Introduction
This Retirement Budget Calculator shows you how much money you will need each month after you stop working — and whether your savings can pay for it.
You fill in a few simple things: your age, when you want to retire, what you own, what you owe, and what you plan to spend each month on housing, food, health care, travel, and more. You also add your income, like Social Security, a pension, or rent money.
The tool then does the math for you. It grows your savings until your retirement date, raises your costs for inflation (with a higher rate for health care, since medical bills usually climb faster), and checks each year of your retirement one at a time. You get a clear answer: are you on track, do you need to make changes, or are you at risk of running out?
You can also test ideas fast. Try retiring three years later. Try spending $500 less each month. Try saving a little more now. Compare up to three plans side by side, see how long your money will last, and look at three ways to take money out of your accounts.
Every number comes with a step-by-step breakdown, so you can see exactly how the answer was reached. Nothing is hidden. Use it to spot gaps early, while you still have time to fix them. For a broader view of your whole plan, pair this with our Retirement Calculator or the How Much Do I Need To Retire Calculator.
How to use our Retirement Budget Calculator
Enter your age, your savings, your debts, your monthly retirement budget, and your income sources. The retirement budget calculator then shows your projected portfolio at retirement, your yearly spending need, your shortfall, your funded ratio, and the age your money could run out.
Current age: Type how old you are today. This sets how many years you have left to save. Not sure of the exact figure? Check our Age Calculator.
Gender: Pick male, female, or prefer not to say. This picks a default life expectancy age. You can refine that estimate with the Life Expectancy Calculator.
Target retirement age: Type the age you want to stop working. It must be higher than your current age. The Retirement Age Calculator and When Can I Retire Calculator can help you pick a realistic target.
Override life expectancy: Turn this on if you want to set your own end age, then type that age. Leave it off to use the default.
Asset category: Choose the kind of account, like a 401(k), IRA, savings, or home equity. Click "Add asset" for each one you own. Dig deeper into single accounts with the 401k Calculator, IRA Calculator, Roth IRA Calculator, or Home Equity Calculator.
Current balance: Type how much money is in that account right now.
Annual return: Type the yearly growth rate you expect for that account. Each category fills in a common rate you can change.
Use for retirement income?: Turn this on if you plan to spend that money in retirement. Turn it off for assets you want to keep, like your house.
Liability category: Choose the type of debt, such as a mortgage, car loan, or credit card. Click "Add liability" for each debt. Our Net Worth Calculator gives you a full assets-minus-debts snapshot.
Outstanding balance: Type how much you still owe on that debt.
Monthly payment: Type what you pay each month on that debt. The Loan Payment Calculator is handy if you do not know the figure.
Years remaining: Type how many more years you will make those payments. See the Mortgage Payoff Calculator for a payoff date.
Additional monthly contribution: Type any extra amount you could save each month until you retire. The tool shows how much that adds to your nest egg — the Compound Interest Calculator shows the same growth math in isolation.
Budget categories: Type what you think you will spend each month in retirement on housing, food, healthcare, travel, debt, and the rest. The yearly total shows next to each line. If you have not built a spending plan yet, start with the Monthly Budget Calculator.
Amount entered in: Pick "Today's dollars" if the amount is in today's prices. Pick "Dollars at retirement" if you already added inflation.
Apply a separate healthcare inflation rate: Leave this on because medical costs usually rise faster than other prices.
Healthcare inflation rate: Type the yearly percent you expect health costs to grow. Many people use 5% to 6%.
Debt payments continue for: Type how many years into retirement you will still pay off loans. Click "Prefill from liabilities" to fill it from the debts you listed. To clear debt sooner, try the Debt Payoff Calculator.
Source type: Choose each retirement income stream, like Social Security, a pension, or rental income. Click "Add income source" to list more. Estimate each one with the Social Security Calculator, Pension Calculator, Annuity Calculator, or Rental Income Calculator.
Monthly amount: Type how much that source pays each month in today's dollars.
Start age: Type the age that income begins. Social Security often starts at 62 to 70. The Social Security Break-Even Calculator compares claiming ages.
Inflation-adjusted?: Turn this on if the payment rises with prices each year, like Social Security. Turn it off for a flat pension. See the COLA Calculator for how raises compound.
General inflation rate: Type or slide the yearly percent prices will rise. About 3% is a common choice — check history with the CPI Inflation Calculator.
Portfolio return in retirement: Type or slide the yearly growth you expect on your savings after you retire.
Safe withdrawal rate: Type or slide the percent of your portfolio you would take out in year one. Many plans use 4% — see the 4% Rule Calculator.
Calculate, Reset, and Print: Click Calculate to update the results, Reset to go back to the sample numbers, or Print Summary to save a copy.
