EPF + NPS Retirement Corpus: Private sector staff can contribute to employees funders (EPFs) and submitted Pension System (NPS) to create a Corpus to retire and obtain a monthly pension. If you use these opportunities to a great investment limit, you can create a combined corpus of Rs 8.33 crore at 60 years old. Not only that, you can also get an estimated NPS pension of Rs 1,40,000 and estimated pension pensions at Rs 7,300 retirement. Learn how to do it –
The contribution of EPF for employee
EPF is a retirement method for the private sector personnel where they contribute to the least Rs 1,800 a month.
The maximum investment can be 12 percent of their basic pay and da) allowance).
The employer also matches the amount and contributes to the employee’s EPF.
The employee has obtained an 8.25 percent of interest rate in the contribution monthly interest.
The employer contribution to EPS
The entire contribution of the employer to 12 percent will not go to the EPF account.
Only 3.67 percent were given to EPF; The rest goes to the employee’s Pensions Scheme (EPS).
The maximum contribution to the eps employer is Rs 1,250 a month, so the highest salary salary is Rs 15,000.
The employee gets the monthly amount of pension, maximum Rs 7,500 as at the current rate, at the age of retirement at 58.
If they want, they can choose for an earlier and a later pension in proportional rates.
The employee can take their EPF Corpus in the age of retirement at 58.
NPS contribution for employee
An employee in the private sector can contribute to 10 percent of their basic charge and DA on their NP account.
The employer contribution, choice, a maximum of 14 percent of the same account.
The value is invested in a mix of equity and debt, which equity can be up to a maximum of 75 percent and debt at a maximum of 100 percent.
NPS withdrawal of retirement
In retirement, the employee can withdraw up to 60 percent of their corpus retirement. From the remaining 40 percent, they need to buy an annuity plan, the return from which helps them get a monthly pension.
NPS tax benefits, EPF of new tax regime
In the new tax regime available for the financial year 2025-26, an employee can obtain an employee’s EPF tax benefit to 12 percent of their basic pay and da.
In the same regime, they can get a TIER tax benefit to the NPS owner contribution for 14 percent of employee and DA employee’s employee salaries.
Calculations for the story
For the calculation of EPF
Basic pay and da- p2,000
AgeE- 26 years
Contributions up to 60 years
Each month contribution- 12 percent basis and da
Year rising contribution- 5 percent
Interest rate- 8.25 percent
For the calculation of NPS
Basic pay and da- p2,000
AgeE- 26 years
Contributions up to 60 years
Each month contribution (employee) – 10 percent of basic and da
Each month contribution (employer) – 14 percent
Investment mix mode (75 percent of equity and 25 percent of government bonds)
Year rising contribution- 5 percent
Expected Return (Pre-retired) – 12.1
Back from annuity- 6.75 percent
Bump Dutdrawallo- 60 percent corpus
The purchase of annuity- 40 percent corpus
result
EPF Corpu
Total Investment- RR 54,34,762
Total Request 1,56,40,525
Retirement- RR 2,10,75,287
EPS Pension- RS 7,285.71
NPS Corpu
If employer cannot contribute
Total Corpus- CRS 2,48,64,300
Bump Dutdrawallols 1,49,18,580
Wiluity Fell- RS 99,45,720
Pension value of 55,945
If the owner contributed
Total Corpus- 2,21,60,751
Bump Duthrawallols 3,72,96,451
Wiluity Fell-S 2,48,64,300
Pension value 1,39,862
Combine minimum EPF + NPS corpus
RS 2,10,75,287 + RS 2,48,64,300 = RS 4,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,59,
Combine minimum EPF + NPS corpus
RS 2,10,75,287 + RS 6,21,60,751 = RS 8,32,36,036
