401K Calculator
401(k) Projection
Results
| Balance at Retirement | — |
|---|---|
| Total Contributions | — |
| Employee Contributions | — |
| Employer Match | — |
| Investment Returns | — |
Withdrawal
How to Use This 401K Calculator
The free money in a 401(k) match is the easiest raise you'll never negotiate—and the math gets messy once salary grows, match caps, and compounding stack up. I use this to show clients what "max the match" actually looks like at retirement, not just this year's paycheck.
- Enter basic info. Current age, salary, 401(k) balance, contribution % of salary, employer match rate, and match limit (% of salary).
- Set projection assumptions. Expected retirement age, life expectancy, salary increase %, annual return, and inflation.
- Press Calculate. Review balance at retirement, total contributions split between employee and employer match, and investment returns.
- Review withdrawal scenarios. See estimated monthly and annual withdrawal amounts under fixed purchasing power and fixed nominal assumptions.
Compare tax-deferred growth with the IRA Calculator or full retirement picture with the Retirement Calculator.
401K Formulas and Practical Applications
Each year: salary grows, you contribute a percentage, employer match applies up to the limit, and returns compound on the balance plus half the year's new money—standard midpoint contribution timing used by many planning tools.
Employer match
Match = min(Employee Contribution, Salary × Match Limit) × Match Rate
At $80,000 salary, 10% deferral ($8,000), 50% match on contributions, 3% salary cap → employer adds $1,200 (50% of $2,400 eligible match base), not the full $4,000 you'd get with a higher cap.
Year-end balance growth
Returns apply to beginning balance plus half of employee plus employer contributions for that year. Over 35 years at 6% with consistent deferrals, match dollars often represent a meaningful slice of the final balance—another reason to capture the full match before taxable investing.
Frequently Asked Questions
How does employer match work in this 401(k) calculator?
Enter the match rate as a percentage of your contribution and the match limit as a percentage of salary. The calculator applies employer match on eligible contributions up to the limit each year.
How are investment returns applied?
Returns compound on the beginning balance plus half of that year's employee and employer contributions, matching common retirement planner midpoint assumptions.
What withdrawal scenarios are shown?
After projecting balance at retirement, the calculator estimates fixed purchasing-power monthly withdrawals, fixed nominal monthly withdrawals, and fixed annual withdrawals over your life expectancy.
Does salary growth affect contributions?
Yes. Expected salary increase raises future dollar contributions when you enter contribution as a percentage of pay.
Are 401(k) contribution limits enforced?
No. IRS annual deferral and catch-up limits are not capped in this model. Use realistic contribution percentages for planning.