NPS vs Mutual Fund vs PPF Calculator
Is the NPS ₹50,000 extra tax deduction worth the lock-in until 60 and forced annuity? Compare NPS Tier I, equity mutual funds, and PPF — see which gives the best post-tax corpus for your situation.
Mutual Fund wins
₹3.6Cr
Investing ₹1,50,000/year for 30 years. NPS gets extra ₹50,000 deduction under Section 80CCD(1B).
Mutual Fund wins
₹3,60,54,030
Equity mutual funds deliver highest post-tax corpus with 12% returns
NPS
Post-tax
₹2.2Cr
Gross corpus
₹2.7Cr
Eff. return
5.42%
Equity Mutual Fund (Winner)
Post-tax
₹3.6Cr
Gross corpus
₹4.1Cr
Eff. return
7.18%
PPF (Public Provident Fund)
Post-tax
₹1.5Cr
Gross corpus
₹1.5Cr
Eff. return
4.2%
NPS at Retirement (Age 60)
Equity Mutual Fund
PPF (Public Provident Fund)
Corpus Growth Comparison
Key Trade-offs
NPS: Locked until 60. 40% forced into annuity (taxed as income). But 80CCD(1B) saves ₹15,600/yr in taxes.
Mutual Fund: Full liquidity, no lock-in. LTCG at 12.5% on gains above ₹1.25L. Higher potential returns but market-linked risk.
PPF: Fully tax-free (EEE). Guaranteed 7.1% return. But 15-year lock-in and ₹1.5L/yr cap limits wealth creation.
Note: NPS and MF returns are market-linked and not guaranteed. PPF rate is revised quarterly by the government. NPS post-tax value includes PV of 20-year post-tax annuity stream. This does not account for Section 80C deductions available on all three instruments. Consult a financial advisor for personalised advice.