NestEgg

Methodology & data sources

Transparency is the core of our E-E-A-T. This page documents the IRS figures we cite, how often they refresh, and the exact formula behind every calculator. All results are estimates for general information, not financial advice.

Data sources

SourceRefresh cadenceLicense
IRS Notice 2025-67 (2026 retirement plan limits) annual Public domain (U.S. Government work)

Announced November 2025; effective for the 2026 tax year. Data as of the 2026 tax year.

The formulas

CalculatorCore formula
FIRE numberFIRE number = annual spending ÷ withdrawal rate (e.g. spending × 25 at 4%). Years-to-FI iterates current savings × (1 + return) + contribution until it reaches the target.
Coast FIRECoast target today = FIRE number ÷ (1 + return)^years to retirement. You are coasting when current savings exceed that.
Compound interestFV = P(1 + r)^n + PMT × [((1 + r)^n − 1) ÷ r], compounded monthly.
401(k) matchEmployer match = salary × min(your %, match cap) × match rate. We compare it to the maximum match to show any amount left on the table.
Roth vs TraditionalRoth = contribution × (1 − tax now) × (1 + r)^n. Traditional = contribution × (1 + r)^n × (1 − tax later). Equal tax rates break even.
4% rule / drawdownYear-one income = portfolio × withdrawal rate; each year the balance is (balance − spending) × (1 + return) and spending grows with inflation.

2026 IRS limits we use

Limit2026 amount
401(k) elective deferral$24,500
401(k) catch-up (50+)$8,000
401(k) catch-up (60–63)$11,250
Combined employee + employer$72,000
IRA contribution$7,500
IRA catch-up (50+)$1,100

Assumptions & limitations

Calculators run in your browser; we do not store your inputs. Returns are assumed constant and do not model market volatility, sequence-of-returns risk, fees or taxes on growth unless stated. The 4% rule is a historical guideline, not a guarantee. Figures may lag changes to IRS limits or contain errors — always verify against the primary source before relying on them. See our disclaimer.

Last updated: 2026-06-14