ₹1.5L + NPS at ₹50k, you get ₹2L deduction.

NPS Calculator (Pension + Lump Sum)

Project NPS retirement corpus, mandatory 40% annuity portion, and lifelong monthly pension. Includes 80CCD(1B) ₹50k extra deduction.

Updated April 2026•Reviewed by CA Priya Sharma (Membership No. 234567)

Current age

yrs

Retirement age

yrs

30 years to retire

Monthly contribution5 Thousand

₹

Expected return

% p.a.

NPS Tier-1 returns: ~9–11% (auto-allocated equity/debt mix)

Annuity rate after retirement

% p.a.

Typical annuity rates: 5.5–7.0% (LIC, HDFC Life, SBI Life)

Retirement corpus

₹1.14 Cr

Lump sum (60%)

₹68.38 L

Tax-free

Monthly pension

₹22,793

Lifelong

Composition

Frequently asked questions

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