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Retirement Calculator

Q: Is 7% a realistic return assumption?

7% is a commonly cited long-run historical average for a diversified US stock portfolio, but it is not guaranteed and individual years vary enormously. Many financial planners suggest using a range of assumptions rather than a single number.

Project how your retirement savings could grow based on your current balance, monthly contributions, an assumed annual return, and employer match.

⚠️ This is an estimate, not a guarantee. The projection assumes a constant annual return every single year. Real investment returns vary year to year — some years are up, some are down — and no investment guarantees a fixed return. Use this as a rough planning tool, not a prediction of your actual future balance.

Your Numbers

Current savings ($)

Monthly contribution ($)

Assumed annual return (%)

Years until retirement

Employer match (%) — optional

Match cap ($/month) — optional

Match % is applied to your monthly contribution (e.g. 50% match on a $500 contribution = $250/month from your employer). Leave the match cap at 0 for no cap.

How this projection is calculated

This calculator compounds your balance monthly: each month, your existing balance grows by 1/12 of your assumed annual return, and then your monthly contribution (plus any employer match) is added. This is standard compound-interest math, repeated month by month for the number of years you enter. The chart separates how much of your final balance came from money you and your employer put in (contributions) versus how much came from investment growth (compounding).

Why "assumed return" matters — and why it's a big assumption

The single biggest driver of uncertainty in any retirement projection is the return rate assumption. A stock-heavy portfolio has historically returned around 7-10% annualized over long periods before inflation (with wide year-to-year swings), but past performance doesn't guarantee future results, and no one can predict what the market will do over your specific investing horizon. Lowering your assumed rate to be more conservative — and re-running this calculator with a range of rates (e.g. 5%, 7%, 9%) — gives you a more honest picture than trusting a single number.

What this calculator does NOT account for

Sequence of returns risk — a market downturn right before or after retirement affects your outcome very differently than the same downturn mid-career, even with an identical average return.
Taxes — whether your account is a traditional 401(k)/IRA, Roth, or taxable brokerage account changes how much of this balance you actually get to keep and spend.
Inflation — this projection is in nominal (today's) dollars unless you lower the return rate to approximate a "real" (inflation-adjusted) return.
Contribution limits — 401(k) and IRA accounts have annual contribution limits set by the IRS that this calculator does not enforce.
Fees — investment expense ratios and account fees reduce your effective return; this calculator assumes your entered rate is already net of fees, or you should lower it to account for them.

Frequently asked questions

Is 7% a realistic return assumption?

7% (or sometimes 6-7% "real," after inflation) is a commonly cited long-run historical average for a diversified US stock portfolio, but it is not guaranteed and individual years vary enormously — from large gains to large losses. Many financial planners suggest using a range of assumptions rather than a single number, and being more conservative the closer you are to needing the money.

What does "employer match" mean?

Many employers match a percentage of what you contribute to a workplace retirement account (like a 401(k)), up to a cap — for example, "50% match up to 6% of salary." Enter the match percentage and, if applicable, a dollar cap per month, and this calculator adds that as free money on top of your own contribution.

Does this guarantee I'll have this much money at retirement?

No. This is a mathematical projection based on the assumptions you enter, not a guarantee or prediction. Actual results depend on real market performance, which varies unpredictably and can be significantly higher or lower than any single assumed rate.

Is my financial information uploaded anywhere?

No. Every calculation happens locally in your browser using JavaScript. Your savings balance, contributions, and assumptions are never sent to a server.

Not financial advice. This calculator produces a mathematical projection based on a constant assumed annual return, which is a simplification — real investment returns fluctuate year to year and are never guaranteed. It does not account for taxes, inflation, fees, contribution limits, or sequence-of-returns risk. This is not a promise or guarantee of future performance. Consult a qualified financial advisor to build a retirement plan for your actual situation.