401(k) / IRA Retirement Calculator

Project your retirement nest egg. See how monthly contributions to a 401(k) or IRA compound over time, and estimate your monthly income in retirement using the 4% Rule.

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2024 IRS Contribution Limits: 401(k): $23,000/yr ($1,917/mo). With catch-up (50+): $30,500/yr. IRA: $7,000/yr. These limits are not enforced by this calculator — it is for illustrative purposes only.

Retirement Projection (Age 65)

Total Contributed

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Est. Returns

$0

Total Nest Egg

$0

Estimated Monthly Income in Retirement

4% Rule (Conservative)

Sustainable withdrawal rate

$0/mo

6% Withdrawal (Aggressive)

Higher income, faster depletion

$0/mo

Mastering 401(k) and IRA Investing

Building a secure retirement requires consistent saving and taking advantage of tax-advantaged accounts like 401(k)s and IRAs. These accounts allow your money to grow either tax-deferred (Traditional) or tax-free (Roth), saving you significant amounts of money over a lifetime of investing.

The Power of the 4% Rule

The 4% Rule (based on the Trinity Study) states that withdrawing 4% of your retirement portfolio annually has historically lasted 30+ years without depleting the principal, assuming a balanced stock/bond portfolio. For a $1 Million nest egg, that means $40,000/year (or ~$3,333/month) in sustainable income.

401(k) vs IRA: Which should you fund first?

A common and highly effective strategy is the Match-Roth-Max strategy:

  1. Match: First, contribute enough to your 401(k) to get the full employer match. This is free money and offers a 100% immediate return on investment.
  2. Roth: Next, max out a Roth IRA (up to the $7,000 limit in 2024). Roth IRAs offer superior flexibility and tax-free growth, and you have access to a wider range of investment options than a typical 401(k).
  3. Max: Finally, if you still have money to save, go back and max out the rest of your 401(k) up to the $23,000 limit.

How to Use This Calculator

1

Adjust the inputs

Use the sliders or text boxes to enter your specific financial numbers.

2

Review the charts

The interactive charts will update immediately, showing a visual breakdown of your investments and returns.

3

Analyze the results

Look at the summary cards and tables to understand your total invested amount, estimated returns, and final corpus.

Frequently Asked Questions

What is the difference between a 401(k) and an IRA?

A 401(k) is an employer-sponsored retirement plan, meaning you can only get one if your employer offers it, and contributions are deducted directly from your paycheck. An IRA (Individual Retirement Account) is an account you open yourself at a brokerage firm.

What is the contribution limit for a 401(k) in 2024?

For 2024, the employee contribution limit for a 401(k) is $23,000. If you are age 50 or older, you can make an additional catch-up contribution of $7,500.

What does "employer match" mean?

Many employers offer a match on 401(k) contributions as an employee benefit. For example, they might match 100% of your contributions up to 4% of your salary. This is essentially free money and you should always try to contribute at least enough to get the full match.

Can I have both a 401(k) and a Traditional IRA?

Yes, you can contribute to both in the same year. However, if you (or your spouse) are covered by a retirement plan at work, your ability to deduct your Traditional IRA contributions on your tax return may be limited based on your income.

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