Demo rate card0.50% total annual charge; 20% demo tax relief on contributions; growth not guaranteed
The pound values and percentages on this page are invented AcornBank product terms, chosen for a realistic bank-style example. They are not current market offers, an invitation to deposit or invest money or a forecast of what a real bank will pay.
| Product detail | Demo terms |
|---|---|
| Account type | Self-invested personal pension |
| Rate, reward or charge | 0.50% total annual charge; 20% demo tax relief on contributions; growth not guaranteed |
| Minimum / demo annual allowance | £25.00 to £60,000.00 per demo tax year |
| Access | No withdrawals before age 57 in the model; from then, up to 25% as a tax-free lump sum and the rest as taxable income |
| Eligibility in the scenario | A story customer under 75 with relevant fictional earnings |
| Fees | 0.50% of the value each year |
| Growth scenarios | 2%, 5%, 8% a year after charges; the value can also fall |
| Earliest access in the model | Age 57 |
| Currency | GBP (£), used solely for fictional calculations |
Tax relief in the model
| You pay in each month | Demo basic-rate relief added | Gross amount invested |
|---|---|---|
| £200.00 | £50.00 | £250.00 |
Every £80 paid in becomes £100 once the fictional relief arrives. Higher-rate relief, employer contributions and the annual allowance taper are not modelled.
Projected pot from age 40 to 67: £10,000.00 transferred in plus £200.00 a month (£250.00 gross)
| Period | Total paid in | Low growth 2% | Mid growth 5% | High growth 8% |
|---|---|---|---|---|
| 5 years | £25,000.00 | £26,354.94 | £29,271.30 | £32,481.54 |
| 10 years | £40,000.00 | £43,973.86 | £53,286.86 | £64,756.71 |
| 27 years (age 67) | £91,000.00 | £114,710.26 | £188,637.40 | £322,088.13 |
Projection assumptions: the lump sum is invested on day one and each monthly amount at the start of the month; growth is applied monthly after a 0.50% annual charge, which the model deducts from the growth rate; no withdrawals, no inflation and no tax inside the wrapper. The three growth rates are illustrations, not forecasts. Investments can fall as well as rise, and the value can drop below the amount paid in.
What charges cost over 27 years at 5% growth
| Annual charge | Value after 27 years | Difference |
|---|---|---|
| 0.50% (this product) | £188,637.40 | £0.00 |
| 1.00% (a dearer fictional platform) | £173,128.46 | £-15,508.94 |
Taking benefits at 67 in the story (5% growth)
| Item | Model amount |
|---|---|
| Projected pot | £188,637.40 |
| Tax-free lump sum (25%) | £47,159.35 |
| Remaining pot for taxable income | £141,478.05 |
Nothing can be taken before age 57 in the model. The remaining pot is drawn as taxable income at a rate the story does not specify. No annuity, drawdown charge or state pension is included, and none of this is retirement advice.
Tall Oak SIPP is self-invested personal pension in the Investments range, used for building a retirement pot with demo tax relief. Its live rate card, summary and worked tables sit above this text and update whenever the product record changes.
Detailed demonstration terms
The product is self-invested personal pension, used for building a retirement pot with demo tax relief. The eligibility, principal limits, fee treatment and access timing in the summary box form one consistent fictional example. A variable rate is not guaranteed; a fixed rate ends with its stated term; an investment value is not guaranteed at all. Any different rate or changed payment pattern requires a new calculation. These paragraphs do not create a contract or confer rights to banking services.
The fictional fund
Every investment product in the story holds one made-up fund, the AcornBank Woodland Balanced Fund, which owns imaginary shares in imaginary trees. It has no factsheet, no past performance and no manager, which is at least consistent. Real investing involves real risk and real research; this page involves neither.
See the whole Investments range or compare every product on the rates page.
What the example does not promise
All figures are invented and shown to make the demo useful to read and crawl. No money is held, no application is available, and no deposit-protection, regulatory or tax-wrapper status is claimed. Calculations do not account for personal tax, inflation or unstated changes in rates. The fictional bank manager can guarantee only that the next paragraph contains no real acorns.
Related reading
- This Is a Fictional Bank — No Real Banking Here
- Site Map — Every Branch of AcornBank
- Rates — Savings, Borrowing and Rewards
- Help — Unruffle Your Tail
- Investments — Longer Afternoons, Later Acorns
- Tall Oak SIPP — Frequently Asked Squeaks
- Tall Oak SIPP — A Completely Made-Up Customer Story
AcornBank: entirely fictional banking, exceptionally committed squirrels.