The easy way to work out how much to put away for your retirement
Planning for the retirement you want
Have you thought about how you will replace your salary when you retire?
It's difficult to know how much you need to pay into a pension to get the income you'd like in retirement. This simple calculator will give you an idea of how much to put away each month to help achieve your goal.
Notes to be read alongside the calculator
The calculator doesn’t take into account what you may receive in state benefits or from any other source. Please note, the calculation is only a guide and cannot be guaranteed. It doesn't represent a quotation of what you might receive. Actual figures will vary in individual circumstances.
These figures are based on a Stakeholder Pension and assume a yearly investment growth rate of 7% with fund charges of 1% each year.
We've assumed that your payments increase annually in line with the Retail Prices Index.
We've assumed that the RPI rises by 2.5% every year.
We've asked you to input your required income in 'today’s money' terms. Normally inflation would reduce what this could buy when you come to retire. However, in this calculation we have allowed for the effect of inflation so that the buying power of your eventual retirement income is maintained. As above we've assumed that inflation is in line with the Retail Prices Index.
This calculator assumes you are a basic rate tax payer and that tax relief will be added to the premium you pay. The premium shown is the actual amount you would pay.
The figures assume the annual income is paid in monthly instalments at the start of each month for the rest of your life and increases at 3% every year with a 50% spouse's pension.
There are certain limits relating to how much you can pay into your pension.
Tax rules can change. The value of an investment is not guaranteed and can go down as well as up depending on investment performance (and currency exchange rates where a fund invests overseas). You could get back less than you invested.
This calculator is for illustrative purposes only. You should review your needs with a financial adviser before investing. Key Features, together with a projection which is personal to your circumstances will be provided before you make a decision to invest.
