Retirement Income Calculator
If you already have a corpus, how much can you spend from it each month? This calculator finds the income that lasts exactly until the age you choose, while rising with inflation.
Results
Starting monthly income
₹1,11,671
- Level monthly income (no inflation increases)
- ₹2,00,492
- Starting yearly income
- ₹13,40,050
- Starting withdrawal rate
- 4.47%
- Years of income
- 25
A corpus of ₹3,00,00,000 can fund about ₹1,11,671 a month at retirement, rising with 6% inflation, until age 85.
Monthly income and balance by year (25 rows)
| Age | Monthly income | Balance at year end |
|---|---|---|
| Age 61 | ₹1,11,671 | ₹3,06,66,146 |
| Age 62 | ₹1,18,371 | ₹3,12,92,891 |
| Age 63 | ₹1,25,473 | ₹3,18,72,316 |
| Age 64 | ₹1,33,002 | ₹3,23,95,635 |
| Age 65 | ₹1,40,982 | ₹3,28,53,122 |
| Age 66 | ₹1,49,441 | ₹3,32,34,021 |
| Age 67 | ₹1,58,407 | ₹3,35,26,453 |
| Age 68 | ₹1,67,912 | ₹3,37,17,319 |
| Age 69 | ₹1,77,986 | ₹3,37,92,186 |
| Age 70 | ₹1,88,666 | ₹3,37,35,173 |
| Age 71 | ₹1,99,985 | ₹3,35,28,821 |
| Age 72 | ₹2,11,985 | ₹3,31,53,956 |
| Age 73 | ₹2,24,704 | ₹3,25,89,538 |
| Age 74 | ₹2,38,186 | ₹3,18,12,498 |
| Age 75 | ₹2,52,477 | ₹3,07,97,567 |
| Age 76 | ₹2,67,626 | ₹2,95,17,083 |
| Age 77 | ₹2,83,683 | ₹2,79,40,785 |
| Age 78 | ₹3,00,704 | ₹2,60,35,598 |
| Age 79 | ₹3,18,747 | ₹2,37,65,385 |
| Age 80 | ₹3,37,871 | ₹2,10,90,694 |
| Age 81 | ₹3,58,144 | ₹1,79,68,479 |
| Age 82 | ₹3,79,632 | ₹1,43,51,796 |
| Age 83 | ₹4,02,410 | ₹1,01,89,475 |
| Age 84 | ₹4,26,555 | ₹54,25,776 |
| Age 85 | ₹4,52,148 | ₹0 |
Show the calculation steps
- Plan length = 85 − 60 = 25 years, with the corpus earning 7% while it is spent.
- Corpus = first-year income × Σ ((1 + inflation) ÷ (1 + return))^t over the 25 years, so first-year income = ₹13,40,050 (₹1,11,671 a month).
- That is a starting withdrawal rate of 4.47%.
- If you did not increase income with inflation, you could take a level ₹2,00,492 a month.
- Withdrawals are made at the start of each year. The corpus is exhausted at the end of the plan. Returns are not guaranteed.
Income that keeps up with prices
A fixed income buys less each year. The starting income here rises with inflation, so it is lower than a level income, but it keeps your standard of living.
The withdrawal rate
The starting withdrawal rate shown is the share of the corpus taken in the first year. Rates of roughly 3–5% are common for long retirements. A higher rate means the money runs out sooner or requires higher returns.
Formula
Corpus = Income × Σ ((1 + inflation) ÷ (1 + return))^t for t = 0 … years − 1
Income = Corpus ÷ Σ ((1 + inflation) ÷ (1 + return))^t
Where:
- Income
- = First-year withdrawal, which then rises with inflation
- return
- = Return earned by the corpus after retirement
Example calculation
₹3 crore corpus, retire at 60, plan to 85
Inputs
- Retirement Corpus
- ₹3,00,00,000
- Retirement Age
- 60 years
- Plan Until Age
- 85 years
- Expected Inflation
- 6 %
- Return After Retirement
- 7 %
Result
- Starting monthly income
- ₹1,11,671
- Level monthly income (no inflation increases)
- ₹2,00,492
- Starting yearly income
- ₹13,40,050
- Starting withdrawal rate
- 4.47%
- Years of income
- 25
Step-by-step
- Plan length = 85 − 60 = 25 years, with the corpus earning 7% while it is spent.
- Corpus = first-year income × Σ ((1 + inflation) ÷ (1 + return))^t over the 25 years, so first-year income = ₹13,40,050 (₹1,11,671 a month).
- That is a starting withdrawal rate of 4.47%.
- If you did not increase income with inflation, you could take a level ₹2,00,492 a month.
Important notes
- The corpus is spent down to zero at the end of the plan. Returns are not guaranteed; consider a lower income for safety.
Disclaimer: This calculator provides estimates for informational purposes and should not be considered financial advice. Actual figures from lenders, banks and investment products can differ because of fees, taxes, rounding rules and changing rates. Consult a qualified professional before making financial decisions.
Frequently asked questions
How much can I withdraw from my corpus each month?
That depends on the years the money must last, inflation and returns. The calculator finds the starting income that just lasts.
Why is level income higher?
A level income never increases, so more of the corpus can be spent early; but its purchasing power falls each year.
What happens if returns are lower?
The money runs out sooner. Try a lower return to see how sensitive the plan is.
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