What could a £5,000 pension pot grow to — compare the assumptions.
Project a £5,000 pension pot forward with regular contributions. See how compound growth and time turn small starting amounts into real retirement savings.
A starting pot alone does not determine retirement income. Compare the contribution, time, growth and fee assumptions below, including low-return scenarios. The result separates the starting pot and subsequent payments from modelled investment growth or loss. Inflation changes purchasing power, and future withdrawals may be taxable. These illustrations do not assess whether a contribution level or investment is suitable for you.
Understanding the projection
How does this pension compound-interest calculator work?
For illustration, a starting pot of £5,000, £200 paid into the pension at each month-end, 5% assumed annual growth and a 0.75% annual fee produces about £163,019 after 30 years. The model divides growth less fees by 12 and compounds monthly. This is a constant-rate scenario in future pounds, not guaranteed interest or a forecast.
What growth rate should I use?
There is no single reliable rate for every pension. Returns depend on investments, charges and market conditions. Compare several assumptions, including low or negative growth. The default is an illustration, not an FCA-approved forecast or a statement about the suitability of an investment.
How is inflation shown?
The headline, chart and milestones show future pounds. The separate purchasing-power figure divides the final pot by (1 + the annual inflation assumption) raised to the number of years. It shows an equivalent in today's money, before withdrawal tax. Contributions stay fixed in cash terms.
Should contributions include employer payments and tax relief?
Enter the total monthly amount credited to the pension, including employer contributions and any relief credited to it. The calculator adds no extra tax relief and does not check contribution allowances. The starting pot plus payments is different from your personal out-of-pocket cost.
What does the fee comparison show?
It compares two otherwise identical scenarios with and without the selected fee. The difference includes charges and foregone growth. Actual charging structures can differ, and a lower modelled fee is not a recommendation to change pension or investment.
For a broader view of retirement income, see MoneyHelper’s pension calculator.