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Retirement Savings Starting at Age 58

If you start saving at 58 and stop at 65, you get 7 years of growth. This page begins with $500 a month at 6.5 percent. Change any figure.

The balance at 65 on the starting figures is $53,007. Your deposits total $42,000.

years
years
$
$
%
Balance at retirement
$53,007
Total you put in
$42,000
Growth
$11,007
Years of saving
7
Year by year
YearTotal put inBalance
59$6,000$6,182
60$12,000$12,778
61$18,000$19,816
62$24,000$27,325
63$30,000$35,337
64$36,000$43,886
65$42,000$53,007
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How the balance is worked out

There is a direct way to work out growth with regular deposits. The starting balance grows by one plus the monthly rate raised to the power of 84. The deposits of $500 add up to the deposit times that growth factor minus one, divided by the monthly rate. Add the two parts to get the final balance. The monthly rate here is 0.5417 percent.

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Worked example

Save $500 a month from 58 to 65. That is 84 deposits and $42,000 in total. At 6.5 percent the balance reaches $53,007.

Your own deposits make up $42,000 of that. The other $11,007 is growth. That is 21 percent of the balance.

Questions about this calculator

How much a month would it take to reach $1,000,000 by 65 from age 58 at 6.5 percent, compared with $500?

About $9,433 a month at 6.5 percent. That is $8,933 more than the $500 in the example.

What if you saved double, $1,000 a month, from age 58 to 65 at 6.5 percent?

The balance at 65 would be about $106,013 instead of $53,007. That is 2 times as much.

What if returns averaged 5 percent instead of 6.5 percent for $500 a month from age 58 to 65?

The $500 a month would reach $50,164 by age 65. That is $2,842 less than the $53,007 shown at 6.5 percent.

What is $53,007 worth after 7 years of inflation?

At 2.5 percent a year prices rise by a factor of 1.19. The $53,007 would then buy about as much as $44,593 does at the start.

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This page is for education only and is not financial or tax advice.