Pension Calculator
Planning for retirement early can make a significant difference to your financial future. This pension calculator has two modes: "Save for retirement" shows how much your savings will grow by the time you retire, and "Monthly payout" calculates how much you can withdraw each month from an accumulated fund. Results are approximate and depend on actual market returns, inflation, and your country's pension regulations.
Frequently Asked Questions
How much should I save each month for retirement?
A common rule of thumb is to save 10–15% of your gross income. The earlier you start, the less you need to save monthly thanks to compound growth. Use this calculator to find the monthly contribution needed for your target capital.
What annual return should I use?
A conservative estimate is 4–5% (bonds, conservative funds). A moderate estimate is 6–8% (balanced portfolio). An aggressive estimate is 8–10% (stock-heavy portfolio). Always use net-of-fees return. For the payout phase, 3–4% is safer as you're drawing down capital.
What is the "Monthly payout" tab for?
The payout tab answers: "If I have X amount saved, how much can I withdraw monthly over Y years?" It calculates the monthly payment from a fixed capital pool, assuming that capital earns a return while being drawn down.
Why is the disclaimer important?
Government pension benefits, tax treatment of savings, fund management fees, and inflation all affect your real purchasing power in retirement. This calculator shows the math of compound growth and drawdown — it cannot predict future markets or policy changes.
At what age should I start saving for retirement?
The earlier the better. Starting at 25 vs 35 can result in more than double the capital by retirement, even with the same monthly contribution, purely due to compound interest working for an extra 10 years.