A retirement calculator helps you estimate how much money you'll need for retirement and whether your current savings strategy will get you there. It considers factors like your current age, retirement age, savings, and expected investment returns.
The calculator provides two key figures:
A: The 4% rule suggests withdrawing 4% of your retirement savings annually, adjusted for inflation, to help ensure your savings last throughout retirement.
A: A common guideline is to save 10-15% of your income for retirement, but the actual amount depends on your lifestyle, goals, and when you start saving.
A: If you start later, you may need to save more each month, consider working longer, or adjust your retirement lifestyle expectations.