Retirement Calculator
Enter your age, what you have saved, what you add each month and the return you expect. You get the balance at retirement, what it is worth in today's money, and how much income it could support.
| Age | Projected balance | In today's dollars |
|---|
Monthly compounding. Contributions are added at the end of each month, balances are nominal (not adjusted for inflation) unless the column says otherwise. The income figure uses a 4% withdrawal rate on the inflation-adjusted balance and excludes Social Security, pensions and taxes.
Frequently asked questions
How much do I need to retire?
A common rule of thumb is 25 times your annual spending, which supports a 4% withdrawal rate. If you spend $50,000 a year, that means a $1.25 million portfolio. The multiple is high because retirement can last 25–30 years and inflation keeps eating at the same dollar. Your own number depends on spending, not income — someone earning $120,000 but living on $55,000 needs the same as someone earning $60,000 who spends $55,000.
What return should I assume?
For a diversified stock-heavy portfolio, 7% a year nominal is the figure most planners use — roughly 10% average stock returns minus about 3% for inflation and fees. If you want to see everything in today's dollars, enter the nominal return and an inflation rate here; the calculator deflates the result for you. Do not assume 10%: it makes every projection look comfortable and quietly understates how much you need to save.
Does saving earlier really matter that much?
Yes, more than the amount. $300 a month from age 25 to 65 at 7% grows to about $787,000, of which only $144,000 is your money. Start the same $300 at 45 and you end with roughly $156,000. The first saver puts in the same cash and retires with five times as much, because the money from the earliest years compounds for four decades.
What is the 4% rule and is it still valid?
It comes from the Trinity study: withdrawing 4% of the portfolio in year one, then raising that dollar amount with inflation each year, historically lasted 30 years in most US market periods. It is a planning heuristic, not a guarantee — it assumes a stock/bond mix and US history. Many planners now suggest 3.5–4.5% depending on fees, longevity and how flexible your spending can be in bad years. Social Security is not included in this calculator, so subtract your expected benefit from the income figure.