Retirement Calculator

How does the Retirement Calculator work?

Planning for retirement involves estimating how much your current expenses will cost in the future due to inflation, and then calculating the total corpus needed to sustain that lifestyle.

Key Factors:

Inflation: The silent wealth killer. At 6% inflation, expenses double roughly every 12 years.
Pre-Retirement Returns: The growth rate of your investments while you are earning (e.g., Equity Mutual Funds typically target 10-12%).
Post-Retirement Returns: Once retired, you should shift to safer assets (Debt funds, FDs, SCSS) which typically yield 6-8%.

Example

A 30-year-old planning to retire at 60, with current monthly expenses of ₹40,000 and 6% inflation, would need a retirement corpus well over ₹3 crore to sustain a similar lifestyle for 25+ years post-retirement.

Common Use Cases

FAQs

How do I calculate when I can retire?

Enter your current age, target retirement age, and current monthly expenses above — the calculator projects the corpus you'll need at that retirement age (after inflation) and the monthly SIP required to reach it from your existing savings. If the required SIP looks unaffordable, try a later retirement age or lower projected expenses to see when the plan becomes realistic for you.

How do I calculate my retirement needs?

Retirement needs are calculated by inflating your current monthly expenses forward to your retirement age, then working out how large a corpus is needed so that money (invested at a safer post-retirement return) can cover those inflated expenses for the rest of your expected lifespan. This tool runs that calculation automatically from the inputs above — see "Exp. at Retirement (inflated)" and "Retirement Corpus Needed" in the results.

How much money do I need to retire?

It depends on your current expenses, years left until retirement, inflation, and how long retirement needs to last — there's no single number that applies to everyone. Use the "Retirement Corpus Needed" figure above as your personalized estimate based on the details you enter.

Why does inflation matter so much for retirement planning?

Because your retirement corpus needs to last decades, even moderate inflation compounds significantly — at 6% inflation, an expense that costs ₹40,000 today will cost roughly ₹80,000 in 12 years.