401(k) Retirement Calculator
Project your 401(k) balance at retirement including employer matching.
Inputs
Balance at Retirement
$983,777
Employer Match / Year
$2,800
Total Contributed
$277,000
Investment Growth
$706,777
Step by step
Your annual contribution to the 401(k)
$70,000 × 8.0%
= $5,600
Employer match (capped at the lower of your rate and employer's limit)
$70,000 × 4.0%
= $2,800
Employer match is capped at 4.0% of salary.
Total annual contribution (employee + employer)
$5,600 + $2,800
= $8,400
Growth factor over retirement horizon: (1 + r)ᵗ
(1 + 0.07)^30
= 7.6123
Future value of current balance
$25,000 × 7.6123
= $190,306
Future value of ongoing contributions: PMT × ((1 + r)ᵗ − 1) / r
$8,400 × ((7.6123 − 1) ÷ 0.07)
= $793,471
Projected balance at retirement
$190,306 + $793,471
= $983,777
How it works
Your projected balance combines the future value of your current savings with the future value of ongoing yearly contributions (yours plus any employer match), all growing at your assumed annual return.
Formulas
Future value of current balance
FV_B = B × (1 + r)ᵗ
- FV_B
- Future value of existing balance
- B
- Current 401(k) balance
- r
- Annual return rate (decimal)
- t
- Years to retirement
Future value of annual contributions
FV_C = PMT × ((1 + r)ᵗ − 1) / r
- FV_C
- Future value of all contributions
- PMT
- Total annual contribution (employee + employer match)
Employer match
Match = Salary × min(Your Rate, Match Cap)
- M
- Annual employer match
- S
- Annual salary
- c
- Your contribution rate (decimal)
- m
- Employer match cap (decimal)
Projections are estimates only and not financial or retirement advice. Consult a licensed financial advisor.
Frequently Asked Questions
How does employer matching work?
Employers often match your contributions up to a percentage of salary. The match here is capped at the lower of your contribution rate and the employer's stated limit.
Is investment return guaranteed?
No. Markets fluctuate year to year. This projection assumes a steady average return for illustration only.