How the 401(k) projection works
Each year the calculator takes your salary for that year, works out your contribution and your employer's match, adds both to the account and grows the balance at your expected return. Your salary then rises by the raise you entered and the next year repeats, until the year before your retirement age.
Your contribution = min(salary × your %, IRS limit for your age)
Employer match = match % × min(your %, match cap %) × salary
Balance next year = balance × (1 + return) + your contribution + match
Contributions are added at the end of each year, which is slightly conservative: in real life money goes in every paycheck and starts growing sooner.
2026 401(k) contribution limits
| Age during 2026 | Employee limit |
|---|---|
| Under 50 | $24,500 |
| 50 to 59, or 64 and older | $24,500 + $8,000 catch-up = $32,500 |
| 60, 61, 62 or 63 | $24,500 + $11,250 catch-up = $35,750 |
The limit applies to your own deferrals, traditional and Roth combined, across all 401(k), 403(b), governmental 457 and Thrift Savings Plan accounts. Employer matching and profit-sharing contributions do not count toward it; they fall under a separate overall limit of $72,000 for 2026 (plus catch-up). The calculator keeps the 2026 limits for every future year; the IRS usually raises them with inflation, so high savers may be able to put in more than shown.
Understanding the employer match
A match is extra pay that only arrives if you contribute. The most common formulas are written like "50% of the first 6%" or "100% of the first 4%":
- 50% up to 6%: contribute 6% of a $60,000 salary ($3,600) and the employer adds $1,800. Contribute 4% and you get only $1,200.
- 100% up to 4%: contribute 4% ($2,400) and the employer adds another $2,400.
- Contributing above the cap is still useful for your own savings, but it does not raise the match.
Many plans make matching contributions vest over several years, so leaving the job early can mean giving up part of the match. Check your plan's summary plan description.
Worked example
A 30-year-old earns $60,000, already has $10,000 in the plan, contributes 6%, gets a 50% match up to 6%, expects 2% raises and a 6% yearly return, and plans to retire at 65.
- First year: $3,600 from her, $1,800 from the employer.
- Over 35 years she contributes $179,980 and the employer adds $89,990.
- Investment growth adds $564,527.
- Balance at 65: about $844,497.
If she raises her contribution to 10% (the match stays at 3% of salary), her first-year contribution becomes $6,000 and the balance at 65 grows to about $1,185,669: roughly $341,000 more for $2,400 more in the first year.
A 50-year-old earning $150,000 with $200,000 saved who wants to contribute 20% hits the limit: 20% would be $30,000, so it is capped at $32,500 in later years (and $35,750 from 60 to 63) once salary grows. With a 50% match up to 6%, 2% raises and 6% returns, the balance at 65 is about $1,355,449.
Traditional vs Roth 401(k)
Many plans offer both. Traditional contributions lower your taxable income now and are taxed when withdrawn. Roth 401(k) contributions are made after tax, and qualified withdrawals are tax-free. The projected balance is the same either way; what differs is who gets taxed and when. A Roth option tends to help people who expect a higher tax rate in retirement, and traditional helps those who expect a lower one. To see what a traditional contribution does to your take-home pay, try the paycheck calculator.
Choosing the inputs
- Return: a stock-heavy portfolio has historically returned more than a bond-heavy one, with more ups and downs. Using a return after inflation (for example 4–5%) gives a result in today's dollars.
- Raises: 2–3% a year is a common assumption; promotions can add more.
- Fees: subtract your funds' expense ratios from the return. A 1% fee over 35 years takes a large bite.
Common mistakes
- Not contributing enough to get the full match. It is the highest guaranteed return available to most workers.
- Cashing out when changing jobs. Withdrawals before 59½ are usually taxed plus a 10% additional tax. Roll the balance into the new plan or an IRA instead.
- Forgetting the catch-up. From the year you turn 50 you can add $8,000 more, and $11,250 from 60 to 63.
- Treating the projection as a promise. Markets do not deliver a steady return; rerun the numbers every year.
Results are estimates for planning, not investment advice.
Frequently asked questions
What is the 401(k) limit for 2026?
$24,500 for employee contributions. People 50 and older can add an $8,000 catch-up ($32,500 total), and people who are 60, 61, 62 or 63 in 2026 can add $11,250 instead ($35,750 total).
Does the employer match count toward the $24,500 limit?
No. The $24,500 limit covers only your own contributions. Employer contributions count toward the separate overall limit of $72,000 for 2026.
How much will my 401(k) be worth at 65?
It depends on your salary, contribution rate, match, return and years of saving. For example, a 30-year-old earning $60,000 who contributes 6% with a 50% match up to 6% could have about $844,000 at 65 with 6% returns and 2% raises.
Should I contribute more than the match?
Getting the full match comes first. Beyond that, extra 401(k) contributions, an IRA or paying off high-interest debt can all make sense; many guides suggest saving 10–15% of pay for retirement in total.
Is a 6% return realistic?
It is a common planning assumption for a diversified portfolio over long periods, but returns vary widely from year to year. Try several returns to see a range of outcomes.
Sources
- Internal Revenue Service. IR-2025-111: 401(k) limit increases to $24,500 for 2026, IRA limit increases to $7,500.
- Internal Revenue Service. Retirement topics: 401(k) and profit-sharing plan contribution limits.
- Internal Revenue Service. Retirement topics: Catch-up contributions.
- Internal Revenue Service. Notice 2025-67: 2026 amounts relating to retirement plans and IRAs.
Last reviewed 2 November 2026. Results are estimates; see our disclaimer.