What are the minimum and maximum contribution requirements for NPS accounts?

The minimum contribution to open a Tier 1 account is Rs 500 (min. contribution per year is Rs.1000), whereas the minimum contribution to open a Tier 2 account is Rs 250 (no restriction on min. contribution per year). There is no maximum limit on both accounts for contributions.

Can NRIs open an NPS account?

Yes, Non-Resident Indians (NRIs) can open an NPS account as long as they have a valid Pan Card and are between the ages of 18 and 70 years. In addition to this, they must also have Non-Residential External (NRE) or Non- Resident Ordinary (NRO) accounts.

Can I make partial withdrawals from the NPS?

Yes, you can make partial withdrawals from the NPS after ten years of opening the account. However, the withdrawal should not exceed 25% of the total contributions made. This excludes contributions made by the employer. In addition to this, there should be a gap of five years or more between two withdrawals

Can you exit the NPS before the age of 60?

Yes, you can make a premature exit from NPS before retirement. This can be done only if you have maintained the account for at least ten years. Moreover, you must use at least 80% of the total amount to invest in an annuity plan. However, if the total pension amount is less than Rs 1 lakh, you can withdraw the complete amount directly.

What is the NPS interest rate?

NPS offers market-linked returns which can vary from year to year. The rate of interest has been between 9% and 12% per annum as per past returns.

Is NPS calculated monthly or yearly?

NPS interest rates are calculated on a monthly basis, as returns are compounded each month.

How to check NPS balance?

To check your NPS balance, you can visit the NPS Trust website. Go to the "Home" section, select "NPS," then "Online Services," and click on "View My NPS Holdings." Enter your Permanent Retirement Account Number (PRAN) and date of birth to log into your account, and you will be able to view your NPS balance. Alternatively, you can download the UMANG app on your smartphone, log in, and search for NPS to view your balance. You can also check your NPS balance via net banking on your bank's website or app.

What is the minimum contribution for Tier I and Tier II NPS subscribers?

The minimum contribution required when opening an NPS account is ₹ 500 for Tier I and ₹ 1000 for Tier II. For ongoing contributions, the minimum amount per contribution is ₹ 500 for Tier I and ₹ 250 for Tier II. Additionally, the minimum total contribution per year is ₹ 6,000 for Tier I and ₹ 2,000 for Tier II. Both tiers require a minimum of one contribution per year.

National Pension Scheme (NPS) Calculator

NPS Calculator

NPS Calculator helps you check how much corpus you can build with National Pension System:

My current age

Years

I would like to contribute

(Per month)

₹

I would like to retire at the age of

Years

My total years of contribution is

42 Years

My Expected return on investment is

What you get:

Total Investment

₹ 25.20 Lakhs

Total Gain

₹ 7.31 Crores

Total Corpus

₹ 7.56 Crores

Calculate your monthly Pension

I would like to purchase annuity for

20%80%

I am expecting an annuity rate of

4%10%

Annuity value

₹ 3.02 Crores

Lumpsum value

₹ 4.53 Crores

Your expected monthly
pension will be

₹ 1.01 Lakhs

Annuity value

₹ 3.02 Crores

Lumpsum value

₹ 4.53 Crores

Your expected monthly
pension will be

₹ 1.01 Lakhs

What is the NPS Calculator?

The National Pension Scheme calculator is an online tool that helps you estimate the pension you will receive at maturity from your NPS.

It considers factors such as your age, monthly contributions, retirement age and expected returns to give you an idea of your future scheme value.

Annuity plans offered by
ICICI Prudential Life

ICICI Pru

Saral Pension

Key Features

Pay just once and get a guaranteed^g~ lifelong pension
Reinvest your NPS corpus to receive immediate pension⁸
Continue guaranteed pension for spouse with joint life^jl option
100% return of the purchase price^rp
Buy online and get 1% extra^e pension
Tax^* benefits on premium paid u/s 80C^* of the Income Tax Act, 1961

W/II/1721/2025-26

ICICI Pru

Guaranteed Pension Plan

Key Features

Immediate Annuity

Single premium plan to get guaranteed^g~ income immediately for the rest of your life
Purchase annuities from your savings or accumulated NPS corpus
Annuity plan can cover either single or joint life^jg
100% Return of purchase price^pp on critical illness, permanent disability or death
Tax^* benefits on premium paid u/s 80CCC of the Income Tax Act, 1961

