Retirement Calculator
Calculate your retirement savings balance and estimated monthly income. See how age, contributions, and returns affect your retirement nest egg.
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Retirement Balance
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Years to Retirement —
Total Contributions —
Investment Growth —
Est. Monthly Income (4% rule) —
How to Use This Calculator
- Enter your Current Age and Retirement Age.
- Enter your Current Retirement Savings — total across all accounts.
- Enter your Monthly Contribution — include your employer's match.
- Set the Expected Annual Return — 7% is a common inflation-adjusted estimate.
- Review your projected Retirement Balance and Monthly Income estimate.
Formula
Retirement Balance:
Balance = CurrentSavings × (1 + r/12)^(months) + PMT × [(1 + r/12)^(months) − 1] / (r/12)
Monthly Income (4% Rule): Balance × 4% ÷ 12
Example
Example: Age 35, retire at 65, $50,000 saved, $800/month contributions, 7% return.
- Years to Retirement: 30
- Total Contributions: $338,000
- Investment Growth: $680,000+
- Retirement Balance: $1,018,000+
- Est. Monthly Income: $3,393/month
Frequently Asked Questions
- A common benchmark is 25× your annual expenses (the "4% rule"). If you spend $60,000/year, you need $1.5 million. Other rules of thumb suggest saving 10–15× your pre-retirement income.
- The 4% rule states that you can withdraw 4% of your retirement portfolio annually with a high probability your money will last 30 years. A $1 million portfolio would provide $40,000/year or about $3,333/month.
- At minimum, contribute enough to capture your full employer match — it is an instant 50–100% return. Beyond that, aim for 15% of gross income including employer contributions. In 2025, the 401(k) limit is $23,500.
- A 401(k) is employer-sponsored with higher contribution limits ($23,500 in 2025). An IRA is individual with lower limits ($7,000 in 2025) but more investment choices. Both offer Traditional (pre-tax) and Roth (post-tax) options.
- The earlier the better, due to compound growth. Starting at 25 vs 35 can more than double your retirement balance. Even small contributions early on have a massive impact over decades.