Preparing for retirement is not just about saving money, it’s also about knowing how much you will need in retirement and creating a plan that will help you get there. In fact, the Employee Benefit Research Institute found that workers who do the math and know their retirement goal are far more confident about achieving a secure retirement than those who do not take this important step. The good news is that there are plenty of great, free resources available to help you figure out your goal.
There are many retirement planning calculators online to choose from, but here are a few of WISER’s favorites:
Please Note: WISER is not being paid to promote any of the following resources, nor does it endorse any specific financial company, product or services. These tools were selected based on ease of use and information offered. They are free for anyone to use.
Retirement Income and Investment Calculators
WISER’s Your Future Paycheck® Calculator allows you to calculate an annuity based on investing a set amount or a desired monthly sum.
Online Cashout Calculator from Retirement Clearinghouse helps you figure the costs of cashing out retirement savings.
The RISE Score™ is a calculator that gives a retirement credit score.
The Department of Labor’s, Taking the Mystery out of Retirement, is detailed but easy-to-understand. It is geared toward people 10-15 years away from retirement, and comes with several worksheets you can fill out. The guide also offers information on saving and investing.
Longevity and Health Expense Calculators
To know what you will need in retirement, it is helpful to take an educated guess as to how long you might live.
Longevity Illustrator: This tool from the American Academy of Actuaries and Society of Actuaries asks about your health and demographic characteristics, and then produces tables and charts showing the likelihood that you (and your spouse/partner, if applicable) may live to certain ages.
Bluezones Vitality Compass can give an estimate of how long you will live, and also includes your virtual age (your body’s age based on your health).
Health care costs are a significant cost facing older Americans. The Fidelity health care calculator is not overly detailed, but it provides an estimate that can be useful in budgeting for future healthcare costs.
Other Planning Calculators
WISER also encourages everyone to sign up for your my Social Security online account through the Social Security Administration. With this account you can get estimates of future benefits and check your earnings record for any errors. It is also a good security measure to make sure no one else attempts to sign up for an account for you.