Finance

401(k) Calculator

Project your 401(k) balance at retirement with employer match, contribution rate, and compound investment growth.

Quick Answer

Contributing 6% of a $75,000 salary with a 50% employer match (up to 6%) and 7% annual returns starting at age 30 with $50,000 already saved could grow to approximately $1.1M by age 65. Maxing out at $23,500/year could push that to over $2.5M. Time in the market and employer match are your two biggest advantages.

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Annual contribution: $4,500

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e.g., 50% means employer matches half

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e.g., match up to 6% of salary

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Historical S&P 500 average: ~10% (before inflation)

Disclaimer: This calculator provides estimates based on constant contributions and a fixed rate of return. Actual 401(k) performance varies with market conditions, investment choices, salary changes, and contribution adjustments. This tool does not account for taxes on withdrawals, Required Minimum Distributions (RMDs), early withdrawal penalties, or inflation. Consult a qualified financial advisor for personalized retirement planning.
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About This Tool

The 401(k) Calculator projects how your employer-sponsored retirement account could grow from now until your retirement age. It factors in your current balance, annual contributions as a percentage of salary, employer matching contributions, and compound investment returns to give you a comprehensive picture of your retirement savings trajectory.

One of the most powerful features of a 401(k) is the employer match. When your company matches a portion of your contributions, that is an immediate return on your money before any investment gains. A 50% match on 6% of salary is equivalent to an extra 3% of your salary invested each year. Over decades, compound growth on those matched dollars can add hundreds of thousands to your retirement balance.

The Power of Starting Early

Time is the single most important factor in 401(k) growth due to compound interest. A 25-year-old contributing $6,000 per year with 7% returns accumulates roughly $1.2 million by age 65. Starting at 35 with the same contribution rate yields only about $567,000 -- less than half, despite only 10 fewer years. Every year you delay costs you exponentially more in lost growth. Even small contributions early in your career have an outsized impact on your final balance.

Choosing Your Investment Return Assumption

The expected return slider has a significant impact on projections. Conservative estimates (4-5%) reflect a bond-heavy portfolio or account for inflation. Moderate estimates (6-7%) represent a balanced portfolio after inflation. Aggressive estimates (8-10%) assume heavy stock allocation. Most financial planners recommend using 6-7% for realistic long-term planning. For more detailed retirement projections, try our Retirement Calculator.

Frequently Asked Questions

How much should I contribute to my 401(k)?
Financial advisors generally recommend contributing at least enough to get your full employer match -- that's essentially free money. Beyond that, aim for 10-15% of your salary including employer contributions. If you start in your 20s, 10% may be sufficient. Starting in your 30s or later, 15% or more is recommended to reach retirement goals. The 2026 contribution limit is $23,500 ($31,000 with catch-up contributions for age 50+).
How does employer matching work?
Employer matching means your company contributes to your 401(k) based on your own contributions. A common match is 50% of your contribution up to 6% of salary. For example, if you earn $75,000 and contribute 6% ($4,500), your employer adds 50% of that ($2,250). You must contribute at least up to the match threshold to receive the full benefit. Not taking the full match is like leaving part of your salary on the table.
What rate of return should I expect from my 401(k)?
Historical stock market returns average about 10% annually before inflation, or roughly 7% after inflation. A diversified portfolio of stocks and bonds typically returns 6-8% long-term. More aggressive allocations (higher stock percentage) may earn more but with greater volatility. As you approach retirement, shifting toward bonds reduces risk but also expected returns. Most financial planners use 6-7% for conservative projections.
What is the 2026 401(k) contribution limit?
For 2026, the employee contribution limit is $23,500. If you are age 50 or older, you can make an additional catch-up contribution of $7,500, bringing your total to $31,000. The total limit including employer contributions is $70,000 ($77,500 with catch-up). These limits are adjusted annually for inflation. Note that employer match contributions do not count toward your $23,500 employee limit.
Should I choose traditional or Roth 401(k)?
A traditional 401(k) reduces your current taxable income -- contributions are pre-tax and you pay income tax when you withdraw in retirement. A Roth 401(k) uses after-tax dollars but grows tax-free. Choose traditional if you expect to be in a lower tax bracket in retirement. Choose Roth if you expect higher taxes later, are early in your career (lower bracket now), or want tax-free withdrawals. Many advisors recommend splitting between both for tax diversification.

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