The Retirement Calculator projects how much money you'll have at retirement based on your current savings, monthly contributions, expected returns, and years until retirement. It helps you determine if you're on track to meet your retirement goals and how much you need to save to close any gap.
The most common retirement guideline is the '4% rule' — you can safely withdraw 4% of your portfolio in the first year of retirement and adjust for inflation each year, with a high probability your money will last 30 years. This means you need roughly 25 times your annual retirement expenses saved. If you need $60,000/year in retirement, your target is $1.5 million.
How the Formula Works
Future Value = PV × (1+r)^n + PMT × [((1+r)^n − 1) ÷ r], where PV = current savings, PMT = monthly contribution, r = monthly return, n = months until retirement.
How to Use This Calculator
Enter your current age and desired retirement age
Enter your current retirement savings
Enter your monthly contribution
Enter the expected annual rate of return
View your projected retirement savings and whether you're on track
Tips & Best Practices
Start as early as possible — someone saving $200/month from age 25 accumulates more than someone saving $400/month from age 35
Always contribute enough to your 401(k) to get the full employer match
Consider Roth accounts for tax-free growth if you expect to be in a higher tax bracket in retirement
Plan for healthcare costs — the average retired couple needs approximately $315,000 for lifetime healthcare expenses
Important Limitations
Assumes a constant rate of return — real returns vary significantly year to year
Does not account for inflation's impact on purchasing power
Does not include Social Security or pension income
Tax treatment differs between traditional and Roth accounts