401(k) Calculator

With an average annual return of 7%, $10,000 invested in a 401(k) today would grow to approximately $38,700 in 20 years thanks to the power of compound interest. The exact amount depends on your investment mix and market performance over the period. Use our calculator above to model your own starting balance and expected rate of return.

Retiring at 62 with $400,000 in a 401(k) is possible, but it requires careful planning since you may need to fund 25 or more years of retirement. Using the common 4% withdrawal rule, $400,000 would generate roughly $16,000 per year, which most financial planners consider insufficient on its own. Supplementing with Social Security benefits, a pension, or other savings is typically recommended to ensure a comfortable retirement.

At a 7% average annual return, $100,000 in a 401(k) will grow to approximately $275,900 in 15 years without any additional contributions. If you continue making regular contributions throughout that period, the balance could be significantly higher due to compounding. Our 401k calculator lets you input an existing balance alongside ongoing contributions to see your projected total.

A $300,000 401(k) balance earning an average 7% annual return would grow to roughly $1,160,900 over 20 years, assuming no additional contributions are made. Adding consistent monthly contributions on top of that could push your ending balance well past $1.5 million or more. The key variables are your rate of return, contribution amount, and any employer matching funds your plan provides.

Most financial advisors recommend contributing at least enough to capture your employer's full matching contribution, as that is effectively free money added to your retirement savings. Beyond that, a common guideline is to save 10–15% of your gross income for retirement across all accounts. The IRS contribution limit for 401(k) plans in 2025 is $23,500, with an additional $7,500 catch-up contribution allowed if you are 50 or older.

Average 401(k) balances vary significantly by age group: workers in their 20s average around $11,000, those in their 30s approximately $45,000, and workers in their 40s around $143,000. By the time workers reach their 60s approaching retirement, the average balance climbs to roughly $232,000, though target balances recommended by financial planners are often much higher. Our calculator can help you determine whether your current savings pace will meet your personal retirement income goals.

Employer matching contributions do not count toward the employee elective deferral limit, which is $23,500 in 2025. However, employer contributions do count toward the combined total annual additions limit, which is $70,000 for 2025 (or $77,500 for those 50 and older with catch-up contributions). This means you can contribute the maximum employee amount and still receive full employer matching on top of it.