Retirement Planning – Blog

Main Menu

  • Main
  • Retirement Calculators
  • Retirement Planning Tips
  • Retirement Plans
  • 401k Roth Ira
  • More
    • Estate Planning
    • Social Security
    • Retirement Healthcare
logo Directory of Professional Retirement Planners
 
National Retirement Planning Experts

National Coverage
Local Professionals

Retirement Planning – Blog

  • Main
  • Retirement Calculators
  • Retirement Planning Tips
  • Retirement Plans
  • 401k Roth Ira
  • More
    • Estate Planning
    • Social Security
    • Retirement Healthcare
Retirement Articles › Retirement Plans › Retirement Plan Calculator

Retirement Plan Calculator

March 1, 2018
Retirement Planning Insights
792
5 Min Read

A Retirement plan calculator is an equation that helps you figure out the amount of savings you will need to retire when you want to and continue living the lifestyles you choose. Specific aspects of your life and earnings are taken into consideration to help you put together a comprehensive savings and investing plan that will last throughout your retirement years. Your income, projected life expectancy, types of investments, rates of returns, preferred retirement income, current age and the age you plan to retire are all aspects that a calculator will use to estimate the how much money you will need for your future once your working years are finished. The figures that are produced with the use of a calculator will allow you and a reliable retirement financial advisor to adjust your plan or 457 retirement plan as necessary so you do not fall short on income when the time arrives to retire. Simply put, a retirement plan calculator is a useful tool when it comes to preparing for a financially secure retirement.

Calculating for Your Future

Though you may have an idea how much income you will definitely have to count on in your retirement years and how much more you will need to save, it is not a wise decision to just guess. When you use a retirement plan calculator equation, you will get a clearer idea of how much it will take to allow you to achieve financial security throughout your senior years. The calculator will also give you indications of what changes you might need to make in your career or investing strategies in order to make sure you will have enough money when you retire. As you plan for your future, the number that you come up with by using a retirement plan calculator will also help you recognize if you are falling short of your goals during your working years so you can make changes in time to save enough for the day you retire.

Putting together a plan for your retired years is a combination of looking at your current situation and projecting into the future in order to see what you will need and how you will make your goals become reality. By using a retirement plan calculator, seeing the entire picture for your will be easier. Then, you will be able to work towards your targeted income goals for your future using the calculator as your guide.

Thinking About Your Financial Goals

Before you and your trusted planning professional use a retirement plan calculator, it is smart to think about your future goals. Maybe you want to travel, or put a grandchild through college. Or perhaps you want to remodel your home, or even purchase a second home to use as a vacation destination. In addition, you will need to make sure you have enough money for daily living expenses such as food and utilities and other necessities including health care and medications. Having a clear idea what your goals and needs are for when you retire will help you know how much income will be adequate to meet your expenses.

Once you define your future plan, using a calculator will show you how to achieve your financial goals. Calculating your current age, life expectancy, the age at which you hope to retire and your income using a retirement plan calculator is a good way to start. Then, factoring in how much your income is projected to increase over time along with the amount of income you want each year or the percentage of your current income that will be adequate will help you come up with a targeted savings amount. By taking these factors into consideration, the calculator will help you create investment strategies to help your money grow to meet your future income needs.

As you use a retirement plan calculator to prepare for your retired years, do not forget other considerations. For example, you and your spouse may have life insurance policies will add to the future income of the surviving spouse. In addition, you also may have other assets, such as a home that will be paid in full. Do not forget to think about any debt that you may still have when it comes time for you to retire. Considerations such as these will help you come up with a precise amount of money to see you through your golden years.

When it comes to retiring, do not guess. When you prepare wisely with the use of a retirement plan calculator, you will be able to clearly understand why you need a specific amount of money for the future and how to work towards reaching financial security. Then, you will be able to put your mind at ease knowing you are on the right track to reaching your retirement dreams.

