This page allows you to predict the percent of your current and future salary you will need to SAVE in order to achieve your desired retirement income.  This is based on some information about you, and assumptions you must make, as follows:  

  • Your current age

  • Your current annual compensation (or earned income for a sole proprietor)

  • The current balance of your IRA's, 401k's, and any other retirement savings accounts

  • Your desired retirement age

  • Your desired annual retirement income

  • Assumed annual rate of salary increase

  • Assumed annual rate of investment income

The program will return the average annual PERCENTAGE OF YOUR PAY that you will need to save each year in order to achieve your desired annual retirement income.

Actuarial Hints:

(1)    Make sure the Current Age you enter is LESS than the Retirement Age you enter.

(2)    If the resulting percent of pay is more than you think you can afford, you should redo the calculation with a higher rate of pay increase, higher investment return, or an older retirement age.

(3)    If your employer matches a portion of your 401k deferrals, remember that you can deduct that percent from the result, leaving only the amount you need to save.

If you have any questions after performing your retirement savings estimate, call us here at ALI Actuarial & Retirement Plan Services,  919-357-2267, or by email to bmarotta@aliactuary.com.


Current Age:            (Must be between 25 and 80)

Desired Retirement Age:        (Must be between 40 and 90)

Current Annual Pay:        (Equals Earned Income for Sole Proprietor)

Current Balance of IRA's and 401k's:      

Desired Annual Retirement Income:      (maximum is $999,999)   

Expected Annual Salary Increase Rate:    %  (maximum is 25%)   

Expected Annual Rate of Return:    %  (maximum is 25%)