Retirement Calculator – How Much Do You Need to Retire?

Enter your age, retirement age, life expectancy, monthly expenses, savings, expected return and inflation to estimate your retirement corpus and the monthly SIP needed to build it.

Currency detected:Rupee (INR)

Current age

Retirement age

Life expectancy

Current monthly expenses

INR

Current retirement savings

INR

Expected return (p.a)

Expected inflation (p.a)

Retirement corpus needed

₹4,16,83,544

To sustain 20 years of retirement

Years to retirement

Years in retirement

Retirement Plan Breakdown

Current monthly expenses₹50,000

Future monthly expenses₹2,87,175

Current savings will grow to₹1,49,79,961

Additional corpus needed₹2,67,03,583

Monthly SIP required

₹7,565

For 30 years

@ 12% return

💡 Tip: Start investing early! The power of compounding works best over long periods. Even small monthly investments can grow into a substantial retirement corpus.

Why your retirement number is bigger than you think

Most Indians in the private sector do not get a defined pension that rises with prices. Your retirement will be funded by what you build – EPF, PPF, NPS, mutual funds and other savings – and it may need to last 20 to 30 years. Over that long a period, inflation multiplies your expenses several times over, which is why a corpus that sounds large today can run out too early.

This calculator puts a number on the goal and, more usefully, on the monthly investment needed to reach it, so you can see whether you are on track.

How is the retirement corpus calculated?

Expenses at retirement = current monthly expenses × (1 + inflation)^(years to retirement).
Real return = (1 + expected return) ÷ (1 + inflation) − 1, converted to a monthly rate. This reflects that the corpus keeps earning while your withdrawals rise with inflation.
Corpus needed = expenses at retirement × [1 − (1 + real monthly rate)^−N] ÷ real monthly rate, where N is the number of months from retirement to life expectancy.
Existing savings at retirement = current savings × (1 + expected return)^(years to retirement).
Monthly SIP needed = shortfall ÷ {[((1 + m)^n − 1) ÷ m] × (1 + m)}, where m = expected annual return ÷ 12 and n is the number of months to retirement.

Worked example

Profile:

Current age 30, retirement at 60, life expectancy 80
Current monthly expenses: ₹50,000
Current savings: ₹5,00,000
Expected return: 12% p.a.; inflation: 6% p.a.

Results:

Monthly expenses at 60: ₹2,87,175 (about 5.7 times today’s)
Retirement corpus needed: ₹4,16,83,544 (about ₹4.17 crore)
Current savings will grow to: ₹1,49,79,961 (about ₹1.5 crore)
Shortfall to be funded: ₹2,67,03,583 (about ₹2.67 crore)
Monthly SIP required: about ₹7,565

The SIP looks modest because it assumes a steady 12% return for 30 years and that the existing ₹5 lakh stays invested the whole time. See how quickly the answer changes when one assumption moves:

Start at 35 instead of 30: required SIP rises to about ₹11,935 a month.
Plan for life expectancy of 85 instead of 80: corpus rises to about ₹4.67 crore and the SIP to about ₹10,289.
Expect 10% return instead of 12%: required SIP more than doubles, to about ₹17,498 a month.

Choosing realistic inputs

Life expectancy: plan for longer rather than shorter – running out of money at 82 is a far bigger problem than leaving some behind.
Expenses: include rent (if you will not own your home), healthcare and insurance premiums, which tend to increase with age.
Return: the calculator uses one rate before and after retirement. Most retirees shift towards safer, lower-return assets, so a blended rate below pure equity returns is prudent.
Inflation: 6% is a common planning assumption for India; medical costs often rise faster.

Building blocks for retirement in India

EPF/VPF: mandatory for many salaried employees, with employer contributions and EPFO-declared interest.
PPF: government-backed, 15-year scheme with tax-free interest; useful for the stable part of the portfolio.
NPS: a regulated, market-linked pension scheme with its own tax benefits and withdrawal rules.
Equity mutual funds via SIP: for long-term growth potential, with market risk.
Health insurance and an emergency fund: so that a medical bill does not force you to break your retirement savings.

Common retirement planning mistakes

Starting late and relying on a large increase in savings later.
Withdrawing EPF when changing jobs instead of transferring it.
Ignoring inflation and planning in today’s rupees.
Keeping everything in low-return deposits for a 25-year goal – or everything in equity a year before retiring.
Not stepping up investments as income grows.

Retirement Calculator FAQs

How much should I save for retirement?

It depends on your current expenses, years left to retirement, how long retirement may last, inflation and the return you expect. This calculator turns those inputs into a target corpus and the monthly SIP needed to reach it. There is no single correct number for everyone.

How does the retirement calculator work?

It inflates your current monthly expenses to your retirement age, works out the corpus that can fund those inflation-rising expenses until your life expectancy, subtracts what your existing savings are likely to grow to, and calculates the monthly SIP needed to cover the gap.

How does starting age change my plan?

Starting later leaves fewer years for compounding, so the monthly amount rises sharply. With the default inputs, starting at 30 needs about ₹7,565 a month; starting at 35 (with the same expenses and savings) needs about ₹11,935 a month.

How do I factor in EPF, pension or rental income?

The calculator does not have a separate income field. If you expect a regular income in retirement – an EPS pension, an annuity or rent – subtract it from the monthly expenses you enter. If you will receive a lump sum such as your EPF balance, you can include its expected value in your current savings.

What return and inflation should I assume?

Use a long-term blended return that matches your actual asset mix, not just equity returns, and keep inflation at around 6% or higher for Indian household expenses. Try a pessimistic scenario too: lowering the return from 12% to 10% raises the required SIP in the default example from about ₹7,565 to about ₹17,498.

Can I use this as an ongoing retirement savings tracker?

Yes. Re-run it every year with your updated age, savings and expenses. It will show whether your corpus is on track and how much you should be investing each month to close any shortfall.

Important Disclaimer

For Educational and Informational Purposes Only: This calculator is provided solely for educational and informational purposes. It is designed to help you understand potential investment outcomes and should not be considered as financial, investment, tax, or legal advice.

Not Professional Advice: The calculations, results, and information provided by this tool do not constitute professional financial advice, investment recommendations, or tax guidance. Always consult with a qualified financial advisor, certified financial planner, tax consultant, or legal professional before making any investment or financial decisions.

Accuracy and Assumptions: While we strive to ensure the accuracy of our calculators, the results are based on the inputs you provide and certain assumptions. Actual returns, interest rates, tax implications, and other factors may vary significantly based on market conditions, government policies, individual circumstances, and other variables beyond our control.

No Guarantees: Past performance is not indicative of future results. The calculations provided are estimates and projections only. We make no guarantees, warranties, or representations regarding the accuracy, completeness, or reliability of the information or calculations provided.

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Tax Implications: Tax laws are complex and subject to change. The tax-related information provided is general in nature and may not apply to your specific situation. Consult a qualified tax professional for advice tailored to your individual circumstances.

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