Retirement Savings Calculator

Calculate your retirement savings with employer matching, inflation adjustments, and contribution growth for accurate long-term projections.

Your Retirement Plan

Total in 401(k), IRA, and other retirement accounts

How much you contribute each month

Historical average: 7-10%

Historical average: 2-3%

e.g., 50% means $0.50 per $1

Maximum % matched

Increase contributions with salary raises

Planning for a Secure Retirement

Retirement planning is one of the most critical financial decisions you'll make in your lifetime. Starting early gives compound interest decades to work its magic, turning modest monthly contributions into substantial wealth. Even if you're starting later, consistent saving combined with employer matching and strategic contribution increases can still build a comfortable retirement nest egg. The key is understanding your goals, being realistic about expectations, and maintaining discipline over the long term.

This retirement calculator models your financial future by projecting how your current savings and ongoing contributions will grow over time. It accounts for employer matching programs—essentially free money that can double or significantly boost your contributions up to certain limits. Most companies offer matches like "50% up to 6% of salary" or "100% up to 3%," and failing to contribute enough to capture the full match means leaving money on the table. The calculator also factors in annual contribution increases, recognizing that as your salary grows through raises and promotions, you should increase retirement savings proportionally.

Expected return rates and inflation are crucial variables in retirement planning. Historical stock market returns average 7-10% annually, though past performance doesn't guarantee future results. Conservative portfolios with more bonds might expect 5-7%, while aggressive stock-heavy portfolios could target 8-10%. Inflation, averaging 2-3% historically, erodes purchasing power—a million dollars today won't buy what a million buys in 35 years. This calculator shows both nominal (future dollar) and inflation-adjusted (today's dollar) values, helping you understand the real purchasing power of your retirement savings.

Beyond the numbers, successful retirement planning requires periodic reassessment. Life changes—marriage, children, career shifts, health issues—impact your ability to save and your retirement needs. Review your plan annually, adjusting contributions as income grows, rebalancing investments as you age, and recalculating targets if retirement goals change. Consider consulting with financial advisors, maximizing tax-advantaged accounts like 401(k)s and IRAs, diversifying investments, and planning for healthcare costs in retirement. This calculator provides the foundation, but your unique circumstances and goals will shape the final strategy for achieving financial independence and a comfortable retirement.

How to Use This Calculator

1. Enter Your Age Information

Input your current age, target retirement age (typically 65-67), and life expectancy (average is 78-85 years). More years until retirement means more time for compound growth.

2. Add Current Savings

Include the total balance across all retirement accounts: 401(k), IRA, Roth IRA, 403(b), and other tax-advantaged retirement savings. This is your starting point.

3. Set Monthly Contributions

Enter how much you contribute each month to retirement accounts. Financial experts recommend 10-15% of gross income, increasing to 15-25% if starting later or targeting early retirement.

4. Configure Return and Inflation Rates

Set realistic expected returns based on your investment mix (7-10% for stocks, 4-6% for bonds). Inflation typically ranges 2-3% but adjust based on economic forecasts and personal circumstances.

5. Add Employer Match Details

Input your company's match percentage and salary limit. Common examples: "50% match up to 6% of salary" means enter 50% match, 6% limit. Always contribute enough to get the full match.

6. Plan for Contribution Growth

Set annual contribution increases to reflect salary growth. If you get 3% raises annually, increasing contributions by 2% maintains living standards while accelerating retirement savings.

7. Review Projections and Adjust

Examine your retirement balance, monthly income projections, and year-by-year breakdown. If results fall short of goals, increase contributions, extend working years, or adjust expectations.

Retirement Projection

Balance at Retirement
$1,447,847
In 35 years at age 65
Inflation-Adjusted Value
$610,081
In today's dollars
Monthly Income in Retirement
$6,033
For 20 years
Savings Breakdown
Your Contributions$299,967
Employer Match$17,998
Investment Growth$1,104,882
Balance Composition
Contributions 21%
Match 1%
Growth 76%
💡
Tip:

Increase contributions by 1% annually to reach retirement goals faster without significantly impacting your budget.

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Frequently Asked Questions

How much should I save for retirement?
Financial experts typically recommend saving 10-15% of your gross income for retirement, starting in your 20s or 30s. If you start later, you may need to save 15-25% or more. The actual amount depends on your desired retirement lifestyle, current age, retirement age goals, expected Social Security benefits, and other income sources.
How is retirement savings calculated?
Retirement savings calculations use compound interest formulas: Future Value = Present Value × (1 + r)^n + Regular Contributions × [((1 + r)^n - 1) / r], where r is the annual return rate and n is years. This calculator factors in current savings, monthly contributions, employer matching, annual return rates, inflation, and contribution increases over time.
What is a realistic retirement return rate?
Historical stock market returns average 7-10% annually before inflation. Conservative estimates use 6-7% for diversified portfolios with stocks and bonds. As you near retirement, many advisors recommend shifting to more conservative investments with 4-6% expected returns. Adjust the rate based on your risk tolerance and asset allocation.
How does employer matching work?
Employer matching is when your company contributes to your retirement account based on your contributions. Common formulas include 50% match up to 6% of salary (they contribute $0.50 for every $1 you save, up to 6% of your salary) or 100% match up to 3%. Always contribute enough to get the full match—it's free money.
Should I account for inflation in retirement planning?
Yes, absolutely. Inflation erodes purchasing power over time. Historical average inflation is around 2-3% annually. This calculator shows both nominal and inflation-adjusted balances, helping you understand the real value of your retirement savings in today's dollars.
What if I start saving for retirement late?
Starting late requires more aggressive saving, but it's never too late. If you start at 40 instead of 25, you might need to save 18-20% instead of 10-12% of income. Maximize employer matches, increase contributions annually, delay retirement slightly, and consider catch-up contributions (age 50+) which allow higher 401(k) limits.
How much monthly income will I need in retirement?
Most financial planners suggest you'll need 70-80% of your pre-retirement income to maintain your lifestyle. If you earn $75,000/year now, plan for $52,500-60,000 in retirement. Factor in Social Security, pensions, part-time work, and reduced expenses (no commuting, paid-off mortgage) when calculating your needs.
Is this retirement calculator free to use?
Yes, this retirement savings calculator is 100% free with no sign-up, registration, or hidden fees. Calculate your retirement projections instantly with advanced features like employer matching, inflation adjustment, and year-by-year breakdowns—all with complete privacy.