Retirement Planner
Inflation-adjusted nest egg projection.
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Retirement Planner
Calculate how much you need to retire, whether you're on track, and exactly what to do next using 2026 contribution limits, current inflation assumptions, and your Social Security estimate.
ZA
Reviewed by Dr. Zohaib Ali
Last updated April 2026
Quick Answer
The amount you need to retire is typically 25 times your expected annual expenses in retirement. This is derived from the 4% safe withdrawal rate, which states that withdrawing 4% of your portfolio per year has historically sustained a 30-year retirement without depleting principal.
If you expect to spend $60,000 per year in retirement, you need approximately $1,500,000 saved. Americans in 2026 say they need $1.46 million to retire comfortably, according to the Northwestern Mutual 2026 Planning & Progress Study.
The 401(k) contribution limit for 2026 is $24,500 ($32,500 with standard catch-up contributions for those 50 and older; $35,750 for those aged 60–63 under the SECURE 2.0 super catch-up provision).
The Number That Determines Whether You Can Retire:
Here's the uncomfortable truth that most retirement calculators skip past: the average 401(k) balance for all participants in the US in 2025 was $148,153. The median balance, the number that represents what a typical American actually has saved, was $38,176.
$38,176
Median US 401(k) Balance
That's not a typo. The median American approaching retirement has $38,176 in their primary retirement account.
According to the 2026 Northwestern Mutual Planning & Progress Study, Americans say they need $1.46 million to retire comfortably. The math on that gap is sobering. But the point of this calculator isn't to make you feel behind it's to give you a clear number, a clear timeline, and a clear set of actions. That's what changes outcomes.
And according to the 2025 Allianz Annual Retirement Study, 64% of Americans worry more about running out of money than dying. If that resonates, you're in the right place. This page won't sugarcoat your numbers. It will give you the honest version and then show you what to do about it.
The Foundation: The Rule of 25 and the 4% Safe Withdrawal Rate:
Before any calculator can give you a meaningful retirement number, you need to understand the principle behind it.
The 4% rule developed by financial planner William Bengen in 1994 and validated by the Trinity Study states that a retiree who withdraws 4% of their portfolio in the first year of retirement and adjusts that amount annually for inflation has historically sustained a 30-year retirement without running out of money.
Annual retirement spending × 25 = Your retirement number
| Annual Spending | Retirement Target |
|---|---|
| $40,000 | $1,000,000 |
| $50,000 | $1,250,000 |
| $60,000 | $1,500,000 |
| $75,000 | $1,875,000 |
| $100,000 | $2,500,000 |
Important caveats: Social Security reduces how much your portfolio needs to cover. A pension reduces it further. And if you're retiring before 65, your healthcare costs before Medicare eligibility may increase significantly—the average couple retiring at 65 needs approximately $315,000 for healthcare alone, according to Fidelity's 2025 estimate.
The Fidelity Savings Milestones — Are You on Track?
Fidelity Investments publishes the most widely used savings milestone benchmarks in US retirement planning, expressed as multiples of your annual salary:
| Age | Fidelity Savings Milestone | Status Indicator |
|---|---|---|
| 30 | 1× annual salary | On Track |
| 35 | 2× annual salary | On Track |
| 40 | 3× annual salary | Slightly Behind |
| 45 | 4× annual salary | Slightly Behind |
| 50 | 6× annual salary | Significantly Behind |
| 55 | 7× annual salary | Significantly Behind |
| 60 | 8× annual salary | Significantly Behind |
| 67 | 10× annual salary | Final Target |
Source: Fidelity Investments Q4 2025 Retirement Analysis
If your current savings are below these benchmarks, you are not alone; the majority of Americans fall short of them. But the milestone is the target, not the verdict. Every dollar contributed from today forward compounds.
