Formula
Retirement projection formula
Future balance = current savings x (1 + r)^n + monthly contribution x (((1 + r)^n - 1) / r)This estimate assumes monthly compounding, steady monthly contributions, and no withdrawals before the target date.
Money Calculators
Retirement Calculator
Use this retirement calculator to project future savings and estimate whether current contributions are on track for a target amount.
Reviewed May 25, 2026EstimateFormula shown
Live calculator
Retirement projection
Projected balance$819,968.51
300 monthly compounding periods.
Projected gap$180,031.49
Compared with a $1,000,000 target.
Needed per month$959.79
Estimated monthly contribution needed to reach the target.
What the retirement projection means
At the current contribution rate, the projected balance is $819,968.51. To target $1,000,000.00 in 25 years, the calculator estimates $959.79 per month.
Projection checkpoints
Year-end balances using monthly contributions and monthly compounding.
| Year | Contributions | Growth | Balance |
|---|---|---|---|
| Year 1 | $83,400.00 | $4,860.73 | $88,260.73 |
| Year 2 | $91,800.00 | $10,539.35 | $102,339.35 |
| Year 3 | $100,200.00 | $17,086.31 | $117,286.31 |
| Year 4 | $108,600.00 | $24,555.17 | $133,155.17 |
| Year 5 | $117,000.00 | $33,002.78 | $150,002.78 |
| Year 25 | $285,000.00 | $534,968.51 | $819,968.51 |
How to use
Steps
- Enter current retirement savings.
- Enter monthly contribution and annual return assumption.
- Choose years to invest.
- Compare the projected balance with a retirement target.
Example
Sample calculation
Current savings$75,000
Monthly contribution$700
25 years at 6%$819,969
Target gap$180,031 below $1M
Calculator use
Best for
- Quick projected retirement balance from current savings, monthly contribution and annual return.
- Personal finance scenarios before changing a budget, loan, savings goal, or purchase plan.
- Monthly cash flow, affordability, debt payoff, or future-value estimates.
- Assumption checks before talking with a lender, tax preparer, employer, or financial professional.
Before relying on it
Check first
- Entering current savings, monthly contribution and annual return from different time periods or scenarios.
- Mixing gross income, take-home income, one-time costs, and monthly costs in the same comparison.
- Forgetting taxes, fees, insurance, irregular bills, or minimum payments when using an estimate.
- Treating a planning estimate as a quote, tax filing result, approval decision, or guaranteed return.
Benchmarks
How to read the result
The calculator is a decision aid, not a fixed rule. Use the output to compare scenarios and document your assumptions.
Short horizonContribution-driven
When retirement is closer, savings rate usually matters more than compounding.
Long horizonMore compounding
Return assumptions can strongly affect projections over multi-decade timelines.
Target gapAction signal
A gap means contribution, return, time, or target assumptions may need adjustment.
Calculator accuracy
Methodology and assumptions
The formula, inputs, example, and limitations are shown so the result is checkable, not just a number in a box.
Formula
Future balance = current savings x (1 + r)^n + monthly contribution x (((1 + r)^n - 1) / r)
Inputs used
Current savings, Monthly contribution, Annual return, Years to invest, Target amount
Limitations
Results are estimates for quick planning and should be checked before important financial, legal, tax, health, or business decisions.
Last reviewed
May 25, 2026
Cite this page
Toolkit Shelf. Retirement Calculator. Retrieved May 25, 2026, from https://toolkitshelf.com/tools/retirement-calculator
FAQ
Common questions
Is this retirement projection guaranteed?
No. It is a projection based on the return and contribution assumptions you enter.
What return should I assume?
Use a conservative long-term return assumption and test several scenarios because future returns are uncertain.
Does this include taxes or inflation?
No. It projects account balance from contributions and returns only. Taxes, fees, and inflation should be considered separately.
Why should I test multiple retirement scenarios?
Small changes to return, contribution, or timeline can create large differences over decades, so conservative and optimistic cases are both useful.