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Retirement Savings Calculator

See if your current savings rate puts you on track for the retirement you want.

Projected Balance Over Time

Total Contributed$205,000
Investment Growth$607,898
Projected Balance$812,898

Year-by-Year Projection

YearProjected BalanceTotal ContributedGrowth
Year 1$33,004$31,000$2,004
Year 2$41,586$37,000$4,586
Year 3$50,788$43,000$7,788
Year 4$60,656$49,000$11,656
Year 5$71,237$55,000$16,237
Year 6$82,583$61,000$21,583
Year 7$94,749$67,000$27,749
Year 8$107,795$73,000$34,795
Year 9$121,784$79,000$42,784
Year 10$136,784$85,000$51,784
Year 11$152,868$91,000$61,868
Year 12$170,116$97,000$73,116
Year 13$188,609$103,000$85,609
Year 14$208,440$109,000$99,440
Year 15$229,705$115,000$114,705
Year 16$252,506$121,000$131,506
Year 17$276,957$127,000$149,957
Year 18$303,174$133,000$170,174
Year 19$331,287$139,000$192,287
Year 20$361,432$145,000$216,432
Year 21$393,756$151,000$242,756
Year 22$428,417$157,000$271,417
Year 23$465,584$163,000$302,584
Year 24$505,437$169,000$336,437
Year 25$548,171$175,000$373,171
Year 26$593,995$181,000$412,995
Year 27$643,131$187,000$456,131
Year 28$695,819$193,000$502,819
Year 29$752,317$199,000$553,317
Year 30$812,898$205,000$607,898

How much do you need to retire?

The most common rule of thumb is that you need roughly 25 times your expected annual expenses saved by the time you retire. This figure comes from the 4% rule — the idea that you can withdraw 4% of your portfolio each year in retirement and have a high probability of your money lasting 30 years or more.

If you expect to spend $60,000 per year in retirement, you would need approximately $1.5 million saved. If you expect $80,000 per year, the target is $2 million. These are starting points, not guarantees — your actual needs depend on your health, lifestyle, Social Security income, and how long you live.

How this calculator works

This calculator uses compound growth to project your retirement balance based on four inputs: your current savings, your monthly contribution, your expected annual return, and the number of years until you retire. It assumes your contributions and return rate stay constant — a simplification, but one that gives you a meaningful directional answer: are you roughly on track, significantly behind, or ahead of where you need to be?

The role of your savings rate

How much you save each month matters more than almost any other variable in the early years of building wealth. A higher savings rate compounds just as powerfully as a higher return rate, with zero additional risk.

Financial independence researchers often point to savings rate as the single biggest lever available to most people. Someone saving 10% of their income may need 40 years to retire comfortably. Someone saving 30% may need only 25. The math is stark and largely indifferent to income level.

The 401(k) and IRA advantage

Retirement accounts offer two powerful advantages beyond compounding: tax deferral and, in some cases, employer matching.

In a traditional 401(k) or IRA, you contribute pre-tax dollars, reducing your taxable income today. Your investments grow without being taxed each year. You pay income tax only when you withdraw in retirement, typically at a lower rate than during your working years.

In a Roth 401(k) or Roth IRA, you contribute after-tax dollars. Your investments still grow tax-free, but qualified withdrawals in retirement are completely tax-free. For younger investors who expect to be in a higher tax bracket later, Roth accounts often make more sense.

Employer matching is essentially free money. If your employer matches 50% of contributions up to 6% of your salary, contributing at least 6% is a 50% instant return on that portion of your savings — no investment in the market comes close to that risk-free.

What return rate should you use?

The U.S. stock market has returned roughly 10% annually before inflation and around 7% after inflation over long historical periods. A diversified portfolio of stocks and bonds might return 6% to 7% annually over a long time horizon — a reasonable middle-ground assumption for retirement planning.

Be conservative rather than optimistic. Planning for 6% and ending up with 8% is a pleasant surprise. Planning for 10% and ending up with 6% could mean running short in your 80s.

Starting late is not the end

If this calculator shows you are behind, the instinct to feel discouraged is understandable — but the math still rewards action. Increasing your monthly contribution by even $200 to $300 can add tens of thousands of dollars to your final balance over a decade or more. Delaying retirement by a few years has an even larger effect, both by adding more compounding time and by reducing the number of years your savings need to last.

Frequently Asked Questions

How much should I have saved for retirement by my age?
A common benchmark is to have one times your annual salary saved by 30, three times by 40, six times by 50, and eight times by 60. These are rough guides from Fidelity — your personal target depends on your expected retirement lifestyle, planned retirement age, and other income sources like Social Security or a pension.
What is the 4% rule?
The 4% rule suggests you can withdraw 4% of your retirement portfolio in your first year of retirement, then adjust for inflation each year after, with a high likelihood of your money lasting 30 years. It is based on historical market data and is widely used as a planning benchmark, though some financial planners now suggest 3% to 3.5% to account for lower expected future returns.
What is the difference between a 401(k) and an IRA?
A 401(k) is an employer-sponsored retirement plan with higher contribution limits ($23,000 in 2024, plus $7,500 catch-up if you are 50 or older). An IRA is an individual account you open yourself, with lower limits ($7,000 in 2024). Both come in traditional and Roth versions. Most people benefit from contributing enough to their 401(k) to get the full employer match, then maxing out an IRA, then returning to the 401(k).
How does inflation affect my retirement savings?
Inflation erodes purchasing power over time. $1 million in 30 years will buy significantly less than $1 million today. This calculator uses a nominal return rate — to account for inflation, subtract roughly 2% to 3% from your expected return. If you expect a 7% market return and assume 3% inflation, use 4% as your real return rate for a more conservative and realistic projection.
When should I start saving for retirement?
As early as possible. A 25-year-old who saves $300 per month at 7% annual return will have approximately $798,000 by age 65. A 35-year-old saving the same amount at the same return will have only $380,000 — less than half — by the same age. The cost of waiting a single decade is roughly $418,000 in this example. Starting small and early nearly always beats starting large and late.