Retirement Number Calculator
Work backwards from the life you want. Enter the income you'd like in retirement and your withdrawal rate, and see the nest egg you need — plus how much to save each month to get there.
Path To Your Number
How Much Do You Need To Retire?
The simplest answer is your desired annual income divided by your withdrawal rate. At a 4% rate, every $1,000 of annual spending needs roughly $25,000 invested. Spending $60,000 a year means a target of about $1,500,000.
Where The 4% Rule Comes From
The 4% rule grew out of the Trinity study, which tested historical US stock and bond returns against 30-year retirements. Withdrawing 4% in year one and adjusting that amount for inflation each year survived almost every historical period tested.
Why Early Retirees Use A Lower Rate
A 30-year retirement is very different from a 50-year one. If you plan to stop working in your 40s or 50s, a 3% to 3.5% withdrawal rate gives your portfolio more room to survive a bad first decade of returns — at the cost of a larger number to hit.
Inflation Moves The Target
A target set in today's money quietly understates what you'll need. At 3% inflation, prices roughly double every 24 years, so a lifestyle costing $60,000 now costs closer to $120,000 by the time a thirty-something retires. Keep the inflation toggle on unless you're deliberately thinking in today's dollars.
Related Calculators
- Retirement Savings Calculator — project what your current plan will actually grow into.
- Compound Interest Calculator — see how contributions and returns build over time.
- Savings Goal Calculator — work out the monthly amount for any target and date.