Workplace Pension
Employer-sponsored pension with automatic enrollment and valuable employer contributions.
8%
Minimum contribution
5% employer + 3% you
Age 55
Access age
Rising to 57 in 2028
20%
Tax relief
Higher earners get more
How It Works
Automatic enrollment means your employer must provide a pension. Both you and your employer contribute, and you get tax relief automatically.
Example: £30,000 Salary
Types of Workplace Pension
Defined Contribution (DC)
Most common type today
- • Pot depends on contributions
- • Investment performance matters
- • You bear investment risk
- • Flexible at retirement
Defined Benefit (DB)
Less common, very valuable
- • Guaranteed income for life
- • Based on salary & service
- • Employer bears risk
- • Usually public sector
Investment Strategies
Conservative
Lower risk, stable returns
• 60-70% bonds
• 20-30% stocks
• Expected: 3-5% yearly
Balanced
Moderate risk & growth
• 50-60% stocks
• 30-40% bonds
• Expected: 5-7% yearly
Growth
Higher risk, max growth
• 80-90% stocks
• 10-15% bonds
• Expected: 7-10% yearly
Lifestyling
Auto risk reduction
• Starts aggressive
• Becomes conservative
• Most common default
Understanding Your Pension
Employer Match
Employers typically match contributions up to a certain percentage
Contribution Increases
Contributions can be increased when salary increases
Investment Review
Investment strategies can be reviewed and adjusted over time
Pension Consolidation
Multiple pensions can be combined for easier management
Calculate Your Pension Potential
Use our retirement planner to see how your workplace pension contributions could grow over time.
Disclaimer: Past performance doesn't guarantee future results. 7% is a historical average - actual returns vary. Investments can go down as well as up. For educational purposes only, not financial advice.
💡 Showing example calculation with default values. Enter your personal details below and click "Calculate My Monthly Target" to see your personalized retirement plan.
Your target retirement fund
Your current pension/savings
Typical: 7-8% for stocks, 4-5% for bonds
Enter your details and
click Calculate to see your results
Workplace Pension Questions?
Contact us for information about workplace pension contributions and investment options.