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quick calculation

Reader Resources

A Quick Calculation for a Simplified Retirement Estimate

Use this for a fast starting point in today's dollars.

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Step 1 ยท Retirement Number 1

Annual Retirement Spending Estimate

Start with your current gross annual household income (before taxes and deductions) and multiply by 0.8. Many retirement planning rules of thumb use a broad replacement-rate range, often around 70 percent to 80 percent, as a quick starting estimate. Actual replacement needs vary by household and by how replacement rates are measured, so treat this as a starting point rather than a guarantee.

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Income ร— 0.8 โ€”

Step 2

Annual Income From Other Sources

Add your estimated annual Social Security and any pensions or other predictable income sources.

$

Step 3

Annual Income Needed From Savings

Spending estimate โˆ’ Other income โ€”

Step 4 ยท Retirement Number 2

Retirement Savings Goal

Income needed from savings ร— 25. This is a simplified planning shortcut tied to a 4 percent starting withdrawal framework; it is not a guarantee.

Your Retirement Savings Goal

$0

Step 5 ยท Quick "Today" Check

Today's Savings Gap

Subtract your current retirement savings from your retirement savings goal.

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Today's Savings Gap

$0

Coach's Note This savings gap is a snapshot based on today's assumptions using simplified inputs. To refine your numbers, adjust for inflation, calculate your projected savings at retirement, and determine the monthly contribution needed to close your gap, continue to the Six-Step Method.

For educational purposes only. This calculator is not a substitute for personalized financial, tax, legal, or investment advice. Consult qualified professionals before making decisions based on your specific circumstances.

Your 2026 Quick Reference

Numbers change every year. Your plan does not have to.

The Current Guidelines Snapshot brings together the 2026 figures readers reference most often, all in one place. Whether you are pinning down your contribution amount, checking a tax bracket before a Roth conversion, or planning around Medicare premiums, you will find it here. Bookmark this page so it is ready when you need it.

~Lynn