Log in
Free Financial Calculator

Retirement Corpus Calculator

Model the exact corpus required to sustain your lifestyle in retirement, accounting for Indian retail inflation, post-retirement longevity, and monthly SIP requirements.

Current Monthly Living Expenses:50,000
Existing Retirement Savings (EPF/PPF/NPS/Mutual Funds):5,00,000
Required Target Corpus at Age 60
6.82 Crores
(₹6,81,82,471)
Monthly Expense at Retirement:2,87,175 / mo
Recommended Monthly SIP:15,223 / mo
*Assumes a 25-year retirement life with 8% post-retirement return.
Interpretation

What will retirement actually cost you?

At 6% annual inflation, your current monthly expense of ₹50,000 will inflate to ₹2,87,175 per month by age 60. To fund 25 years of retirement, you will need an estimated corpus of ₹6,81,82,471.

  • Your existing ₹5,00,000 savings will grow to ~₹1,49,79,961, leaving a net shortfall of ₹5,32,02,510.
  • To bridge this shortfall, an ongoing disciplined monthly SIP of ₹15,223 is required.
  • Healthcare inflation in India historically runs at 10–12%, well above general CPI. A comprehensive standalone health insurance policy protects your corpus from catastrophic hospital bills.
Calculation Methodology

How This Calculator Works

The model first inflates your current monthly expense to your retirement age using compound inflation. It then calculates the present value of an inflation-adjusted annuity due over your post-retirement lifespan using the real post-retirement rate of return.

Corpus = Expense_Retirement × [1 - (1 + real_r)^(-N)] / real_r

Variables in Formula:

Expense_Retirement: Monthly living cost at retirement age (Current Expense × (1 + Inflation)^Years)
real_r: Real rate of return after inflation ((1 + PostRate)/(1 + Inflation) - 1)
N: Years in retirement (Life Expectancy - Retirement Age)
Real-World Scenario

Worked Step-by-Step Example

A 30-year-old spending ₹50,000/month planning to retire at 60 and live until 85 with 6% inflation.

Monthly Expense at Age 60₹2,87,175 / month (5.74x)
Required Corpus at Age 60₹6.35 Crores
Required Monthly SIP₹18,150 / month at 12% CAGR

Key takeaway: Starting at age 30 requires only ~₹18K/month. Waiting until age 40 to start would triple the required monthly SIP to nearly ₹60K/month.

Common Traps

Common Mistakes to Avoid

Ignoring the compounding effect of inflation

Saying 'I need ₹1 Crore for retirement' is dangerous. ₹1 Crore in 25 years has the purchasing power of just ~₹23 Lakhs today at 6% inflation.

Switching 100% of corpus to Fixed Deposits at retirement

With a 25+ year retirement, capital in FDs loses value to inflation and taxes. A portion of the corpus must remain in conservative equity/hybrid funds to beat inflation.

Next Logical Step

"Calculator = calculate one thing. Financial Health Check = understand my overall situation."

Ready to see how your investments, debts, emergency fund, and cash flow fit together? Answer 5 simple questions to get your personalized financial blueprint.

Check My Financial Health — Free