401k Calculator

About 401k Calculator

Our free 401k calculator helps you estimate how much your retirement savings will grow over time. By inputting your current age, retirement age, current savings, annual contributions, and expected return rate, you can project your 401k balance at retirement and plan accordingly.

This tool uses compound interest calculations to show how your contributions and employer matches can grow significantly over time, helping you make informed decisions about your retirement planning.

How to Use the 401k Calculator

1. Enter Your Current Age: Input your current age in years
2. Set Retirement Age: Enter the age you plan to retire (typically 65-67)
3. Current 401k Savings: Enter your current 401k balance in dollars
4. Annual Contribution: Input your yearly contribution amount (including employer match)
5. Expected Annual Return: Enter expected return rate (historical average is 7-10%)
6. Calculate: Click the calculate button to see your projected retirement savings

401k Planning Tips

• Maximize Employer Match: Always contribute enough to get your full employer match - it's free money!
• Increase Contributions Annually: Try to increase your contribution by 1-2% each year
• Start Early: The power of compound interest means starting early makes a huge difference
• Consider Roth 401k: If available, consider splitting between traditional and Roth contributions
• Review Regularly: Check and adjust your investment allocation annually
• Don't Cash Out: Avoid early withdrawals to prevent penalties and lost growth
• Catch-up Contributions: If you're 50+, take advantage of additional catch-up contribution limits

Important Considerations

Contribution Limits (2024): The annual contribution limit is $23,000, with an additional $7,500 catch-up contribution for those 50 and older.

Investment Risk: Returns are not guaranteed and will vary based on market conditions and your investment choices.

Inflation Impact: Consider inflation when planning - your future dollars may have less purchasing power than today's dollars.