How much pension should you have at 23?
The median UK pension pot at age 23 is around £2,500. But is that enough? It depends on the retirement you want. Here are the numbers for all three PLSA living standards — and what you can do if there's a gap.
The median tells you where most people are. Our retirement readiness calculator tells you where you are.
Check your scoreAt 23, most people have barely started thinking about pensions — and that's exactly why starting now is so powerful. Every pound contributed in your early twenties has over 40 years to compound, which means even modest contributions now can outgrow much larger sums invested later.
If you're auto-enrolled, your employer is already contributing alongside you. The legal minimum is 8% of qualifying earnings (3% employer, 5% you). At this age, that alone puts you ahead of the many people who opt out.
The single best move you can make right now is to not opt out, and to increase your contribution by even 1% if you can afford it. The difference in take-home pay is barely noticeable. The difference in your pension at 67 is enormous.
- •Median pot figures are illustrative estimates derived from ONS Wealth and Assets Survey data. Your actual pot depends on your contribution history, employer match, fund choice, and fees.
- •Target pots use the PLSA Retirement Living Standards (2026 single-person spending outside London, excluding rent and mortgage payments) and assume full state pension from age 67, with retirement lasting to age 87.
- •Projections use 5% nominal growth and 0.75% annual fees. Actual returns will vary. Figures are in today's money with 2.5% inflation and contributions that rise with inflation. Targets allow for illustrative 2026/27 England, Wales and Northern Ireland pension income tax; withdrawals are fully taxable and Scottish tax differs.
- •Being above or below the median says nothing about whether you personally are on track — it depends on your target lifestyle, other savings, property wealth, and state pension entitlement.
- •This is general information, not personal financial advice. For personalised guidance, speak to an FCA-regulated financial adviser.
Estimates use 2026/27 tax rates. Illustrative 2026/27 England, Wales and Northern Ireland income tax; pension income only, fully taxable, no tax-free withdrawals or other allowances. Scottish tax differs.