W/II/1722/2025-26

ICICI Pru

Saral Pension

Key Features

Pay just once and get a guaranteed^g~ lifelong pension
Reinvest your NPS corpus to receive immediate pension⁸
Continue guaranteed pension for spouse with joint life^jl option
100% return of the purchase price^rp
Buy online and get 1% extra^e pension
Tax^* benefits on premium paid u/s 80C^* of the Income Tax Act, 1961

W/II/1721/2025-26

ICICI Pru

Guaranteed Pension Plan

Key Features

Immediate Annuity

Single premium plan to get guaranteed^g~ income immediately for the rest of your life
Purchase annuities from your savings or accumulated NPS corpus
Annuity plan can cover either single or joint life^jg
100% Return of purchase price^pp on critical illness, permanent disability or death
Tax^* benefits on premium paid u/s 80CCC of the Income Tax Act, 1961

W/II/1722/2025-26

How can an NPS Calculator help you?

The NPS pension calculator helps you plan for your future by showing you how much you should contribute and the duration required to achieve your retirement goals. It brings clarity and peace of mind with a simple design that is easy for anyone to use.

How to use the NPS calculator?

Here are the steps to use the
ICICI Prudential Life NPS Calculator:

Enter your current age

Enter your monthly contribution

Mention your retirement age

Select the rate of return

Mention the percentage you would like to purchase the annuity for

Enter the annuity rate

Enter your current age

Enter your monthly contribution

Mention your retirement age

Select the rate of return

Mention the percentage you would like to purchase the annuity for

Enter the annuity rate

What are the Benefits of using an
Online NPS Calculator?

Free & Accurate

The online NPS calculator is free to use, which makes it accessible to everyone. It provides accurate results based on your input and helps you make informed decisions about your retirement planning.

Easy-to-Use Design

The calculator is designed to be clean, simple and user-friendly. It provides quick results and can be used by anyone without any hassle.

Tailored Results

The calculator customises the results based on your unique situation, including factors like your age, retirement age, contributions and investment duration.

Transparency

The NPS calculator offers transparency and gives you a clear view of your future investment. There are no hidden details, which helps you fully understand the potential growth prospects of your investment.

The online NPS calculator is free to use, which makes it accessible to everyone. It provides accurate results based on your input and helps you make informed decisions about your retirement planning.

Who can use the NPS calculator?

The NPS calculator can be used by anyone and everyone investing in the scheme. According to the Government of India, Indian citizens between the ages of 18 and 60 years from the public, private, and unorganised sectors, except defence forces, can contribute to the NPS.

If you are eligible to invest in NPS, you can use the calculator to determine your returns.

How is NPS calculated?

Understanding how your returns are calculated can help you plan your future expenses better and also spot errors in your planning. When you know your future returns, you can ensure their optimal use. You can also create a suitable retirement budget to make sure you do not outlive your savings.

Your NPS returns are calculated using compound interest. So, you can use the following formula to calculate your pension:

A = P (1 + r/n) ^ nt

A is your final return

P is the initial principal sum

R is the interest rate

N is the number of times the interest is applied or compounded

T is the tenure

How does the National Pension Scheme work?

The national pension scheme is a voluntary retirement scheme in India that allows you to invest in a range of assets, including market-linked funds, government bonds, and alternative investment funds. You can choose a Pension Fund Manager (PFM) and select your preferred investment options within the scheme.

Your invested capital grows over the years. The accumulated corpus allows for a lump sum withdrawal of up to 60% upon retirement. You are required to invest the remaining 40% in an annuity from a life insurance provider.

Frequently Asked Questions

The pension maturity value can differ between Tier 1 and Tier 2 accounts as they are taxed differently. The corpus received under Tier 1 accounts are exempt on withdrawal at retirement subject to conditions mentioned under Section 10 of the Income Tax Act, 1961.

However, corpus received on withdrawal under Tier 2 accounts gets added to your taxable income and is taxed per the income tax slab rate as per the Income Tax Act, 1961.

National Pension Scheme (NPS) Calculator