401k Calculator

401(k) balance and retirement income projection

The projection mode grows your current balance with employee contributions and employer matching contributions through the retirement age you enter. Salary and contributions are updated once per year, while account growth and deposits are modeled monthly. The result separates your starting balance, employee deposits, employer match, and estimated investment growth.

monthly employee contribution = annual salary x contribution rate / 12

monthly employer match = annual salary x min(contribution rate, match limit) x match rate / 12

2026 401(k) contribution limits

The IRS 401(k) contribution limits set the 2026 employee elective-deferral limit at $24,500. A plan may allow an additional $8,000 catch-up contribution for participants age 50 or older, while people who attain ages 60 through 63 in 2026 may have an $11,250 catch-up limit. The general combined employee-and-employer annual-additions limit is $72,000, excluding permitted catch-up contributions.

Future limits are unknown and may change with cost-of-living adjustments. The projection therefore does not force today's dollar limit across every future year. Instead, it shows whether the first-year contribution exceeds the current 2026 limit. Your plan may impose a lower limit, and contributions across multiple plans may need to be aggregated.

How employer matching works

An employer match is usually based on how much of your salary you contribute, up to one or more plan thresholds. For example, a plan might match 100% of the first 3% of pay and 50% of the next 2%. The employer-match mode handles that two-tier structure and estimates the contribution rate needed to capture the full stated match.

Two-tier employer match example

With $75,000 in annual pay, that 100% / 50% formula provides $2,250 on the first band and $750 on the second: $3,000 in total employer match when you contribute $3,750, or 5% of pay. If the second-tier match rate is zero, the full match is instead $2,250 and requires only 3% of pay. A zero-paying band does not increase the required contribution.

The employer-match mode uses the 2026 $360,000 compensation ceiling and limits regular employee plus employer additions to the lesser of compensation or $72,000, excluding permitted catch-up amounts. It flags a full formula match that cannot be reached within the modeled limits. Employee deferrals use full entered salary unless limited by pay or the age-based dollar ceiling; employer matching uses capped compensation. The IRS explains how deferrals and matching can treat high compensation differently. This annualized mode excludes other employer contributions, forfeitures, lower plan limits, and nondiscrimination restrictions.

Some plans calculate matching every pay period and do not provide a year-end true-up. Contributing too much early in the year can then reduce later matches after you reach the employee deferral limit. The calculator shows a full-year contribution ceiling, but only your plan administrator can confirm whether a true-up applies.

Early 401(k) withdrawal estimate

Early distributions are generally included in taxable income and may also face a 10% additional tax. The withdrawal mode applies the federal, state, and local rates you enter, then adds the modeled 10% amount unless age or the selected exception inputs indicate otherwise. It is an estimate of net proceeds, not a tax return calculation.

Early withdrawal calculation example

A $50,000 taxable distribution at entered federal, state and local rates of 22%, 5% and 0% has $13,500 modeled income tax. At age 45 with no exception, the additional 10% amount is $5,000, leaving $31,500. At age 59.5, the modeled additional tax is zero and the same entered income-tax assumptions leave $36,500. This is estimated tax cost, not the amount a plan must withhold.

A zero withdrawal is a valid zero scenario. Missing age, amount or tax rates require correction. Each entered tax rate must be 0%-100%; it is never silently capped. If combined entered taxes exceed the gross distribution, the result shows additional funds required rather than hiding the shortfall behind zero cash received. Exceptions selected here assume they cover the entire entered amount; a partially exempt distribution must be separated before using this simplified model.

The IRS lists exceptions that are more detailed than this form can capture. The separation-from-service exception generally concerns distributions after leaving the employer in or after the year you reach age 55 and usually applies to that employer's plan, not automatically to an IRA. Review the IRS guidance on early distributions before relying on an exception.

The year-of-55 selection is a verified calendar-year assumption, not a birthday test. Someone aged 54.5 may already be in the calendar year they turn 55; select Yes only after confirming the actual separation year and applicable employer plan. A selected year-of-55 exception with age below 54 is inconsistent in this model. Public-safety exceptions and other special plan rules are not inferred from age alone.

Projection input and timing assumptions

Projection ages are whole completed ages, with retirement later than current age and life expectancy later than retirement. Monthly deposits occur after monthly growth; annual salary changes apply after each twelve-month saving year. Zero salary, zero balance and zero contributions are valid scenarios. Negative annual returns remain losses in the chart and annual rows.

This projection is an uncapped salary-based scenario, not a contribution-compliance forecast. The first saving year's age-based 2026 limit is shown separately. Future IRS limits, annual compensation limits, combined contribution caps, plan rules and catch-up eligibility are not automatically enforced across the projection. Use Employer match mode for the separate capped 2026 comparison. Projection salary is $0-$1 billion, balance $0-$1 trillion, contribution and match-threshold percentages 0%-100%, employer match 0%-1000%, and growth/return/inflation assumptions -99%-100%. These are numerical boundaries, not available investment returns or plan terms.

Assumptions and limitations

The projection assumes a constant return, steady contributions, annual salary growth, no fees, and fully vested employer contributions. Actual returns vary, plan expenses reduce growth, matching and vesting formulas differ, and a loan or rollover can change the account path. The retirement-income estimate is a deterministic inflation-adjusted withdrawal through life expectancy; it is not a guarantee and does not model market sequence risk, taxes in retirement, or required minimum distributions.

Continue your retirement estimate

Comparing account scenarios? The IRA calculator compares traditional IRA, Roth IRA and taxable-account outcomes under its stated tax assumptions. For a separate required-withdrawal estimate, use the RMD calculator; the 401(k) balance projection above does not calculate a required minimum distribution.

Frequently asked questions

Does the calculator distinguish traditional and Roth 401(k) contributions?

No. Both can share the same investment-growth projection, but their current and future tax treatment differs. The balance result is pre-tax or after-tax only to the extent your actual account is.

Is employer match part of my employee limit?

Employer match does not count toward the employee elective-deferral limit, but it generally counts toward the separate overall annual-additions limit.

What return should I use?

Use several scenarios rather than one optimistic number. Returns are not guaranteed, and fees, asset allocation, and the timing of gains and losses can materially change the outcome.

Can I use this for a 403(b) or TSP?

The growth math may be useful, but plan rules, matching formulas, contribution limits, and withdrawal exceptions can differ. Verify the rules for the specific plan.