Smart Calculator

Pension Calculator

Pension Calculator

Compare lump sum vs monthly pension, single vs joint survivor, or retiring at different ages.

Pension Options

Lump Sum vs Monthly Pension

Pension Results
Compare your pension options

Enter your pension information to see your results

How to Use the Pension Calculator
  1. Choose Your Comparison: Select from three pension decision scenarios using the tabs
  2. Enter Your Information: Input your age, pension amounts, investment assumptions, and life expectancy
  3. Review Present Values: Compare the present value of each option to see which provides more lifetime value
  4. Consider Other Factors: Remember that financial value is just one factor - also consider risk tolerance and family needs
Calculation Methodology

Present Value Calculation

All pension streams are converted to present value using the formula:

PV = Σ [PMT × (1 + COLA)^(t-1)] / (1 + r)^(t-1)

Joint Survivor Calculation

Accounts for two phases: payments while both spouses are alive, then survivor benefits until the surviving spouse's death.

Work Longer Analysis

Compares present values accounting for delayed retirement and different pension amounts, discounted back to today.

Frequently Asked Questions