Retirement Calculator

Retirement planning is one of the most consequential financial exercises you will undertake. The decisions you make today about how much to save, when to start, and what returns to expect will compound over decades to determine whether you can retire comfortably or face a shortfall. This retirement calculator models that trajectory with precision, showing you exactly where your current savings strategy will land you.

The calculator uses a compound growth model with monthly contributions. You enter your current age, target retirement age, existing savings balance, monthly contribution amount, expected annual return rate, expected inflation rate, and your desired annual income in retirement. The tool then projects your savings balance at retirement, determines how many years of retirement your savings can fund, calculates the monthly income your savings could generate, and identifies any shortfall or surplus relative to your target.

Two projections are shown side by side: nominal and inflation-adjusted. The nominal projection shows your raw dollar balance. The inflation-adjusted projection shows what those dollars will be worth in today purchasing power. This distinction matters enormously. A million dollars in 30 years will buy far less than a million dollars today -- at 3% annual inflation, it will have roughly the purchasing power of $400,000 in today money. The inflation-adjusted line on the growth chart makes this erosion visible.

The growth chart visualizes your savings trajectory from now until retirement, with two lines: one for nominal growth (orange) and one for inflation-adjusted growth (using current design tokens). The gap between the lines widens over time, illustrating the compounding effect of inflation. Hovering over the chart shows exact values for each year.

The drawdown calculation assumes you withdraw a fixed annual amount (adjusted for inflation) from your retirement savings, which continues to earn returns during retirement. The model calculates how many years your savings will last before depletion, given your desired retirement income. If your savings outlast a 30-year retirement horizon, you are on solid ground. If not, the calculator shows the gap so you can adjust your savings rate, retirement age, or income expectations.

Savings growth is modeled using monthly compounding: each month, the contribution is added and the balance grows by (annual_rate / 12). The nominal balance at retirement is the sum after all monthly contributions and compounding. The inflation-adjusted balance divides the nominal balance by (1 + inflation_rate)^years to express it in today dollars.

The drawdown phase assumes annual withdrawals at the desired retirement income level, inflation-adjusted each year, while the remaining balance continues to earn the specified return rate. The model iterates year by year until the balance reaches zero or exceeds 50 years of retirement. Monthly income is calculated as the annual withdrawal amount divided by 12. The shortfall or surplus is the difference between the projected retirement balance and the amount needed to fund the desired income for 30 years. All calculations run entirely in your browser.