UK Pension Calculator

Calculate your retirement income from workplace pensions and SIPPs

Last updated: February 2026

Your Details

£

Total value of all your pension pots

£

Contributions

%
%
Salary Sacrifice?

Saves NI as well as income tax

Growth & Fees

%

Typical: 4-6% (conservative to moderate)

%

Check your pension statement. Typical: 0.2-1.5%

Net Return After Fees4.25%

Retirement Target

£
Include State Pension?

£221.20/week (full rate)

✓ You're on track!

£25,348/year

Projected retirement income (inc. State Pension)

Target: £25,000/year

Surplus: £348

Projected Pot at 67
£461,518
Tax-Free Lump Sum (25%)
£115,379.5
Monthly Income
£2,112

Your Contributions

Your Contribution (5%)£2,500/year
Employer Contribution (3%)£1,500/year
Total Annual£4,000/year
Monthly equivalent£333/month

💰 Tax Relief (Net Pay)

Basic rate relief (20%)£500
Total annual benefit£500

Pension Growth Projection

At Retirement (Age 67)

Total Contributions£173,000
Investment Growth+£288,518
Total Pension Pot£461,518
Tax-Free Lump Sum (25%)£115,379.5
Remaining for Drawdown£346,138.5
Annual Drawdown (4% rule)£13,846/year
State Pension+£11,502.4/year
Total Annual Income£25,348

Understanding UK Pensions

Everything you need to know about building your retirement fund

Auto-Enrolment Minimums

Who PaysMinimum
You5%
Employer3%
Total8%

Why Contribute More?

  • • Many employers will match extra contributions
  • • Tax relief makes it cheaper than you think
  • • Compound growth rewards early savers
  • • 8% total often isn't enough for a comfortable retirement

Salary Sacrifice Benefits

If your employer offers salary sacrifice, your pension contribution comes out BEFORE tax and NI are calculated. This saves you an extra 8% (employee NI rate) on top of your income tax relief. A £100 contribution might only "cost" you £58 in take-home pay for a basic rate taxpayer.

Calculations based on 2025/26 tax year. State Pension shown at current full rate.