🏢 401(k) Calculator
Calculate your 401(k) growth with employer matching. See how much you'll have at retirement and maximize your free money!
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Frequently Asked Questions
How much should I contribute to my 401(k)?
At minimum, contribute enough to get the full employer match (free money!). Ideally, aim for 15-20% of your gross income. For 2024, the IRS limit is $23,000 ($30,500 if 50+). Start with the match, then increase 1% per year until you hit 15-20%.
What is employer matching?
Employer match is when your company contributes to your 401(k) based on your contributions. Common example: 50% match up to 6% of salary. If you earn $100k and contribute 6% ($6,000), your employer adds $3,000 (50% of $6,000) - that's a guaranteed 50% return!
Should I do Traditional or Roth 401(k)?
Traditional 401(k): Pre-tax contributions (lower taxes now), taxed on withdrawal. Best if you expect lower tax bracket in retirement. Roth 401(k): After-tax contributions (no tax break now), tax-free withdrawals. Best if young or expect higher tax bracket later. Many choose both.
What is a good 401(k) return rate?
Historical S&P 500 average is 10% annually (7% after inflation). Conservative estimate: 6-7% for diversified portfolio. Your actual return depends on asset allocation, fees, and market conditions. Target date funds automatically adjust allocation as you age.
Can I withdraw from my 401(k) early?
Before age 59½: 10% penalty + income tax (ouch!). Exceptions: hardship withdrawals, Rule of 55, disability, SEPP. Better option: 401(k) loan (borrow from yourself, pay back with interest). Never withdraw early unless absolute emergency - you lose years of compound growth.
Financial Disclaimer
This calculator is provided for educational and informational purposes only. The results are estimates based on the information you provide and should not be considered as financial, legal, or tax advice.
Actual results may vary based on your specific circumstances, market conditions, and other factors. Always consult with qualified financial, legal, and tax professionals before making any financial decisions.
We make no guarantees about the accuracy, completeness, or reliability of the calculations. Use this tool at your own risk.