Retirement Calculator
Plan your retirement and find out if you are on track to retire comfortably.
Retirement Details
✅ On Track!
Surplus of $2,048,861
Projected Corpus
$2701k
Required Corpus
$652k
Years to Retire
35 yrs
Retirement Duration
20 yrs
- Projected Savings
- Required Corpus
What is a Retirement Calculator?
A retirement calculator helps you determine whether you are saving enough to maintain your desired lifestyle after you stop working. It takes your current savings, monthly contributions, expected investment returns, and planned retirement expenses — then projects whether your nest egg will last through your retirement years.
Most people significantly underestimate how much they need to retire. A couple spending $4,000 per month in retirement needs roughly $1.2 million saved (using the 4% withdrawal rule) — a number that feels abstract until you model it year by year, which is exactly what this calculator does.
The earlier you start, the less you need to save each month. A 25-year-old saving $500/month at 8% return reaches $1.75 million by age 65. A 40-year-old would need to save over $2,500/month to reach the same number. Time in the market is the most powerful retirement planning tool available.
Key Retirement Planning Concepts
The Retirement Corpus
Your retirement corpus is the total savings you need at retirement to fund all your expenses through your expected lifespan. It is calculated by finding the present value of your future expense stream, discounted at your post-retirement investment return rate.
Required Corpus = Annual Expenses × [(1 − (1 + r)^−n) / r]
Pre-Retirement Return
The investment return you expect while still working — typically 7–10% for a stock-heavy portfolio. Your money is growing aggressively during this phase. Higher risk is acceptable because you have time to recover from downturns.
Historically: ~10% nominal, ~7% real (after inflation) for global equities
Post-Retirement Return
Once retired, portfolios typically shift toward safer assets (bonds, fixed income) to reduce volatility. Expected returns are lower — typically 3–5%. The classic "60/40" portfolio (60% stocks, 40% bonds) has averaged ~7% historically but many retirees use 4% for conservative planning.
Conservative: 3–4% | Moderate: 4–6% | Aggressive: 6–8%
How Much Do You Need to Retire?
The most widely used rule is the 4% Withdrawal Rule — your corpus should be 25× your annual retirement expenses. But the right number depends on your lifestyle, location, health, and retirement duration.
| Monthly Spending | Annual Spending | Corpus (4% Rule) | Corpus (3.5% Rule) |
|---|---|---|---|
| $2,000 | $24,000 | $600,000 | $686,000 |
| $3,000 | $36,000 | $900,000 | $1,029,000 |
| $4,000 | $48,000 | $1,200,000 | $1,371,000 |
| $6,000 | $72,000 | $1,800,000 | $2,057,000 |
| $8,000 | $96,000 | $2,400,000 | $2,743,000 |
Use the 3.5% rule if you plan to retire before 60 — a longer runway requires a more conservative withdrawal rate.
How to Use This Calculator
Set Your Ages
Enter your current age, target retirement age, and life expectancy. The gap between retirement age and life expectancy determines how long your money must last — a critical variable most calculators ignore.
Enter Current Savings
Include all invested assets — brokerage accounts, 401k, IRA, pension fund, and any other retirement savings. Do not include cash in a checking account unless it is earmarked for retirement.
Set Monthly Contribution
The fixed amount you invest each month toward retirement. If your employer matches contributions, consider adding that amount too — it is free money that dramatically accelerates corpus building.
Set Return Rates
Pre-retirement: use 7–8% for a diversified stock/bond portfolio. Post-retirement: use 3–5% for a conservative allocation. Use the sliders to test different scenarios.
Set Retirement Expenses
Enter your estimated monthly spending in retirement in today's dollars. Most people spend 70–80% of their pre-retirement income. The calculator uses this to determine your required corpus.
Frequently Asked Questions
❓ What is a realistic return rate to use?
For pre-retirement, a diversified global equity portfolio has historically returned 8–10% annually (nominal) or 6–7% after inflation. For conservative planning, use 7%. Post-retirement, 3–4% is appropriate for a conservative income-focused portfolio. Avoid using high historical returns like 12%+ for long-term planning — they set unrealistic expectations.
❓ Does this calculator account for inflation?
The calculator uses nominal returns and nominal expense estimates. To account for inflation implicitly: use a return rate that is 2–3% lower than your expected gross return (this represents the real return after inflation), and keep your monthly expenses in today's dollars. For example, if you expect 9% returns and 3% inflation, enter 6% as your return rate.
❓ What if I have a pension or Social Security?
Subtract your expected monthly pension or Social Security income from your monthly retirement expenses before entering the number. If you expect $1,500/month from Social Security and need $4,000/month total, only enter $2,500 as your monthly expenses — that is what your corpus needs to cover.
❓ How do I close a retirement shortfall?
Four levers: (1) Increase monthly contributions — even $100-200 more per month compounds significantly over 20-30 years. (2) Retire later — every extra year of work adds contributions AND reduces the number of years your corpus must fund. (3) Reduce planned retirement expenses — a leaner retirement lifestyle requires a much smaller corpus. (4) Improve returns — shift to a more equity-heavy portfolio during accumulation years.
❓ What happens to my retirement fund when I die?
Remaining retirement funds pass to your designated beneficiaries. In most countries, retirement accounts (401k, IRA, pension) have beneficiary designations that supersede your will — ensure these are up to date. Unused retirement funds may be subject to estate taxes depending on your country's rules.