🏖️ Retirement Calculator

Use this retirement calculator to estimate how much you could save by the time you retire and how much yearly income that nest egg might support. Enter your age, savings, contributions, and expected investment returns to see whether you’re on track for your retirement income goal.

Retirement savings and income results

Enter your age, savings, contributions, and return assumptions above, then select Calculate Retirement Savings to estimate your retirement nest egg and the yearly income it may support.

Year-by-year retirement savings projection

After you calculate your retirement savings, this section will show a year-by-year projection of how your balance might grow with ongoing contributions and investment earnings.

Retirement calculator inputs and key terms

Understanding each input can help you fine-tune your retirement plan and see how small changes in savings or returns can shift your long-term outlook.

• Your current age: Used along with your planned retirement age to determine how many years you have left to save before retirement.
• Planned retirement age: The age when you hope to stop full-time work. Raising or lowering this age changes how long you have to grow your savings and how long those savings may need to last.
• Current retirement savings balance: The amount you already have saved in retirement accounts such as 401(k)s, IRAs, or similar plans.
• Monthly contribution: How much new money you plan to add to your retirement savings each month. Increasing this amount is often the most direct way to improve your projected nest egg.
• Expected annual return before retirement: Your estimated average yearly investment return while you are still saving. This is usually higher when you hold more stocks and lower when you hold more bonds or cash. It is not a guarantee.
• Years you expect retirement to last: How long you expect to draw income in retirement, often based on life expectancy and your health outlook.
• Expected annual return during retirement: Your estimated average yearly return after you retire, when your portfolio may be more conservative. This affects how much income your savings can support.
• Desired annual income in retirement: The pre-tax amount you hope to withdraw each year to cover living expenses. The calculator compares this goal with your estimated sustainable income.
• Projected retirement nest egg: The estimated value of your savings at retirement, assuming contributions and returns follow your inputs.
• Sustainable annual income: The level annual withdrawal this calculator estimates could be paid from your nest egg over your chosen retirement length, based on your assumed return during retirement.

Formulas used in the Retirement Calculator

This retirement calculator uses standard compound interest and annuity formulas to estimate how your savings may grow before retirement and how much yearly income they might support afterward.

Years and months until retirement

Let:
Agecurrent = your current age
Ageretire = planned retirement age
Y = years until retirement = Ageretire − Agecurrent
M = months until retirement = Y × 12

Projected retirement nest egg (future value)

Let:
P = current savings balance
C = monthly contribution
r = monthly return rate = (annual return before retirement ÷ 100) ÷ 12
M = number of months until retirement
Future value of current savings:
FVsavings = P × (1 + r)M
Future value of monthly contributions (ordinary annuity):
FVcontrib = C × ((1 + r)M − 1) ÷ r
Projected nest egg:
Nest egg = FVsavings + FVcontrib
When r = 0, the calculator simplifies to straight-line contributions without growth.

Sustainable annual income during retirement

Let:
N = years in retirement
i = annual return rate during retirement (decimal)
FV = projected nest egg at retirement
For a level annual withdrawal W over N years:
When i ≠ 0:
W = FV × [ i ÷ (1 − (1 + i)−N) ]
When i = 0:
W = FV ÷ N
This is the standard present-value-of-annuity formula, rearranged to solve for the annual withdrawal.

These formulas provide simplified estimates. Real retirement planning also accounts for inflation, taxes, changes in spending over time, employer matches, Social Security or pension income, and possible healthcare expenses. Use this calculator as a starting point and refine your plan with a professional if needed.

Retirement Calculator FAQs

• How accurate are the retirement calculator results?
  The results are estimates based on the information you enter and standard compound interest formulas. They assume stable average returns and consistent contributions, but real-world markets and life events are never perfectly predictable. Use the projections as a planning guide and adjust them over time as your situation and goals change.
• What investment return should I assume before and during retirement?
  Many people assume higher returns before retirement, when they hold more stocks, and lower returns afterward, when they shift toward bonds and cash. Historical data can offer context, but future returns are unknown. You may want to test a range of scenarios (conservative, moderate, and aggressive) and discuss assumptions with a financial professional.
• How much should I save each month for retirement?
  There is no single right number, but many guidelines suggest saving 10–20% of your gross income toward retirement, including employer matches. This calculator can help you see how changing your monthly contribution affects your future nest egg and whether you may be on track for your desired income.
• What if my projected retirement income is below my goal?
  If you see a shortfall, you can explore several levers: increasing your monthly contributions, extending your working years, adjusting your investment mix (and expected return), reducing your retirement spending goal, or some combination of these. Small changes made early can have a big impact due to compounding over time.
• Does this calculator include Social Security or pension income?
  No. This tool focuses on your personal retirement savings and the income they may support. To build a fuller picture, you can add expected Social Security, pension benefits, or other income sources separately and compare the combined total to your spending needs.
• Is this retirement calculator financial advice?
  No. This calculator is for education and planning only. It cannot account for all the details of your financial situation, risk tolerance, or tax circumstances. For personalized advice about how much to save, how to invest, or when to retire, talk with a licensed financial professional or planner.