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Pension Payout Calculator

Forecast your future pension balance from current savings and ongoing contributions, then convert it into an inflation-aware monthly payout over your chosen retirement horizon.

Author: Ugo Candido Reviewed by: Retirement Planning Editor Last updated: Category: Finance → Retirement

Must be greater than current age.

Set to zero if just starting to save.

Gross return before fees.

Includes fund fees and plan admin costs.

Used to determine monthly income.

Results

Projected nest egg (nominal)

$0

Projected balance (today’s $)

$0

Total contributions

$0

Investment growth

$0

Estimated monthly income (today’s $)

$0

Inflation-adjusted withdrawal rate

0%

Enter values and click calculate to see projections.

Data Source and Methodology

Contribution growth is modelled using standard future value of an annuity formulas. Withdrawal estimates rely on the inflation-adjusted annuity formula recommended by the UK MoneyHelper pension calculator and US CFP® guidance for sustainable drawdown ranges (3%–5% real).

All calculations are strictly based on the formulas and data provided by these sources.

Key Formulas

Future value of contributions

\[ FV_{\text{contrib}} = P \times \frac{(1 + i)^{n} - 1}{i} \]

Total balance

\[ FV_{\text{total}} = B_0 (1 + r_{\text{net}})^t + FV_{\text{contrib}} \]

Inflation-adjusted monthly income

\[ W = \frac{FV_{\text{real}} \times r_{\text{real}}/12}{1 - (1 + r_{\text{real}}/12)^{-12y}} \]

Glossary

  • Net return: Gross return minus annual fees.
  • Contribution frequency: How often you deposit into the pension.
  • Inflation assumption: Used to translate future values into today’s money.
  • Withdrawal horizon: Number of years you expect the pension to last in retirement.

Frequently Asked Questions

How realistic are the return assumptions?

Use long-term average returns for your asset mix, then subtract the total expense ratio of your pension funds to estimate net return.

Can I model a lump-sum withdrawal?

Yes. Set the payout horizon to 1–5 years and review the monthly income figure—it represents the fixed payment needed to spend down the pot.

How should I treat employer contributions?

Add the expected employer match per contribution period. The calculator treats it as additional, guaranteed deposits.