How Much Do You Need to Retire Comfortably?
Retirement planning starts with a clear target: how much monthly income do you need in retirement, and how long will it last? This calculator reverse-engineers the answer — given your target monthly expense, retirement age, life expectancy, and existing savings, it tells you the monthly savings rate needed to hit your goal.
The 4% Rule vs. This Calculator
The popular "4% rule" suggests you need 25× your annual expenses as a retirement nest egg. This calculator uses your specific timeline, existing savings, and a return rate to give a more personalized answer — especially useful if you plan to retire early or late, or have significant existing savings.
Adjusting for Social Security and Pensions
Social Security benefits (average about $1,800/month in 2024) and any pensions reduce the gap your personal savings need to fill. Subtract expected monthly benefits from your target expense before entering it into the calculator for a more accurate result.
Frequently Asked Questions
Yes — subtract your estimated monthly Social Security from your target expense to find only the gap your savings need to cover.
3–4% is conservative and common for balanced portfolios. Use the real return (nominal - inflation) for inflation-adjusted results.
Use the real return rate (nominal return minus inflation) to implicitly account for inflation in this simplified calculation.