China retirement income: a worked example

Invented figures, not official pension rates. Ages are scenario inputs, not eligibility ages. The dates in the example are invented. Confirm your personal retirement date with the relevant authority; the calculator does not apply retirement-age transition rules.

What does this example show?

With spending of CN¥8,000 a month, an entered pension of CN¥5,000 from age 63, and no investment growth or inflation, the plan needs CN¥1,452,000 at age 58 to last until age 90. Of that, CN¥480,000 covers the period before the pension starts.

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Prepare the China inputs

Bring together your basic pension, any enterprise or occupational annuity, and savings in yuan. Start with the amounts and access dates confirmed for your own employment history. China's retirement provision includes basic pension insurance, enterprise or occupational annuities, and personal provision. A general description of these pillars cannot establish your benefit. Ask the relevant social insurance service or provider for the scheme, amount and payment date applying to you.

Read the country guide and input checklist

Every assumption in the baseline

Current age / stop working: 58 / 58
Plan until age: 90 (exclusive)
Accessible savings at retirement: CN¥1,452,000
Further saving: CN¥0 per month
Spending after tax: CN¥8,000 per month
Entered pension after tax: CN¥5,000 per month, age 63 onward
Other income streams: CN¥0
Net nominal return / inflation: 0% / 0% per year

All figures use today's purchasing power. The pension is an illustrative recurring payment. The model does not assess eligibility, taxes, access restrictions or a benefit increase for claiming later. The example uses zero return to make the arithmetic easy to reproduce; zero is not a return forecast.

Follow the two periods

Age 58 to 63: savings cover all spending.
5 years × 12 months × CN¥8,000 = CN¥480,000.
Age 63 to 90: the pension covers part of spending.
Monthly gap = CN¥8,000 − CN¥5,000 = CN¥3,000. Over 27 years, savings supply CN¥972,000.

Total capital needed: CN¥480,000 + CN¥972,000 = CN¥1,452,000. At a nonzero return, the calculator discounts each monthly gap. It never borrows against future pension income.

Change one assumption

Same starting savings and spending, different timing · CNY
Scenario	Capital needed	Additional capital needed	Try it
Baseline bridge	CN¥1,452,000	CN¥0	Load scenario
Pension starts one year later	CN¥1,512,000	CN¥60,000	Load scenario
Plan for five more years	CN¥1,632,000	CN¥180,000	Load scenario

Delaying the same pension by one year increases the required savings by CN¥60,000. Planning five years longer adds CN¥180,000. Actual later-claiming benefits may differ: get a new official estimate before using a real alternative date.

What this leaves out

An annuity account balance and the monthly pension purchased with it describe the same resource. Choose the payment route or the accessible-capital route in the plan. Do not assume a restricted personal pension account can fund living costs before its permitted withdrawal date.

The result is a deterministic illustration with no market volatility, changing taxes, care-cost shock or inheritance target. Payments remain constant in real terms, which may overstate a pension that does not keep pace with prices. Three income streams are available; combine payments only when their dates and money basis match.

The first twelve-month budget in the calculator solves for a fundable spending level. It is a separate result from your entered target. In a stressed scenario it can be lower than the target; the capital-gap table above keeps the original spending target unchanged.

Official sources and review scope

State Council · Pension system overview ↗

Source descriptions checked 4 October 2026. This is an illustrative calculation, not a government benefit forecast. Read our editorial policy and review status.

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