2026 Contribution Limits — Know What You Can Put In:
| Account | Standard Limit | 50+ Catch-Up | Total (50+) |
|---|---|---|---|
| 401(k) / 403(b) / 457 | $24,500 | +$8,000 | $32,500 |
| 401(k) ages 60–63 (SECURE 2.0) | $24,500 | +$11,250 | $35,750 |
| Traditional IRA | $7,500 | +$1,100 | $8,600 |
| Roth IRA | $7,500 | +$1,100 | $8,600 |
| SEP IRA | 25% of compensation | — | Up to $70,000 |
The SECURE 2.0 super catch-up provision effective from 2025 and continuing in 2026 is the most significant change to retirement contribution rules in over a decade. If you are between ages 60 and 63, you can contribute up to $35,750 to your 401(k) in 2026. This creates a four-year high-velocity savings window.
Roth IRA income limits for 2026: To contribute the full amount to a Roth IRA, your MAGI must be under $150,000 (single) or $236,000 (joint).
Sequence of Returns Risk — The Risk Nobody Explains:
Here is a concept that most retirement calculators ignore but every financial planner considers essential: two people can retire with the exact same portfolio balance, the same withdrawal rate, and the same average lifetime return but the person who retired in a down market can run out of money a decade before the person who retired in an up market.
Sequence Risk Defined
When you're retired and withdrawing, a crash early in retirement forces you to sell shares at low prices to meet your living expenses. Those sold shares are gone forever and cannot recover when the market rebounds.
What this means for your plan: Use this calculator alongside the understanding that real markets are not linear, and build a 10–15% buffer above your minimum target for sequence of returns protection.
Social Security — The Variable That Changes Everything:
Social Security is the single largest source of retirement income for most Americans. Full Retirement Age (FRA) for anyone born in 1960 or later is 67. You can claim as early as 62, but your monthly benefit is permanently reduced by approximately 30%. You can delay until age 70, and each year you wait past your FRA increases your monthly benefit by 8% guaranteed.
The Breakeven Analysis
If your FRA benefit is $2,000 per month and you wait until 70, your benefit becomes approximately $2,480. The break-even point where the higher benefit surpasses the total received by claiming earlier is typically around age 80 to 82.
The Three-Bucket Withdrawal Strategy:
Bucket 1: Taxable
Withdraw from these first (brokerage accounts). Long-term capital gains are taxed at preferential rates (0-20%).
Bucket 2: Tax-Deferred
Withdraw from these second (Traditional 401(k), IRA). Distributions are taxed as ordinary income. Watch for RMDs at 73.
Bucket 3: Tax-Free
Withdraw from these last (Roth IRA, Roth 401(k)). Preserving this bucket longest allows the most tax-free growth.
Where You Stand by Generation — 2025 Benchmarks:
| Generation | Age Range | Avg 401(k) | Median 401(k) | Target Milestone |
|---|---|---|---|---|
| Gen Z | Under 28 | $13,500 | $4,000 | 1× salary by 30 |
| Millennials | 28–44 | $67,300 | $22,000 | 2–3× salary |
| Gen X | 45–60 | $192,300 | $67,796 | 6–8× salary |
| Baby Boomers | 61–79 | $249,300 | $95,425 | 10× salary by 67 |
The median vs average gap explained: Averages are dramatically skewed by a small number of high-balance savers. Your comparison point should be the median, not the average.
2026 Retirement Benchmarks — US Data Reference:
| Metric | Value | Source |
|---|---|---|
| Average 401(k) balance (all) | $146,400 | Fidelity Q4 2025 |
| Median 401(k) balance (all) | ~$38,000 | Vanguard 2025 |
| Amount needed to retire | $1,460,000 | Northwestern Mutual 2026 |
| Recommended savings rate | 15% pre-tax | Fidelity |
| 401(k) limit 2026 | $24,500 | IRS 2026 |
| 401(k) catch-up (50+) | +$8,000 | IRS 2026 |
| 401(k) super catch-up (60–63) | +$11,250 | SECURE 2.0 / IRS 2026 |
| Social Security FRA | Age 67 | SSA |
| Avg couple healthcare cost | ~$315,000 | Fidelity 2025 |
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