Pension & Later-Life Calculators

Pension Transfer Calculator

Get Started
Google
Trustpilot

Trusted by over 250,000 people since 2012

Pension & Later-Life Calculators Pension Transfer Calculator

Calculator

Pension Transfer Calculator

Evaluate the potential value and implications of transferring your pension. Compare fee savings for defined contribution pots or estimate the transfer value of a defined benefit scheme.
£
£
%
%
%
£
By law, you must seek independent financial advice before transferring a defined benefit pension with a transfer value over £30,000. This is a legal requirement, not a suggestion.
Your pension includes a Guaranteed Annuity Rate (GAR). This is a valuable benefit that provides a higher guaranteed income than you could buy on the open market. Transferring out means you lose this guarantee permanently. Think very carefully before proceeding.
If you're not sure whether your pension has a Guaranteed Annuity Rate, contact your scheme administrator and ask. GARs can significantly increase the value of your pension and are easily overlooked.
Transfer values are sensitive to interest rates and gilt yields. When interest rates rise, transfer values typically fall. The figure shown is an estimate — your scheme administrator will provide the actual CETV, which is only guaranteed for a limited period (usually 3 months).
This comparison assumes constant growth rates and charges over the full term. In practice, investment returns vary year to year. Even small fee differences compound significantly over long periods — a 0.5% fee reduction on a £100,000 pot over 20 years could be worth over £15,000.

Defined Contribution — Fee Consolidation: Projects your pension pot forward under two fee scenarios using compound growth. Each year, the pot grows by the growth rate minus the annual fee, plus any ongoing contributions. The "consolidation bonus" is the difference between the two projected outcomes.

Defined Benefit — CETV Estimate: The Cash Equivalent Transfer Value is estimated by multiplying your annual pension benefit by a transfer multiple. This multiple reflects current market conditions, gilt yields, and your age.

Critical Yield: The annual investment return your transferred pot would need to achieve, after charges, to replicate the guaranteed income from the DB scheme. This is calculated by finding the rate at which the CETV, growing over the years to retirement, could sustain the annual pension benefit for an assumed 28-year retirement (planning for longevity).

Risk Assessment: A critical yield below 3.5% is generally considered achievable with a balanced portfolio. Between 3.5% and 5% carries moderate risk. Above 5% means you would need consistently strong investment returns to match the DB guarantee — historically difficult to sustain.

These are estimates only. Always seek independent financial advice before making any pension transfer decisions.

Money Helpdesk

Estimates only. Seek independent financial advice. www.moneyhelpdesk.com

Thinking about a pension transfer?

A qualified pension transfer specialist can help you understand your options and make an informed decision. This is one of the most important financial decisions you can make.

Subscribe to our newsletter

Money-saving tips, special offers and new services, straight to your inbox.

We'll never share your email address with third parties.

Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.

If you are thinking of consolidating existing borrowing you should be aware that you may be extending the terms of the debt and increasing the total amount you repay.

Money Helpdesk Logo ! No AI written content
Follow us:

About Money Helpdesk

Legal

Contact

Money Helpdesk is a trading style of LeadCrowd Limited which is registered in England and Wales (10963512).

Our registered office is The 1812 Building, Wheatley Park, Mirfield, West Yorkshire, WF14 8HE.

Money Helpdesk is an independent marketing website that acts as an introducer to FCA regulated companies. The guidance and or advice contained within this website is subject to the UK regulatory regime and therefore primarily targeted to customers in the UK. Any and all personal information that we may collect will be used and held in accordance with our privacy policy. We may use your personal information to contact you or pass your details to other companies associated with us, to contact you (including by telephone) to provide you with details and services in relation to any enquiry you make to us. Any rates shown are for illustrative purposes only, they should not be taken as any form of advice or recommendation. Actual mortgage quotes are based on individual circumstances.

At Money Helpdesk, we strive to provide informative guides and tips, however, please note that you use the information provided at your own risk. We cannot be held liable for any issues that arise from using the information provided.

The information found on our website is not tailored advice specifically for each individual reader and therefore should not be taken as financial advice.

Our team is updated regularly to keep up with changing lender criteria and policies, so be sure to contact one of our advisors for accurate up-to-date information. All of the advisors we work with are qualified to provide advice and partner with firms authorised and regulated by the Financial Conduct Authority. These specialists are regulated professionals who can provide tailored advice that fits your needs.

The Financial Conduct Authority does not regulate Will Writing, Estate Planning and some forms of Mortgages. © Copyright LeadCrowd Limited.

The rates shown are for illustrative purposes only, they should not be taken as any form of advice or recommendation. Actual mortgage quotes are based on individual circumstances.

Money Helpdesk and its branding are registered trademarks with the Intellectual Property Office under numbers UK00004153476 and UK00004153478.