Finance calculator
Standalone tool pageRetirement Number Calculator
Estimate your retirement savings target from annual spending, outside income, withdrawal rate, and retirement timeline assumptions.
Output
Retirement number results
Retirement number
Annual income gap
Current coverage
Current progress
Projected at retirement
Projected shortfall
Extra monthly savings needed
Assumption summary
Disclaimer
This model uses a constant withdrawal rate with steady return and inflation assumptions. Real retirement outcomes can differ because of taxes, fees, market volatility, healthcare costs, and spending changes.
Master your path to financial independence
Your retirement number sets the destination. Next, measure your Savings Rate to see how fast you are moving, test Coast FIRE to learn when compounding alone may carry the rest, check our Net Worth Tracker to maintain a clear snapshot of your total progress, and use the Budget Calculator to pressure-test whether your target spending is realistic.
How It Works
The calculator starts with your expected annual retirement spending, subtracts any reliable outside income, and divides the remaining gap by your chosen withdrawal rate. That produces a retirement number — the portfolio size needed to support that income gap. It also projects whether your current savings and ongoing contributions may reach that target before retirement using a simple inflation-adjusted return assumption.
Example
If you expect to spend $60,000 per year in retirement and will receive $20,000 from other reliable income, your portfolio must cover a $40,000 gap. Using a 4% withdrawal rate gives a retirement number of about $1,000,000. If you already have $250,000 invested and keep contributing monthly, the projection section shows whether you may reach that target by retirement.
When to use this calculator
- Use it when setting a long-term retirement savings target.
- Use it when comparing spending scenarios to see how lifestyle choices change the required portfolio size.
- Use it before using Coast FIRE or savings rate tools so your planning has a concrete destination.
What affects your retirement number most
- Annual spending matters more than small changes in return assumptions for many households.
- A lower withdrawal rate raises the target because you are planning to take less from the portfolio each year.
- Reliable outside income lowers the amount your investments need to cover.
How to lower the target
- Reduce planned retirement spending where realistic, especially fixed housing or debt costs.
- Delay retirement or keep some flexible part-time income to reduce the portfolio burden.
- Increase current savings and contributions early so compounding has more time to work.
What this calculator does not model
- It does not run Monte Carlo simulations or sequence-of-returns stress tests.
- It does not include taxes, healthcare shocks, long-term care, or estate goals.
- It uses simple real-return assumptions for projection, not changing year-by-year market behavior.
Frequently Asked Questions
What is a retirement number?
A retirement number is the amount of invested assets you may need so your portfolio can support retirement spending. A common shortcut is annual spending divided by a safe withdrawal rate such as 4%.
Why subtract other retirement income?
If part of your retirement spending will be covered by pensions, rental income, or other reliable sources, your portfolio only needs to fund the remaining gap.
Is the 4% rule guaranteed?
No. It is a planning rule of thumb based on historical market studies, not a guarantee. Real results depend on returns, inflation, taxes, fees, and how your spending changes over time.
How should I use this with Coast FIRE?
Use this tool to estimate the total target. Then use the Coast FIRE calculator to estimate how much you may need saved today if future growth does most of the work.