Read about Katie

Katie is 36 year's old and is around 30 years away from her Target Retirement Date.

• Last year we estimated her pension account could be worth £138,000.
• This year we estimate her pension account could be worth £99,800.

We’ve not assumed anything different about how much Katie earns or pays in, but the new assumptions about how much her investments will make mean we estimate she will have less when she reaches her Target Retirement Date.

We used these account values to estimate how much monthly pension Katie could buy. 

• Last year we estimated she could get a monthly income of £266 when she came to retire.
• This year we estimate she could get a monthly income of £491 when she comes to retire.

Remember, this is calculated on the basis that Katie will buy a pension that:

• Has a five-year guarantee
• Issues level payments to her that do not increase over time
• Provides for Katie solely
• Does not take her gender into consideration

Pensions that increase each year and pay benefits for a spouse on your death are generally more expensive. This is why last year Katie’s monthly pension was lower than the estimate for this year. 

* Numbers are approximate and have been used for illustration purposes only.