Retirement Calculator
Determine if you're on track for a comfortable retirement.
Planning for Your Golden Years
Retirement planning is about ensuring financial independence when you stop working. The earlier you start, the more time compound interest has to work in your favor.
How Much Is Enough?
A common rule of thumb is the "4% Rule," which suggests you can withdraw 4% of your total savings annually without running out of money for 30 years. Conversely, you need about 25 times your desired annual income saved up.
Example: If you want $60,000 yearly income, aim for $1.5 million ($60,000 × 25).
Factors to Consider
- Inflation: The cost of living will likely double every 20-30 years.
- Social Security: This calculator focuses on personal savings. Benefits may supplement your income.
- Healthcare: Medical costs tend to rise significantly in retirement.
Frequently Asked Questions
When should I start saving?
Immediately. Compounding works best over long periods. Starting at 25 requires significantly less monthly saving than starting at 45.