Project your 401(k) balance at retirement using 2026 contribution limits. Includes employer match, Roth option, and SECURE 2.0 catch-up rules. Calculator4U
Project your 401k growth with employer matching.
This 401(k) calculator projects your account balance at retirement based on your current savings, annual contributions, employer match, and investment return — updated for 2026 IRS contribution limits and SECURE 2.0 catch-up rules.
2026 401(k) contribution limits (IRS, confirmed):
The #1 rule — always capture the full employer match first: Before any other savings decision, contribute enough to receive your employer's full 401(k) match. If your employer matches 100% of your contributions up to 6% of salary and you earn $80,000, failing to contribute 6% leaves $4,800 per year of free money on the table — money that also compounds tax-deferred for decades. At 7% average annual return over 20 years, that foregone $4,800/year match is worth approximately $245,000 at retirement.
Traditional vs. Roth 401(k) — which to choose in 2026:
How much do you need to retire? The 4% rule: A widely used benchmark is to save 25× your expected annual retirement spending. If you plan to spend $60,000/year in retirement: target = $1,500,000. Fidelity's milestone benchmarks by age: 1× salary by 30, 3× by 40, 6× by 50, 8× by 60, 10× by age 67. Use the calculator's year-by-year table to see whether you are on track and how much you need to increase contributions to close any gap.
This calculator is for educational and illustrative purposes only. It does not constitute investment, tax, or legal advice. Actual returns will vary. Consult a qualified financial advisor for personalised retirement planning.
2026 IRS 401(k) limits: Under 50: $24,500 (up from $23,500 in 2025). Ages 50–59 and 64+: $32,500 ($24,500 + $8,000 catch-up). Ages 60–63 (SECURE 2.0 super catch-up): $35,750 ($24,500 + $11,250). Combined employee + employer limit (Section 415c): $72,000. New in 2026: employees who earned $150,000+ in 2025 FICA wages must designate all catch-up contributions as Roth — pre-tax catch-ups are no longer permitted for these high earners. The $24,500 base deferral is shared between pre-tax and Roth — you cannot contribute the maximum to each type separately.
Traditional: pre-tax contributions reduce taxable income now; withdrawals taxed in retirement. Best for those in the 32%+ bracket who expect lower income in retirement. Roth: after-tax contributions; all qualified withdrawals including earnings are 100% tax-free. No income limits (unlike Roth IRAs). No RMDs for Roth 401(k) accounts (SECURE 2.0, effective 2024). Best for younger workers in lower brackets with decades of tax-free growth ahead. 2026 key change: earners over $150,000 in 2025 FICA wages must make all catch-up contributions as Roth. You can split — e.g., $12,000 traditional + $12,500 Roth — to tax-diversify retirement income.
Employer matching is free money added to your 401(k) on top of your own contributions, up to a plan-defined percentage of your salary. Common structures: 100% match on first 3% of salary; 50% match on first 6%. Employer contributions do NOT count toward your $24,500 employee limit — they count toward the $72,000 combined limit. Always contribute at least enough to get the full employer match — it is an immediate 50–100% guaranteed return before any investment gains. A $4,800/year employer match compounding at 7% for 20 years is worth approximately $245,000 at retirement. Check your plan's vesting schedule — many plans require 1–3 years before employer contributions are fully yours.
Savings priority hierarchy: (1) Contribute enough to capture the full employer match — highest guaranteed return available. (2) Max out an HSA if eligible (triple tax-advantaged). (3) Max out an IRA ($7,500 in 2026 under 50; $8,600 if 50+). (4) Return to the 401(k) and contribute up to the $24,500 limit. (5) After-tax contributions toward the $72,000 combined limit (mega backdoor Roth, if your plan allows). General targets: contribute 10–15% of gross income (including employer match). Fidelity's retirement readiness benchmarks: 1× salary saved by age 30, 3× by 40, 6× by 50, 8× by 60, 10× by age 67.
The SECURE 2.0 Act created an enhanced catch-up for participants aged exactly 60, 61, 62, or 63: instead of $8,000, they can contribute $11,250 extra above the $24,500 base — bringing the personal limit to $35,750 in 2026. The window closes when you turn 64 (you drop back to the standard $8,000). Roth rule: if you earned $150,000+ in 2025 FICA wages, your 2026 catch-up ($8,000 or $11,250) must be Roth — pre-tax catch-ups are prohibited. If your plan does not support Roth contributions, high earners cannot make catch-ups at all until the plan is updated.
Traditional 401(k) RMDs: must begin by April 1 of the year after you turn 73 (for those reaching 73 before January 1, 2033). Those born after December 31, 1959 have an RMD starting age of 75. Delaying the first RMD to April 1 means taking two RMDs that calendar year. Roth 401(k): no RMDs for account owners, effective January 1, 2024 (SECURE 2.0). You can let a Roth 401(k) compound tax-free for life. Penalty for missing an RMD: 25% excise tax on the undistributed amount, reduced to 10% if corrected within two years. A common strategy is converting traditional 401(k) funds to a Roth IRA before age 73 to eliminate future RMD obligations.
The 4% rule (Bengen 1994) states that withdrawing 4% of your portfolio in year one, then adjusting for inflation, historically allows a portfolio to last 30+ years. Retirement savings target: Annual spending ÷ 0.04 = target portfolio. Example: $60,000/year spending → $1,500,000 target. Morningstar's 2026 Safe Withdrawal Rate study suggests 3.7% may be more appropriate in a lower-return environment → target closer to 27× annual spending. Fidelity's milestone benchmark: save 10× pre-retirement salary by age 67. Use the calculator's retirement income projection to model your specific scenario with Social Security benefits factored in.
Pre-tax 401(k) contributions reduce federal taxable income dollar-for-dollar. Tax savings on a $1,000 contribution: 22% bracket: $220. 24% bracket: $240. 32% bracket: $320. 37% bracket: $370. At the 2026 full $24,500 limit: 22% bracket: $5,390 in federal savings. 32% bracket: $7,840. 37% bracket: $9,065. State income tax adds to this in most states. The tax is deferred — not eliminated — so you pay income tax on withdrawals in retirement. The pre-tax advantage is greatest when your bracket is higher now than it will be in retirement. For the reverse case, choose Roth.