EPF vs NPS Calculator 2025
Compare Employee Provident Fund (EPF) and National Pension System (NPS) to make the best retirement planning decision
Your Details
Years to Retirement: 30 years
EPF
Employee Provident Fund
Total Corpus
₹2,94,24,253
Monthly Pension (EPS)
₹67,975
Total Tax Savings
₹12,12,910
Your Contribution
₹81,56,391
Employer Contribution
₹29,44,316
NPS
National Pension System
Total Corpus
₹4,87,52,520
Monthly Pension
₹97,505
Total Tax Savings
₹34,24,935
Lumpsum (60%)
₹2,92,51,512
Annuity (40%)
₹1,95,01,008
Recommendation: NPS
- NPS offers 20%+ higher retirement corpus
- NPS provides significantly better tax benefits (up to ₹2L vs ₹1.5L)
- NPS provides substantial lumpsum (60% of corpus) at retirement
- NPS offers better potential for higher returns and tax savings
Investment & Returns Analysis
EPF
Monthly Contribution (Year 1)
NPS
Monthly Contribution (Year 1)
Tax Optimization Strategy
NPS offers superior tax benefits with up to ₹2L annual deduction (₹1.5L under 80CCD(1) + ₹50K under 80CCD(1B)) compared to EPF's ₹1.5L limit under Section 80C.
NPS gives you ₹22,12,025 more in tax savings over your working years
Why NPS Might Be Better For You
- • Higher potential returns through equity exposure (up to 75%)
- • Better tax benefits - ₹50K additional deduction under 80CCD(1B)
- • Substantial lumpsum (60%) at retirement for financial flexibility
Note: Market-linked returns involve risk. Past performance doesn't guarantee future returns.
Smart Strategy: Diversify With Both
Most financial experts recommend having both EPF and NPS for optimal retirement planning. EPF provides stability with guaranteed returns, while NPS offers growth potential and better tax benefits.
Combined retirement corpus: ₹7,81,76,773
Detailed Comparison
Frequently Asked Questions
Can I invest in both EPF and NPS?
Yes! In fact, investing in both is often recommended for diversification. EPF is mandatory if you're salaried, and you can additionally invest in NPS for higher tax benefits and potential returns.
Which gives better tax savings?
NPS offers better tax benefits. You can claim deductions under 80CCD(1) up to ₹1.5L, additional 80CCD(1B) of ₹50K, plus employer contributions under 80CCD(2). EPF only offers 80C deduction up to ₹1.5L.
Is EPF or NPS better for retirement?
It depends on your risk appetite and age. EPF is safer with guaranteed returns, ideal for those close to retirement. NPS offers higher potential returns but with market risk, better for younger investors. Most experts recommend having both.
Can I withdraw EPF and NPS before retirement?
EPF allows partial withdrawals for specific purposes (home loan, medical emergencies, etc.) and full withdrawal after 2 months of unemployment. NPS has strict withdrawal rules - only 25% can be withdrawn before retirement (for specific needs), and 60% at retirement, with 40% mandatorily used for annuity.
What is the EPS pension in EPF?
Employee Pension Scheme (EPS) is part of EPF where 8.33% of employer contribution goes to pension fund. You get a monthly pension after retirement based on your pensionable salary and years of service. The formula is: (Pensionable Salary × Years of Service) / 70.
EPF Higher Pension Calculator
Calculate your increased EPF pension after the Supreme Court ruling. See how much higher pension you could get.
NPS Calculator
Calculate your NPS retirement corpus, tax savings, and monthly pension. Plan your National Pension System investments.