401(k)/IRA Retirement Calculator USA
Plan Your Retirement Savings with Confidence
Calculate your 401(k) balance, employer match, early withdrawal costs, and required minimum distributions
Retirement Balance
Early Withdrawal
Employer Match
RMD Calculator
Your 401(k) Projection at Retirement
Total 401(k) Balance
$987,432
Your Contributions
$324,560
Employer Contributions
$162,280
Investment Growth
$500,592
Annual Income at 4% Rule
$39,497
Progress Toward $1M Goal
98.7%
What is a 401(k)?
A 401(k) is a retirement savings plan sponsored by an employer. It lets workers save and invest a piece of their paycheck before taxes are taken out. Taxes aren’t paid until the money is withdrawn from the account.
Pros of 401(k)
- Tax-deferred growth
- Employer matching contributions
- High contribution limits
- Automatic payroll deductions
- Creditor protection
Cons of 401(k)
- Limited investment options
- Higher fees than IRAs
- Early withdrawal penalties
- Required minimum distributions
- Potential vesting schedules
401(k) Contribution Limits (2025)
The IRS sets annual limits on how much you can contribute to your 401(k) plan:
- Under age 50: $23,500
- Age 50 and older: $31,000 (includes $7,500 catch-up contribution)
- Age 60-63: $34,750 (includes additional $3,750 catch-up)
Employer Matching
Many employers offer matching contributions to your 401(k). Common matching formulas include:
- 50% of your contribution up to 6% of your salary
- 100% of your contribution up to 3% of your salary, plus 50% of the next 2%
- Dollar-for-dollar match up to a certain percentage
Always contribute enough to get the full employer match – it’s essentially free money!
Frequently Asked Questions
What is the difference between a traditional 401(k) and a Roth 401(k)?
Traditional 401(k) contributions are made with pre-tax dollars, reducing your taxable income now, but withdrawals in retirement are taxed. Roth 401(k) contributions are made with after-tax dollars, so withdrawals in retirement are tax-free. Both have the same contribution limits and employer matching rules.
What happens to my 401(k) if I change jobs?
When you change jobs, you have several options for your 401(k): 1) Leave it with your previous employer’s plan, 2) Roll it over to your new employer’s plan, 3) Roll it over to an IRA, or 4) Cash it out (not recommended due to taxes and penalties).
When can I withdraw from my 401(k) without penalty?
You can generally withdraw from your 401(k) without the 10% early withdrawal penalty after age 59½. There are some exceptions for hardships, disabilities, or specific financial situations, but these withdrawals are still subject to income taxes.
What are Required Minimum Distributions (RMDs)?
RMDs are the minimum amounts you must withdraw from your retirement accounts each year starting at age 73 (72 if you reached age 72 before Dec. 31, 2022). The RMD amount is calculated based on your account balance and life expectancy.
Additional Retirement Resources
Explore our collection of retirement planning tools, articles, and guides to help you prepare for a secure retirement.