Retirement Corpus Calculator: How Much Do You Need?

In India, a common rule of thumb is to aim for 33X to 40X your annual expenses as retirement corpus. So if you need ₹6 lakh per year (₹50,000/month), you need roughly ₹2 crore to ₹2.4 crore. This accounts for inflation and a safe withdrawal rate (about 3–4% per year).

Why 33X–40X and not 25X?

The US “4% rule” uses 25X (1 ÷ 0.04). India has higher inflation (often 6–7%) and different market behaviour, so planners use a more conservative multiple. 33X–40X is roughly a 2.5–3% withdrawal rate, which is safer for a long retirement.

What affects your number?

Your target corpus depends on: current and future expenses, retirement age, life expectancy, inflation assumption, and whether you want a buffer. A retirement planner that shows post-retirement sustainability (how long the corpus lasts) gives you a clearer picture than a single multiple.

What this looks like from a monthly SIP

A 30-year-old investing steadily for 30 years at a blended 10% return reaches roughly: ₹2.3 crore from a ₹10,000/month SIP, ₹5.7 crore from ₹25,000/month, or ₹11.4 crore from ₹50,000/month. At a 3% withdrawal rate, those corpuses sustain monthly pensions of about ₹57,000, ₹1.4 lakh, and ₹2.85 lakh respectively. An equity-heavy SIP compounding at 12% does better still: ₹5,000/month for 30 years builds ₹1.76 crore (₹58,700/month at a 4% withdrawal), and ₹20,000/month builds ₹7.05 crore (₹2.35 lakh/month).

Next step

Use a retirement calculator with EPF, NPS, and other investments. It will show total corpus at retirement and whether your withdrawal plan is sustainable year by year. If your goal is to reach this corpus well before 58–60, see what FIRE (Financial Independence, Retire Early) means and use the FIRE Calculator to find your own number and timeline.