How to use the retirement savings calculator
- Enter your current age and the age you plan to retire.
- Enter your current retirement savings, your monthly contribution (include an employer match if you expect one) and an expected annual return.
- Open More options to raise your contribution by a percent each year and to enter an inflation rate if you want results in today's dollars.
- Read the projected balance, total contributions and growth. The table shows each year and the CSV has every year.
Formula
Monthly return i = annual return / 12
Each month: balance = balance x (1 + i) + contribution, with the contribution added at the end of the month
Contribution in year y = monthly contribution x (1 + yearly increase)^(y - 1)
Today's dollars = balance / (1 + inflation)^years
With no yearly increase, the result matches the closed form S x (1 + i)^n + C x ((1 + i)^n - 1) / i, where n is the number of months until retirement.
Worked examples: age 35 to 65
Level contributions: $50,000 saved, $800 a month and a 6% return for 30 years. The projected balance is $1,104,740.79. You contribute $288,000, so $766,740.79 comes from growth. At 3% inflation that is worth about $455,138.58 in today's dollars.
Rising contributions: if the $800 rises 3% each year, you contribute $456,723.99 over 30 years and the balance becomes $1,421,160.78. At 2.5% inflation that is $677,528.01 in today's dollars.
Both results are projections based on one fixed return. A different return gives a very different answer, so try several.
What this projection is, and is not
It shows what your savings could become if your contributions continue and your account earns exactly the return you entered every year. Real investment returns are uneven and can be negative, so the actual balance will differ, possibly by a large amount. Treat the output as one scenario for planning, not as a prediction or a promise. It is not personal advice, and it does not tell you how much you need to retire.
Inflation and today's dollars
A dollar in 30 years will buy less than a dollar today. If you enter an expected inflation rate, the calculator also shows the balance divided by the cumulative inflation, which is easier to compare with your current spending. Choose a rate you can defend, and test a higher one, because small differences compound just like returns do.
Ways to explore
Change the return by a couple of points up and down, add a yearly contribution increase, or delay retirement by a few years and watch the balance change. For different time frames or compounding choices, the compound interest calculator is more flexible, and the savings calculator is better for shorter goals.
Assumptions and limits
- This is a projection only, not advice. Investment returns are not guaranteed, and you can lose money.
- A single constant annual return, compounded monthly (annual return divided by 12), with contributions at the end of each month.
- Contributions raise once a year by the percent you enter, starting in the second year.
- Taxes, account fees, employer match rules, contribution limits, Social Security, pensions, withdrawals and required distributions are not modeled.
- Inflation is assumed constant. The today's dollars figure is the future balance divided by cumulative inflation.
- Ages must be whole numbers and the retirement age must be greater than the current age.
Frequently asked questions
How much will I have at retirement?
It depends on your contributions, the time and the returns you actually earn, which no one can know in advance. This calculator shows the result for the return you enter, so try a range of returns rather than relying on one.
What return should I use?
There is no guaranteed number. Many people test a lower, middle and higher case. Using a conservative figure is a common way to avoid being surprised by weaker markets. Past returns do not guarantee future ones.
Does this include my employer match?
Only if you include it in your monthly contribution. For example, if you add $500 and your employer adds $250, enter $750. Check your plan for vesting rules and limits.
Why show today's dollars?
Future dollars buy less than today's dollars because of inflation. Dividing by cumulative inflation lets you compare the projected balance with prices and incomes you know today.
Does this tell me how much I can spend in retirement?
No. It stops at the balance on the day you retire and does not model withdrawals, taxes or other income, so it cannot tell you what you can safely spend.