Retirement Calculator
Project your nest egg and retirement income
At 30, with $25,000 saved and $500 a month going in at a 7% return, you would have about $1,188,181 at 65: roughly $3,961 a month under the 4% rule, or $422,260 in today's money after 3% inflation. Enter your own age, savings and contributions to project yours. Retirement savings are one line in a bigger picture: the net worth calculator sets everything you own against everything you owe.
The million-dollar number is smaller than it looks
This retirement savings calculator works as a nest egg calculator too; for employer match specifically use the 401(k) calculator.
Start at 30 with $25,000 saved, add $500 a month, earn 7%, and you retire at 65 with $1,188,181. That is the headline every retirement calculator gives you, and on its own it is misleading — because it is denominated in 2061 dollars.
Discount it for 3% inflation and that nest egg is worth $422,260 in today's money. A 64% haircut. The 4% rule turns it into $3,961 a month on paper and $1,408 a month in the buying power you understand today.
Enter an inflation rate above and the calculator shows both figures. Planning against the nominal number is the most common way retirement projections quietly overstate how well things are going.
| Monthly contribution | Nest egg | In today's money | Monthly income (4%) |
|---|---|---|---|
| $250 | $737,917 | $262,244 | $2,460 |
| $500 | $1,188,181 | $422,260 | $3,961 |
| $750 | $1,638,445 | $582,276 | $5,461 |
| $1,000 | $2,088,708 | $742,292 | $6,962 |
| $1,500 | $2,989,236 | $1,062,325 | $9,964 |
Starting age beats contribution size
| Start at | Years | Total contributed | Nest egg | Today's money |
|---|---|---|---|---|
| 25 | 40 | $240,000 | $1,312,407 | $402,327 |
| 30 | 35 | $210,000 | $900,527 | $320,032 |
| 35 | 30 | $180,000 | $609,985 | $251,306 |
| 40 | 25 | $150,000 | $405,036 | $193,447 |
| 50 | 15 | $90,000 | $158,481 | $101,723 |
Starting at 25 rather than 35 means contributing 33% more money and finishing with 115% more. Those first ten years of contributions do more work than the last twenty, because they get the most doublings. If you are reading this in your forties, the same table says something more useful: the lever available to you is the contribution rate, not the return.
How much do you actually need?
The common benchmark is 25 times your annual spending, which is the 4% rule inverted. Spend $50,000 a year and you need roughly $1.25 million — in the money of the year you retire, not today's.
| Annual spending | Nest egg needed | Monthly income |
|---|---|---|
| $40,000 | $1,000,000 | $3,333 |
| $50,000 | $1,250,000 | $4,167 |
| $60,000 | $1,500,000 | $5,000 |
| $80,000 | $2,000,000 | $6,667 |
| $100,000 | $2,500,000 | $8,333 |
Two adjustments that matter. Social Security or a pension reduces what the portfolio must cover, sometimes substantially — subtract that income from your spending before multiplying by 25. And retirement spending is not working-age spending: commuting and saving stop, while healthcare rises.
What the 4% rule really says
It comes from research into historical US market returns, and the finding was that a portfolio withdrawing 4% in the first year and increasing that amount with inflation each year afterwards survived 30 years in essentially every historical period tested.
The important caveats are usually left out:
- It assumes a 30-year retirement. Retiring at 55 needs a lower rate; some planners use 3 to 3.5% for a long horizon.
- It assumes a stock-heavy portfolio, typically 50 to 75% equities. An all-bond portfolio does not support 4%.
- It is based on US market history, which was unusually good. Other developed markets over the same period would have supported less.
- It ignores fees and taxes. A 1% advisor fee comes straight off the withdrawal rate.
- Sequence of returns matters enormously. A crash in the first five years of retirement is far more damaging than the same crash later, because you are selling assets to live on while they are down.
Treat 4% as a planning anchor, not a guarantee. Most people also adjust spending in bad years rather than mechanically withdrawing, which improves the odds considerably.
Order of operations
- Capture the full employer match first. It is an immediate 50 to 100% return and nothing else comes close — see the 401(k) calculator.
- Clear high-interest debt. Paying off a 22% card beats any expected market return; the debt payoff calculator shows the numbers.
- Build an emergency fund of three to six months of expenses, so a bad month does not become a withdrawal.
- Then maximise tax-advantaged space and increase the contribution rate with every raise.
Estimate only — returns vary and are not guaranteed. This is general information, not financial advice.
What the retirement projection assumes
The nest egg compounds monthly at your annual return divided by 12: FV = P(1+r)ⁿ + C×((1+r)ⁿ − 1)÷r. Monthly income applies the 4% rule as FV × 0.04 ÷ 12.
- The inflation-adjusted figure divides by (1 + inflation)^years, giving the nest egg in today's buying power. It is optional but strongly recommended: over 35 years at 3% it reduces the headline by about 64%.
- Contributions are held flat in nominal terms, which is conservative for anyone who raises them with inflation and optimistic for anyone who never does.
- Salary growth, employer match, Social Security and pensions are not modelled. Use the 401(k) calculator for employer match specifically.
- No taxes or fees. Subtract your expense ratio from the return you enter; tax treatment depends on the account type.
- The 4% rule derives from historical US market data over 30-year retirements with a stock-heavy portfolio. It is a planning convention, not a guarantee, and sequence of returns in the early years matters more than the average.
Reviewed September 2026.
Sources, checked
- Determining Withdrawal Rates Using Historical Data (Bengen, 1994), Journal of Financial Planning. The study behind the 4% withdrawal rule.
Figures reviewed . Every worked example on this page is checked against the calculator above.
Retirement Calculator: frequently asked questions
How much do I need to retire?
About 25 times your annual spending, which is the 4% rule inverted. Spending $50,000 a year means roughly $1.25 million — in the money of your retirement year, not today's. Subtract any Social Security or pension income first.
How much will my retirement savings be worth in today's money?
Far less than the headline. Starting at 30 with $25,000 and adding $500 a month at 7%, you retire with $1,188,181 — but at 3% inflation that is $422,260 in today's buying power, a 64% reduction.
Why does inflation matter so much to retirement planning?
Because the horizon is long. Over 35 years at 3%, prices roughly triple, so a nest egg loses about two thirds of its apparent value. Planning against a nominal figure is the most common way projections overstate how well things are going.
What is the 4% rule?
Withdraw 4% of your portfolio in the first year of retirement, then increase that amount with inflation annually. Historical US data suggests it survives 30 years in almost every period, assuming a stock-heavy portfolio and no fees.
Is the 4% rule still safe?
It is a planning anchor rather than a guarantee. It assumes a 30-year retirement, 50 to 75% equities, and US market history that was unusually favourable. For an early retirement or with advisor fees, 3 to 3.5% is more conservative.
Does starting early really matter that much?
Yes. Contributing $500 a month from 25 rather than 35 means 33% more money contributed and 115% more at retirement, because the earliest dollars get the most doublings. Delay is the most expensive decision on this page.
What return should I assume for retirement?
6 to 7% is a common planning figure for a long-term diversified portfolio. Subtract your fund fees, since a 1% expense ratio is a permanent 1% cut to the compounding rate.
Should I pay off debt or save for retirement first?
Capture the full employer match first, since a 50 to 100% match beats any market return. Then clear high-interest debt, since paying off a 22% card beats any expected return. Then build the emergency fund and maximise contributions.