A 401(k) is a tax-advantaged retirement savings account sponsored by an employer. Employees contribute pre-tax dollars from their paycheck, reducing taxable income. Earnings grow tax-deferred until withdrawal in retirement.

How does employer match work?

Employers often match a percentage of your contributions up to a salary cap. For example, a 100% match up to 3% of salary means if you earn $60,000 and contribute 3% ($1,800), your employer adds another $1,800.

What annual return should I use?

Historically, a diversified stock portfolio has averaged around 7% annually after inflation. Conservative estimates use 5-6%; aggressive estimates use 8-10%. The calculator uses 7% as a default.

Does this account for inflation?

This calculator shows nominal (not inflation-adjusted) projections. To get real purchasing power, subtract the expected inflation rate (typically 2-3%) from your annual return rate.

What is the 401(k) contribution limit?

For 2024, the IRS limit for employee 401(k) contributions is $23,000 ($30,500 if you are age 50 or older). This calculator does not cap contributions at the IRS limit, so keep that in mind when entering values.

Is this tool accurate?

This tool provides projections based on constant annual inputs. Real results vary due to salary changes, market fluctuations, and contribution changes over time. Use it for planning estimates, not guarantees.

401(k) Calculator

Name: 401(k) Calculator
Availability: InStock
Author: Nham Vu

Enter your salary, contribution rate, employer match, and expected return to see your projected 401(k) balance at retirement.

Your 401(k) Details

Annual Salary ($)

Your Contribution Rate 6%

Employer Match Rate 100%

Percentage of your contribution your employer matches.

Employer Match Cap 3% of salary

Max salary % your employer will match.

Expected Annual Return 7%

Years Until Retirement 30 yrs

Current 401(k) Balance ($)

Projected Balance

at retirement

Total Growth

investment earnings

Your Contributions

total out of pocket

Employer Match

free money added

Balance Breakdown

Existing Balance Your Contributions Employer Match Investment Growth

Year-by-Year Growth

Every 5 years shown

Year	Your Contrib.	Employer	Balance

Summary