Retirement Calculator
Estimate how much you need to retire comfortably. See how your savings, contributions, and investment returns combine to build your retirement nest egg.
Retirement Account Options
Choose the right account type to maximize tax advantages and grow your retirement savings.
401(k)
Employer-sponsored plan with pre-tax contributions. 2026 limit: $23,500 ($31,000 if 50+). Many employers match contributions - free money you should not leave on the table.
Employer MatchTraditional IRA
Individual retirement account with tax-deductible contributions. 2026 limit: $7,000 ($8,000 if 50+). Taxes paid on withdrawal in retirement.
Tax DeductibleRoth IRA
Contribute after-tax dollars, but withdrawals in retirement are completely tax-free. 2026 limit: $7,000 ($8,000 if 50+). Income limits apply.
Tax-Free GrowthHSA
Health Savings Account with triple tax advantage: deductible contributions, tax-free growth, and tax-free withdrawals for medical expenses. 2026 limit: $4,300 individual ($8,550 family).
Triple Tax BenefitPlanning Your Retirement
2026 Contribution Limits
| Account Type | Under 50 | 50 and Over | Tax Treatment |
|---|---|---|---|
| 401(k) / 403(b) | $23,500 | $31,000 | Pre-tax or Roth |
| Traditional IRA | $7,000 | $8,000 | Tax-deductible |
| Roth IRA | $7,000 | $8,000 | After-tax in, tax-free out |
| HSA (Individual) | $4,300 | $5,300 | Triple tax advantage |
| HSA (Family) | $8,550 | $9,550 | Triple tax advantage |
Employer Matching: Free Money
Many employers match 401(k) contributions, typically 50% to 100% of your contribution up to 3-6% of your salary. Always contribute at least enough to get the full match - it is an instant 50-100% return on your money.
Example: You earn $80,000/year. Your employer matches 50% up to 6%. You contribute 6% ($4,800/year). Employer adds $2,400/year. That is $2,400 in free money every single year.
The 4% Rule for Safe Withdrawal
The 4% Rule states that you can withdraw 4% of your retirement portfolio in the first year, then adjust for inflation each year after. Historically, this approach has sustained a portfolio for at least 30 years of retirement.
Annual Income = Nest Egg x 0.04
Or flip it: Nest Egg Needed = Annual Expenses x 25
How Much Do You Need to Retire?
| Desired Annual Income | Nest Egg Needed (4% Rule) | Monthly Savings Needed* |
|---|---|---|
| $40,000 | $1,000,000 | $475/month |
| $60,000 | $1,500,000 | $715/month |
| $80,000 | $2,000,000 | $950/month |
| $100,000 | $2,500,000 | $1,190/month |
| $120,000 | $3,000,000 | $1,430/month |
*Assumes starting at age 25, retiring at 65, 7% annual return, and $0 starting balance.
Retirement Savings by Age Milestones
By Age 30
- Target: 1x your annual salary
- Salary: $50,000 = Save $50,000
- Focus: Build the habit early
By Age 40
- Target: 3x your annual salary
- Salary: $70,000 = Save $210,000
- Focus: Maximize contributions
By Age 50
- Target: 6x your annual salary
- Salary: $85,000 = Save $510,000
- Focus: Catch-up contributions
By Age 60
- Target: 8x your annual salary
- Salary: $95,000 = Save $760,000
- Focus: Shift to preservation
Frequently Asked Questions
A common guideline is to save 25 times your desired annual retirement income (based on the 4% rule). If you want $60,000 per year in retirement, aim for $1.5 million. However, your actual number depends on your lifestyle, location, healthcare needs, Social Security benefits, and other income sources. Use the calculator above to estimate your personal target.
A 401(k) is an employer-sponsored plan with higher contribution limits ($23,500 in 2026) and potential employer matching. An IRA (Individual Retirement Account) is opened by you independently with lower limits ($7,000 in 2026) but more investment choices. You can have both. The best strategy is to contribute enough to your 401(k) to get the full employer match, then max out a Roth IRA, then return to max out the 401(k).
As early as possible. Thanks to compound interest, money invested in your 20s has decades to grow. Someone who invests $300/month starting at age 22 could have over $1 million by 65 at a 7% return. Starting the same investment at 32 would yield roughly half that amount. Even small contributions in your early career create a massive advantage over time.
The 4% rule is a retirement withdrawal guideline based on historical market research. It states that if you withdraw 4% of your portfolio in the first year of retirement and adjust for inflation each subsequent year, your savings should last at least 30 years. For example, with a $1 million portfolio, you would withdraw $40,000 in year one. While not a guarantee, it has held up through most historical market conditions including downturns.
