Retirement Calculator

The classic rule of thumb is 25 times your annual spending: spend $50,000 a year and you’re looking at roughly a $1.25 million nest egg. But rules of thumb ignore your actual situation, which is exactly why this calculator works backwards from your savings and contributions. It shows the nest egg your plan produces, and you compare that against your spending.

Withdraw about 4% of your savings in the first year of retirement, then adjust for inflation each year after, historically, the money lasts 30 years. The calculator applies it to your projected nest egg for a sustainable monthly income figure. It’s a guideline, not a guarantee: early retirees often plan nearer 3 to 3.5%.

Fifteen percent of pre tax income, employer match included, is the standard guidance from planners. But starting early beats the exact percentage, money saved at 25 compounds for 40 years; money saved at 45 gets 20. If 15% feels out of reach, start with what you can and raise it 1% a year. The habit matters more than the starting number.

Brutally. A $1 million nest egg in 35 years buys far less than $1 million today, at 2.5% inflation, $1,188,000 in 35 years feels like about $500,000 now. That’s why the calculator shows your projection in today’s money next to the nominal figure. Plan in today’s money, it’s the only version your brain actually understands.

The usual US order: first contribute enough to the 401(k) to grab the full employer match, an instant 50 to 100% return, free money, then fund a Roth IRA for tax free withdrawals later, then go back to the 401(k). The match beats every investment return on offer. Never leave it unclaimed.

You can, but the math gets demanding: your savings need to cover roughly 35 years instead of 25, and each year you retire early is both a year of lost contributions and a year of added withdrawals. On the flip side, even a part time income in those early years takes enormous pressure off the portfolio. Plug your age and target into the calculator above and see how the required monthly savings shift when you move the goalpost from 65 to 55.

They are the IRS's way of letting older workers save more: for 2026, once you turn 50 you can add $8,000 a year on top of the standard $24,500 employee 401(k) limit. Workers aged 60 to 63 get an even higher super catch up of $11,250. If you have been behind on savings, those extra dollars in your final working decade can close a real chunk of the gap, worth a quick run through the calculator above.

You can start as early as age 62, but your monthly check will be smaller than if you wait. Full benefits start at age 67 for most people born in 1960 or later. Waiting until 70 gives you the largest possible check.

Waiting gives you a bigger check every month for the rest of your life. Claiming at 62 cuts your benefit by about 30% compared to full retirement age. If you wait until 70, you get about 24% more than at 67. The best choice depends on your health, savings, and whether you need the money now.

A couple retiring today may spend around $345,000 on healthcare over retirement, according to Fidelity estimates. Medicare covers a lot but not everything: dental, vision, hearing, and long term care are mostly on you. Budget for premiums and out of pocket costs separately from daily spending.