401(k) Calculator

Estimate 401(k) growth including your employer's match.

How the Math Works

The 401(k) Calculator uses the future value of an ordinary annuity formula to project your retirement balance. Each year, your contribution plus your employer's match compounds into an annual payment. The formula multiplies your salary by (your contribution percentage plus the employer match percentage) to get the annual amount saved, then applies compound interest growth over the remaining years until retirement using the annuity formula: FV = P × [(1 + r)^n - 1] / r, where P is annual savings, r is annual return rate, and n is years remaining.

Practical Applications

To use this calculator, enter your current salary, contribution percentage, employer match rate, expected annual return, and years until retirement. The calculator automatically adds your contribution and employer match together each year, then compounds the total at your expected rate of return. For example, with a $60,000 salary, 10% contribution, 5% employer match, 7% return, and 25 years until retirement, it calculates the annual savings and projects the compounded growth to show your future balance.

Day-to-Day Use

This calculator helps you make informed decisions about your retirement savings by showing how different contribution levels and employer matches impact your future wealth. You can quickly test scenarios like increasing your contribution by 1% to see the long-term benefit, or understand how much you need to save if your employer match changes. This empowers you to maximize your retirement potential and plan your financial future with confidence.

Worked example

$70k, 6% + 3% match, 7%, 25 yr → ~$398,000.

FAQ