Pension
calculator.

01 / START WITH YOUR NUMBERS

How to use the pension calculator

1. Enter your pot and timeline

   Use your current defined-contribution pension pot, current age and planned retirement age. The calculator does not model a defined-benefit pension or decide when you can access a pension.

2. Add gross monthly contributions

   Enter the amount actually going into the pension, including any tax relief within the personal contribution, plus the employer contribution. The calculator does not add tax relief automatically or check contribution allowances.

3. Explore growth, fees and inflation

   Choose annual growth before fees, an annual percentage fee and inflation. The example values are assumptions, not forecasts. The withdrawal percentage produces a simple income illustration, not a recommended retirement plan.

02 / THE NUMBERS IN PRACTICE

A worked example

The example starts at age 35 with £40,000 already invested, adds £250 of gross personal contributions and £150 from an employer each month, and projects to age 67. It uses 5% growth before a 0.75% annual fee, 2% inflation and a 4% illustrative withdrawal.

03 / UNDERSTAND YOUR RESULT

Future pounds and today's buying power

The headline pot is expressed in future pounds. Inflation means that amount may buy less by retirement. The today's-money figure discounts the projected pot by the inflation assumption for every year of the projection.

For example, £100,000 in twenty years has a lower present buying power if prices rise by 2% a year. The calculator divides by 1.02 raised to the twentieth power. It applies the same adjustment to the illustrative monthly withdrawal. Contributions remain constant in cash terms rather than rising with prices.

04 / UNDERSTAND YOUR RESULT

A withdrawal illustration is not a sustainable income promise

The income figure takes the chosen annual percentage of the final projected pot and divides it by twelve. It does not simulate retirement spending, market movements after retirement, tax or how long the pot will last. A 4% starting value is simply an editable assumption.

Fees and lower returns can materially change a long projection. Try the lower-growth card and compare the result with the default. Investment values can fall, and a smooth annual growth assumption cannot show the sequence or volatility of real returns. MoneyHelper offers further pension planning guidance.

PLAIN ENGLISH, PLEASE

Pension glossary

The terms behind the inputs and results, explained without the guesswork.

Defined-contribution pot

A pension balance built from contributions and investment results, rather than a promised salary-related income.

Gross contribution

The amount entering the pension, including tax relief where applicable. No extra relief is added here.

Employer contribution

The monthly amount entered as paid by an employer into the same projection.

Net growth

The annual growth factor after the percentage fee has been applied.

Inflation

The assumed annual increase in prices used to convert future values into today's money.

Drawdown illustration

A percentage of the projected pot expressed as an annual or monthly withdrawal, without a longevity model.

Today's money

A future projected amount discounted by assumed inflation to show present buying power.

BEHIND THE ESTIMATE

How the calculation works

The annual net growth factor is (1 + growth ÷ 100) × (1 − fee ÷ 100). We convert this factor to an equivalent monthly rate, grow the opening balance and then add gross personal and employer contributions at month-end.

The pot in today's money is the final balance divided by (1 + inflation ÷ 100) raised to the number of years. Monthly withdrawal is the pot multiplied by the selected withdrawal percentage divided by 1,200. State Pension, tax, lump sums, contribution limits and retirement investment performance are not modelled.