How much pension should you have at 25?
The median UK pension pot at age 25 is around £4,500. 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 scoreYour late twenties are when pension contributions start to feel real. You may have changed jobs once or twice, possibly leaving behind a small pot or two. If you haven't already, now is the time to track down any old workplace pensions — they're your money, and consolidating them into one pot can reduce fees and make planning easier.
At 25, you still have 35+ years of compounding ahead of you. A £200/month contribution started now could grow to over £200,000 by retirement at 5% growth — even without any increase in contributions over time.
If your employer offers salary sacrifice, check whether you're using it. It saves both you and your employer National Insurance, meaning more money goes into your pension for the same cost to you.
- •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.