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Free · 2025/26 · UK Public Sector

Defined Benefit Pension Calculator 2025/26

NHS · Teachers · Civil Service · LGPSCARE accrual rateLump sum optionEquivalent pot value

Estimate your annual pension from a defined benefit (DB) scheme — including NHS, Teachers’, Civil Service, Local Government, and any final salary or CARE arrangement. Shows the equivalent private pension pot needed to match your DB income.

Defined Benefit Pension Estimator
2025/26
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Estimated Annual Pension
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Monthly Pension
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Equivalent Pot Needed
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Pension Breakdown
DC Pension Forecast →Defined contribution pot growth Annual Allowance →DB pension input & allowance

Main public sector DB scheme accrual rates

NHS 2015
1/54 CARE · CPI-revalued · Normal pension age 65 (linked to State Pension age)
Teachers’ Pension
1/57 CARE (career average) · CPI+1.6% revaluation · NPA 65+
Civil Service Alpha
1/43.1 CARE · CPI revaluation · NPA linked to State Pension age
LGPS (England & Wales)
1/49 CARE · CPI revaluation · NPA 65 · Lump sum 3× pension option

All major public sector schemes moved to Career Average Revalued Earnings (CARE) from 2015. Your pension is based on 1/accrual rate × each year’s pensionable pay, revalued for inflation each year, then summed across your career. It is not based on your final salary (except for pre-2015 service in transitional arrangements).

What the equivalent pot figure means

The “equivalent private pension pot” is the lump sum you would need in a defined contribution (DC) pension to buy the same annual income via an annuity. At typical annuity rates (4–5% of pot per year), a DB pension of £20,000/year is worth roughly £400,000–£500,000 as a pot equivalent. This illustrates why public sector DB pensions are so valuable — and why the employer contributions (14–30% of salary) are so high.

Frequently asked questions

Can I take a lump sum from a public sector DB pension?
Yes — most public sector schemes allow you to commute (convert) some of your pension into a tax-free lump sum at retirement. The exchange rate is typically £12 of lump sum per £1 of pension given up. The maximum tax-free lump sum is £268,275 (the Lump Sum Allowance from April 2024). Taking a lump sum reduces your ongoing annual pension but may be preferable depending on your health, other income, and tax position. The LGPS automatically provides a lump sum of 3× your initial annual pension in addition to your reduced pension.
How does a DB pension affect the annual allowance?
For DB schemes, the pension input amount (used to test against the £60,000 annual allowance) is calculated as the increase in pension over the year multiplied by 16, minus any member contributions. For a career average scheme, this is roughly 16/accrual rate × pensionable pay. On a salary of £50,000 in the NHS 2015 scheme (1/54), the annual pension input is approximately 16/54 × £50,000 = £14,815 — well within the allowance for most members. High earners or those with multiple schemes may need to check.

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