How to use the retirement Calculator
- Enter the current age.
- Enter the retirement age.
- Enter the current retirement savings.
- Enter the monthly contribution.
- Enter the expected annual return (in %).
- Enter the expected inflation (in %).
- Enter the withdrawal rate (in % / yr).
- Choose the currency from the list.
- The result updates instantly as you type. There is no button to press.
- Use Copy result to copy the figures, or Copy link to share a link that reopens the retirement Calculator with the same inputs.
How it works
Retirement planning comes down to two questions: how big will your savings be when you stop working, and how much income can that pot safely provide? This calculator answers both. It grows your current balance and monthly contributions at your expected return until your retirement age, then applies a withdrawal rate to estimate the yearly income the savings could support.
Because retirement may be decades away, the calculator also shows the result in today's money. A million in 35 years will not buy what a million buys now, so it divides the future balance by the cumulative inflation over the period. That number is the one to compare with your current living costs.
The default 4% withdrawal rate comes from US research (often called the "4% rule") which found that withdrawing 4% of a balanced portfolio in the first year, then adjusting for inflation, historically lasted at least 30 years. Many planners now suggest 3–3.5% for early retirees or more cautious plans. Remember to add any state pension or social security on top of the income shown here.
Formula
S is current savings, M the monthly contribution, n the months to retirement and i the monthly equivalent of the annual return, (1 + return)^(1/12) − 1.
Example
At 30, with $25,000 saved and $500 a month going in at a 6% return, you would have about $878,954 at 65. With 2.5% inflation over 35 years, that is worth roughly $370,366 in today's money. A 4% withdrawal rate supports about $14,815 a year (around $1,235 a month) in today's terms, before any state pension. Raising the contribution to $800 a month lifts that income to about $21,700.
Frequently asked questions
What return should I assume?
A balanced portfolio of stocks and bonds has historically returned around 5–7% a year before inflation over long periods, but there are no guarantees. Use a lower rate for a cautious plan and run several scenarios.
Does this include employer matching?
Add any employer contribution to your monthly contribution. For example, if you put in $400 and your employer adds $200, enter $600.
How much do I need to retire?
A common rule of thumb is 25 times your expected yearly spending (the inverse of the 4% rule), minus what pensions will provide. Your own needs depend on housing, health and lifestyle.
Are taxes included?
No. Withdrawals from many retirement accounts are taxed as income. Leave room for tax when comparing the income figure with your spending.
Disclaimer: This calculator gives estimates for general information and education. It is not financial, tax or investment advice. Lenders, banks and tax authorities may round differently, charge fees or apply rules this tool does not model, so confirm figures with a qualified professional or your provider before making decisions.