Project how big your nest egg will grow, how much annual income it can support, and whether you're on track for the retirement you want.
How Much Do You Need to Retire?
A retirement calculator answers two questions: how large your savings will grow by the time you retire, and how much annual income that pot can safely produce. It combines your current savings, ongoing contributions, expected investment return, and a safe withdrawal rate.
The 4% Rule
The most common guideline is the 4% rule, which suggests you can withdraw about 4% of your portfolio in the first year of retirement and adjust for inflation thereafter, with a high chance the money lasts 30 years. Under this rule, you need roughly 25 times your desired annual income invested. Lower the withdrawal rate for a longer or more conservative retirement.
Tip: Time in the market matters more than timing it. Starting ten years earlier can double your nest egg thanks to compounding, even with the same monthly contribution.
Closing a Shortfall
If the projection shows a gap, you have three main levers: save more each month, work a few years longer, or adjust your target income. Small increases in your contribution rate, applied consistently, have an outsized effect over decades.
Frequently Asked Questions
How much should I save for retirement?
A common rule of thumb is to save 15% of gross income, including any employer match. The exact amount depends on your target retirement age, desired lifestyle, and current savings. This calculator lets you test different contribution levels against your goal.
What is a safe withdrawal rate?
The classic 4% rule suggests withdrawing 4% of your portfolio in year one, then adjusting for inflation. Some planners use 3.5% to be more conservative, especially for early or long retirements. A lower rate requires a larger nest egg.
What return rate should I assume?
A diversified stock-heavy portfolio has historically returned about 7% per year after inflation, though future returns are uncertain. Conservative planners use 5–6%. As you approach retirement and shift toward bonds, expected returns typically decline.
Does this account for Social Security?
No. This projection covers only your personal savings. Social Security and any pensions provide additional income, which means your savings may not need to cover your full desired income on their own.
Should I include inflation?
Use an inflation-adjusted (real) return — around 7% for stocks — and enter your desired income in today's dollars. That keeps the projection in today's purchasing power so the numbers stay meaningful.