401(k) Calculator

Project your 401(k) balance at retirement based on your current savings, contribution rate, employer match, and expected investment return. See the full power of tax-deferred compounding and employer match over your career.

401(k) Projection at Retirement

Projected Balance—

Est. Monthly Income (4% rule)—

Your Annual Contribution—

Employer Annual Match—

Total Contributions—

Investment Growth—

How Your 401(k) Grows Over Time

The 401(k) calculator shows the extraordinary power of tax-deferred compounding and employer matching over a working career. Small increases in contribution rates, especially early in your career, can translate to hundreds of thousands of dollars at retirement. Understanding these projections motivates action — and this calculator makes the math concrete.

Always Capture the Full Employer Match

The employer match is the single best investment available to most workers. A 50% match on up to 6% of salary means contributing 6% of a $70,000 salary ($4,200/year) earns you another $2,100 for free — a guaranteed 50% return before any market gains. Never leave matching dollars on the table. If you can only afford to contribute one amount, make it whatever percentage captures the full match.

2024 Contribution Limits

The IRS sets annual contribution limits. For 2024, employees can contribute up to $23,000. Workers age 50 or older can make an additional $7,500 catch-up contribution, for a total of $30,500. Employer contributions are separate and can bring the total 401(k) contribution to $69,000 ($76,500 with catch-up). These limits typically increase slightly each year with inflation adjustments.

Investment Return Assumptions

The projected return you use dramatically affects the output. The S&P 500 has returned roughly 10% annually before inflation and 7% after inflation over the long term. Most financial planners recommend using 6–7% for conservative projections. Aggressive allocations (mostly stocks) might justify 8–9%; conservative allocations (mixed stocks/bonds) might use 5–6%.

The 4% Withdrawal Rule

This calculator estimates monthly retirement income using the 4% rule — withdraw 4% of your balance in year one and adjust for inflation annually. Research suggests this strategy has historically sustained a 30-year retirement. A $1,000,000 balance generates $40,000/year or $3,333/month under this rule.

Frequently Asked Questions

How much should I contribute to my 401(k)?

At minimum, contribute enough to get the full employer match. Beyond that, aim for 15% of gross income total (including the match). The 2024 employee limit is $23,000 ($30,500 at age 50+).

What is employer matching in a 401(k)?

Your employer adds money to your 401(k) when you contribute. Common structure: 100% match on first 3%, or 50% match on first 6%. This is free money — always contribute at least enough to capture the full match.

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

$23,000 for employees under 50. $30,500 for workers 50 and older (including $7,500 catch-up). Employer contributions are separate and don't count against this limit.

What return rate should I use for a 401(k) projection?

6–7% is a conservative real return assumption (after inflation). Historical S&P 500 returns ~10% nominal, ~7% real. Use 6% for conservative, 8% for aggressive stock-heavy portfolios.

When can I withdraw from my 401(k) without penalty?

Age 59½ for penalty-free withdrawals. RMDs begin at age 73. The 10% early withdrawal penalty applies before 59½ with limited exceptions (disability, certain medical expenses, substantially equal periodic payments).