Retirement Calculator
Estimate how much you will have saved by retirement and whether it covers your desired monthly income.
Planning for Retirement
This calculator projects how much your current savings and monthly contributions will grow by your target retirement age, assuming a fixed annual return. It then uses the 4% rule to estimate how much monthly income your nest egg can safely provide.
The 4% rule suggests you can withdraw 4% of your retirement savings per year without running out of money over a 30-year retirement. The savings gap shows whether your projected savings can cover your desired income or how much more you need.
Frequently Asked Questions
How much do I need to retire?
A common guideline is to save 25 times your desired annual spending. If you want $48,000 per year ($4,000/month), you would need about $1.2 million. The exact number depends on your lifestyle, location, healthcare costs, and how long you expect to be retired.
What is the 4% rule?
The 4% rule says you can withdraw 4% of your portfolio in the first year of retirement and adjust for inflation each year after that. Research suggests this approach has a high chance of lasting 30 years. It is a rough guideline, not a guarantee, and works best with a diversified portfolio.
What if I start saving late?
Starting late means you have less time for compound growth, so you will need to save more each month to reach the same goal. Even starting in your 40s or 50s, consistent contributions can make a meaningful difference. Focus on what you can control now rather than worrying about lost time.
Should I count on Social Security?
Social Security can supplement your retirement income, but most financial planners suggest not relying on it as your sole source. The average monthly benefit covers only a portion of most people's expenses. Treat it as a bonus on top of your personal savings rather than the foundation of your plan.
How does inflation affect retirement savings?
Inflation erodes the purchasing power of your savings over time. A dollar today will buy less in 30 years. To account for this, use a "real" return rate (nominal return minus inflation, typically 2-3%). This calculator uses the nominal return you enter, so consider subtracting inflation yourself for a more conservative estimate.
How much should I save each month?
A common rule of thumb is to save 15-20% of your gross income for retirement. The right amount depends on when you start, your target retirement age, and your desired lifestyle. Use this calculator to experiment with different contribution amounts and see what gets you to your goal.