Previous Article

Retirement Planning Consultant

Next Article

Retirement Planning: Opportunities and Challenges Today

Avatar photo

Retirement Planning Insights

RetirementPlanning.net is a wholly-owned brand of the Respond.com Inc. ("Respond") family. Respond is registered with the U.S. Securities and Exchange Commission as an investment adviser, and operates through various subsidiaries and brands that provide financial education. RetirementPlanning.net matches and refers investors to qualified financial professionals that have elected to participate in our matching platform.

Related articles More from author

  • Tips to Increase Your Retirement Savings at Any Stage of Life
    Retirement Plans

    Tips to Increase Your Retirement Savings at Any Stage of Life

    November 25, 2024
    Jonathan Dash
  • Retirement Plans

    Importance of Tax Loss Harvesting in Your Retirement Plan

    January 8, 2021
    Retirement Planning Insights
  • Retirement Plans

    Does Retirement Planning Stop Once You Retire?

    August 28, 2020
    Retirement Planning Insights
  • Retirement Plans

    Ensure Your Retirement Plan is Ready in Case the United States Raises Retirement Age

    January 18, 2024
    Jonathan Dash
  • Should You Downsize Now if You are Thinking of Retiring Early?
    Retirement Plans

    Should You Downsize Now if You are Thinking of Retiring Early?

    May 20, 2024
    Retirement Planning Insights
  • Understanding After-Tax 401(k) Contributions and Their Benefits
    Retirement Plans

    Understanding After-Tax 401(k) Contributions and Their Benefits

    June 13, 2024
    Jonathan Dash

You might be interested

  • Retirement Planning Tips

    How to Improve Investing Acumen for a Better Retired Life

  • Retirement Plans

    Importance of Fixed Income Securities for Retirees

  • Estate Planning

    Estate Planning Tips in 2021 for a Great Retirement

Search for articles

FIND A
FINANCIAL PLANNER

Free Service | No Obligation to Hire

  Your Information is Safe and Secure

Retirement Guide Categories

  • Retirement Planning Tips
  • Retirement Plans
  • 401K/ROTH IRAs
  • Estate Planning
  • Retirement Healthcare
  • Social Security
  • Retirement Calculators

Popular Articles

  • 6 Ways to Protect Your Health Savings from Rising Medical Costs in Retirement
  • Backdoor Roth IRA vs Mega Backdoor Roth IRA
  • The Right Way to Save for Retirement and Avoid Costly Mistakes
  • 7 Critical Retirement Mistakes to Avoid
  • Planning for Retirement Income to Cover Unfunded Healthcare Costs

Important Retirement Articles

  • States with the Best Elder Care Protections
  • The 10 Most and Least Tax-Friendly States in the US
  • Retirement Plan Calculator
  • Worried About COVID-19? Here's an Estate Planning Checklist to Ensure Everything is in Order
  • Estate and Succession Planning Tips During COVID-19 Pandemic
  • Major Estate Planning Challenges That Are Exposed by Covid-19
wiseradvisor-banner-image

The blog articles on this website are provided for general educational and informational purposes only, and no content included is intended to be used as financial or legal advice. A professional financial advisor should be consulted prior to making any investment decisions. Each person's financial situation is unique, and your advisor would be able to provide you with the financial information and advice related to your financial situation.

  • Home
  • Retirement Planners
  • Retirement Guide
  • About Us
  • Contact Us
  • Privacy
  • Terms
  • FINRA
RetirementPlanning.net is a wholly-owned brand of the Respond.com Inc. ("Respond") family. Respond is registered with the U.S. Securities and Exchange Commission as an investment adviser, and operates through various subsidiaries and brands that provide financial education. RetirementPlanning.net matches and refers investors to qualified financial professionals that have elected to participate in our matching platform. RetirementPlanning.net, Respond, and Respond's other subsidiaries and brands do not manage investor assets or otherwise render investment or financial planning advice beyond the referral of investors to qualified financial professionals. By using this website, you agree to our terms and conditions.

© 2025 RetirementPlanning.net. All Rights Reserved.