Pension Multiplier Calculator

Calculate your pension multiplier based on your pensionable earnings and age. This calculator helps you estimate how much you'll receive from your pension scheme.

Input Parameters

Calculation Results

Calculation Formula

Pension Multiplier = 1 + (Pension Age - Age) × 0.04

Where:
Pension Multiplier: The multiplier applied to your pensionable earnings
Pension Age: The age at which you start receiving your pension
Age: Your age at the pension age

Pension Multiplier Calculator Calculator Usage Guide

Learn how to use the Pension Multiplier Calculator calculator and its working principles

How to Use the Calculator

  1. Enter your pensionable earnings (annual salary up to the pensionable limit).
  2. Enter your age at pension age (the age when you're expected to start receiving your pension).
  3. Enter your pension age (the age when you start receiving your pension).
  4. Click the Calculate button to see your pension multiplier and estimated annual pension amount.
  5. Click the Reset button to clear all inputs and start over.

Understanding the Formula

The pension multiplier is calculated using the formula:

Pension Multiplier = 1 + (Pension Age - Age) × 0.04

This formula assumes a standard pension scheme where the multiplier increases by 4% for each year you delay taking your pension until your pension age.

Example

If your pensionable earnings are £30,000, your age at pension age is 60, and your pension age is 65, your calculation would be:

  • Years until pension: 65 - 60 = 5 years
  • Pension Multiplier: 1 + (5 × 0.04) = 1.20
  • Estimated Annual Pension Amount: £30,000 × 1.20 = £36,000

Important Notes

This calculator provides an estimate based on standard assumptions. Your actual pension amount may vary based on your specific pension scheme, contributions, and other factors.