About the Retirement Healthcare Inflation Calculator
What is the Retirement Healthcare Inflation Calculator?
Healthcare is often the fastest-rising cost in retirement. Medical inflation in India commonly runs at 10–14% a year — about double general inflation — and insurance premiums rise sharply with age.
Enter your current yearly healthcare spending (including insurance premiums), expected medical inflation, years to retirement, years in retirement and expected returns. This retirement healthcare cost calculator shows the yearly cost at retirement, the corpus needed and the monthly SIP to build it.
How to use the Retirement Healthcare Inflation Calculator
- Current Yearly Healthcare Cost (₹, incl. insurance premium) (sample: 60,000)
- Medical Inflation (% per year) (sample: 12)
- Years to Retirement (sample: 25)
- Years in Retirement (sample: 25)
- Return on the Corpus After Retirement (% per year) (sample: 7)
- Return Before Retirement (% per year, for the SIP) (sample: 11)
- Press Plan Healthcare Corpus (results also refresh as you type). The result card shows the Healthcare Corpus Needed at Retirement, along with Yearly healthcare cost at retirement, Cost multiplier from medical inflation and Monthly SIP to build this corpus.
Formula used
Corpus = Σ Cost at retirement × ((1 + m) ÷ (1 + r))ᵏ, k = 0 … years in retirement − 1
- Cost at retirement = Current cost × (1 + m)^years to retirement
- m = medical inflation
- r = return on the corpus after retirement
Because medical inflation usually exceeds the portfolio return, the corpus needed can be many times the first year's cost.
Worked example
These are the sample values already filled in the calculator above, and the result it returns for them:
| Input | Sample value |
|---|---|
| Current Yearly Healthcare Cost (₹, incl. insurance premium) | 60,000 |
| Medical Inflation (% per year) | 12 |
| Years to Retirement | 25 |
| Years in Retirement | 25 |
| Return on the Corpus After Retirement (% per year) | 7 |
| Return Before Retirement (% per year, for the SIP) | 11 |
| Result | Value |
|---|---|
| Healthcare Corpus Needed at Retirement | ₹4,65,42,883 |
| Yearly healthcare cost at retirement | ₹10,20,004 |
| Cost multiplier from medical inflation | 17× |
| Monthly SIP to build this corpus | ₹29,262 |
Tips for using the Retirement Healthcare Inflation Calculator
- Buy adequate health insurance early — premiums are lower and pre-existing-disease waiting periods finish before you need them.
- A super top-up policy is a cheap way to raise cover.
- Keep a separate health fund in addition to your retirement corpus.