Retirement Planning Calculator
Plan your entire retirement journey from accumulation to distribution. Calculate investment growth, retirement income, and see if your money will last throughout retirement.
How to Use This Calculator
📈 Investment Phase
- Enter your current age and planned retirement age
- Input your initial investment amount
- Add your monthly contribution to retirement savings
- Set your expected annual return during accumulation
- Choose compounding frequency (monthly recommended)
🏖️ Retirement Phase
- Select your withdrawal strategy (4% rule, fixed dollar, or percentage)
- Enter any additional retirement income (Social Security, pension, etc.)
- Input expected retirement portfolio returns (typically lower than accumulation)
- Set your inflation rate estimate
- Enter your life expectancy for planning purposes
Click Calculate to see your complete retirement journey!
📅 Timeline & Age Information
💰 Investment Growth Phase
🏖️ Retirement Income Phase
🎯 Complete Retirement Planning Overview
This comprehensive calculator combines investment growth during your working years with retirement income planning to give you a complete picture of your financial future. It answers two critical questions:
- How much will I have? - Projects your retirement savings at retirement age
- Will it be enough? - Shows if your money will last throughout retirement
💹 The Power of Time & Compound Interest
Example: Starting at age 30 with $10,000 and saving $500/month:
- By age 65: You'll have ~$950,000 (7% annual return)
- Total contributions: Only $220,000
- Interest earned: $730,000 (3.3x your contributions!)
- Monthly retirement income: ~$3,800 using the 4% rule
Start 10 years earlier, and you could have $1.8 million instead!
📊 Understanding Withdrawal Strategies
- 4% Rule (Recommended): Withdraw 4% in year one, adjust for inflation annually. Historically sustainable for 30+ years.
- Fixed Percentage: Withdraw same percentage each year. Balance fluctuates but never depletes.
- Fixed Dollar: Same amount yearly. Simple but doesn't adjust for inflation.
Pro Tip: The 4% rule has a 95% historical success rate for 30-year retirements with a 60/40 stock/bond portfolio.
💡 Retirement Planning Best Practices
- Start early: Time is your greatest asset - even small amounts compound significantly
- Increase gradually: Boost contributions with raises and bonuses
- Use tax-advantaged accounts: 401(k), IRA, and Roth accounts provide tax benefits
- Diversify income sources: Social Security, pensions, and part-time work reduce portfolio stress
- Plan conservatively: Use lower return estimates and longer life expectancy
- Review annually: Adjust your plan as circumstances change
⚠️ Important Considerations
- Returns are estimates based on historical averages - actual returns will vary
- Inflation reduces purchasing power over time
- Healthcare costs often increase in retirement
- Tax implications vary by account type and income level
- Market volatility can significantly impact retirement outcomes
- Consider working with a financial advisor for personalized planning
🎓 Key Retirement Planning Concepts
Sequence of Returns Risk: Poor returns early in retirement can devastate a portfolio. Consider a bond tent or cash cushion for the first 5 years.
Social Security Optimization: Delaying benefits from 62 to 70 increases monthly payments by 76%.
Tax Diversification: Having traditional (pre-tax), Roth (tax-free), and taxable accounts provides flexibility in retirement.
Healthcare Bridge: Plan for health insurance between retirement and Medicare eligibility at 65.
🔗 Save & Share Your Plan
Your retirement plan is automatically saved in the URL. You can bookmark this page to save your calculation, or use the Share button to send it to your spouse, financial advisor, or save it for later. All values will be restored when you return or share the link.