Investment Calculators · Canada
Retirement calculator for Canada.
Project your retirement savings, see whether you're on track for your desired annual income, and quantify any shortfall while you have time to fix it.
How much do you need to retire in Canada? Enough that your savings could pay your target yearly income for 25 years at your assumed return: income × (1 − (1 + r)−25) ÷ r. For $60,000 a year at 6% that is $767,001; at 4% it is $937,325. Enter your own numbers below. CPP and OAS are not counted, so subtract what you expect from them (see the CPP and OAS calculator) from your target income first. Savings room: 2026 TFSA limit $7,000 and RRSP limit $33,810, as listed on our retirement contribution limits page.
Source: Service Canada — How much could you receive (CPP retirement pension); Service Canada — Old Age Security payment amounts · As of
Cite this page: TNAADO Tools, “Retirement Calculator Canada: Are You On Track?”, https://tools.tnaado.ca/calculators/investment/retirement/
Inputs
Projected savings
Fill the form and press Calculate.
How we project
Future savings combine your current balance growing at the expected return plus regular monthly contributions. The amount needed is the lump sum that would pay your desired income for 25 years at the same expected return, and the monthly income figure is your projected savings multiplied by that return and divided by 12. CPP and OAS are not included here - run those separately and add to your total.
Worked example: age 35, $100,000 saved, $1,000 a month
A 35-year-old plans to retire at 65, has $100,000 saved, adds $1,000 a month, expects a 6% return and wants $60,000 a year of retirement income for 25 years. The calculator returns projected savings of $1,523,047, an amount needed of $767,001 and a monthly retirement income figure of $7,615.
| Scenario | Projected savings at 65 | Amount needed | Monthly income figure | Result |
|---|---|---|---|---|
| Default: $1,000 a month, 6% | $1,523,047 | $767,001 | $7,615 | on track |
| $300 a month, 6% | $858,959 | $767,001 | $4,295 | on track |
| No new savings, 6% | $574,349 | $767,001 | $2,872 | below target (shortfall $192,652) |
| $1,000 a month, 4% return | $997,359 | $937,325 | $3,325 | on track |
- The target moves with the return you assume. The amount needed is the lump sum that pays $60,000 a year for 25 years if it earns the same return: $767,001 at 6%, but $937,325 at 4%, because a lower return needs a bigger pot.
- Contributions are the lever you control. Cutting the monthly deposit from $1,000 to $300 lowers projected savings from $1,523,047 to $858,959.
- Read the income line with care. The monthly figure is projected savings × the expected return ÷ 12 ($1,523,047 × 6% ÷ 12 = $7,615). It is the interest the pot would earn, which leaves the principal untouched; it is not a 4% withdrawal rate. At 4% the same pot would give about $5,077 a month.
Next steps: add public pensions with the CPP and OAS calculator, see how much an RRSP contribution saves in tax with the RRSP tax savings calculator, or test an early-retirement target with the FIRE calculator.
How this is calculated
- Projected savings = current savings × (1 + r)y + 12 × monthly contribution × ((1 + r)y − 1) ÷ r, with r the expected annual return and y the years to retirement. Contributions are treated as one deposit at the end of each year.
- Amount needed = desired annual income × (1 − (1 + r)−25) ÷ r: the present value of 25 years of income, discounted at the same return.
- Monthly retirement income = projected savings × r ÷ 12.
- On track when projected savings are at least the amount needed; the shortfall is the difference.
For the default case: 100,000 × 1.0630 = $574,349, plus 12,000 × (1.0630 − 1) ÷ 0.06 = $948,698, for $1,523,047. Everything is in nominal dollars: the $60,000 target is not inflated and nothing is taxed. CPP and OAS are excluded; current maximums are on the Government of Canada’s CPP amount and OAS amount pages (checked 1 October 2026) and change over time. To adjust for inflation, use a real return or the Bank of Canada’s inflation calculator.
A projection from your own assumptions, not financial or retirement advice. Markets, inflation, tax and public-pension rules will differ.
TNAADO Inc. · Toronto
What this projection assumes on your behalf
The projection compounds your current balance and monthly contributions at the return you enter, then sizes the target as the lump sum that would pay your desired income for 25 years at the same return, and turns the projected balance into a monthly figure by multiplying it by that return. Every one of those is an assumption you can change and should test. CPP and OAS are deliberately excluded because they are separate calculations with their own rules, so the figure here is the private-savings half of a retirement income rather than the whole of it.
The mistake people make. Modelling in nominal dollars and reading the result as purchasing power. A target expressed in 2056 dollars is not that much spending power today. Either use a real, after-inflation return or deflate the result before deciding it is enough. The second omission is tax: the same balance supports very different spending depending on whether it sits in an RRSP, a TFSA or a non-registered account.
Frequently asked questions
How is the amount I need for retirement calculated?
It is the lump sum that would fund your desired yearly income for 25 years if it earned the expected return: income × (1 − (1 + r)^−25) ÷ r. For $60,000 at 6% that is $767,001; at 4% it is $937,325.
Does this include CPP and OAS?
No. They are excluded on purpose, so the result is the private-savings part of retirement income. Use the CPP and OAS calculator, and check current amounts on the Government of Canada pages, then subtract them from the income you need to fund from savings.
Is the monthly income figure a 4% rule withdrawal?
No. The figure is projected savings multiplied by the expected return and divided by 12, which spends only the return and leaves the principal intact. A 4% withdrawal is lower than a 6% return figure: $5,077 a month instead of $7,615 on the default result.
Are the results in today’s dollars?
No, they are nominal. The savings projection and the $60,000 target are both left uninflated, so a result thirty years out buys less than the same number today. Use a return net of inflation, or deflate the result with the Bank of Canada inflation calculator.
How much do I need to retire in Canada?
There is no single number. It depends on the income you want, the return you assume and how long it must last. This calculator finds the lump sum that pays your target income for 25 years at your assumed return, then compares it with your projected savings. Subtract expected CPP and OAS from your target income before you enter it if you want the savings-only gap.
What happens if I stop contributing?
Growth continues but contributions stop: with $0 a month the default case projects $574,349, below target (shortfall $192,652) against the $767,001 needed.
Disclaimer
Educational only. Real-world returns, inflation, and government benefits will vary. Consult a qualified financial advisor for personalized planning.