Retirement Calculator

Use this free retirement calculator to estimate how much money you may need at retirement and the monthly SIP that could help you build it. Enter your age, your expenses today, and your assumptions for inflation and returns. The calculator allows for rising prices and shows an illustrative result.

How this retirement calculator works

The calculator works in three stages. First, it raises your monthly expenses by the inflation rate to estimate what the same lifestyle will cost in the year you retire. Second, it works out the corpus you would need at retirement to cover those expenses, rising with inflation, until the age you plan up to, while the remaining money earns the post-retirement return. Third, it subtracts what your current savings could grow to and finds the monthly SIP that would build the rest. For example, a 30-year-old spending ₹40,000 a month today, retiring at 60 and planning up to 90, would need about ₹5.94 crore at an assumed 6% inflation and 8% post-retirement return. Expenses would be about ₹2.30 lakh a month by then. The monthly SIP needed would be about ₹16,839 at an assumed 12% return before retirement. The result is an illustration, not a forecast.

What this calculator does not include

The result is before taxes, exit loads and fund expenses. It assumes fixed inflation and returns for decades, while real life varies. It does not include pension, rental income or other sources of income you may have, and it does not allow for large one-off costs such as medical expenses. It also assumes you keep your SIP the same every month. If you can raise it each year, try our Step up SIP calculator.

अक्सर पूछे जाने वाले सवाल (FAQs)

How much money do I need to retire?

It depends on your expenses, how long you expect to live, inflation and the returns you earn after retiring. A common mistake is to ignore inflation, which can make today’s expenses several times larger by the time you retire. This calculator includes inflation, so try a few different assumptions.

What age should I plan up to?

Many people now live well into their 80s and some beyond 90. It is safer to plan for a longer life than a shorter one, because running out of money is a bigger risk than leaving some behind. The calculator starts at 90, and you can change it.

What return should I assume before and after retirement?

Before retirement you may hold more equity, which can give higher but uneven returns over the long term. After retirement many people shift towards safer investments, so the assumed return is usually lower. The calculator starts at 12% before and 8% after, and you can change both. It is sensible to test lower figures too.

Is the return shown guaranteed?

The calculator uses the rate you enter and assumes it stays the same, so the result is only as reliable as that rate. Mutual fund returns are market-linked and are not guaranteed. Mutual fund investments are subject to market risks. Read all scheme related documents carefully. Learn more on the AMFI investor awareness site.

How do I turn the corpus into monthly income?

One common way is a Systematic Withdrawal Plan. Try our SWP calculator to see how long a corpus can fund your monthly withdrawals. To plan a goal other than retirement, use our Goal SIP calculator.

How much do I need to retire?

Try our Retirement calculator. To build the investment first, use our SIP calculator or our Goal SIP calculator.