Guide
Find out how much you need to retire and whether your current savings plan is on track. This free retirement calculator projects your nest egg at retirement age, estimates monthly income using the 4% rule, and shows any savings gap you need to close.
How Much Do You Need to Retire?
A common benchmark is the 25× rule: if you need $80,000 per year in retirement, aim for roughly $2,000,000 in invested assets. This assumes a 4% annual withdrawal rate that historically sustained portfolios over 30-year periods.
Adjust for Social Security, pensions, rental income, or part-time work — these reduce how much you must save yourself. This calculator focuses on investment savings; add other income sources when planning your full retirement budget.
The Power of Starting Early
Someone who saves $500/month from age 25 to 65 at 7% average return can accumulate over $1.2 million. Starting at 35 with the same contribution might only reach about $600,000. Time and compound growth do the heavy lifting.
If you are behind, increasing contributions even slightly — or working two extra years — can dramatically improve your outcome. Run scenarios with different retirement ages and contribution amounts.
401(k), IRA, and Tax-Advantaged Accounts
Maximize employer 401(k) matching first — it is an immediate 50–100% return. Then consider Roth IRA or traditional IRA contributions depending on your tax bracket now vs. expected retirement bracket.
Catch-up contributions are available after age 50. HSAs can triple as tax-advantaged retirement vehicles if used strategically for medical expenses in retirement.
Key Takeaways
- Target 25× your desired annual retirement income from investments.
- Start early — compound growth rewards time more than amount.
- Maximize employer match before other retirement contributions.
- Account for inflation when setting long-term income goals.