Retirement Savings Plan Calculator - Calculate How Much to Save for Your Goal

How Can You Save for Retirement?

Let’s say you:

• Your age now: 35
• Your planned retirement age: 68
• Amount needed at the retirement age: $1 million dollars
• Your retirement savings today: $50,000
• Average investment return: 6%

Following one of savings plans below will help you accumulate $1 million at the retirement age of 68.

If you save every month until 68:

• Amount to Save Every Month: $548.35
• Total Principal: $267,148
• Total Interest: $732,852

If you save every year until 68:

• Amount to Save Every Year: $6,759.29
• Total Principal: $273,057
• Total Interest: $726,943

If you have it now:

• Additonal Amount Needed: $96,186.22
• Total Principal: $146,186
• Total Interest: $853,814

How Much You Need to Save Monthly From Now Until Retirement to Reach Your Target Retirement Balance of $700,000 by Age 67.

To reach your target retirement balance of $700,000 by age 67 with a current savings of $50,000 and a 6% annual return, you need to save approximately $584.36 per month starting now. If you make a one-time lump sum deposit now, you need $95,157.57; if you contribute annually, you need to save $7,203.16 per year to reach your goal.

What Is the Retirement Planning Rules of Thumb?

• 4% Rule: You can safely withdraw 4% of your retirement balance annually
• 10x Rule: Aim to have 10x your final working year's salary saved by retirement
• 15% Savings Rate: Save at least 15% of gross income for retirement (including employer match)
• Replacement Ratio: You'll need 70-90% of pre-retirement income annually

References

For comprehensive retirement planning guidance, consult these official government resources: