Retirement Calculator - How Much Do You Need to Retire?

🏖️ Retirement Calculator

👤 About You

Current Age

Retirement Age

Life Expectancy

Annual Income (current)

Current Savings

Current Retirement Savings

Monthly Contribution (401k/IRA/etc.)

Employer Match (% of salary)

Expected Annual Return (pre-retire)

🏖️ Retirement Needs

Income Replacement Rate

Expected Annual Return (in retirement)

Inflation Rate

Monthly Social Security Estimate

Other Monthly Retirement Income (pension etc.)

Withdrawal Strategy

️ Disclaimer: Projections are estimates based on assumptions. Actual returns vary. Consult a certified financial planner (CFP) for personalised advice.

Year-by-Year Growth Milestones

Run the calculator first to see your personalised milestones.

Age	Year	Balance	Annual Contribution	Cumul. Contributed	Investment Growth
Run the calculator first.

How Retirement Planning Works

How Much Do You Need? (The Nest Egg)

Step 1: Annual income needed in retirement = Current income x Replacement Rate (80%) Step 2: Subtract guaranteed income = Annual needed - Social Security - Pension Step 3: Apply withdrawal rate (4% rule) Nest Egg Needed = Annual from savings / Withdrawal Rate Example: Current income: $95,000 Need 80%: $76,000/year SS income: $26,400/year From savings: $76,000 - $26,400 = $49,600/year At 4% rule: $49,600 / 4% = $1,240,000 needed

Future Value of Current Savings

FV = PV x (1 + r)^n + PMT x [(1+r)^n - 1] / r Where: PV = Current savings r = Monthly return rate (annual / 12) n = Months to retirement PMT = Monthly contributions (yours + employer) This gives your projected nest egg at retirement.

The 4% Rule (Safe Withdrawal Rate)

The 4% rule (Bengen, 1994): Withdraw 4% of nest egg in year 1, then adjust for inflation each year. Portfolio historically lasts 30+ years. Example: $1,000,000 nest egg Year 1 withdrawal: $40,000 (4%) Year 2 (3% inflation): $41,200 Research shows 3.3-3.5% is safer for 40-year retirements. Many planners now use 3.5% as conservative estimate.

Rule of 25 (Nest Egg Target)

Nest Egg = Annual Spending x 25 (This is the inverse of the 4% rule) Annual from savings x 25 = Nest Egg needed Example: Need $50,000/year from portfolio Nest Egg = $50,000 x 25 = $1,250,000 With 3.5% withdrawal: multiply by 28.6 With 3% withdrawal: multiply by 33.3

2025 Contribution Limits

401(k): $23,500/year ($31,000 if age 50+) IRA/Roth IRA: $7,000/year ($8,000 if age 50+) SEP-IRA: 25% of comp, max $70,000 SIMPLE IRA: $16,500 ($20,000 if age 50+) Employer match: Usually 50-100% of your contribution up to 3-6% of your salary. FREE MONEY - always max the match first!

Frequently Asked Questions

Use the 4% rule: multiply your annual spending from savings by 25. Example: you need $60,000/year from your portfolio (after Social Security). Target = $60,000 × 25 = $1.5 million. First subtract Social Security and pension from your annual need - they reduce how much the portfolio must generate. For retirements longer than 30 years, use ×28–30 (the 3.3–3.5% rate) to be more conservative. This calculator computes your personalised target based on your income and retirement age.

The 4% safe withdrawal rate (Bengen, 1994) says you can withdraw 4% of your portfolio in year 1 of retirement, then adjust the amount for inflation each year - historically, this rate has never depleted a diversified 60/40 portfolio over 30 years of any market conditions. For longer retirements (40+ years), many planners recommend 3.3–3.5% (withdraw × 28–30 to size the corpus). The rule is a starting point; a flexible strategy that adjusts withdrawals in down markets improves outcomes.

General guidelines: Save 15% of gross income including employer match. Fidelity age benchmarks (retiring at 67): 1× salary at 30, 3× at 40, 6× at 50, 10× at 67. Priority order: (1) Always get the full employer 401k match - guaranteed 50–100% instant return. (2) Max your IRA ($7,000 in 2025; $8,000 if 50+). (3) Max 401k ($23,500 in 2025; $31,000 if 50+). If behind, delay retirement by even 2 years - it's one of the most powerful adjustments available.

An employer match is free money - an instant 50–100% return on every dollar you contribute up to the match limit. A 3% match on a $90,000 salary = $2,700/year in free contributions. Never leave this on the table - it is the highest guaranteed return available to most employees. If you contribute anything less than the amount needed to get the full match, you are declining free money. This should always be the first retirement saving priority, ahead of paying down debt below 8% interest.

Traditional 401k/IRA: contributions are pre-tax (reduce your current taxable income), growth is tax-deferred, withdrawals in retirement are taxed as ordinary income. Best when you are in a higher tax bracket now than you will be in retirement. Roth 401k/IRA: contributions are after-tax, growth is tax-free, qualified withdrawals in retirement are completely tax-free. Best when you are in a lower bracket now or expect higher taxes in retirement. Young earners in low brackets usually benefit most from Roth. Many experts recommend contributing to both types to hedge tax risk.

You can claim at 62 (reduced to approximately 75% of full benefit), Full Retirement Age/FRA (66–67 depending on birth year, 100%), or up to 70 (maximum, approximately 132% of full benefit - 8% increase per year past FRA). Delaying from 62 to 70 increases monthly benefits by approximately 76%. Break-even for delaying: approximately age 78–82. If you're healthy and have savings to live on until 70, delaying is typically the best financial decision. If health is uncertain or you need income, claim earlier.

At 3% annual inflation, $100 today has the purchasing power of only $55 in 20 years and $44 in 25 years. This means your retirement target must be sized in future dollars, not today's dollars. This calculator adjusts your target for inflation. It also means your portfolio must grow above inflation to maintain real purchasing power: a 7% nominal return at 3% inflation = 4% real return. The 4% withdrawal rule accounts for inflation by inflating the withdrawal amount each year.

Options for catching up: (1) Catch-up contributions: age 50+ can contribute $7,500 extra to 401k ($31,000 total) and $1,000 extra to IRA ($8,000 total). (2) Delay retirement by 2–5 years - one of the most powerful adjustments: more years of savings + fewer withdrawal years + larger Social Security. (3) Reduce planned retirement spending - spend $60K/year instead of $80K, and the target falls from $2M to $1.5M. (4) Part-time work in early retirement to reduce portfolio withdrawal rate. (5) Downsize home to free up equity.

Retirement Calculator - How Much You Need, Whether You're On Track, and What to Do

Retirement planning has a specific mathematical structure: the 4% rule tells you how large a portfolio you need. Your current savings + compound growth tells you where you'll be. The gap between these two numbers tells you whether you're on track. This calculator makes all three calculations concrete and personalised, so you can make specific decisions rather than relying on generic advice.

Quick example - 35-year-old, $90K income, $120K saved, saving 12%/year at 7% return, retiring at 67: Retirement savings target (4% rule on $72K/year need): $1.8M. Projected portfolio at 67: $2.1M. Monthly income from portfolio: $7,000. Add estimated Social Security: ~$2,400/month. Total retirement income: $9,400/month. Status: on track.

The Retirement Math - Three Numbers That Define Your Plan

1. How Much You Need (Target)

Annual spending from portfolio × 25 = retirement target (4% rule)
Subtract Social Security and pension from annual need first
Example: Need $80K/year, Social Security $24K portfolio needs to cover $56K target = $56K × 25 = $1.4M
For 40+ year retirements: use ×28–30 (3.3–3.5% rate)
Include inflation: retirement spending in future dollars, not today's

2. Where You'll Be (Projection)

Compound growth of current savings + future contributions
Formula: FV = PV×(1+r)^n + PMT×[((1+r)^n−1)÷r]
7% is the commonly used real-return assumption for diversified equity
After inflation (7% nominal − 3% inflation = ~4% real), adjust accordingly
Employer match is a guaranteed 50–100% return - always capture it fully

Fidelity Age Benchmarks - Are You on Track?

Fidelity's widely cited savings benchmarks (assuming retiring at 67):

Age 30: 1× annual salary saved
Age 35: 2× annual salary
Age 40: 3× annual salary
Age 45: 4× annual salary
Age 50: 6× annual salary
Age 55: 7× annual salary
Age 60: 8× annual salary
Age 67: 10× annual salary

These assume 15% gross income savings rate (including employer match), moderate investment returns, and roughly 45% income replacement ratio from savings. They're guidelines - not gospel. Higher earners typically need a higher multiple because a larger portion of pre-retirement income needs to be replaced (Social Security replaces a higher percentage of lower earners' income). The calculator adjusts for your specific income.

Social Security - When to Claim and What to Expect

Social Security significantly reduces how much your portfolio needs to generate. Claiming age matters enormously:

Claim at 62 (earliest): ~25–30% reduction from full benefit. Lower monthly payment for life.
Claim at Full Retirement Age (66–67 depending on birth year): Full benefit. The baseline.
Claim at 70 (latest): ~32% increase above full benefit (8% per year delayed past FRA). Highest monthly payment for life.

Break-even for delaying from 62 to 70: approximately age 78–82 depending on the benefit amount. If you're healthy and expect to live past 80, delaying typically maximises lifetime benefits. If you need the income earlier or have health concerns, claiming earlier may be appropriate. This is one of the highest-stakes financial decisions in retirement planning.

How this calculator works, and where the numbers come from

The Retirement Calculator applies the standard formula for this calculation to the values you enter and updates the result as you type. The calculation itself happens in your browser, and the page explains the method so you can check any result by hand.

Please note: Projections assume the inputs you enter stay constant; real returns vary. Results are estimates, not financial advice.

Sources and further reading

Learn more

Read our guide: Compound Interest and the Rule of 72, Checked Against the Math

Last reviewed: October 6, 2026 by the CalcQube Editorial Team. See our editorial policy for how we build and check calculators, or report an error.

🏖️ Retirement Calculator