Finance

Pension Calculator

Defined benefit pension income.

Enter your values

Enter the years of service you are working with.

Enter the final average salary in $.

Enter the accrual multiplier in %/yr.

Enter the annual cola in %.

Results update instantly as you type — no submit needed. Your values are remembered on this device, and the shareable link reopens the calculator with exactly these numbers.

Results
Annual pension
$42,120.00
Monthly pension
$3,510.00
Replacement ratio
54%
Value after 10 years of COLA
$51,344.04
20-year total (with COLA)
$1,023,405.22

Quick answer

A defined benefit pension pays years of service × accrual rate × final average salary each year in retirement.

Pension = Years × Multiplier × Final salary

At a glance

What it doesDefined benefit pension income.
CategoryFinance
Inputs neededYears of service, Final average salary, Accrual multiplier, Annual COLA
Main outputAnnual pension
FormulaPension = Years × Multiplier × Final salary
CostFree — no sign-up, no download

How to use the Pension Calculator

  1. 1Enter your total years of pensionable service.
  2. 2Enter final or final-average salary.
  3. 3Enter the scheme's accrual multiplier.

Inputs explained

Years of service
Enter the years of service you are working with.
Final average salary($)
Enter the final average salary in $.
Accrual multiplier(%/yr)
Enter the accrual multiplier in %/yr.
Annual COLA(%)
Enter the annual cola in %.

Worked example

Using the values the calculator loads with:

Inputs

  • Years of service30
  • Final average salary78000 $
  • Accrual multiplier1.8 %/yr
  • Annual COLA2 %

Results

  • Annual pension$42,120.00
  • Monthly pension$3,510.00
  • Replacement ratio54%
  • Value after 10 years of COLA$51,344.04
  • 20-year total (with COLA)$1,023,405.22

Frequently asked questions

What is a typical multiplier?

US public plans commonly use 1.5–2.5% per year of service.

Is a pension inflation-protected?

Some plans offer a COLA, many do not — check your scheme rules.

What do I need to enter into the Pension Calculator?

Just 4 values: years of service, final average salary, accrual multiplier, annual cola. Every field starts with a realistic example, so you can change one number at a time and watch the result update instantly.

How does the Pension Calculator work out the answer?

A defined benefit pension pays years of service × accrual rate × final average salary each year in retirement. It applies the formula Pension = Years × Multiplier × Final salary and shows the working so you can check each step by hand.

Is the Pension Calculator free, and do I need an account?

It is completely free with no sign-up, no download and no usage limit. Everything is calculated in your browser, so the numbers you type never leave your device.

Results are estimates for general information. For medical, legal, structural or financial decisions, confirm with a qualified professional.