Finance
Retirement / 401(k) Calculator
Estimate what your 401(k) or retirement account could grow to by retirement. Enter your age, balance, salary, contribution rate, employer match, and expected return to see the projected balance and how much is employer money versus growth.
Quick answer: Contribute at least enough to capture your full employer 401(k) match — it's free money — and aim for about 15% of income toward retirement including the match.
How it works
1. Set contributions and employer match
Enter your current savings and how much you contribute to your 401(k) or IRA each year. Capture your full employer match first — it is an immediate return on your money. The calculator combines your contributions and the match into a yearly savings rate.
2. Project growth to retirement
The balance compounds at an assumed annual return until your target retirement age. Decades of compounding mean most of your final balance comes from growth, not contributions. Small increases in your savings rate early on have an outsized effect on the end result.
3. Check against your income goal
Compare the projected nest egg to what you will need — a common guideline is replacing 70% to 80% of pre-retirement income. The 4% rule suggests a portfolio can support annual withdrawals of about 4% of its value. The calculator shows whether your current pace closes the gap.
Frequently asked questions
How much should I contribute to my 401(k)?
At minimum, enough to capture the full employer match — it's free money. Many planners suggest 15% of gross income including the match toward retirement.
How does the employer match work?
Employers commonly match your contributions up to a percentage of salary (for example, 100% up to 4%). This calculator adds the match up to the lesser of your contribution rate and the match cap.
What return should I assume?
A diversified long-term portfolio has historically returned around 6–8% annually before inflation. Use a conservative figure and revisit it as you age and shift to bonds.
How much should I save for retirement each year?
A widely cited guideline is to save 15% of gross income, including any employer match, toward retirement. If you start later, you may need to save more to catch up. The exact number depends on your target retirement age and the income you want to replace, but 15% is a solid default.
What is the 4% rule?
The 4% rule suggests you can withdraw about 4% of your retirement portfolio in the first year, then adjust for inflation, with a strong chance the money lasts 30 years. By that math, a $1 million portfolio supports roughly $40,000 of first-year income. It is a planning rule of thumb, not a guarantee.
Should I always contribute enough to get the full employer match?
Yes — the employer match is effectively free money and an immediate 50% to 100% return on the matched portion. Failing to contribute enough to capture the full match leaves guaranteed compensation on the table. Prioritize the full match before paying down low-interest debt or funding other accounts.
How much does starting early change my retirement balance?
Dramatically, because of compounding. Someone who invests for 40 years can end up with roughly double the balance of someone who invests the same annual amount for 30 years, since the early contributions have the most time to grow. Starting a decade earlier often beats contributing more later.
Is a Roth or traditional 401(k) better?
It depends on your tax rate now versus in retirement. A traditional 401(k) gives a tax break today and is taxed at withdrawal, favoring those in a high bracket now; a Roth is funded with after-tax dollars and grows tax-free, favoring those who expect higher future rates. Many savers split contributions to hedge.