How much monthly pension will your NPS corpus give you?

Last reviewed: 21 Oct 2026 · Noema Research · 3 min read

A large NPS corpus can still mean a small pension, because only the part you put into an annuity pays you monthly. Under PFRDA's exit rules as amended on 16 Dec 2025, non-government subscribers with a corpus above ₹12 lakh can take up to 80% as a lump sum and must put at least 20% into an annuity. On ₹1,00,00,000, the 20% minimum pays about ₹10,000 to ₹11,667 a month at an assumed 6% to 7% annuity rate; putting 40% in pays about ₹20,000 to ₹23,333. If your expenses are ₹50,000 a month today, they could be about ₹2,14,594 in 25 years, so the lump sum has to do most of the work.

Calculate your NPS pension

The question isn't how big your corpus is. It's whether the pension pays your bills.

Corpus at exit (₹)Annuity share (%)Annuity rate (%)an assumption, not a quoteMonthly expenses today (₹)Years to exit (years)Inflation (% a year)

Estimate

Monthly pension: ₹10,833 (future rupees)

Lump sum: ₹80,00,000 · Annuity: ₹20,00,000

Your expenses at exit: about ₹2,14,594 a month (future rupees).

Pension covers about 5% of them.

Lump sum₹80,00,000

Annuity₹20,00,000

How your corpus splits at exit.

Estimate, not a prediction · View as table

Create an account to map this answer against your salary allocation.

What you can take out at exit

Many people still plan around a 60% lump sum. The rules changed: as amended on 16 Dec 2025, non-government subscribers can take up to 80%. Rules checked 21 Oct 2026, PFRDA.

Corpus band	What may be withdrawn
Up to ₹8 lakh	Full withdrawal allowed
Above ₹8 lakh up to ₹12 lakh	Up to ₹6 lakh lump sum; balance as annuity or systematic unit redemption
Above ₹12 lakh	Up to 80% lump sum; at least 20% annuity

Corpus to monthly pension

A corpus figure alone doesn't tell you your income.

Corpus	20% annuity	40% annuity
₹50,00,000	₹5,000 to ₹5,833	₹10,000 to ₹11,667
₹1,00,00,000	₹10,000 to ₹11,667	₹20,000 to ₹23,333
₹2,00,00,000	₹20,000 to ₹23,333	₹40,000 to ₹46,667
₹3,00,00,000	₹30,000 to ₹35,000	₹60,000 to ₹70,000

Will the pension cover your expenses after inflation?

An annuity pays the same rupees every month while prices rise. ₹50,000 a month today is about ₹2,14,594 in 25 years at 6% inflation, so a ₹10,833 pension covers about 5%.

Lump sum or more annuity?

More annuity: income for life, but fixed in rupees.

A larger annuity raises monthly income but leaves less flexible capital.

More lump sum: flexible and can keep growing, but you must plan withdrawals.

If you take the lump sum, see whether your corpus can last.

Where NPS fits

NPS is one retirement account among several. Compare it with your other retirement savings and expenses.

FAQ

How much pension will I get from NPS?+

Corpus × annuity share × annuity rate ÷ 12. ₹20,00,000 in an annuity at an assumed 6% to 7% pays about ₹10,000 to ₹11,667 a month before tax.

How much pension will ₹1 crore in NPS give?+

About ₹10,000 to ₹11,667 a month with the 20% minimum annuity, or ₹20,000 to ₹23,333 with 40%, at an assumed 6% to 7%.

How much of my NPS can I withdraw as a lump sum?+

For non-government subscribers with a corpus above ₹12 lakh, up to 80% at normal exit, under the rules as amended on 16 Dec 2025. Rules checked 21 Oct 2026.

Is the NPS pension enough to retire on?+

Rarely on its own. Compare it with your expenses at exit, after inflation; the lump sum usually has to cover the rest.