CARE Calculator Assumptions
The assumptions we have used are:
Inflation: The Retails Prices Index (RPI) will rise by 3% a year until you retire. This assumed rate of inflation is used to calculate the value of your protected pension in real terms.
Projected Full Pension: The pension you build up from your earnings each year will increase each year before retirement by RPI.
Salary Growth: Your salary will rise by 4.5% each year until you retire. This assumption allows for both a general inflationary increase and for promotional increases reflecting experience.
Normal Retirement Date: Your Normal Retirement Date is your 65th birthday.
Membership: That you remain a contributing member of the CARE scheme until age 65.
Tax Rate: If you do not know your rate of income tax the Calculator will assume that you pay income tax at the basic rate, currently 20%.