Retirement Calculator
Find the corpus you need to retire comfortably in India.
About the Retirement Calculator
The Retirement Calculator answers the most important question in personal finance: how much do you need to retire comfortably in India, and how much should you save every month to get there? It uses your current expenses, retirement age, life expectancy and inflation to project the corpus required to sustain your lifestyle without earned income — then back-solves the monthly SIP needed in equity mutual funds to build it.
How the Retirement Calculator works
- Enter your current monthly expenses, current age, target retirement age and expected life expectancy.
- The calculator inflates today's expenses to your retirement year using the inflation rate you specify (default 6%).
- It computes the corpus needed to draw that inflated expense for the rest of your life, assuming a safe withdrawal rate (SWR) and post-retirement returns.
- Finally it solves for the monthly SIP at your pre-retirement equity CAGR that builds this corpus by your retirement date.
Inputs explained
Formula
Corpus needed = E₀ × (1 + i)^y × [1 − (1 + i)^(L-y) / (1 + r)^(L-y)] / (r − i) × 12 where E₀ = current monthly expense, i = inflation, y = years to retirement, L = life expectancy years, r = post-retirement return.
Worked example
A 30-year-old spending ₹50,000/month today, retiring at 60 with life expectancy 85, needs roughly ₹6-8 Crore in 2056 rupees. Building that requires ~₹15,000/month SIP at 12% for 30 years — a manageable 30% of current expenses thanks to compounding.
India-specific notes
- •EPF gives you a guaranteed base — at 8.25% interest, a 30-year EPF balance can fund 20-30% of retirement.
- •NPS has 1.5L 80C + ₹50k 80CCD(1B) deductions; mandatory annuitisation of 40% at maturity limits flexibility.
- •Healthcare inflation in India runs 12-14% — budget separately and consider a senior-citizen health policy at 50.
- •Senior Citizens' Savings Scheme (SCSS) at 8.2% is the highest-yielding safe-money option post 60 — cap ₹30L per individual.
Tips to maximise this calculator
- →Use the "25× annual expenses" rule of thumb as a quick FIRE corpus check — derived from a 4% SWR.
- →Bucket your retirement corpus: 2 years in liquid funds, 3-5 in debt/hybrid, rest in equity — refills bottom-up.
- →Defer your first SWP withdrawal by 1-2 years post retirement if markets are down — sequence-of-returns risk is real.
Common mistakes to avoid
- ✕Underestimating healthcare inflation — running on government-CPI assumptions can leave you 20-30% short.
- ✕Investing too conservatively before retirement — 100% debt at 40 destroys compounding.
- ✕Ignoring inflation entirely: ₹50k today buys what ₹2.8L will need in 30 years at 6% inflation.
Glossary
- SWR
- Safe Withdrawal Rate — % of corpus you can pull annually without running out (typically 3.5-4% in India).
- Corpus
- The total invested pool you'll draw from in retirement.
- Annuity
- A guaranteed lifetime income product purchased with a lump sum at retirement.
- Sequence risk
- The risk of poor returns in your early retirement years devastating the corpus.
Frequently asked questions
Is the Retirement Calculator free to use?
Yes. The Retirement Calculator is free, runs in your browser and never stores personal data.
Are the assumptions India-specific?
Yes. We use INR, Indian inflation and India-specific rates (PPF, EPF, FY 2026-27 tax slabs where applicable).
Is this investment advice?
No. This tool is for education. Consult a SEBI registered advisor before investing.