Retirement Planning Calculator

Planning for retirement is one of the most important financial decisions you'll make. Our retirement calculator helps you understand how much you need to save to maintain your desired lifestyle after you stop working.

How does the retirement calculator work?

The calculator uses several key factors to determine your retirement needs:

• Current Age: Determines how many years you have to save
• Monthly Spending: Your current lifestyle expenses
• Retirement Type: The percentage of current spending you want to maintain
• Investment Return: Expected annual return on your savings

Retirement Planning Formula

The calculator uses the following formula to determine your retirement corpus:

Required Corpus = Monthly Retirement Income × 12 × 25

This assumes a 4% withdrawal rate (25x annual expenses) which is a widely accepted rule for retirement planning.

Monthly Savings Calculation

To calculate how much you need to save monthly:

Monthly Savings = Required Corpus ÷ [(1 + r)^n - 1] ÷ r

Where:
r = monthly interest rate
n = total number of months until retirement

Tips for Retirement Planning

• Start saving early to take advantage of compound interest
• Consider increasing your savings rate as your income grows
• Diversify your investments to manage risk
• Review and adjust your plan regularly
• Consider additional income sources like rental properties or part-time work