UK Pension Calculator
Calculate your retirement income from workplace pensions and SIPPs
Last updated: August 2026
Your Details
Total value of all your pension pots
Contributions
Auto-enrolment minimums (8% total, at least 3% from the employer) apply to qualifying earnings: the slice of pay between £6,396 and £50,270. On a £50,000 salary that is £43,604, not the full salary. The lower limit is set annually by DWP and we have not confirmed the 2026/27 figure against an official source, so check the DWP automatic enrolment thresholds review before relying on it. It is not the same as the National Insurance Lower Earnings Limit.
Saves NI as well as income tax
Growth & Fees
Typical: 4-6% (conservative to moderate)
Check your pension statement. Typical: 0.2-1.5%
Retirement Target
£241.30/week (full rate)
✓ You're on track!
£25,070/year
Projected retirement income (inc. State Pension)
Target: £25,000/year
Surplus: £70
Your Contributions
💰 Tax Relief (Net Pay)
Pension Growth Projection
At Retirement (Age 67)
Understanding UK Pensions
Everything you need to know about building your retirement fund
Auto-Enrolment Minimums
| Who Pays | Minimum |
|---|---|
| You | 5% |
| Employer | 3% |
| Total | 8% |
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.
A SIPP (Self-Invested Personal Pension) gives you control over your investments. Ideal for self-employed people, additional retirement saving, or consolidating old workplace pensions.
✅ SIPP Advantages
- • Wide investment choice (funds, shares, ETFs)
- • Usually lower fees than workplace pensions
- • Consolidate multiple old pensions
- • Full control over your investments
- • Tax relief claimed automatically (20%)
⚠️ Things to Consider
- • No employer contributions
- • You're responsible for investment choices
- • Higher rate taxpayers must claim extra relief via tax return
- • Minimum age to access: 55, rising to 57 on 6 April 2028
Popular SIPP Providers
Vanguard, AJ Bell, Hargreaves Lansdown, Interactive Investor, Fidelity. Compare fees carefully - a 0.5% difference in annual charges can cost tens of thousands over your lifetime.
Calculations based on 2026/27 tax year. State Pension shown at the full new rate (£241.30/week from 6 April 2026).
Related calculators
Other free UK tools that follow on from this calculation.
Pension Drawdown Calculator
How long a pension pot lasts at a chosen annual withdrawal, with the 25% tax-free lump sum.
Salary Sacrifice Calculator
How much pension you actually buy for every pound of take-home pay you give up.
State Pension Calculator
Check your State Pension age and estimate weekly pay at the £241.30 full new rate.
Annuity Calculator
Convert a pension pot into a guaranteed retirement income, single or joint life.
Reviewed by
Alexandre Bernier, LLM (UK), CFP®, CIM®, PFP®. Financial planner with 18 years in banking and wealth management, holding a UK master of laws and the Canadian CFP®, CIM® and PFP® designations. Writes and reviews every calculator and article on FinanceToolz.
Last updated: August 2026. How figures are sourced, reviewed and corrected is set out in our editorial policy. This is general information, not regulated financial advice.
Sources
Every rate and threshold used by this calculator is taken from the official pages below. If a figure here disagrees with one of these, the official page is right, please tell us.