Scenario boxes: Name each scenario, then set a retirement age, monthly spending, return, inflation, and extra savings. Compare up to three plans side by side. Thinking about leaving work sooner? Run the Early Retirement Calculator too.
How long will my money last: Type a starting balance, a yearly withdrawal, a return rate, and your starting age. Turn on "Inflate withdrawals" and set the increase percent to raise your withdrawals each year, or click "Use my plan's numbers" to copy your results. The Retirement Withdrawal Calculator covers this in more detail.
What Is a Retirement Budget?
A retirement budget is a plan for how much money you will spend each month after you stop working, and where that money will come from. It lists your costs, like housing, food, and health care. Then it lists your income, like Social Security, a pension, or money you pull from savings. If your costs are bigger than your income, you have a gap. Your savings must fill that gap for the rest of your life. A general Budget Calculator is a good place to test your current spending first.
Why Retirement Spending Is Different
Your paycheck stops, but your bills do not. Some costs drop in retirement. You may not pay for gas to work, work clothes, or a mortgage if the house is paid off. Other costs go up. Health care and travel often cost more. Many people spend more in their first few years of retirement, less in the middle years, and more again late in life because of medical and care costs. If you are thinking about moving somewhere cheaper, compare places with the Cost of Living Calculator.
How Inflation Changes Your Plan
Inflation means prices rise over time. At 3% a year, something that costs $1,000 today costs about $1,800 in 20 years. That means a budget built on today's prices will be too small when you retire. Health care is worse. Medical prices have gone up faster than most other prices, so many planners use a higher rate, often 5% to 6%, just for health costs. Our Inflation Calculator and Rule of 72 Calculator show how fast costs double.
The 4% Rule and Safe Withdrawal Rates
A common guide is the 4% rule. It says you can take out about 4% of your savings in the first year of retirement, then raise that amount a little each year for inflation, and your money should last around 30 years. With $1,000,000 in savings, that is $40,000 in year one. The 4% rule is only a starting point. Living longer, weak market returns, or high fees can make a lower rate, like 3% to 3.5%, safer. The FIRE Calculator and Coast FIRE Calculator apply the same idea to early retirement targets.
Where Retirement Income Comes From
- Social Security: Monthly checks that rise with inflation. Waiting until age 70 to claim gives you a bigger check than claiming at 62. See the Social Security Retirement Calculator.
- Pensions: Steady monthly pay from a job. Many pensions do not rise with inflation, so they buy less each year. Federal and military workers can use the FERS Retirement Calculator or Military Retirement Calculator.
- Retirement accounts: 401(k), 403(b), IRA, and Roth IRA savings that you draw down over time. Watch required withdrawals with the RMD Calculator.
- Other income: Rent from property, part-time work, annuities, or a taxable brokerage account. Try the Rental Property Calculator or Dividend Calculator.
How Long Your Money Needs to Last
Plan for a long life. In the United States, a healthy 65-year-old man often lives into his mid-80s, and a woman a bit longer. Many live past 90. If you retire at 65, your savings may need to cover 25 to 30 years. Running out of money at 85 is a real risk, so it is smart to plan past your average life expectancy. The Social Security Life Expectancy Calculator uses the same actuarial tables this tool draws on.
Ways to Close a Gap
- Save more now. Even an extra $200 a month adds up a lot over 20 years of growth — see the Savings Calculator.
- Work a few more years. This gives you more time to save, fewer years to fund, and a larger Social Security check.
- Cut future spending. Moving to a cheaper home or trimming travel lowers the amount you need.
- Pay off debt before you retire. A paid-off mortgage or car loan frees up cash every month. The Mortgage Extra Payment Calculator and Debt Snowball Calculator show how fast that can happen.
- Delay Social Security. Each year you wait past full retirement age adds about 8% to your benefit, up to age 70.
Withdrawal Methods
How you take money out matters as much as how much you saved. Taking a fixed dollar amount is simple but loses buying power as prices rise. Taking a fixed percentage of your balance each year protects the portfolio but your income swings with the market. Taking an inflation-adjusted amount keeps your lifestyle steady but drains savings fastest if markets are weak early on. The SWP Calculator models a steady withdrawal plan, and the Annuity Payout Calculator shows what guaranteed income would cost.
Things to Remember
Any retirement projection uses guesses about returns, inflation, and how long you will live. Real markets go up and down, and bad returns in your first few retirement years hurt more than bad returns later. Taxes also matter, since money from a traditional 401(k) or IRA is taxed as income when you take it out — estimate the bite with the Income Tax Calculator, the Tax Bracket Calculator, or the Taxable Social Security Benefits Calculator. A Roth Conversion Calculator can help you plan around future tax rates. Check your plan once a year and update it when your job, health, or spending changes.