Updated 2026 · A free tool for the Israeli context

Pension Calculator

Three tools in one: work out how much you'll accumulate for retirement and your expected monthly pension, compare management fees and returns across funds, and check how ready you are for retirement — with charts, gap analysis and personalized recommendations.

⚠️ This information is for illustration only and does not constitute pension advice. For personalized advice, consult a licensed pension advisor.
Your details
years
years
₪
Contributions are calculated on your salary. You can also set an annual salary growth rate below.
₪
%
%
Default per mandatory pension: employee 6%, employer 6.5% benefits + 6% severance = 12.5%.
Return and management fees
%
%
2%
200
Annuity = accumulation ÷ factor. A lower factor = a higher annuity.
Expected accumulation at retirement age
0 ₪
Enter your details to calculate
Expected monthly pension
0 ₪
Years of saving
0
Total contributions
0 ₪
Investment gains
0 ₪

Savings growth up to retirement

The total accumulation is made up of your contributions plus the investment gains that build up over the years.
Total contributions Investment gains

Types of pension savings tracks

Each channel has different advantages, management fees and cover. The figures are typical market ranges — it always pays to compare against your specific track.

Most common

Comprehensive Pension Fund (Keren Pensia Mekifa)

Comprehensive Pension
Fee on contributions1%–3%
Fee on accumulation0.1%–0.3%
Average return*~5%–6%
  • Cover for disability and survivors
  • Guaranteed-yield component on part of the assets
  • Low management fees
  • Contributions capped (twice the average wage)

General Pension Fund (Klalit)

General Pension
Fee on contributions2%–4%
Fee on accumulation0.3%–0.6%
Average return*~5%–7%
  • Suitable for contributions above the ceiling
  • No contribution ceiling
  • No guaranteed yield
  • Usually no full insurance cover

Managers Insurance (Bituach Menahalim)

Managers Insurance
Fee on contributionsup to ~4%
Fee on accumulation0.5%–1.1%
Average return*~4%–6%
  • Guaranteed annuity factor in older policies
  • Flexibility in tailoring cover
  • Relatively high management fees
  • New policies have no guaranteed factor

Provident Fund (Kupat Gemel)

Provident Fund
Fee on contributions0%–1%
Fee on accumulation0.3%–0.7%
Average return*~5%–7%
  • Flexibility and transfer between tracks
  • Low fees on contributions
  • No disability and survivors cover
  • Withdrawal as annuity or lump sum by type
The calculator

How much will you save by switching to a cheaper fund?

Management fees are one of the few factors under your full control. Check how much the fee difference is worth by retirement.

₪
₪
The total monthly contributions (employee + employer) paid into the fund.
Management fees to compare
%
%
%
%
Cumulative saving by retirement
0 ₪
The difference that stays in your pocket instead of in management fees

Accumulation comparison at retirement

In the current fund0 ₪
In the new (cheaper) fund0 ₪
The difference in your favor0 ₪

The accumulation gap over the years

How far the cheaper fund's savings pull ahead of the expensive fund, year after year.
Cheaper fund Expensive fund
Retirement readiness questionnaire
years
years
₪
₪
How much you'd like available each month after retirement (rule of thumb: about 70% of your expenses today).
₪
₪
₪
Your retirement readiness score
0 out of 100
—
Expected monthly pension
0 ₪
Required pension
0 ₪
Expected accumulation
0 ₪
Monthly gap
0 ₪

Gap analysis and recommendations

    Pension advice

    Want pension advice? Leave your details

    The calculator gives you direction — a licensed pension advisor will help tailor your mix, cut management fees and close gaps. Leave an email and we'll get back to you. No spam, unsubscribe any time.

    This enquiry is for scheduling advice only. We won't send spam and you can unsubscribe any time.
    Guides

    The guide to smart pensions

    The key differences every saver should know — in plain language.

    Comprehensive vs. General

    A Comprehensive Pension Fund (Keren Pensia Mekifa) includes insurance cover for disability and survivors, low management fees and a guaranteed-yield component — but contributions are capped (twice the national average wage).

    A General Fund (Klalit) is intended for contributions above the ceiling or for top-ups. It has no ceiling, but also no guaranteed yield and usually no full insurance cover. Most savers max out the comprehensive fund first.

    Managers Insurance vs. Pension Fund

    A pension fund is based on the principle of mutual guarantee — flexible, with low management fees — but its annuity factor changes over time.

