Retirement Calculator

Estimate your retirement needs, savings, and withdrawal strategies.

Retirement Calculator

Year-by-Year Projection

Year	Age	Start Balance	Contribution	Growth	End Balance
0	35	$30,000	$7,000	$1,800	$38,800
1	36	$38,800	$7,000	$2,328	$48,128
2	37	$48,128	$7,000	$2,888	$58,016
3	38	$58,016	$7,000	$3,481	$68,497
4	39	$68,497	$7,000	$4,110	$79,606
5	40	$79,606	$7,000	$4,776	$91,383
6	41	$91,383	$7,000	$5,483	$103,866
7	42	$103,866	$7,000	$6,232	$117,098
8	43	$117,098	$7,000	$7,026	$131,124
9	44	$131,124	$7,000	$7,867	$145,991
10	45	$145,991	$7,000	$8,759	$161,750
11	46	$161,750	$7,000	$9,705	$178,455
12	47	$178,455	$7,000	$10,707	$196,163
13	48	$196,163	$7,000	$11,770	$214,933
14	49	$214,933	$7,000	$12,896	$234,829
15	50	$234,829	$7,000	$14,090	$255,918
16	51	$255,918	$7,000	$15,355	$278,273
17	52	$278,273	$7,000	$16,696	$301,970
18	53	$301,970	$7,000	$18,118	$327,088
19	54	$327,088	$7,000	$19,625	$353,713
20	55	$353,713	$7,000	$21,223	$381,936
21	56	$381,936	$7,000	$22,916	$411,852
22	57	$411,852	$7,000	$24,711	$443,563
23	58	$443,563	$7,000	$26,614	$477,177
24	59	$477,177	$7,000	$28,631	$512,808
25	60	$512,808	$7,000	$30,768	$550,576
26	61	$550,576	$7,000	$33,035	$590,611
27	62	$590,611	$7,000	$35,437	$633,047
28	63	$633,047	$7,000	$37,983	$678,030
29	64	$678,030	$7,000	$40,682	$725,712
30	65	$725,712	$7,000	$43,543	$776,255
31	66	$776,255	$7,000	$46,575	$829,830
32	67	$829,830	$7,000	$49,790	$886,620

Results Summary

Years to Retirement:32

Years in Retirement:18

Annual Income Needed at Retirement:$135,192

Projected Savings at Retirement:$829,830

Estimated Safe Monthly Withdrawal:$2,766

Status:Shortfall

Planning Your Retirement

Understand how to build and manage your retirement savings for a secure financial future

How Does Retirement Planning Work?

Retirement planning is the process of determining retirement income goals, the actions and decisions necessary to achieve those goals, and the appropriate management of assets. It includes identifying sources of income, estimating expenses, implementing a savings program, and managing assets and risk. Future cash flows are estimated to determine if the retirement income goal will be achieved. Proper retirement planning considers not just financial factors but also life expectancy, desired lifestyle, and potential healthcare needs.

Key Retirement Terms

Retirement Age:The age at which you plan to stop working and begin living off your retirement savings.
Retirement Corpus:The total amount of money you need to accumulate by retirement to fund your post-retirement lifestyle.
Withdrawal Rate:The percentage of your retirement savings you withdraw each year to cover living expenses.
Life Expectancy:The estimated number of years you are expected to live, which helps determine how long your retirement savings need to last.
Inflation:The rate at which the general level of prices for goods and services rises, eroding purchasing power over time.

Benefits of Retirement Planning

Financial Security:Ensure you have enough money to maintain your desired lifestyle throughout retirement.
Peace of Mind:Reduce anxiety about the future by having a clear plan for your financial needs.
Tax Advantages:Take advantage of tax-deferred or tax-free growth in retirement accounts to maximize savings.
Legacy Planning:Create a plan for transferring wealth to heirs or charitable causes after your lifetime.
Healthcare Readiness:Prepare for potential medical expenses that often increase with age.

Smart Retirement Strategies

Start Early

The power of compound interest means that even small amounts invested in your 20s and 30s can grow significantly by retirement age.

Maximize Employer Match

If your employer offers matching contributions to your retirement plan, contribute at least enough to get the full match—it's essentially free money.

Diversify Retirement Accounts

Consider a mix of traditional (tax-deferred) and Roth (tax-free growth) retirement accounts to provide tax flexibility in retirement.

Adjust Strategy Over Time

Gradually shift from growth-oriented investments to more conservative options as you approach retirement to protect your savings.

The 4% Rule

The 4% rule is a guideline used to determine how much a retiree should withdraw from a retirement account each year. This rule seeks to provide a steady income stream while maintaining an account balance that keeps income flowing through retirement.

How it works:

1In the first year of retirement, withdraw 4% of your total retirement savings.
2In subsequent years, adjust the dollar amount for inflation.
3Example: With $1 million saved, you could withdraw $40,000 in year one, then adjust that amount for inflation in future years.

Frequently Asked Questions

1How much money do I need to retire?

A common rule of thumb is to save 10-12 times your annual pre-retirement income, but this varies based on your desired lifestyle, expected longevity, healthcare needs, and other factors. Our retirement calculator can help you determine a more personalized target based on your specific situation.

2When should I start saving for retirement?

Ideally, you should start saving for retirement as soon as you begin earning income. The earlier you start, the more time your money has to grow through compound interest. Even small contributions in your 20s can have a significant impact on your retirement savings due to decades of potential growth.

3What retirement accounts should I use?

Consider a mix of tax-advantaged accounts such as 401(k)s, IRAs (both traditional and Roth), and HSAs if eligible. The best combination depends on your tax situation, income level, and employer benefits. Diversifying across different account types provides tax flexibility in retirement.

4How does inflation affect my retirement savings?

Inflation reduces the purchasing power of your money over time. For example, with 3% annual inflation, $100 today will only buy about $74 worth of goods in 10 years. When planning for retirement, it's crucial to account for inflation by either using inflation-adjusted returns in your calculations or targeting a higher savings amount.

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