NPS (National Pension System): Calculator and Withdrawal Rules

The National Pension System (NPS) is a voluntary, market-linked retirement scheme. You choose how much to invest in equity, debt, and government funds. Tier I is locked until 60; Tier II is voluntary and withdrawable. At 60, you can withdraw up to 60% as a tax-free lump sum and must use at least 40% to buy an annuity (pension).

NPS can be opened online at the NPS portal or through banks and POPs. Minimum contribution is ₹1,000 per year for Tier I. Partial withdrawals are allowed after 3 years for specified purposes. Exit before 60 has annuity and tax implications.

Use our NPS Calculator to project your corpus based on monthly contribution, expected return, and years to retirement. The calculator page has detailed Q&A on opening, closing, and rules.