    Managers Insurance (Bituach Menahalim) is a personal contract with the insurance company. Older policies may carry a guaranteed annuity factor (a big advantage for longevity), but the management fees are usually higher. The choice depends on age, health and the factor.

    What happens with early retirement?

    You can retire before the statutory retirement age, but this has two effects: the accumulation is smaller (fewer years of contributions and returns), and it's spread over more years of annuity — so the monthly annuity drops twice over.

    In addition, withdrawing severance funds or commuting to a lump sum can hurt your tax benefits. Before retiring early it's important to review the full picture with a pension advisor.

    Management fees — the silent killer

    Management fees are charged from contributions (up to 6%) and from the accumulation (up to 0.5% a year). Over 30–40 years, a small difference in fees translates into hundreds of thousands of shekels.

    This is one of the few factors under your control: you can negotiate, compare and switch funds at no cost and with no taxable event. Use the "Fund Comparison" tab to see the impact.

    Glossary

    The terms worth knowing

    The language of pensions, explained simply.

    Accumulation Accumulation
    The total funds built up in your pension savings — contributions plus investment gains, less management fees. This is the basis for calculating the annuity.
    Annuity Conversion Factor Annuity Factor
    The number your accumulation is divided by to get the monthly annuity. It ranges from 180 to 215 by gender, age and bylaws. A lower factor = a higher annuity.
    Annuity Pension Annuity
    The fixed monthly payment you receive for life after retirement, instead of a lump sum. Calculated as accumulation divided by the conversion factor.
    Management Fees Management Fees
    The managing body's fees. Charged from contributions (up to 6%) and from the accumulation (up to 0.5% a year). Negotiable and dramatically affect your savings.
    Guaranteed Yield Guaranteed Yield
    A mechanism (which replaced designated bonds) guaranteeing a minimum yield on part of a comprehensive pension fund's assets, mainly for pensioners and older savers.
    Survivors & Disability Survivors & Disability
    Insurance cover built into a comprehensive pension fund: an annuity for family members in the event of death, and an annuity for the saver in the event of disability that prevents work.
    Contribution Ceiling Contribution Ceiling
    The monthly ceiling for contributions to a comprehensive pension fund — twice the national average wage. Above it, you contribute to a general fund or another channel.
    Old-Age Allowance Old-Age Allowance
    A monthly allowance from the National Insurance Institute (Bituach Leumi) paid at retirement age, on top of your pension annuity. It forms a basic safety net.
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    Frequently asked questions

    Everything worth knowing about pensions in Israel

    How much is contributed to pension in Israel?
    Under the mandatory-pension extension order, the total contribution is at least 18.5% of salary: the employee contributes 6%, the employer 6.5% to benefits and another 6% to severance. Many employers contribute more. Contributions are made on salary up to a ceiling and are the basis for the savings that will become a monthly annuity at retirement.
    How is the monthly annuity calculated from the accumulation?
    You divide the total expected accumulation by the annuity conversion factor. The factor depends on gender, retirement age and the fund's bylaws, and typically ranges between 180 and 215. For example: an accumulation of ₪1,500,000 with a factor of 200 yields an annuity of about ₪7,500 gross per month. The lower the factor — the higher the annuity.
    What is the difference between a Comprehensive and a General Pension Fund?
    A comprehensive fund includes cover for disability and survivors, low management fees and a guaranteed-yield component, but contributions are capped (twice the average wage). A general fund is intended for contributions above the ceiling, with no cap — but with no guaranteed yield and usually no full insurance cover.
    How much do management fees affect your savings?
    A lot. Management fees are charged from contributions (up to 6%) and from the accumulation (up to 0.5% a year). Over decades, a difference of 0.5% on the accumulation can add up to hundreds of thousands of shekels. This is one of the few factors under your full control — it pays to compare and negotiate.
    What is the retirement age in Israel?
    The retirement age for men is 67. For women it is gradually rising to 65 depending on year of birth. It is possible to retire earlier subject to conditions, but this reduces the monthly annuity because the accumulation is smaller and is spread over more years.
    Is it worth switching between pension funds?
    Switching between funds is every saver's right, at no cost and with no taxable event. It's worth considering mainly for lower management fees or consistent performance. It's important to make sure the switch does not harm your insurance cover or a guaranteed factor (mainly in older managers-insurance policies).
    Is the calculator accurate?
    The calculator gives a good estimate based on the assumptions you enter (return, management fees, factor). The actual result depends on the capital market, regulatory changes, your investment track and personal data. This information is for illustration only and does not constitute pension advice — for a binding recommendation, consult a licensed pension advisor.

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