Retirement Savings Calculator

How Much Will You Have Saved for Retirement?

Retirement savings projections combine your current nest egg, ongoing monthly contributions, expected investment returns, and the years remaining until retirement. Enter these values in the calculator above to see the projected retirement balance, total amount contributed, investment growth, and estimated monthly income using the 4% withdrawal rule. This projection serves as the foundation for determining whether your current savings pace will support your desired retirement lifestyle.

Retirement Savings Benchmarks by Age

Fidelity guidelines: by age 30, have 1x your annual salary saved. By 40: 3x. By 50: 6x. By 60: 8x. By 67: 10x. On a $75,000 salary: $75,000 by 30, $225,000 by 40, $450,000 by 50, $600,000 by 60, $750,000 by 67. These benchmarks assume 15% annual savings rate, 7% returns, and retirement at 67 with Social Security supplementing the portfolio. Falling behind by one multiple (e.g., 2x at 40 instead of 3x) requires either increased savings rate, delayed retirement, or reduced lifestyle expectations. The earlier the shortfall is identified, the easier the correction.

The Power of Starting Early vs Playing Catch-Up

Scenario A: save $500/month from age 25 to 65 at 7%: $1,197,811 total ($240,000 contributed). Scenario B: save $1,000/month from age 35 to 65 at 7%: $1,219,971 ($360,000 contributed). Scenario C: save $2,000/month from age 45 to 65 at 7%: $1,033,879 ($480,000 contributed). Starting at 25 produces nearly the same result as starting at 35 with double the contribution, and more than starting at 45 with quadruple the contribution. Each decade of delay roughly doubles the monthly savings required to reach the same endpoint. This math makes starting early - even with small amounts - the single most impactful retirement planning decision.

How Much Monthly Income Will Your Savings Provide?

Using the 4% rule: a $500,000 portfolio provides $20,000/year ($1,667/month). At $750,000: $30,000/year ($2,500/month). At $1,000,000: $40,000/year ($3,333/month). At $1,500,000: $60,000/year ($5,000/month). At $2,000,000: $80,000/year ($6,667/month). Add Social Security (average $1,900/month for a worker retiring at 67) to the portfolio income for total retirement income. A $1,000,000 portfolio plus average Social Security: $5,233/month ($62,800/year). This income level supports a comfortable retirement in most areas but may be tight in high-cost coastal cities where housing expenses consume a larger share.

Maximizing Retirement Account Contributions

401(k)/403(b): $23,500 limit in 2025 ($31,000 with catch-up for 50+). Always contribute at least enough to capture the full employer match (typically 3-6% of salary). IRA/Roth IRA: $7,000 ($8,000 for 50+). HSA: $4,300 single, $8,550 family (triple tax benefit - deductible, grows tax-free, withdraws tax-free for medical). A household maxing 401(k) ($23,500) and two IRAs ($14,000): $37,500/year in tax-advantaged savings. At 7% for 25 years: approximately $2.4 million. The tax advantages of these accounts mean every contributed dollar grows more efficiently than the same dollar in a taxable account.

Investment Allocation Through the Decades

20s-30s: 80-90% stocks, 10-20% bonds. Long time horizon absorbs market volatility. Growth is the priority. 40s: 70-80% stocks, 20-30% bonds. Begin gradually shifting toward preservation as retirement approaches. 50s: 60-70% stocks, 30-40% bonds. Balance between continued growth and reduced volatility. 60s+: 50-60% stocks, 40-50% bonds. Enough stock exposure for growth through a multi-decade retirement, but sufficient bonds to avoid devastating losses near or during withdrawals. Target-date funds automate this shift, adjusting the allocation annually without requiring manual rebalancing.

Social Security as a Retirement Income Foundation

Claiming age affects monthly benefit: at 62 (earliest): reduced by 25-30% permanently. At 67 (full retirement age for most): full benefit. At 70 (latest strategic age): 124% of full benefit (8%/year increase for delaying). A worker with a $2,400 full benefit at 67: $1,680/month at 62, $2,400 at 67, $2,976 at 70. The difference between 62 and 70: $1,296/month for life. Delaying Social Security from 62 to 70 is equivalent to purchasing an inflation-adjusted annuity at a roughly 8% annual return - an exceptional deal that no commercial product matches. For those who can afford to delay using savings or part-time work, waiting until 70 maximizes lifetime income in most scenarios.

Catch-Up Strategies for Late Starters

If you are behind on retirement savings at 45-50: maximize catch-up contributions ($31,000 in 401(k) for 50+). Aggressively reduce expenses to increase savings rate to 25-30% of income. Consider working 2-3 years beyond planned retirement (each additional year provides more savings, more investment growth, and fewer withdrawal years). Downsize housing to redirect equity into investments. Delay Social Security to maximize the guaranteed income floor. A 50-year-old with $200,000 saved contributing $2,500/month at 7% for 17 years (to age 67): projects to $1,157,000, providing $3,856/month plus Social Security. Late-start aggressive saving still produces meaningful results when combined with strategic withdrawal planning.

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