How the Your Retirement Number works
We estimate the nest egg ("your number") needed to fund the income you want using a safe withdrawal rate, then the monthly contribution needed to reach it from where you are today.
Step by step
- Your number = desired annual income (your monthly amount × 12) divided by the safe withdrawal rate.
- We grow your current savings to retirement at the assumed return.
- If there is a gap, we compute the level monthly contribution that closes it (a sinking-fund payment).
The math
number = (monthlyIncome × 12) ÷ withdrawalRate; gap = max(0, number − savings·(1+r)^years); monthly = gap · (r/12) ÷ [((1+r/12)^(years·12)) − 1].
Sources & assumptions
- Safe-withdrawal-rate concept (commonly ~4%) and standard future-value/sinking-fund formulas (public domain). Rates are shown, configurable assumptions.
Note: Nothing proprietary.
- This is an educational estimate using a safe-withdrawal and return assumption shown with your results; it is not advice.