Investment calculator: What will be the value of Rs 1 crore after 60 years? – Money News

NPS Calculator: The Center has recently launched an NPS (National Pension System) scheme for minors. The scheme called NPS Vatsalya, which will be regulated by the Pension Fund Regulatory Development Authority (PFRDA), is a pension investment scheme which is also an expanded version of NPS.

Under NPSs In the Vatsalya scheme, parents can deposit at least Rs 1,000 per year on behalf of their minor children. However, there is no limit on the maximum contribution, serving as a meaningful way for parents to provide financial support to their children until they start earning money. invest on their own.

NPS Vatsalya Scheme: How much do you need to invest to create Rs 1 crore corpus for your child?

NPS Vatsalya program attracts attention due to its interesting benefits. With an investment as low as Rs 275 per month or Rs 3,300 per year, this plan offers the potential to build a significant corpus of Rs 1 million by the time the child reaches the age of 60 and retires.

Also read: NPS Vatsalya: Invest Rs 10,000 annually and your child will get Rs 11 crore in retirement – Check calculations

Understanding the investment breakdown:

Here’s a detailed look at how this investment can accumulate over time:

Monthly Investment: Rs 275 or

Annual Investment: Rs 3,300

Investment Duration: 60 years

Return on investment rate: 10%

Total Investment for 60 Years: Rs 1,98,000

Projected Returns:

With a disciplined investment approach, projected returns can be significant:

Total Return on Investment: Rs 98,17,198

Total Corpus at Retirement (60 years): Rs 1,00,15,198

While Rs 1 billion may seem like a significant amount today, it is important to consider its future value. If we assume that inflation will be 6% annually for the next 60 years, the purchasing power of this amount will decrease significantly. Let’s explore what Rs 1 crore will actually be worth in six decades.

Given an annual inflation rate of 6% for the next 60 years, the value of Rs 1 crore would be approximately Rs 9.18 lakh in today’s terms. We present this calculation to show how the decline in the value of the rupee over the medium and long term highlights the importance of careful retirement planning. We often plan our finances based on today’s purchasing power, but this will gradually decrease over time.