Each year you will receive a benefit statement that shows you how much you already have saved in your pension account and, importantly, what you might have when you want to retire. It’s a really useful document to help you plan your future.
You can check your savings and expected pension year on year, and check that all your personal details are correct.
You should remember that the pension figures in your statement are for illustration purposes only and are not guaranteed. Your investments can go up as well as down, and past performance is no guarantee of future performance.
We also use a range of assumptions to calculate your estimated pension, and what we have assumed may not be what actually happens.
The projections shown on your 2024 DC benefit statement were calculated using the following financial assumptions:
|
Projected pension |
| Salary growth |
2.5% per annum |
| Retail Price Index (inflation) |
2.5% per annum |
Your projections are shown in today’s prices. This means we’ve allowed for future inflation to give you an indication of the buying power of your pension as if it were payable today.
The following investment return assumptions have also been used (net of any fund management charges).
You should note that assumptions have been made about the nature of investments and their likely performance and that this may differ from their actual performance.
| Assumed fund performance |
Investment Assumption (net) |
| Aegon BlackRock Over 15 Years Gilt Index Fund |
6.89% |
| Aegon BlackRock Cash Fund |
1.87% |
| Aegon BlackRock Over 5 Year Index-Linked Gilt Index Fund |
6.89% |
| Aegon BlackRock Over 15 Years Corporate Bond Index Fund |
6.84% |
| Aegon BlackRock UK Equity Index Fund |
6.90% |
| Aegon BlackRock 30/70 Currency Hedged Global Equity Index Fund |
6.84% |
| Aegon BlackRock World ESG Equity Tracker Fund |
6.80% |
| Aegon HSBC Islamic Global Equity Index Fund |
6.57% |
| Aegon LGIM Diversified Fund |
5.62% |
| Aegon LGIM Future World Annuity Aware Fund |
5.79% |
We have changed the way we calculate the amount you may receive as an annual pension. You may see a significant difference when comparing this figure to the one shown in previous benefit statements because of these changes.
The annual pension you could receive is now based on the assumption that you will purchase an annuity that:
- Has a five-year guarantee
- Issues level payments to you that do not increase over time
- Provides for you solely
- Does not take your gender into consideration.
This has been changed in line with new legislation for pension illustrations. Previously we have calculated the annual pension you could receive on the basis of you purchasing an annuity that would:
- Have a five-year guarantee
- Issue payments that increase annually in line with the Retail Price Index (RPI) to a maximum of 5%
- Provide a pension for your spouse of 50% of your pension in the event of your death
- Take your gender into consideration.
Read our FAQ sheet to help answer any questions you may have about your benefits.