🏖 Retirement Savings Calculator (US)
Find out if you're on track to retire comfortably - and exactly how much you need to save each month.
US retirement saving uses 401(k), Traditional and Roth IRA, HSA, and (for self-employed) SEP-IRA and Solo 401(k). IRS publishes annual contribution limits each November. Social Security retirement age is 67 for those born 1960 or later; SECURE 2.0 raised the RMD start age to 73 (rising to 75 by 2033).
US retirement saving has a hierarchy of tax-advantaged accounts most savers don't use in the right order. For most W-2 employees, the mathematically optimal funding sequence runs as follows.
1. 401(k) up to employer match — typically 3-6% of salary. Immediate 100% return on the matched portion plus tax deferral on top. Don't skip this — it's the single highest-return move available in personal finance.
2. HSA (if HDHP-enrolled) — triple-tax-advantaged: tax-deductible in, tax-free growth, tax-free withdrawals for qualified medical. 2026 limits: $4,400 self / $8,750 family + $1,000 catch-up (55+). Investable above a minimum cash balance. Excellent stealth retirement account.
3. Roth IRA (within MAGI limits) — 2026 limit $7,500 + $1,100 catch-up; phase-out at $153,000-$168,000 MAGI single and $242,000-$252,000 MFJ. Backdoor Roth available above limits (subject to pro-rata rule with existing pre-tax IRA balances). Tax-free growth and qualified withdrawals.
4. 401(k) to the annual limit — 2026 limit $24,500 + $8,000 catch-up (50+); combined employer+employee cap $72,000 (or up to $83,250 with the age 60-63 enhanced catch-up). Traditional vs Roth election depends on current vs projected retirement marginal rate.
5. Mega-Backdoor Roth (if plan allows) — after-tax 401(k) contributions converted in-plan to Roth, up to the combined $72,000 limit minus pre-tax + employer match.
6. Taxable brokerage — after tax-advantaged accounts are maxed. Long-term capital gains 0% / 15% / 20%. Use tax-efficient ETFs and harvest losses opportunistically.
The calculator handles: - Multi-account allocation modelling - Roth vs Traditional break-even (current vs projected retirement marginal rate) - Social Security benefit integration using SSA's bend points - RMD scheduling at age 73, with the 75 transition under SECURE 2.0 - Self-employed accounts (SEP-IRA up to 25% of net SE income capped at $72,000 in 2026, Solo 401(k) up to $72,000 combined / $80,000 with catch-up / $83,250 with the age 60-63 super-catch-up)
For account rules and current contribution limits, IRS Publication 590-A/B (IRAs), Publication 560 (Retirement Plans for Small Business), and the SSA retirement planner are the authoritative federal sources.
Find out if you're on track to retire comfortably - and exactly how much you need to save each month.
How much do I need to retire?
A common rule of thumb is 25× your expected annual spending in retirement — the inverse of the 4% safe-withdrawal rate. If you plan to spend $40,000 a year, you need about $1 million invested. Your exact target depends on retirement age, expected real returns, inflation, and any other income such as a state pension or social security.
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How to use this calculator
Takes about 3 minutes.
- Enter your current age and the age you'd like to retire
- Add your current retirement savings and the amount you contribute each month
- Set the expected annual return — 6 to 8 percent is a standard real-return assumption
- Enter the desired annual retirement income you want your portfolio to support
- USA only: add your employer 401(k) match percentage if applicable
- Review your projected balance, the 4% safe-withdrawal income it generates, and your savings gap
Try these scenarios
Tap a scenario to load it into the calculator above.
Methodology & Sources
This calculator implements the standard retirement growth + drawdown formula: Future value = PV × (1+r)^n + PMT × [((1+r)^n − 1) / r]. Region-specific tax and rate defaults are sourced directly from each country's primary government source and reviewed against the publication date below.
- USA: IRS — federal income tax brackets and contribution limits.
- UK: GOV.UK — HMRC personal allowance, National Insurance, and dividend rates.
- SA: SARS — personal income tax brackets and tax rebates.
Last verified: May 2026.
Key concepts
Time is the dominant variable. A 25-year-old saving $300/month until 65 at a 7% real return ends with roughly $720k. The same person starting at 40 needs to save about $900/month to land at the same number. Compounding rewards early decades disproportionately.
Real return assumption. Most planners use a 4-7% real (after-inflation) return for a diversified equity-heavy portfolio. The US S&P 500's long-run average is around 7% real (Federal Reserve and Shiller data); add bonds and the figure drops.
The 4% rule. William Bengen's 1994 research showed a retiree could withdraw 4% of their starting balance, adjusted for inflation, for 30 years with very high success across historical periods. It's a starting point — not a guarantee.
Withdrawal-phase years. The calculator's 'retirement years' input matters: a 30-year retirement needs a bigger pot than a 20-year one at the same spending level. Plan to age 95 if you have family longevity.
Sequence-of-returns risk. A bear market in your first five years of retirement does more damage than the same drawdown 20 years in. This is why many planners shift to a more conservative asset mix in the run-up to retirement.
Frequently Asked Questions
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