About this tool
Why use this tool
The retirement simulator provides a simplified estimate of the pension income you can expect. It helps you assess whether the State Pension plus workplace pensions will cover your desired retirement lifestyle, or if you need to boost SIPP or ISA contributions. Planning early makes an enormous difference thanks to compound growth and tax relief.
How it works
The tool combines the new full State Pension (about £11,502/year in 2026 with 35 qualifying NI years) with a workplace pension replacement rate estimate. State Pension age is 66 rising to 67 by 2028 and 68 from 2044. Every year of NI contributions below 35 reduces the State Pension proportionally; missing years can sometimes be filled with voluntary Class 3 contributions.
Real example
A worker earning £40,000/year with 35 NI years and 30 years of 8% total (5% employee + 3% employer) auto-enrolment contributions at 5% real return would retire with roughly £11,500 State Pension plus £14,000/year from a £280,000 pension pot at a 5% drawdown — totalling around £25,500/year, close to two thirds of pre-retirement income.
Practical tips
Check your State Pension forecast at gov.uk/check-state-pension. Maximise workplace pension employer match — a 3% employer match on a 5% employee contribution is an instant 60% return. Consider salary sacrifice to save Income Tax and NI. Open a SIPP for extra tax-relieved contributions (up to 100% of earnings, capped at £60,000/year annual allowance). Use a Lifetime ISA if under 40 for a 25% government bonus. Delay State Pension to earn 1% extra for each 9 weeks deferred.
Disclaimer
This simulation is indicative and does not model defined benefit schemes, final salary pensions, protected retirement age, spouse or dependants' benefits. State Pension rules change (triple lock, age reviews). For a precise figure, use the official Check Your State Pension service on gov.uk and speak to a Pension Wise adviser (free) or an FCA-authorised financial adviser.