Retirement Calculator
Plan your retirement with confidence using our comprehensive calculator for 401(k), IRA, and Social Security planning
Retirement Details
Comprehensive Retirement Planning Calculator
Plan your retirement with our free calculator - 401(k), IRA, and Social Security projections
Our free retirement calculator helps you determine if you're on track for a comfortable retirement. By analyzing your current savings, contributions, employer matching, and expected Social Security benefits, we provide a clear picture of your retirement readiness and what adjustments might be needed to reach your goals.
Whether you're just starting your career or approaching retirement, this tool offers valuable insights into your financial future. It accounts for inflation, investment returns, and various retirement account types to give you a realistic projection of your retirement income and help you make informed decisions about your savings strategy.
Calculator Features
Retirement Planning
- Savings projection to retirement
- Required monthly contribution calculator
- Success probability assessment
- Inflation-adjusted projections
- Multiple scenario planning
- Milestone tracking
Account Features
- 401(k) contribution calculator
- IRA contribution limits
- Employer match optimization
- Catch-up contribution planning
- Social Security estimator
- Tax consideration options
How to Use the Retirement Calculator
- Enter Your Current Age and Retirement Goal: Start with your current age and desired retirement age to establish your timeline.
- Input Current Savings: Include all retirement accounts (401k, IRA, etc.) to get an accurate starting point.
- Set Contribution Amounts: Enter your monthly contributions and employer match percentage to calculate total savings.
- Adjust Return Expectations: Use realistic return rates (7-8% before retirement, 5-6% during retirement) based on your investment mix.
- Define Income Goals: Set your desired monthly retirement income or use current expenses as a baseline.
- Review Results: Check if you're on track, view required contributions, and explore different scenarios.
Retirement Savings Strategies
Maximize Your Retirement Savings
- •Always contribute enough to get full employer match (free money!)
- •Increase contributions with each raise or bonus
- •Use catch-up contributions after age 50
- •Consider Roth accounts for tax-free retirement income
- •Diversify between pre-tax and post-tax accounts
Types of Retirement Accounts
Employer-Sponsored Plans
- • 401(k): $23,000 limit, employer matching
- • 403(b): For non-profit employees
- • 457(b): Government employees
- • TSP: Federal employees
Individual Accounts
- • Traditional IRA: Tax-deferred growth
- • Roth IRA: Tax-free withdrawals
- • SEP-IRA: Self-employed
- • HSA: Triple tax advantage
Frequently Asked Questions
How much do I need to retire comfortably?
A common rule of thumb is to have 25 times your annual expenses saved (the 4% rule). For example, if you need $60,000 per year in retirement, you should aim for $1.5 million in savings. However, this varies based on your lifestyle, health care needs, and retirement duration. Our calculator helps you determine your specific needs.
What is the difference between a 401(k) and an IRA?
A 401(k) is an employer-sponsored retirement plan with higher contribution limits ($23,000 in 2024) and often includes employer matching. An IRA is an individual retirement account with lower limits ($7,000 in 2024) but more investment options. Both offer tax advantages, either as traditional (tax-deferred) or Roth (tax-free growth) accounts.
When should I start collecting Social Security?
You can start collecting Social Security at age 62, but benefits are permanently reduced. Full retirement age is 66-67 depending on birth year. Delaying until age 70 increases benefits by 8% per year. The best age depends on your health, financial needs, and life expectancy. Our calculator shows benefits at different ages.
How do catch-up contributions work?
At age 50 and older, you can make additional "catch-up" contributions to retirement accounts. For 2024, you can add an extra $7,500 to 401(k) plans and $1,000 to IRAs. This helps accelerate retirement savings in your final working years when you may have fewer expenses and higher income.
What is employer matching and how does it work?
Employer matching is free money added to your 401(k) when you contribute. Common formulas include 50% match up to 6% of salary (you contribute 6%, employer adds 3%) or dollar-for-dollar match up to a limit. Always contribute enough to get the full match - it's an instant 50-100% return on investment.
How does inflation affect retirement planning?
Inflation reduces purchasing power over time. At 3% inflation, prices double every 24 years. A comfortable $5,000 monthly budget today might need to be $10,000 in retirement. Our calculator adjusts for inflation to show the real income you'll need and helps plan accordingly.