The corpus behind ₹1 lakh a month, 15 years from now
Retirement planning has one honest input: what you spend, not what you earn. ₹1 lakh a month today becomes about ₹2.4 lakh a month in 15 years at 6% inflation. Funding that indefinitely — the standard rule is 25 times the annual figure, so a 4% withdrawal rate — puts the corpus at roughly ₹7.19 crore.
- Spending today
- ₹1,00,000/mo
- Same lifestyle then
- ₹2.4L/mo
- Corpus needed
- ₹7.19Cr
- Monthly investment
- ₹1,58,130
your current outflow
at 6% inflation
25× annual spending
from today, for 15 years
What the delay costs
| Start in | Years left | Monthly investment needed | Extra per month |
|---|---|---|---|
| Now | 15 years | ₹1,58,130 | — |
| 2 years | 13 years | ₹2,09,129 | +₹50,999 |
| 5 years | 10 years | ₹3,31,339 | +₹1,73,209 |
| 10 years | 5 years | ₹9,53,276 | +₹7,95,146 |
Every year of waiting is paid for by every year that follows.
Where the corpus comes from
| Source | What it typically covers | Counted here? |
|---|---|---|
| EPF and PPF | A meaningful base for salaried households | Yes — count the projected balance against the corpus |
| NPS | Tier-1 corpus, part of which must buy an annuity | Yes, with the annuity rule in mind |
| Equity mutual funds | The growth engine over a long horizon | Yes |
| Property you live in | Shelter, not income | No — it does not pay the grocery bill |
| Gold | A hedge, not a salary replacement | Partly |
The corpus above is the total across everything that can actually generate income.
Why 25 times, and when it is wrong
Twenty-five times annual spending corresponds to withdrawing 4% in the first year and adjusting for inflation after that — a rule drawn from long-run market history, not a guarantee. Retiring early, expecting a long retirement or holding a conservative portfolio all argue for 30 times. A pension, rental income or a working spouse argues for less.
The number that ruins retirement plans
Healthcare. Medical inflation in India runs well ahead of general inflation, and cover gets harder and pricier to buy as you age. A family floater plus a super top-up bought young, and kept alive for life, protects the corpus from the single expense most likely to break it.
What to do in the last five years
Start moving money from equity to debt about five years out, so a bad market in the final year does not decide your retirement date. Keep two to three years of spending in genuinely safe assets from day one of retirement — that is what stops you selling equity into a crash.
Where FamTally comes in
FamTally builds this from your actual outflow rather than a guess, and its five-year forecast shows what your net worth does as loans close, income changes and assets appreciate. Log your EPF, PPF, funds and property once, and the gap between where you are and ₹7.19 crore stops being a mystery. Free to use.
Stop doing this in a spreadsheet
FamTally keeps your loans, income, expenses, assets, insurance and goals in one place, forecasts five years ahead, and answers questions about your own numbers. Free, and built for Indian families.
Start freeQuestions people ask
How much do I need to retire?
About ₹7.19 crore, if you spend ₹1 lakh a month today and retire in 15 years. That is 25 times the inflation-adjusted annual spending of ₹28.76 lakh.
How much should I invest every month?
Roughly ₹1,58,130 a month for 15 years, assuming 11% a year. Anything you already hold in EPF, PPF or funds reduces that figure.
Does EPF count towards this?
Yes. Project your EPF and PPF balances forward to your retirement date and subtract them from the corpus — the monthly investment above only needs to cover the shortfall.
Is my house part of my retirement corpus?
Only if you intend to sell it or rent it out. The home you live in provides shelter, not income, so it should not be counted against the spending it cannot pay for.