Retirement Calculator

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You will need a retirement corpus of approximately

₹8,61,52,368

Retirement Calculator — Overview

A Retirement Calculator is a planning tool that helps you estimate the total corpus you will need to accumulate for a comfortable retirement. It takes into account your current age, desired retirement age, monthly expenses, and expected inflation.

How is it calculated?

The calculator first projects your future annual expenses at the time of retirement by adjusting for inflation. Then, it typically uses a rule like the 4% withdrawal rule to estimate the total corpus required to sustain those expenses throughout your retirement years.

Frequently Asked Questions

The 4% rule is a guideline that suggests you can safely withdraw 4% of your retirement corpus in your first year of retirement, and then adjust that amount for inflation each subsequent year, without depleting your funds for at least 30 years. This calculator uses the inverse of this rule (Corpus = Annual Expenses / 4%) to estimate your target.

A diversified portfolio is key. Consider a mix of equity (through SIPs in mutual funds for high growth), debt (like PPF, EPF for stability and tax benefits), and government schemes like the National Pension System (NPS), which is specifically designed for retirement planning.

Starting early gives you the maximum benefit of the power of compounding. A small amount invested regularly over a long period can grow into a much larger corpus than a large amount invested for a short period. The longer your money stays invested, the harder it works for you.

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