What is the Retirement Calculator?
This basic retirement calculator estimates required corpus from monthly expenses, years until retirement, inflation, retirement duration and post-retirement return. It does not calculate a monthly SIP, project existing savings, or assess your retirement readiness.
How does it work?
Expenses are inflated to retirement. The calculation then uses a level annuity factor based on the real return, (1 + post-retirement return) / (1 + inflation) - 1. At zero real return, required corpus equals first-year annual spending multiplied by duration. The outputs are required corpus, monthly expenses at retirement and years until retirement. Taxes, fees, pensions and market sequences are excluded.
Worked example
With monthly spending of Rs 10,000, retirement starting now, zero inflation and zero return for 20 years, the corpus estimate is Rs 24,00,000. This arithmetic assumes no other income and no extra buffers.
When to use this calculator
- 1Compare expense, inflation, duration and return assumptions in a simple corpus model.
- 2Use the separate Retirement Readiness Planner for source-wise balances, contributions, pension and a funding gap.
Common mistakes to avoid
- ✕Looking for a monthly contribution or existing-savings adjustment that this basic tool does not calculate.
- ✕Treating a selected return as guaranteed or as a recommended asset allocation.
- ✕Comparing results from models with different spending timing, pension treatment or buffers.
Frequently asked questions
- Why does this differ from the Retirement Readiness Planner?
- The basic tool uses a real-return annuity factor. The readiness planner discounts annual upfront spending shortfalls, deducts a flat pension assumption and adds buffers. The withdrawal explorer instead models month-end withdrawals. Aligning numbers alone does not align those conventions.
- Does this tool recommend investments?
- No. It estimates an amount at entered assumptions. It does not select funds, insurance, equity/debt percentages or a safe withdrawal rate.