This Colombia pension calculator projects the retirement fund you can build under the Colombian system and the income it can support. It models the RAIS individual-savings scheme run by the private AFPs (Porvenir, Protección, Colfondos, Skandia), where your pension comes from your accumulated balance rather than a public formula.
How it works
Colombia’s mandatory pension contribution is 16% of the contribution-base salary (12% employer + 4% worker). The tool accumulates that contribution, plus any voluntary top-ups, each year:
balance = (balance + annual contribution) × (1 + return), with the contribution growing as your salary grows.
At retirement it converts the fund into a sustainable annual income by annuitising it over your remaining years:
income = balance × r / (1 − (1 + r)^−years)
where r is the in-retirement return and years is the drawdown period.
Example
A 30-year-old earning COP 4,000,000 a month and contributing the mandatory 16%, with a moderate real return, can build a substantial fund by age 62. Annuitised across roughly 25 years of retirement, that fund supports a meaningful monthly pension — though voluntary contributions materially raise it.
Notes
This models the individual-savings (RAIS) approach only. It excludes the public RPM formula, the Garantía de Pensión Mínima, contribution caps, and AFP fees and insurance premiums, all of which affect the real outcome. Returns are uncertain — treat this as a directional projection, not financial advice.