Pension Accumulation Calculator
Estimate your pension corpus from annual contributions and investment returns. Free retirement planning calculator for any country.
How to use
- Enter your annual pension contribution.
- Enter the expected annual return rate.
- Enter years until retirement.
- Click Calculate to see your projected corpus.
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A pension accumulation calculator shows how annual contributions to a retirement account grow into a corpus over time. Whether you contribute to a personal pension, an IRA, or any other retirement vehicle, the math is the same: consistent contributions compounded at a rate of return over many years.
Time is the most powerful variable. Contributing £5,000 per year at 7% for 30 years gives approximately £472,000. Waiting 5 years and contributing for only 25 years gives £316,000 — you contribute £25,000 less but end up with £156,000 less corpus. This is why starting a pension early, even with small amounts, is more impactful than contributing larger amounts later.
Frequently Asked Questions
How much should I contribute to my pension?
A common rule: save half your age as a percentage of salary — at 30, save 15%. Another: aim for a pot of 20–25× your desired annual retirement income. Work backward from your target corpus using this calculator.
What return rate should I assume?
UK/US diversified pension funds have historically returned 5–8% over long periods. A conservative 5–6% is recommended for planning to avoid overestimating. Guaranteed/annuity products typically offer 3–5%.
What is the difference between defined benefit and defined contribution?
Defined benefit (DB): employer promises a specific monthly payment based on years of service. Defined contribution (DC): you invest contributions and the final amount depends on market performance. This calculator models DC pensions.
Can I use this for state pension estimates?
State pensions (Social Security US, State Pension UK) are pay-as-you-go systems funded by current workers, not investment-based. For state pension estimates use your country's official forecast service. This calculator is for investment-based pension pots only.
Disclaimer: Results are estimates for informational purposes only and do not constitute financial, tax, or investment advice. Figures may vary based on actual terms. Always consult a qualified financial advisor before making financial decisions.