Your Retirement Number
Rule of Thumb: 25x annual expenses
Example:
- Annual expenses: $60,000
- Retirement need: $1,500,000
- 4% withdrawal rate
- Add for healthcare costs
- Subtract for Social Security
- Adjust for desired lifestyle
Retirement Account Types
| Account | 2026 Limit | Tax Treatment |
|---|---|---|
| 401(k) | $24,500 | Pre-tax or Roth |
| IRA | $7,500 | Pre-tax or Roth |
| HSA | $4,300 | Triple tax-free |
| 401(k) catch-up (50+) | +$8,000 | Ages 60-63 can use the higher $11,250 catch-up |
| IRA catch-up (50+) | +$1,100 | Added to Traditional or Roth IRA limit |
Savings Benchmarks by Age
| Age | Target Saved |
|---|---|
| 30 | 1x salary |
| 40 | 3x salary |
| 50 | 6x salary |
| 60 | 8x salary |
| 67 | 10x salary |