A pension calculator is a utility which allows the user to calculate how much money they will have saved by the time they reach their retirement age.
By telling the calculator how much money you plan to save, how much your employer makes in the way of contributions, and at what age you intend to retire, the calculator will give you an estimate of what your pension pot will be worth.
The calculator can even go one step further and estimate how much money you will receive each month from your annuity, although these figures should be looked at with some caution, as there is no guaranteed annuity rate information for that period, and everyone’s health circumstances are different.
Our sister site PensionCalculator.org offers an up-to-date pension calculator, as well as lots of information on all things pension-related, including the latest news and expert views.
It’s important to note that these calculators only provide you with an estimate, as they cannot predict interest rates and individual growth rates of various products.
The calculator should, however, be used to give you an idea of how much you are currently saving towards your retirement, and how much extra you should be looking to put aside to make the most of your retirement years.