Investment

Retirement Calculator 2026

✓ Updated with 2026 rates•✓ Free & no sign-up•✓ Instant results

Retirement projection

Live estimate · 4% drawdown rule · 2026

Current age

Retirement age

Current monthly salary

Current retirement savings

Monthly contribution

Expected annual return

Expected inflation

Projected retirement pot

R20 476 828

in 35 years, at age 65

Monthly pension

R68 256

Replacement ratio

25%

Savings rate

14.3%

Shortfall

R40 051 106

Saving R5 000/month until age 65 could build about R20 476 828, giving roughly R68 256/month in retirement. To close the gap, add about R12 315/month.

How your pot builds up

Growth on current savings

R4 215 366

Growth on future contributions

R16 261 462

Final salary (projected)

R269 013/mo

Required capital (75% income)

R60 527 933

Retirement rules of thumb (South Africa)

Aim to replace about 75% of your pre-retirement income
A 4% yearly drawdown is a common sustainable withdrawal rate
Save at least 15% of gross income, starting as early as possible
Retirement fund contributions are tax-deductible up to 27.5% (max R350,000/yr)

These projections are estimates based on your assumptions. Actual returns vary. Consult a qualified financial adviser for personalised planning.

Retirement Fund Options in South Africa

Choose between pension funds, provident funds, retirement annuities and preservation funds. The two-pot system (from September 2024) splits new contributions into savings and retirement pots.

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Pension Fund

Employer-sponsored retirement savings

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Provident Fund

Lump sum withdrawal on retirement

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Retirement Annuity

Individual retirement investment

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Preservation Fund

Preserve benefits when changing jobs

2026 Retirement Planning Tips

Start EarlyEssential

30+ years compound growth

Contribute 15%+Essential

Minimum recommended savings rate

Diversify InvestmentsEssential

Reduce risk, maximize returns

Regular ReviewsEssential

Adjust strategy as needed

Tax EfficiencyEssential

Maximize tax deductions

Inflation ProtectionEssential

Maintain purchasing power

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Retirement Reality Check

• Most South Africans retire with only 10% of their final salary
• You need 75% of your pre-retirement income to maintain lifestyle
• Starting at 25 vs 35 can double your retirement savings
• Compound interest is your greatest wealth-building tool

Frequently asked questions

Quick answers to the most common questions.

How much do I need to retire in South Africa?

A common guideline is to aim for a retirement pot of about 15–17 times your final annual salary, or enough to draw a sustainable 4% per year. This calculator estimates the monthly saving needed to reach your target.

How much should I save for retirement each month?

Financial planners often suggest saving at least 15% of your gross income from your first job. The earlier you start, the less you need monthly because compound growth does more of the work.

Are retirement annuity contributions tax-deductible in South Africa?

Yes. Contributions to pension, provident and retirement annuity funds are deductible up to 27.5% of the greater of taxable income or remuneration, capped at R350,000 per year.

What is a safe drawdown rate in retirement?

Many advisers use around 4% of your capital per year as a starting point to reduce the risk of outliving your savings, adjusted for inflation, market returns and how long you expect to be retired.