Retirement calculator 2026 — nest egg projection
Project your 401(k) or IRA balance at retirement from current savings and monthly paycheck contributions. Adjust age, contribution, and expected return to see how compounding builds your nest egg over time.
Calculate your retirement balance
Enter ages, savings, monthly contribution (including any employer match), and expected return. Charts update with your inputs.
Include employer match in this total if it vests to your account.
Nominal annual return, compounded monthly. Enter 0% or higher; negative values are treated as 0% for projections.
30 years from now · before taxes on withdrawal
Illustrative scenarios — not predictions. Your results will differ.
How this retirement calculator works
Your existing balance and each monthly contribution are projected forward at the annual return you enter, compounded monthly. That models how 401(k), IRA, or other accounts can grow when returns are steady—real markets vary year to year.
The result is a pre-tax account balance at retirement, not after-tax spendable income. Traditional accounts owe ordinary income tax on withdrawals; Roth qualified withdrawals may be tax-free. Pair this tool with our paycheck calculator to see how contributions affect take-home pay today.
Why & when to run the numbers
Check your trajectory after a raise, job change, or when you change your contribution percentage. Many people review at least once a year. Increasing contributions early often matters more than a late sprint—time in the market helps compounding work.
Traditional 401(k) deferrals are generally excluded from federal income tax when contributed (state rules vary). Traditional IRA deductibility follows IRS rules (income and workplace coverage matter). Roth uses after-tax dollars; qualified withdrawals may be tax-free. This tool shows balance only—not tax owed on withdrawals.
For match math, try our 401(k) match calculator.
Estimates only — not a plan
Future returns are unknown. Rules like "25× expenses" or the "4% rule" are simplified planning tools, not guarantees. Contribution limits, catch-up rules, and tax law change— check IRS and plan documents. Consider speaking with a qualified professional for personalized advice.
2026 401(k) and IRA contribution limits — including the new SECURE 2.0 super catch-up and mandatory Roth rule
The IRS increased contribution limits for 2026 (IRS Notice 2025-67). Knowing your exact limit — including the new super catch-up for ages 60–63 — can directly change how much you enter in this calculator.
| Account / situation | 2026 limit | 2025 limit | Notes |
|---|---|---|---|
| 401(k)/403(b)/457(b) elective deferral | $24,500 | $23,500 | Employee contributions only |
| Catch-up (age 50+) | +$8,000 → $32,500 | +$7,500 → $31,000 | Standard catch-up; ages 50–59 and 64+ |
| Super catch-up (ages 60, 61, 62, or 63) | +$11,250 → $35,750 | +$11,250 → $34,750 | SECURE 2.0; highest possible contribution window |
| Total annual addition (§415 limit) | $72,000 | $70,000 | All sources: employee + employer + after-tax |
| IRA (traditional or Roth) | $7,500 | $7,000 | Combined limit across all IRAs |
| IRA catch-up (age 50+) | +$1,100 → $8,600 | +$1,000 → $8,000 | IRA catch-up now indexed to inflation (SECURE 2.0) |
| SIMPLE 401(k)/IRA | $17,000 | $16,500 | Catch-up: +$4,000 (50+); +$5,250 (60–63) |
New for 2026: mandatory Roth catch-up for high earners (SECURE 2.0 §603)
Effective January 1, 2026, if your 2025 W-2 Box 3 FICA wages exceeded $150,000 from your current employer, all catch-up contributions to your 401(k), 403(b), or governmental 457(b) plan must be designated as Roth (after-tax). Pre-tax catch-up is no longer allowed for affected high earners. If your plan does not offer a Roth option, affected participants cannot make catch-up contributions at all until the employer adds one. This rule applies only to catch-up amounts — your regular $24,500 deferral can still be pre-tax or Roth per your election.
Traditional vs. Roth 401(k): the tax break-even framework and the new Roth 401(k) RMD exemption
Both share the same $24,500 limit. The decision turns on one question: will your tax rate in retirement be higher or lower than it is today?
| Feature | Traditional 401(k) | Roth 401(k) |
|---|---|---|
| Tax treatment of contributions | Pre-tax (deducted from taxable wages) | After-tax (no deduction) |
| Tax on qualified withdrawals | Ordinary income tax owed | Tax-free |
| Required minimum distributions | RMDs required at 73 or 75 (SECURE 2.0) | No RMDs during owner's lifetime (SECURE 2.0, 2024) |
| Best for | High earners today expecting lower rate in retirement | Lower bracket now; expecting higher rate or leaving to heirs |
| 2026 contribution limit | $24,500 ($35,750 with age 60–63 super catch-up) | Same limit — combined with traditional |
The Roth 401(k) RMD change is significant
Before SECURE 2.0, Roth 401(k) accounts were subject to required minimum distributions starting at age 73 — just like traditional accounts. A common workaround was rolling the Roth 401(k) into a Roth IRA to avoid RMDs. As of January 1, 2024, Roth 401(k) accounts no longer have pre-death RMDs, aligning them with Roth IRAs. This removes the main reason to do that rollover — and makes leaving a large Roth 401(k) balance as a tax-free inheritance much simpler.
