Retirement Savings Calculator
Plan for retirement using the 4% rule with inflation-adjusted projections, withdrawal rate comparisons, and year-by-year growth.
Retirement plan
Updates as you typeGrowth from now to retirement
Contributions + investment growth, stackedWithdrawal rate comparison
How long the nest egg lasts at each rate| Rate | Annual withdrawal | Monthly income | Savings last |
|---|
Year-by-year schedule
| Age | Contributions | Growth | Balance | Composition |
|---|
Formula
- A
- Total savings at retirement
- P
- Current savings (today)
- PMT
- Monthly contribution
- r
- Expected annual return (decimal)
- n
- Years until retirement
- 4% Rule
- Annual withdrawal = A × 4% — historically sustainable for 30+ year retirements
- Real return
- Nominal return minus inflation — the actual growth in purchasing power
- Years to retirement = —
- Growth of starting savings = —
- Growth of contributions = —
- Total at retirement A = —
- 4% rule: A × 4% = — / year
- Monthly income = —
Contributions are simulated at the start of each month, growing month-over-month at r/12. The 4% rule is a starting point; consider a lower rate (3–3.5%) for retirements longer than 30 years and a higher rate for shorter ones.
Examples
How It Works
Accumulation phase: Each month, your existing savings grow by the monthly return rate (annual rate ÷ 12), then your contribution is added. This compounds over the years to retirement, with investment returns accelerating growth as the balance gets larger.
The 4% Rule is the most widely cited retirement withdrawal guideline. Based on the Trinity Study, it says you can withdraw 4% of your savings in year one of retirement (adjusting for inflation each year after) and have a high probability of your money lasting 30+ years. For example, with $1,000,000 in savings, you could withdraw $40,000/year ($3,333/month).
Inflation adjustment is critical for retirement planning. If you'll retire in 30 years at 3% inflation, $3,333/month will only have the purchasing power of about $1,374/month in today's dollars. The calculator shows both nominal and inflation-adjusted monthly income.
The withdrawal rate comparison shows how different rates (3% conservative to 5% aggressive) affect monthly income and how long your savings last — helping you find the right balance between income and longevity.
Tips & Best Practices
Frequently Asked Questions
What is the 4% rule?
The 4% rule comes from the 1998 Trinity Study. It found that retirees who withdrew 4% of their portfolio in year one, adjusting for inflation each year, had a 95%+ success rate of not running out of money over 30 years. It assumes a balanced stock/bond portfolio.
How much do I need to retire?
A common target is 25× your annual expenses (the inverse of the 4% rule). If you spend $60,000/year, aim for $1,500,000 in retirement savings. This provides $60,000/year at a 4% withdrawal rate.
Why is the inflation-adjusted income so much lower?
Inflation compounds over time. At 3% inflation over 35 years, prices roughly triple. So $5,000/month in future dollars only buys what $1,780 buys today. This is why retirement planning must account for inflation — the nominal number is misleading.
What return rate should I assume?
7% is a common assumption for a stock-heavy portfolio (10% nominal minus 3% inflation). For conservative planning, use 5-6%. During the withdrawal phase, many advisors recommend shifting to 4-5% (more bonds). The calculator uses one rate for simplicity.