How this calculator works
It runs in two phases. Before retirement, your savings grow with your contributions, which rise with your income. In retirement, you withdraw what you need each year beyond Social Security and pensions, rising with inflation, while the rest keeps earning a more conservative return. The result shows the age your money runs out, or what's left at the end.
Setting your goal
Many planners suggest needing 70% to 80% of your pre-retirement income. Enter that amount in today's dollars along with your expected Social Security benefit, which you can find in your account at ssa.gov. The difference between the two is what your savings must cover.
If you're short, the calculator finds the savings rate that would make your money last to the age you plan for, and lets you try it with one click.
Assumptions to keep realistic
Returns of 6% to 7% before retirement and 4% to 5% during it are common planning numbers. Plan to an age older than you expect to reach; running out at 85 is a bigger risk than having money left at 95.
Example
If you'll need $60,000 a year in today's dollars and expect $24,000 from Social Security, your savings must cover a $36,000 yearly gap, rising with inflation every year of retirement.
Frequently asked questions
What is the 4% rule?
It's a guideline that withdrawing 4% of your savings in the first year of retirement, then adjusting for inflation, has historically lasted about 30 years. It's a starting point, not a guarantee.
Does this include taxes?
No. Withdrawals from traditional 401(k)s and IRAs are taxed as income, so your gross need may be higher than your spending.
Should I include my employer match in savings?
Yes. Enter your total savings rate including any employer match.