Project your retirement account balance from your contribution rate, employer match, and expected investment return.
This tool provides an educational estimate only and is not financial, tax, or investment advice. Contribution limits, tax treatment, and account rules for 401k and IRA accounts change over time — confirm current details with your plan administrator or a financial advisor.
Your contribution and employer match are combined into a monthly amount, then projected forward using compound growth: existing balance grows on its own, and new monthly contributions compound over the remaining years.
Both are tax-advantaged retirement accounts, but they differ in tax treatment. A traditional 401k uses pre-tax contributions (taxed at withdrawal), while a Roth IRA uses after-tax contributions (tax-free growth and withdrawal). Employer matching is specific to workplace plans like a 401k.
where r is the monthly rate (annual rate ÷ 12) and n is the number of months until retirement.
| Salary | Contribution % | Employer match | Annual total saved |
|---|---|---|---|
| $50,000 | 6% | 3% | $4,500 |
| $75,000 | 10% | 4% | $10,500 |
| $100,000 | 8% | 5% | $13,000 |
What is a 401k employer match? An employer match is money your employer contributes to your 401k based on how much you contribute yourself, up to a set percentage of your salary — often described as "free money" since it's compensation you'd otherwise miss.
What is the difference between a 401k and a Roth IRA? A 401k is employer-sponsored and typically funded with pre-tax dollars (taxed on withdrawal), while a Roth IRA is funded with after-tax dollars and grows tax-free, with no tax owed on qualified withdrawals in retirement.
How much should I contribute to my 401k? A common rule of thumb is to contribute at least enough to get the full employer match, since leaving match money unclaimed means giving up part of your compensation.
How does compound growth affect retirement savings? Investment returns earned each year are reinvested and themselves earn returns in future years, so the growth accelerates over time — starting earlier has an outsized effect on the final balance.
Is 7% a realistic annual return assumption? 7% is a commonly used long-term average for a diversified stock portfolio after inflation, but actual annual returns vary significantly and are never guaranteed.
Example 1 — Early career: $15,000 balance, $65,000 salary, 6% contribution, 3% match, 30 years, 7% return → projects to a substantial balance built mostly from decades of compound growth.
Example 2 — Mid-career catch-up: $80,000 balance, $90,000 salary, 12% contribution, 4% match, 15 years, 6% return → a higher contribution rate partly compensates for fewer years of growth.
Example 3 — No employer match: $5,000 balance, $55,000 salary, 10% contribution, 0% match, 25 years, 7% return → growth relies entirely on personal contributions and market returns.