How to plan for retirement using an online calculator
Retirement calculators can give you an idea of when you’ll financially be able to retire.
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Americans now need $1.46 million to retire comfortably, according to the 2026 edition of a well-known financial planning survey from Northwestern Mutual.
The retirement “magic number” estimates how much money American adults think they’ll need to retire in comfort. It is intended as a “guidepost” for retirement planning, and not as a specific savings goal, said John Roberts, executive vice president and chief field officer at Northwestern Mutual.
It’s also a goal few Americans have reached.
Nearly half of non-retirees surveyed said they do not think they will be financially prepared for retirement when the time comes, according to the 2026 Planning & Progress Study.
And roughly half of all Americans surveyed said it is likely they could outlive their savings. Running out of money in retirement is a perennial fear among older Americans.
The new Northwestern Mutual findings, released April 1, draw from surveys of 4,375 adults in January.
“There seems to be a widening gap between what we all expect we’re going to need and what we actually have,” Roberts said.
In four prior years, the retirement magic number has ranged as low as $1.25 million (in 2022). It has not ranged higher than $1.46 million.
The Northwestern Mutual survey comes at a moment when Americans are coping with years of cumulative inflation. A retiree in 2026 can expect to pay more than ever, for example, for long-term care expenses such as assisted living and skilled nursing.
Is $1.46 million a realistic retirement savings goal?
Not many Americans retire with $1.46 million in savings. The typical household in the 65-74 age range has about $200,000 in retirement accounts, according to the 2022 federal Survey of Consumer Finances.
Few, if any, retirement planners would suggest that every retiree needs $1.46 million to make ends meet. Most Americans retire with nothing close to $1 million in savings. Many retire comfortably on Social Security income alone.
A more attainable retirement planning goal suggests that you aim to save 10 times your annual income by age 67. For the typical American household, that would work out to a little over $800,000 in savings, based on a median household income of $83,730 in 2024.
According to the Northwestern Mutual survey, few of us have met that goal.
Within Generation X, the cohort nearing retirement, only about 13% of survey respondents said they had saved 10 times their income or more. A majority of Gen Xers said they have saved four times their income or less toward retirement.
Not surprisingly, only 49% of Gen Xers said they think they will be financially prepared for retirement. Half of Gen Xers plan to continue working in retirement.
If any group of Americans is on track for retirement, it might be Generation Z, the cohort whose oldest members are nearing 30.
According to the Northwestern Mutual survey, nearly three-quarters of Gen Z already have saved more than one year of income toward retirement. The average Gen-Zer started saving for retirement at age 22. The typical Gen Xer, by contrast, started saving at age 32.
“The good news is, Gen Z [is] … putting away money earlier,” Roberts said.