The break-even framework
- In the 10–12% bracket today → strongly consider Roth (low current cost for future tax freedom)
- In the 22% bracket with a similar expected retirement bracket → Roth is often competitive
- In the 32%+ bracket today expecting a lower retirement bracket → traditional typically wins
- Unsure? Split contributions between both — many plans allow mixing traditional and Roth in the same year
Employer match, vesting schedules, and the $72,000 annual addition limit — what most workers miss
Employer contributions are the highest-return financial benefit most workers underutilize. Understanding vesting schedules and the §415 total limit can unlock thousands of additional tax-advantaged dollars per year.
Vesting schedules: when the match is truly yours
If you leave before full vesting, you forfeit the unvested employer match. When comparing job offers, always check the vesting schedule — an unvested match is not real compensation until you earn it.
The §415 total addition limit: $72,000 in 2026
The $24,500 elective deferral is only part of the story. The IRS allows total contributions from all sources — your deferrals + employer match + profit sharing + after-tax contributions — to reach up to $72,000 per year (2026, IRS §415). This enables the mega backdoor Roth strategy for those whose plans allow after-tax (non-Roth) contributions:
- 1Contribute $24,500 pre-tax (your regular deferral)
- 2Employer adds, say, $8,000 in matching
- 3Remaining headroom: $72,000 − $24,500 − $8,000 = $39,500 available for after-tax contributions
- 4Convert after-tax contributions to Roth via in-service withdrawal or in-plan rollover
Not all plans allow after-tax contributions — check your Summary Plan Description.
The projected nest egg above comes from your current age, retirement age, savings balance, monthly contributions, and expected return—not a third-party feed. We compound your existing balance and end-of-month contributions at a constant monthly rate derived from your annual return. Below are the formulas, the order we follow, and worked examples you can check by hand.
Formulas
| Line | Formula |
|---|---|
| Monthly rate | r = annual return % ÷ 100 ÷ 12 |
| Months until retirement | n = (retirement age − current age) × 12 |
| Lump sum growth | FV₁ = current savings × (1 + r)^n |
| Contribution growth (ordinary annuity) | FV₂ = monthly payment × [((1 + r)^n − 1) / r] |
| Projected nest egg | Future value = FV₁ + FV₂ |
| Interest earned | Future value − (current savings + all contributions paid in) |
Order of operations
Set the savings horizon
Years to retirement = retirement age − current age
We project from today through your target retirement age. If you are already at or past retirement age, we return your current balance with no further growth.
Grow current savings
Compound existing balance monthly at rate r
Your starting balance earns return each month for the full horizon. This is the standard future value of a present lump sum.
Grow monthly contributions
End-of-month payments into an ordinary annuity
Each monthly contribution is assumed to be invested at month-end and compound until retirement. At 0% return, contributions simply sum with no growth.
Sum components and interest
Nest egg = lump sum FV + annuity FV; interest = total − principal contributed
The headline number is the sum of both growth paths. We also show how much came from initial savings vs. contributions, and total interest earned.
Worked example
Age 35 → 65 · $50,000 saved · $500/mo · 6.0% return
Lump sum: $50,000 × (1 + 0.5%/mo)^360 mo = $301,129
Contributions: $500/mo ordinary annuity → $502,258
$301,129 + $502,258 = $803,386 nest egg
Interest earned: $803,386 − $230,000 contributed = $573,386
| Line item | Amount |
|---|---|
| Current age | 35 |
| Retirement age | 65 |
| Years to retirement | 30 |
| Current savings | $50,000 |
| Monthly contribution | $500 |
| Annual return | 6.0% |
| Initial savings grew to | $301,129 |
| Contributions grew to | $502,258 |
| Projected nest egg | $803,386 |
| Total contributed | $230,000 |
| Interest earned | $573,386 |
Higher savings rate: Double contributions: $1,000/mo instead of $500/mo → nest egg $1,305,644 (vs $803,386 at $500/mo).
Zero return: 0% return: nest egg equals savings plus all contributions → $230,000.
Later start: Starting at 45 with $100K saved — 20 years to retirement → $677,551 in 20 years.
Constants we use
| Parameter | What we use |
|---|---|
| Default current age | 35 |
| Default retirement age | 65 |
| Default monthly contribution | $500 |
| Default annual return | 6.0% |
| Negative returns | Clamped to 0% |
| Contribution timing | End of month |
What we do not model on this page
We use a constant nominal return and level monthly contributions—we do not model market volatility, fees, taxes inside accounts, employer match vesting, catch-up contributions, IRS contribution limits, inflation after retirement, Social Security, pension income, RMDs, or variable contribution schedules. Negative returns are treated as 0% so projections stay in a normal planning range. Results are illustrative, not investment advice.
Frequently asked questions — retirement savings
Sources & methodology
Projection math: Future value of a lump sum plus future value of an ordinary annuity (end-of-month contributions), with a constant nominal annual return divided into a monthly rate—standard compound-growth formulas. Negative returns are treated as 0% in the tool so projections stay in a normal planning range. Results are illustrative; markets, fees, and taxes inside accounts are not modeled.
- SEC Investor.gov — compound interest (glossary)
- IRS Publication 590-A — contributions to IRAs
- IRS — Retirement plans (401(k), IRA, and related topics)
- U.S. Department of Labor — retirement saving (worker resources)
*Chip "Taxes · Balance only" means this tool shows account balance before withdrawal taxes and fees—not take-home retirement income.
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Last updated: 2026-03-31 · Estimates only; not financial or tax advice.