Retirement Calculator

Estimate how much you need to save and whether your current contribution rate is on track.

Projected at retirement

$2,016,151

Estimated balance at age 65 based on current inputs.

Sustainable income

$80,646

Annual income using a 4% safe withdrawal rate.

Annual surplus

$30,646

How much your sustainable income exceeds your spending goal.

Savings breakdown

Your contributions: $386,000

Investment growth: $1,630,151

Start: Today

Latest: Year 35

Final value: $2,016,151

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Understanding the calculator

How it works

A retirement calculator matters because the gap between what people think they need and what they actually need is often large. The core question is straightforward: given your current savings, contribution rate, expected returns, and spending goals, will your money outlast you? This calculator models that question by projecting a savings balance forward to a target retirement age, then comparing the result against sustainable withdrawal income.

The math uses compound growth to project savings forward, then applies a safe withdrawal rate to estimate annual retirement income. The 4% rule is a common starting point: it suggests withdrawing 4% of your portfolio in year one and adjusting for inflation thereafter. The calculator shows both the projected balance and the income it can sustain, plus the gap or surplus relative to your spending target.

The math behind it

Key formulas

FIRE Number = Annual Expenses / Safe Withdrawal Rate

If you need $50,000/year in retirement and use a 4% withdrawal rate: $50,000 / 0.04 = $1,250,000 required.

Future Value = PV x (1+r)^n + PMT x [((1+r)^n - 1) / r]

Projects your current savings and ongoing contributions to a future retirement date at an expected rate of return.

Real-world scenarios

Practical examples

01

Age 30, $50k saved, contributing $500/month at 7%

By age 65 (35 years), the $50,000 grows to about $533,000 and the $500/month contributions add roughly $853,000. Total: about $1,386,000, supporting ~$55,400/year at a 4% withdrawal rate.

02

Starting at 40 instead of 30

Same inputs but only 25 years to grow. The total drops to about $669,000 — roughly half. Starting 10 years later requires nearly doubling monthly contributions to reach the same goal.

03

The impact of increasing contributions by $200/month

Going from $500 to $700/month at age 30 adds approximately $341,000 to the final balance. That extra $200/month buys nearly $14,000/year more in retirement income.

Getting the most value

When to use this calculator

Use a retirement calculator as early as possible — ideally in your 20s or 30s. The earlier you model the numbers, the more time you have to adjust savings rates, optimize investment allocation, and take advantage of compound growth.

Run the calculator again whenever your financial situation changes significantly: a raise, a job change, marriage, a new child, or an inheritance. Each of these events can shift your retirement trajectory and may warrant adjusting your contribution rate or target retirement age.

If you are within 10 years of your planned retirement date, use the calculator to stress-test your plan. Model scenarios with lower-than-expected returns, higher inflation, or unexpected large expenses to see how resilient your plan is.

Expert guidance

Tips and best practices

  • The 4% rule is a guideline, not a guarantee. Early retirees with 40+ year horizons may want to use 3.5% for additional safety.
  • Social Security income reduces the amount your portfolio needs to generate. Factor in estimated benefits when calculating your gap.
  • Employer matching in a 401(k) is free money. At minimum, contribute enough to capture the full match before optimizing other accounts.
  • Healthcare costs in retirement are substantial and often underestimated. Budget separately for premiums and out-of-pocket expenses before Medicare eligibility at 65.
  • Sequence-of-returns risk means the order of market returns matters, especially in the first few years of retirement. A downturn early in retirement is more damaging than one later.

Summary

Key takeaways

  • The 4% withdrawal rule suggests that a diversified portfolio can sustain a 4% initial withdrawal rate, adjusted for inflation, over a 30-year retirement.
  • Time is the most powerful factor — starting to save 10 years earlier can more than double the final portfolio balance.
  • Employer matching contributions are an immediate 50-100% return on your money and should be captured first.
  • Healthcare, taxes, and inflation are the three most commonly underestimated costs in retirement planning.
  • Running multiple scenarios with different assumptions helps you understand how sensitive your plan is to market conditions.

Common questions

Frequently asked questions

How much should I save for retirement?

The answer depends on your target retirement age, future spending, expected Social Security, and the withdrawal rate you consider sustainable.

Why start retirement planning early?

Time amplifies compounding. Early contributions often matter more than larger contributions made much later.

Should I assume the same return every year?

No portfolio earns a perfectly smooth return, but planning calculators usually use an average annual rate to model long-term outcomes.

Compare retirement accounts

Platforms with strong 401(k) rollover and IRA options.

ProviderTypeHighlight
FidelityIRA / 401(k)Zero-fee index funds, rollover supportOpen IRA
VanguardIRA / 401(k)Low-cost target-date retirement fundsOpen IRA
BettermentRobo-advisorAutomated retirement planning from 0.25%Get started

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