Retirement Details
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7%
3%
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How Much Do I Need to Retire?
The most common rule of thumb is the 25x rule: save 25 times your annual expenses. If you need $60,000/year in retirement, you need $1.5 million saved. This is based on the 4% safe withdrawal rate — the amount research suggests you can withdraw annually without running out of money over a 30-year retirement.
2025 Contribution Limits
- 401(k): $23,500 (under 50) / $31,000 (50+) including catch-up contributions
- IRA (Traditional or Roth): $7,000 (under 50) / $8,000 (50+)
- SEP IRA (self-employed): Up to $69,000 or 25% of compensation
The Power of Employer Matching
Always contribute at least enough to get your full employer match — it's an immediate 50-100% return on that money. If your employer matches 3% of your salary, and your salary is $80,000, that's $2,400 of free money every year.
Real vs. Nominal Returns
This calculator uses nominal returns. To find your real (inflation-adjusted) return, subtract the inflation rate from your expected return. At 7% nominal and 3% inflation, your real return is roughly 4%.