# Increasing monthly premiums to achieve target

#### faphillips

##### New Member
I need to find a formula that will work out how much I need to save each month into a pension where the premium will increase every year in line with National Average Earnings.

For example, let’s say that I need a fund of £100k in 25 years’ time i.e. future value. Let’s say that the premium will increase at a rate of 4% every year and let’s say that average fund growth is 5% p.a. What is the formula to find:

A) The initial monthly payment?
B) The final monthly payment?

What is certain is that the premium in year 25, based on a 4% premium increase each year, will be c 256.33% of the premium at start.

All help very much appreciated

### Excel Facts

Quick Sum
Select a range of cells. The total appears in bottom right of Excel screen. Right-click total to add Max, Min, Count, Average.

Replies
4
Views
954
Replies
2
Views
168
Replies
0
Views
365
Replies
3
Views
1K
Replies
3
Views
448

1,203,072
Messages
6,053,378
Members
444,660
Latest member
Mingalsbe

### We've detected that you are using an adblocker.

We have a great community of people providing Excel help here, but the hosting costs are enormous. You can help keep this site running by allowing ads on MrExcel.com.

### Which adblocker are you using?

1)Click on the icon in the browser’s toolbar.
2)Click on the icon in the browser’s toolbar.
2)Click on the "Pause on this site" option.
Go back

1)Click on the icon in the browser’s toolbar.
2)Click on the toggle to disable it for "mrexcel.com".
Go back

### Disable uBlock Origin

Follow these easy steps to disable uBlock Origin

1)Click on the icon in the browser’s toolbar.
2)Click on the "Power" button.
3)Click on the "Refresh" button.
Go back

### Disable uBlock

Follow these easy steps to disable uBlock

1)Click on the icon in the browser’s toolbar.
2)Click on the "Power" button.
3)Click on the "Refresh" button.
Go back