Targetting ₹1.5 crore retirement corpus? Here’s how to calculate how much you really need

HDFC Pension Fund Management’s 2nd edition of the National Pension System Preference Index Study 2026 looked at consumer outlook on retirement planning and the NPS.

It found that preference for NPS among Indians has risen to 57 (out of 100), up three points from the inaugural 2023 reading of 54; and surveyed Indians preferred it as an instrument for retirement planning.

The study surveyed 1,812 consumers aged between 30-55 years, to understand their outlook towards retirement and financial preparedness at key life stages and track the change in preference for NPS over the last three years.

Retirement planning among top financial priorities

As per the report, emergency preparedness is gaining ground, though medical costs continue to lead; and retirement competes with health and children’s education as top concerns. Meanwhile, rising healthcare costs and medical concerns continue to be the primary post-retirement worries

Financial adequacy forms a persistent second layer of concern

The ideal retirement corpus, though growing, still remains below recommended levels, it added. “The estimated retirement corpus continues to be underestimated. ₹1.5 crore is the ideal retirement corpus savers now target, up from ₹I.34 crore in 2023, still under 10x annual income,” the report said.

It noted that surveyed individuals believed as follows:

• 69% expect some financial support from family or children post-retirement.
• 35% separately cite losing financial independence as a top worry.

Why consumers plan, delay retirement savings

As per the report, health concerns drive planning while complacency delays it, but most believe they’re already provided for — the barrier isn’t fear, it’s a false sense of readiness, not anxiety.

Is ₹1.5 crore enough? Calculate how much you need…

When it comes to saving for retirement, the study noted that surveyed consumers targetted ₹1.5 crore as the ideal retirement corpus but added that this blanket number may not be the correct amount needed by all. It stated that your ideal retirement savings, must be at least 10x your current annual income.

As per the HDFC Pension suggestion, saving 10x your annual income works out as follows:

• For ₹2-3 lakh annual income — Retirement corpus needed would be ₹20-30 lakh.
• For ₹5-7 lakh annual income — Retirement corpus needed would be ₹50-70 lakh.
• For ₹10-12 lakh annual income — Retirement corpus needed would be ₹10-12 crore.
• For ₹20-25 lakh annual income — Retirement corpus needed would be ₹20-25 crore.

Another method of calculating your likely retirement requirement is to calculate 300x your monthly expenses, according to CA and financial advisor Nitin Kaushik. He noted that anyone with lifestyle expenses of around ₹1 lakh/month in 2026 would thus require around ₹3.5 crore corpus to sustain a similar lifestyle at time of retirement.

• For ₹10,000 monthly expenses — Retirement corpus needed would be ₹30 lakh.
• For ₹25,000 monthly expenses — Retirement corpus needed would be ₹75 lakh.
• For ₹50,000 monthly expenses — Retirement corpus needed would be ₹1.5 crore.
• For ₹1,00,000 monthly expenses — Retirement corpus needed would be ₹3 crore.

Some major factors to take into consideration include identifying your goals and aspirational lifestyle post-retirement. This includes your family situation, health status, possible devaluation of net worth due to inflation and other factors such as healthcare inflation and longevity.

Disclaimer: This story is for educational purposes only. The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.