Savings Rate Calculator
Calculate your savings rate and see how it compares to the US average and FIRE benchmarks.
By Konstantin Iakovlev · Updated April 2026 · Source: SEC
Gross Savings Rate
16.0%
Net Savings Rate
21.3%
FIRE Timeline
~4 years
Savings Breakdown (Annual)
| 401(k) / 403(b) | $6,000.00 |
| IRA | $2,400.00 |
| Brokerage / Investments | $2,400.00 |
| Cash Savings | $1,200.00 |
| Total Annual Savings | $12,000.00 |
| Gross Income | $75,000.00 |
| Estimated Taxes | $18,750.00 |
| Net Income | $56,250.00 |
How Do You Compare?
| US Average Savings Rate | 5-8% |
| Recommended Minimum | 15-20% |
| FIRE Community Target | 50%+ |
| Your Gross Savings Rate | 16.0% |
Use the Savings Rate Calculator above to calculate your results. Enter your values and see instant results — all calculations run in your browser.
Disclaimer: This calculator is for informational purposes only and does not constitute tax, financial, or legal advice. Results are estimates based on the information you provide and current rates. Always consult a qualified tax professional or financial advisor for advice specific to your situation.
How It Works
Few numbers tell you more about your financial trajectory than the share of income you actually keep. This tool measures that share and sets it beside the projected 2026 US average and the benchmarks used by the Financial Independence, Retire Early (FIRE) movement, so you can see where you stand and decide whether to push harder.
The math is straightforward: divide your total annual savings by your total annual income, then multiply by 100. Savings here means anything you set aside after taxes and expenses, whether that lands in a retirement account, a brokerage account, or plain cash. Written out, the calculation is (Annual Savings / Annual Income) * 100.
Two details trip people up. If you treat employer matching contributions as part of your growing wealth, count them in the savings figure as well, or your rate will read low. And work from net income, after taxes, since that reflects the dollars you can genuinely redirect. A modest starting rate is nothing to lament; small, steady increases gather force as they compound.
Example: Sarah's Savings Rate
- 1 Sarah earns $80,000 annually. She contributes $8,000 to her 401k, receives a $4,000 employer match, and saves an additional $3,000 in a high-yield savings account.
- 2 Her total annual savings are $8,000 (401k) + $4,000 (employer match) + $3,000 (savings account) = $15,000. Her savings rate is ($15,000 / $80,000) * 100 = 18.75%.
- 3 Sarah's savings rate is 18.75%.
- 4 Given the projected 2026 US average savings rate of approximately 7.5%, Sarah is saving significantly more. For someone aiming for FIRE, a savings rate of 20-30% is generally considered good, while 50%+ is often targeted for early retirement. Sarah is well on her way to financial independence.
Source: SEC · Last updated: April 2026
Frequently Asked Questions
What is a good savings rate?
How do I calculate my savings rate?
What is the average savings rate in America?
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