401(k) Retirement Calculator
Use our free online 401(k) Calculator to perform fast, accurate calculations with instant formulas, step-by-step arithmetic, and verified reference benchmarks.
401(k) Calculator
Instant Live Computation • Zero Waiting
Adjust inputs on the left for instantaneous live computation.
How to Calculate: The 401(k) Calculator Formula
Future Value (FV) computes the compounding of starting balance (PV), annual employee and employer contributions (PMT), annual rate of return (r), over years until retirement (t).
Step-by-Step Calculation Guide
- Input current age and planned retirement age to establish your investment timeframe.
- Enter annual salary and your planned elective contribution percentage.
- Specify employer matching rate (e.g., 50% match up to 6% of salary).
- Set expected annual rate of return (historically 7% to 9% for diversified equities).
Practical 401(k) Calculator Examples
Age 30 retiring at 60. Salary: $80,000. Employee saves 6%, employer matches 50% up to 6% (3%). Total: 9% ($7,200/yr) at 7% return.
Age 25 retiring at 65. Salary: $95,000. Employee saves 10%, employer matches 5% ($14,250/yr) at 8% return.
IRS Annual 401(k) Contribution Limits
Official reference values and benchmark classifications based on standard institutional guidelines.
| Tax Year | Employee Limit | Catch-Up (Age 50+) | Total Limit (All Sources) |
|---|---|---|---|
| 2026 (Projected) | $23,500 | $7,500 | $70,000 |
| 2025 | $23,500 | $7,500 | $70,000 |
| 2024 | $23,000 | $7,500 | $69,000 |
| 2023 | $22,500 | $7,500 | $66,000 |
Frequently Asked Questions about 401(k) Calculator
What is employer 401(k) matching?
An employer match is supplemental compensation contributed by your employer based on your elective deferrals, effectively representing an immediate 50% to 100% return on matched funds.
What rate of return should I assume?
Financial planners generally model between 6% and 8% long-term annualized returns for diversified index funds, accounting for market volatility.
How do early withdrawal penalties work?
Distributions taken prior to age 59½ typically incur regular federal and state income tax plus a 10% IRS early distribution penalty tax.
What is the Rule of 55?
The Rule of 55 allows employees who leave their employer during or after the calendar year in which they turn 55 to access their current 401(k) without the 10% penalty.