Projected Monthly Income Need at Retirement:
Projected Annual Standard Deduction at Retirement:
Bucket 1 (Taxable, 6 months of future monthly need):
Bucket 2 (Tax-Deferred, up to std. deduction):
Bucket 3 (Tax-Free, remainder of income need):
Calculation Methodology:
We estimate future living expenses by inflating your current monthly
income need at the chosen annual inflation rate from your current age
to your desired retirement age. The future standard deduction is also
inflated (e.g., at 3%) starting from 2025’s baseline. Social Security
benefits, if selected, are inflated from today’s average or user-entered
benefit until your retirement. An assumed annual return rate (e.g., 7%)
is applied to calculate how much is required in tax-deferred and tax-free
accounts to sustain projected withdrawals over a 30-year period.
Changing Tax Laws & Regulations:
The tax code, standard deductions, and brackets may change over time.
Our calculator uses current or near-future estimates and inflates them
at fixed rates; actual policy changes can alter results substantially.
Not Investment Advice:
This calculator provides illustrative estimates and does not constitute
financial, investment, tax, or legal advice. Consult a qualified
professional for personalized guidance.
No Guarantee:
Results are hypothetical, relying on assumed rates of return and
inflation. Actual market performance and individual circumstances vary,
and no outcome is guaranteed.
Consult a Professional:
Always seek the advice of a certified financial planner, accountant,
or tax advisor to address your specific situation. The information here
is intended to supplement, not replace, professional advice.
Use at Your Own Risk:
We are not liable for any direct or indirect damages resulting from the
use of this calculator. By using this tool, you accept sole responsibility
for any financial decisions made.