Retirement Corpus Calculator
We inflate your current expenses to retirement-year value, then apply two different planning methods.
Retirement planning answers one question: how large a pool of money do you need on the day you stop working so that it pays for your life for as long as it must? Three things make the answer larger than it first looks.Inflation raises what the same lifestyle costs every year. Longevity means the money may need to last 25 years or more. And healthcare costs often rise faster than general expenses. Your corpus can draw on sources such as EPF, NPS, PPF, and other investments.
This calculator first inflates today's expenses to their value at retirement, then sizes the corpus in two ways. The safe withdrawal rate (SWR) method divides annual expenses by the withdrawal rate, so 4% means 25 times annual expenses. The annuity-drawdown method works out the corpus you need if you spend the money down over your retirement years while it keeps earning a real (after-inflation) return.
Your Details
This is an estimate, not an offer. The figures above are indicative calculations based on the numbers you entered and standard industry formulas/rules of thumb. They are not a loan/insurance quote, a pre-approval, or a guarantee of approval by any bank, NBFC, or insurer. Actual eligibility, interest rate, premium, and approval are decided solely by the lender/insurer after their own underwriting and verification.
Worked Example
Take the default inputs: ₹50,000 of monthly expenses today, 25 years to retirement, 6% inflation, and 25 years in retirement.
- Inflated expense: ₹50,000 a month today becomes ₹2,14,594 a month at retirement, or ₹25,75,122 a year.
- SWR method at 4%: ₹25,75,122 ÷ 0.04 = ₹6,43,78,062. A lower withdrawal rate needs a bigger corpus: ₹8,58,37,416 at 3%, and ₹5,15,02,450 at 5%.
- Annuity method at a 2% real return over 25 years: ₹5,02,75,292.
The 4% rule of thumb came from research on US markets, so whether a given rate is safe for you depends on your returns, spending, and how long you live.
Planning How to Build the Corpus
Once you have a target, work backwards to a monthly investment. To reach the SWR corpus of ₹6,43,78,062 in 25 years (300 months), a flat SIP would need about ₹33,925 a month at an assumed 12% return, or ₹48,119 at 10%. For the ₹5,02,75,292 annuity-method corpus, it would need about ₹26,494 a month at 12%. These figures assume a flat SIP and a constant return, which real markets do not provide.
Test your own numbers with the SIP Calculator, or enter your corpus as the target in the Goal-Based SIP Calculator. Because healthcare costs tend to inflate faster than general expenses, consider padding your estimate.
Frequently Asked Questions
Why two different corpus numbers?
The Safe Withdrawal Rate (SWR) method is a simple rule of thumb (your corpus should be 25–33x your annual expense). The annuity drawdown method models actually spending down the corpus over your retirement years while it keeps earning a real return. Both are planning estimates, not guarantees.
What is a "real return"?
Real return is your investment return after subtracting inflation. It represents how much your purchasing power actually grows once you’re drawing down the corpus in retirement.
Does this account for taxes or healthcare cost inflation separately?
No — this is a simplified planning tool using a single inflation rate applied to your overall expenses. Healthcare costs often inflate faster than general expenses, so consider padding your estimate.