Retirement Calculator

A widely used rule of thumb is that you need 25 times your desired annual retirement spending (the 4% rule). For example, if you expect to spend $60,000 per year in retirement, you'd aim for roughly $1.5 million saved. This retirement calculator lets you test your own assumptions for returns, inflation, and life expectancy to see how much you personally need.

It simulates your finances month by month. Before retirement, your balance compounds monthly at your pre-retirement return and you add monthly contributions (optionally stepped up each year). After retirement, the balance keeps growing at your post-retirement return while you withdraw an inflation-adjusted monthly amount. The result shows your balance at retirement, the real income it supports, and how long your money lasts.

Long-run U.S. stock market returns have averaged roughly 7–10% per year, while a diversified 60/40 portfolio has historically returned about 6–8%. Many planners use 6–7% pre-retirement and 4–5% post-retirement (as portfolios get more conservative) for planning. Use conservative assumptions – it's much better to arrive at retirement with more than you need than less.

Enter your desired monthly retirement income in today's dollars. The calculator automatically inflates it to the future date you retire, and continues increasing withdrawals each year so your standard of living stays the same. The balance-at-retirement figure is shown in future (nominal) dollars, which is the actual amount you'll see on your statement.

The 4% rule suggests withdrawing 4% of your retirement portfolio in the first year and adjusting for inflation each year thereafter. Research (the Trinity Study) found this gives a high probability of the money lasting at least 30 years for a diversified portfolio. It's a useful starting point, but not a guarantee – this calculator lets you stress-test different withdrawal levels and time horizons for your own situation.

Not directly. The simplest workaround: estimate your expected monthly Social Security benefit (or pension), subtract it from your desired total monthly spending, and enter the remainder as "desired monthly income". That way the calculator tells you how much your invested savings alone need to cover.

Inflation silently erodes purchasing power. At 3% annual inflation, $5,000 today only buys about $2,760 worth of goods in 30 years. This retirement calculator automatically adjusts your withdrawals for inflation each year so your real lifestyle stays constant. That's why honest planning requires including an inflation assumption – ignoring it can make a shortfall look like a surplus.

You still have powerful levers. (1) Save more – even small boosts compound for decades. (2) Use catch-up contributions – age 50+ investors can add extra to 401(k) and IRA accounts. (3) Delay retirement by 2–5 years – this adds contribution years and subtracts withdrawal years. (4) Trim target spending. (5) Consider a higher-equity allocation if your risk tolerance allows. Re-run the calculator after each change to see the impact.