Retirement Savings Calculator
Projected nest egg and the income it can support.
Reviewed by the Calculation Machine team · Updated 24 October 2026 · How we check our maths
Your values
ⓘ Live results
- Projected balance at retirement
- $1,665,879.08
- Safe annual income (4% rule)
- $66,635.16
- Safe monthly income
- $5,552.93
- Total you will contribute
- $373,000.00
Quick answer
A retirement savings projection grows your current balance and each monthly contribution at an expected return until retirement, then estimates income using the 4% rule (withdraw 4% of the balance in year one). A 35-year-old with $85,000 saved, adding $800 a month at 7% a year, would have about $1.67 million at 65, supporting roughly $66,600 a year.
What the Retirement Savings calculator does
This calculator projects how large your retirement savings could be by a target age, based on what you have now, what you add each month and the average annual return you expect. It then converts the balance into a sustainable yearly and monthly income using a 4% initial withdrawal rate.
It works for any mix of tax-advantaged and taxable investment accounts — 401(k), 403(b), IRA or brokerage — as long as you combine balances and contributions. Include employer matching in the monthly figure. Returns compound monthly and are assumed to be steady, which real markets never are.
The result is in future dollars. To see it in today's purchasing power, enter a return about 2–3 points lower (a real return). To find the balance you actually need, start from your spending with the FIRE number calculator; to model a single workplace plan with matching, use the 401(k) calculator.
The formula
Balance = B × (1 + i)ᵐ + C × [(1 + i)ᵐ − 1] ÷ i; safe income = 4% × balance
| Symbol | Meaning | Unit |
|---|---|---|
| B | Current retirement savings | $ |
| C | Monthly contribution, including any employer match | $ per month |
| i | Monthly return: annual return ÷ 12 | decimal |
| m | Months until retirement: (retirement age − current age) × 12 | months |
This is the standard future value of a lump sum plus an ordinary annuity, with contributions at the end of each month. The 4% withdrawal rate comes from William Bengen's 1994 study and the later Trinity study of US stock and bond returns, which found that withdrawing 4% in the first year and raising it with inflation lasted at least 30 years in most historical periods. It is a guideline, not a guarantee, and fees and taxes are not deducted.
Worked examples
Mid-career saver
A 35-year-old with $85,000 saved puts in $800 a month and expects 7% a year until 65.
Inputs
- Current age35 years
- Retirement age65 years
- Current retirement savings85000 $
- Monthly contribution800 $
- Expected annual return7 %
Result
- Projected balance at retirement$1,665,879.08
- Safe annual income (4% rule)$66,635.16
- Safe monthly income$5,552.93
- Total you will contribute$373,000.00
About $1.67 million at 65 from $373,000 of contributions — growth does most of the work. That supports roughly $5,550 a month at 4%, before tax and in future dollars.
Catching up after 50
A 50-year-old with $150,000 saves $1,500 a month at a more cautious 6% and plans to retire at 67.
Inputs
- Current age50 years
- Retirement age67 years
- Current retirement savings150000 $
- Monthly contribution1500 $
- Expected annual return6 %
Result
- Projected balance at retirement$944,770.00
- Safe annual income (4% rule)$37,790.80
- Safe monthly income$3,149.23
- Total you will contribute$456,000.00
Around $945,000, or about $37,800 a year at 4%. Combined with Social Security this may be workable; working two more years or using catch-up contributions would lift it noticeably.
Starting at 25
A 25-year-old with $5,000 saved puts away $400 a month at 7% until 65.
Inputs
- Current age25 years
- Retirement age65 years
- Current retirement savings5000 $
- Monthly contribution400 $
- Expected annual return7 %
Result
- Projected balance at retirement$1,131,482.42
- Safe annual income (4% rule)$45,259.30
- Safe monthly income$3,771.61
- Total you will contribute$197,000.00
Contributing only $197,000 grows to about $1.13 million because of 40 years of compounding. Waiting 10 years to start would require far larger monthly payments to reach the same figure.
Choosing an expected return
The return you enter changes the answer more than any other input. Use a long-run average that matches your mix of investments, and test a lower figure as well.
| Portfolio | Planning return | Notes |
|---|---|---|
| Mostly stocks | 6–8% | Higher long-run growth, large swings year to year |
| Balanced (60/40) | 5–6% | Common target-date mix in mid-career |
| Mostly bonds / cash | 3–4% | Steadier, but may not beat inflation by much |
| Today's dollars | Subtract 2–3 points | Shows the result in current purchasing power |
How much is enough to retire
Work backwards from spending. Take the yearly income you expect to need in retirement, subtract guaranteed income such as Social Security or a pension, and multiply what is left by 25. That is the balance at which a 4% withdrawal covers the gap.
For example, if you need $60,000 a year and expect $24,000 from Social Security, the gap is $36,000 and the target is $900,000. Many planners also suggest checking progress against salary multiples — for instance, around 10 times your salary by your late 60s — but your own spending is the better guide.
Ways to close a shortfall
- Raise contributions: even $100 more a month adds up. Workers aged 50 and over can make extra catch-up contributions to 401(k) plans and IRAs.
- Capture the full employer match: it is an immediate return on your contribution.
- Retire later: each extra year adds contributions, adds growth and shortens the time the money must last.
- Cut fees: a 1% annual fee can reduce a 30-year balance by about a quarter. Compare fund expense ratios.
- Use the right accounts: tax-advantaged accounts let more of the return compound. The compound interest calculator shows how much each extra point of return is worth over time.
How to use the Retirement Savings Calculator
- 1Enter your current age and the age you plan to stop working.
- 2Add up the balances of all retirement accounts and enter the total.
- 3Enter what you and your employer contribute each month combined.
- 4Choose an expected annual return, then try a figure 1–2 points lower to see a cautious case.
Frequently asked questions
What is the 4% rule?
It is a guideline that you can withdraw 4% of your savings in the first year of retirement and increase that amount with inflation each year, with a high chance the money lasts 30 years. Retiring early or very conservatively may call for 3–3.5%.
Does this retirement calculator account for inflation?
Not automatically. Enter a real return — your expected return minus expected inflation, for example 7% − 3% = 4% — to see the result in today's dollars.
Is the projected income before or after tax?
Before tax. Withdrawals from traditional 401(k)s and IRAs are taxed as income, while qualified Roth withdrawals are tax-free, so your spendable income depends on which accounts you use.
How much should I save for retirement each month?
A common guideline is 15% of pre-tax income including any employer match, starting in your 20s or 30s. Starting later means saving a larger share to reach the same balance.
Should I include Social Security in my savings?
No. Enter only invested savings here and treat Social Security as separate income that reduces how much your savings need to provide.
References
- Determining Withdrawal Rates Using Historical Data (Bengen, 1994) — Journal of Financial Planning
- Saving and Investing: A Roadmap to Your Financial Security — US Securities and Exchange Commission
- Retirement Topics – Catch-Up Contributions — Internal Revenue Service
About this calculator
- Built and reviewed by the Calculation Machine team · How we build and test calculators
- Last reviewed: October 24, 2026
- Report an error