How much do I need to retire?

A common rule of thumb is to accumulate 25× your annual expenses (the 4% rule). If you need $60,000/year in retirement, you'd target a $1.5 million nest egg. However, the right number depends on your expenses, Social Security, other income, health costs, and desired retirement age.

What is the difference between Roth and Traditional retirement accounts?

Traditional accounts (401k, IRA) use pre-tax dollars — you get a tax deduction now but pay income tax on withdrawals in retirement. Roth accounts use after-tax dollars — no deduction now, but withdrawals in retirement are completely tax-free. Roth is generally better if you expect to be in a higher tax bracket in retirement.

How does employer 401k matching work?

Employer matching is free money — your employer contributes to your 401k based on your own contributions. A common match is 50% of contributions up to 6% of salary. Always contribute at least enough to get the full match — it's an immediate 50-100% return on that portion of your savings.

What return rate should I use for retirement planning?

Historical stock market returns average around 10% nominal (7% real after inflation). A diversified 60/40 portfolio has historically returned around 7-8% nominal. Conservative planners use 5-6%. For long time horizons (20+ years) with equity-heavy portfolios, 7% real is a common baseline assumption.

When should I claim Social Security?

You can claim Social Security as early as 62 (reduced benefit) or delay until 70 (maximum benefit — about 8% more per year after full retirement age). Delaying is generally advantageous if you're healthy and have other income sources. Full retirement age is 67 for those born in 1960 or later.

How does inflation affect retirement savings?

Inflation erodes purchasing power over time. At 3% inflation, $1,000 today buys only about $412 worth of goods in 30 years. This calculator lets you toggle between nominal returns (ignoring inflation) and real returns (inflation-adjusted), so you can plan in today's dollars.

What is a safe withdrawal rate?

A safe withdrawal rate (SWR) is the percentage of your portfolio you can withdraw annually without running out of money. The classic 4% rule assumes a 30-year retirement. For longer retirements (40+ years), 3.5% or 3% is more conservative. Higher equity allocations historically support higher SWRs.

Retirement Calculator

Q: What is the 4% rule?

The 4% rule states that you can withdraw 4% of your portfolio in year one of retirement, then adjust for inflation each year, with a high probability your money lasts 30 years. Based on the Trinity Study, it has held up historically across most market conditions, though some advisors now recommend 3.5% for longer retirements.

Project your retirement savings forward — or work backward from your goal to find exactly what you need to contribute each month. Includes 401k match, Social Security, inflation, Roth vs Traditional, and withdrawal planning.

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Personal Details

Current Age

yrs

Retirement Age

yrs

Current Savings Balance

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Contributions

Phase 1 — Starting Now

Monthly Contribution

Employer Match

% of your contribution

Match Cap

% salary

Max matched % of salary

Annual Salary (for match calc)

Phase 2 — Future Change optional

Starting At Age

yrs

Monthly Contribution

Leave blank to use Phase 1 amount for this period

Phase 3 — Final Stage optional

Starting At Age

yrs

Monthly Contribution

Leave blank to continue Phase 2 amount (or Phase 1 if Phase 2 also blank)

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Returns & Inflation

Expected Annual Return

Historical S&P 500 real return ≈ 7% · nominal ≈ 10%

Inflation Adjustment

Results shown in today's dollars (purchasing power)

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Retirement Income & Tax

Social Security (monthly)

Estimate from ssa.gov/myaccount · leave blank to exclude

Withdrawal Rate

4% is the classic safe withdrawal rate

Tax Treatment

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Retirement Projection

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Enter your details and press
Calculate Retirement Plan

Frequently Asked Questions

Common questions about retirement planning, contribution strategies, and how to use this calculator.

A common rule of thumb is 25× your annual expenses (the 4% rule). If you need $60,000/year in retirement, target a $1.5 million nest egg. But your number depends on retirement age, Social Security income, health care costs, lifestyle, and how long you expect to live. Use our reverse planning mode to work backward from your specific goal.

The 4% rule states you can withdraw 4% of your portfolio in year one, then adjust annually for inflation, with a high probability your money lasts 30 years. Based on the Trinity Study using historical market data, it has held up across most periods. For retirements longer than 30 years (early retirement, FIRE), a more conservative 3.5% or 3% withdrawal rate is often recommended.

Traditional accounts give you a tax deduction now but withdrawals are taxed in retirement. Roth accounts use after-tax money now but grow and withdraw tax-free. Roth wins if you expect to be in a higher bracket in retirement. Traditional wins if you expect lower income in retirement. Most advisors suggest having both for flexibility. Use our Tax Estimator to model your tax situation.

Employer matching is effectively free money. A typical match: 50% of your contributions up to 6% of salary. So if you earn $80,000 and contribute 6% ($4,800/yr), your employer adds $2,400 — an immediate 50% return. Always contribute at least enough to capture the full employer match before considering other investments. This calculator includes employer match in your projected balance.

Historical guidance: S&P 500 nominal return ≈ 10%, real (inflation-adjusted) ≈ 7%. A diversified 60/40 portfolio: 7–8% nominal, 4–5% real. For conservative planning use 5–6% nominal or 3–4% real. This calculator lets you toggle between nominal and real returns — using real returns shows results in today's purchasing power.

At 3% annual inflation, $1,000 today buys only about $412 worth of goods in 30 years. Selecting "real" returns shows your projected balance in today's purchasing power, making it easier to understand what your nest egg will actually be worth. "Nominal" shows the raw future dollar amount, which looks larger but overstates real purchasing power.

You can claim as early as 62 (reduced benefit) or delay to 70 (maximum benefit — about 8% more per year after full retirement age of 67). Delaying is generally better if you're healthy and have other income sources. The break-even age for delaying from 62 to 70 is typically around 80. Get your personalized estimate at ssa.gov/myaccount.

Reverse planning starts with your desired retirement goal and works backward to answer: How much do I need to save each month? Enter your target nest egg, current savings, years to retirement, and expected return — and the calculator solves for the required monthly and annual contribution using the future value of annuity formula. It also shows required return rate if you keep current contributions, and years until goal at your current pace.