Retirement Calculator
Estimate how much you need to retire and whether you are on track with current savings rate
Calculator
Overview
The Retirement Calculator estimates how much you need saved to retire and whether your current savings trajectory will get you there, based on the 4% safe withdrawal rule.
Without a target number, retirement planning is guesswork. This calculator shows exactly how much you need based on your desired retirement income and how your current savings compound over time.
Enter your current age, retirement age, current savings, monthly contribution, expected return, and desired annual retirement income. The calculator shows your projected balance vs. required balance.
How It Works
Formula
Retirement Number = Annual Retirement Income / 0.04. Projected Balance = Current Savings * (1+r)^n + Monthly Contributions compounded.Variables
- Retirement Income: Annual income you want in retirement
- Current Savings: Total retirement savings today
- Monthly Contribution: Amount you invest each month
- Years to Retirement: Retirement age minus current age
- Expected Return: Annual investment return (7-10% typical)
Best Practices
- Use 7% return (inflation-adjusted)
- Plan for 25x annual expenses (4% rule)
- Include Social Security as supplement, not primary income
- Revisit annually
Frequently Asked Questions
What is the 4% rule?
Research shows you can withdraw 4% of your portfolio in year one of retirement, then adjust for inflation each year, and your money lasts 30+ years with 95% probability. So if you need $60K/year, you need $1.5M saved.
What return rate should I assume?
Use 7% for inflation-adjusted stock returns, or 10% for nominal returns. The 7% figure is more conservative and gives you a realistic purchasing-power estimate.
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