Retirement Calculator
Calculate your required retirement nest egg, inflation-adjusted monthly expenses, and monthly SIP contributions needed to retire comfortably. Free in your browser.
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How to use Retirement Calculator
- 1
Enter your current age, retirement age, and expected life expectancy.
- 2
Configure monthly expenses today, pre/post-retirement returns, and inflation rates.
- 3
Analyze the net funding gap and required starting monthly investment to retire securely.
Capabilities
- Inflates expenses pre-retirement to calculate real post-retirement budgets
- Backwards-solves required retirement corpus needed during withdrawal phase
- Calculates pre-retirement savings growth and required starting monthly investment
- Dual charts showing pre-retirement accumulation and post-retirement drawdown
How to Calculate Your Required Retirement Corpus & Monthly Savings
Retirement planning is the cornerstone of lifelong financial independence. A successful retirement plan bridges the gap between today's savings and tomorrow's living costs, ensuring that rising healthcare expenses and compounding inflation never exhaust your accumulated wealth.
Calculations are mathematical models based on constant inflation and investment returns. In real life, market cycles, healthcare emergencies, and sequence-of-returns risk can affect portfolio longevity. Revisit your retirement plan annually.
Compounds your current monthly living expenses by your expected inflation rate over the years until retirement, establishing the realistic first-year post-retirement budget.
Simulates the post-retirement distribution phase month-by-month, factoring in ongoing portfolio growth and annual lifestyle inflation to ensure the corpus sustains your entire life expectancy.
Worked Retirement Planning Example
Suppose a 30-year-old plans to retire at age 60 with a life expectancy of 85 years, having monthly living expenses of ₹50,000 today, 6% inflation, 12% pre-retirement return, and 8% post-retirement return:
Monthly Expenses at Age 60 (Adjusted for 6% Inflation): ₹2,87,175 / month
Total Required Retirement Corpus at Age 60: ₹5,91,42,000 (Approx ₹5.9 Crore)
Required Starting Monthly SIP: ₹17,325 / month (with a 5% annual step-up)
Disciplined investing of ₹17,325 per month from age 30 successfully accumulates the nearly ₹6 Crore corpus required.
To model post-retirement monthly cash flows from an existing mutual fund corpus, use SWP Calculator.
This tool operates in a sandbox directly inside your web browser. All parsing, processing, and downloads are rendered locally. Your file size, metadata, and contents never cross the network. It works completely offline.
Frequently Asked Questions
How does inflation affect my required retirement nest egg?
Inflation erodes purchasing power over time. A monthly expense of ₹50,000 today will require over ₹2,87,000 per month in 30 years at a modest 6% annual inflation rate. A comprehensive retirement plan must adjust all future living costs for compounding inflation.
What is a retirement funding gap?
A retirement funding gap is the shortfall between the total capital corpus you need on retirement day to sustain your lifestyle until your life expectancy, and the projected future value of your existing savings.
How much should I invest each month to reach my retirement goal?
The calculator backwards-solves your required monthly SIP based on your current age, target retirement age, expected inflation, pre-retirement return, and existing savings base.
What return rate should I assume before and after retirement?
A common financial planning benchmark assumes 10% to 12% annual return during the pre-retirement wealth accumulation phase (equity/growth oriented), and a conservative 7% to 8% return during the post-retirement distribution phase (capital preservation/fixed income).
Are my personal financial details private?
Yes. All retirement longevity simulations and cash flow models calculate locally inside your web browser; your financial numbers are never sent to WebTorq for processing.