OCF (Ongoing Charges Figure)
The total annual cost of a fund, including the fund manager's charge and other operating costs. Previously called the TER (Total Expense Ratio).
The OCF is charged by the investment fund you're invested in — it's separate from the platform/AMC fee charged by your pension provider. Your true total cost is platform fee + fund OCF. Index tracker funds typically have OCFs of 0.05-0.25%. Actively managed funds charge 0.5-1.5%.
The OCF is important because it compounds alongside the AMC. A pension charging 0.5% AMC invested in a 1% OCF fund has a true cost of 1.5% — which on a £100,000 pot costs roughly £1,500/year. Switching to an index tracker with a 0.15% OCF drops the total to 0.65%, saving £850/year.
This calculator provides estimates based on 2025/26 tax rates and is not financial advice. Scottish taxpayers are subject to different income tax rates and bands. The calculations assume your salary is your only source of income and do not account for benefits in kind or other taxable income.
For personalised guidance on your pension contributions, speak to an FCA-regulated financial adviser. You can find one via Unbiased or VouchedFor.