NPS Rules: Secure 50,000 Monthly Pension & Crores After Retirement!

• The National Pension System (NPS) allows individuals to build a substantial retirement fund and receive a monthly pension.
• To achieve a 50,000 rupee monthly pension (6 lakh annually), a fund of 1 crore rupees is required for annuity, assuming a 6% annuity rate.
• NPS allows withdrawing 80% of the total corpus as a lump sum and investing 20% for annuity post-retirement.
• A 30-year-old investing 14,000-15,000 rupees monthly can accumulate 5 crore rupees by age 60, receiving 4 crore lump sum and 1 crore for annuity.
• This strategy can yield a 50,000 rupee monthly pension, though investment amounts increase with age (e.g., 35-year-old needs 24,000-25,000 monthly).

Why It Matters: NPS offers a strategic way to secure a significant lump sum and a 50,000 monthly pension post-retirement.