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403(b) Savings Calculator

Last updated 5th Aug 2022
This 403(b) savings calculator can help you to figure out how large your 403(b) plan might be at retirement. The calculator will predict the 403(b) fund balance at retirement age, along with the annual income you might expect from this type of account.

Calculator Definitions

The variables used in our online calculator are defined in detail below, including how to interpret the results.

Your Current Age (Years)

This is your current age in years.

Expected Retirement Age (Years)

This is your expected retirement age.

Life Expectancy (Years)

This is your life expectancy when you reach your estimated retirement age. For example, at age 65, the average life expectancy is 83 years of age. Alternatively, many financial planning software tools use a more conservative value of 90 years of age.

Current Amount in 403(b) Fund ($)

If you currently have a 403(b) fund, then enter the amount in that account here. If you have not yet started funding your 403(b) plan, then you can simply enter zero.

Annual Contribution to 403(b) (% of Salary)

This is how much you'd like to contribute, or are presently contributing, to your 403(b) plan stated in terms of a percentage of your salary. By increasing or decreasing your annual contribution percentage, you can see the impact on your 403(b) fund balance at retirement.

Employer Match (% of Contribution)

Most employers will match employee contributions, both to provide a benefit to employees, and to encourage participation in the company's program. If your employer matches your contribution, then enter that percentage here. If not, then enter zero.

Employer Maximum (% of Salary)

Some employers will only match up to a certain percentage of their employee's salary. If your employer has a maximum that applies to their match, then enter that amount here.

Expected Annual Return on 403(b) Fund (%)

This is your projected annual rate of return, which you expect to realize on your 403(b) fund between now and your retirement age. Once again, by increasing or decreasing the expected annual return, you can see the impact on your fund's balance.

403(b) Fund Growth Over Time ($)

This is the computed 403(b) fund growth over time, showing the fund's growth each year. This series of values takes into account your inputted growth rate, employee and employer matching, and limits your contributions to the current maximums allowed by law in 2018. For example, an employee can currently contribute up to $18,500 (2018) on a before-tax basis. At age 50, this limit increases to $24,500. This calculator uses these contribution rules when calculating the fund's growth over time.

403(b) Fund Balance at Retirement ($)

This is the money you will have saved in your 403(b) plan (at retirement age) if you continue making annual contributions to the account, the expected annual return is achieved, and your employer continues matching funds at the rate you've specified.

Salary at Retirement Age ($ / Year)

This is your projected salary when you reach the retirement age you've indicated earlier.

Annual Income from 403(b) ($ / Year)

This is the annual retirement income you might expect to receive from your 403(b) account. Keep in mind that withdrawals from 403(b) funds are taxable, and depending on how many years you are from retirement, inflation will decrease the buying power of these future dollars.

403(b) Savings Calculator

Disclaimer: These online calculators are made available and meant to be used as a screening tool for the investor. The accuracy of these calculations is not guaranteed nor is its applicability to your individual circumstances. You should always obtain personal advice from qualified professionals.
Moneyzine Editor

Moneyzine Editor