Retirement Savings Calculator
Plan your retirement with confidence. Enter your current savings, monthly contributions, and expected return to project your nest egg at retirement. See whether your savings will support your desired retirement income using the 4% safe withdrawal rule.
Retirement planning is one long math problem with two parts: how much will you have when you retire, and will it last? This calculator answers both. It projects your savings growth over time given your current balance, monthly contributions, and expected return — then tests the result against your desired monthly retirement income using the widely-cited 4% safe withdrawal rule.
The 4% rule comes from the Trinity Study and subsequent research: withdrawing 4% of your starting balance in year one (then adjusting for inflation each year afterward) has historically sustained a balanced portfolio for 30+ years across nearly every starting period in the 20th century. Recent research suggests 3.5–4% is a safer modern target given longer life expectancy and lower expected forward returns.
The other variable people underestimate is inflation. A $5,000/month retirement income target in 30 years isn't the same as $5,000 today — inflation will have cut its purchasing power by roughly half. This calculator shows both nominal and inflation-adjusted ("today's dollars") values so you can plan in real terms.
Inputs
Monthly income you want in retirement
Results
Projected Balance
$1,481,088
Monthly Income (4%)
$4,937
Total Contributions
$260,000
Total Growth
$1,221,088
Shortfall: $18,912
Savings Growth Over Time
Nominal vs Inflation-Adjusted Balance
Year-by-Year Projection
| Age | Balance | Contributions | Growth | Real Value |
|---|---|---|---|---|
| 31 | $59,846.94 | $56,000.00 | $3,846.94 | $58,103.83 |
| 32 | $70,405.72 | $62,000.00 | $8,405.72 | $66,364.14 |
| 33 | $81,727.79 | $68,000.00 | $13,727.79 | $74,792.51 |
| 34 | $93,868.34 | $74,000.00 | $19,868.34 | $83,400.80 |
| 35 | $106,886.53 | $80,000.00 | $26,886.53 | $92,201.26 |
| 36 | $120,845.80 | $86,000.00 | $34,845.80 | $101,206.45 |
| 37 | $135,814.19 | $92,000.00 | $43,814.19 | $110,429.37 |
| 38 | $151,864.65 | $98,000.00 | $53,864.65 | $119,883.35 |
| 39 | $169,075.39 | $104,000.00 | $65,075.39 | $129,582.21 |
| 40 | $187,530.30 | $110,000.00 | $77,530.30 | $139,540.16 |
| 41 | $207,319.32 | $116,000.00 | $91,319.32 | $149,771.89 |
| 42 | $228,538.89 | $122,000.00 | $106,538.89 | $160,292.58 |
Formula
How to use this calculator
- Enter current age and target retirement age. The gap between them is your accumulation window.
- Enter current retirement savings — sum of 401(k), IRA, Roth, taxable accounts you intend to use for retirement.
- Enter monthly contribution. Include employee deferrals + employer match if you're using 401(k).
- Enter expected annual return. 7% nominal (4% real after 3% inflation) is a common conservative assumption for a stock-heavy portfolio. Use 5% nominal for bond-heavy portfolios.
- Enter inflation rate. U.S. long-run average is ~3%; recent decade has been closer to 2.5–3.5%.
- Enter desired monthly retirement income in today's dollars. The calculator inflates this internally to give a target.
- Review whether you're on track. If short, your three levers are: contribute more, retire later, or accept a lower retirement income.
Worked examples
On track
Age 35, retire at 65, $60K saved, $800/mo contribution, 7% return, want $5K/mo (today's dollars). Projected nominal balance: $1.78M Inflation-adjusted: $730K (today's dollars) Required (25× $60K): $1.5M (today's dollars) The household has more than enough — the projection beats the target by roughly 20%. Good cushion for unexpected expenses or earlier retirement.
Late starter
Age 50, retire at 67, $40K saved, $500/mo, 6% return, want $4K/mo today. Projected: $230K (today's dollars). Required: $1.2M. Major shortfall. Catching up options: dramatically increase contributions ($1,500+/mo using catch-up contributions), delay retirement to 70, downsize home/lifestyle to reduce required income, or some combination.
When to use this calculator
Use this in your 30s, 40s, and 50s — and at every major life event that changes income, savings rate, or family situation. Run it annually as part of a financial review.
This is a planning estimate, not a guarantee. Real-world variables it doesn't capture: - Sequence-of-returns risk: poor returns in the first few years of retirement can sink even an "on-track" portfolio - Long-term care costs (one of the largest unbudgeted retirement risks) - Social Security and pensions (treat as separate income streams, reduce required nest egg accordingly) - Healthcare cost growth (typically outpaces general inflation) - Tax treatment of withdrawals (traditional 401(k) is taxed; Roth isn't)
For specific account types, see the 401(k) calculator, IRA calculator, and Roth-vs-Traditional calculator.
Common mistakes to avoid
- Using nominal returns without inflation. 7% nominal with 3% inflation is really 4% real growth.
- Forgetting Social Security. The average benefit is ~$2K/month; this reduces required nest egg by ~$600K (25× $24K).
- Assuming linear returns. Markets are volatile; a 30-year average of 7% can include −20% years.
- Ignoring retirement taxes. Traditional 401(k) and IRA withdrawals are taxed as ordinary income.
- Targeting only the 4% rule. Sequence-of-returns risk and changing life expectancy mean 3.5% may be safer.
- Forgetting healthcare. Medicare doesn't cover everything; budget extra for premiums, supplements, and out-of-pocket.
Frequently Asked Questions
Sources & further reading
- Retirement plans and benefits — U.S. Social Security Administration
- Retirement savings — investor education — U.S. Securities and Exchange Commission
- Trinity Study — sustainable withdrawal rates — American Association of Individual Investors