A retirement planner app brings together your bank accounts, 401(k) plans, IRAs, real estate equity, and investments to give you a clearer picture of your net worth and projected growth.
By factoring in inflation, Social Security benefits, and Monte Carlo simulations, these tools help estimate your retirement timeline and monthly savings goals. Read on Insiderbits.
4.8/5
Which is the best retirement planner app?
When choosing a retirement planner app, Empower Personal Dashboard (iOS | Android), formerly Personal Capital, is worth considering.
Its free financial tools combine retirement projections, investment analysis, budgeting, and net worth tracking.
This makes it useful for people planning traditional retirement or pursuing financial independence and early retirement (FIRE).
After connecting eligible financial accounts, you can monitor cash flow, review portfolio allocation, and track assets and debts.
Its retirement planner also lets you explore how different savings habits and spending levels could affect your retirement timeline. Its investment tools can help identify portfolio fees and allocation imbalances.
Keep in mind that projections are estimates, not guarantees.
The ‘Personal Dashboard’ and its core planning tools are free, although investment advisory services may involve fees.
Key features within Empower
- Retirement planner engine: calculates your expected annual retirement income based on current savings velocity, asset allocation, projected Social Security payouts, and expected living expenses;
- 401(k) and investment fee analyzer: scans investment portfolios for hidden mutual fund expense ratios and plan management fees that eat away at compounding gains over time;
- Net worth and cash flow dashboard: automatically updates bank balances, credit card debts, mortgage balances, and investment accounts in real time to provide an accurate net worth total;
- Smart portfolio asset allocation: compares your current stock and bond exposure against recommended benchmark allocations to maintain balanced risk exposure as you near retirement.
Step-by-step: how to simulate your retirement timeline
Projecting your retirement readiness using a digital planner takes only a few minutes. Follow this step-by-step framework to model your retirement timeline:
Step 1: download the app and set up your profile
Download the Empower app from your mobile app store (iOS | Android). Create a secure account using two-factor authentication (2FA) and biometric login for added security.
Step 2: link your financial and investment accounts
Connect your financial accounts—including workplace 401(k) plans, traditional/Roth IRAs, high-yield savings accounts, and brokerage accounts—to establish a baseline net worth.
Step 3: configure retirement spending goals
Head to the ‘Retirement Planner’ tool inside the app. Enter your target retirement age, expected monthly living expenses during retirement, and estimated Social Security benefit amounts.
Step 4: run portfolio simulations and adjust savings rate
Review your portfolio’s probability of success percentage score. Adjust variables—such as increasing monthly savings by 2% or working 18 months longer—to see immediate impacts on your timeline.
Top national wealth management firms
A retirement planner app can help you track your finances, but national wealth management firms offer additional support.
Depending on the service you choose, you may get personalized investment guidance, retirement income strategies, and estate planning assistance:
- Charles Schwab: offers retirement planning tools, a wide range of investment options, and advisory services for investors who want professional guidance;
- Vanguard: known for low-cost index funds and long-term investing strategies, making it a popular choice for retirement savers focused on keeping investment expenses down;
- Fidelity Investments: provides retirement calculators, traditional and Roth IRAs, index funds, and financial advisory services to support different retirement goals.
Planning for retirement also means considering how your family would manage financially if your income disappeared. Our guide to getting a free life insurance quote for families can help you explore coverage options.
For a side-by-side look at digital planning resources, check out Moneywise’s roundup of the best free retirement planning tools.
How to test early retirement scenarios
If your goal is financial independence and early retirement (FIRE), a retirement planner app can help you test different financial scenarios and see how your choices might affect your retirement timeline.
Adjusting a few key variables can help you identify realistic ways to reach your goal sooner:
- Increase your savings rate: saving a larger share of your income can help you build your investment portfolio faster. For example, increasing your savings rate from 15% to 30% means setting aside twice as much of your income, giving compound growth more time to work. Your results will depend on investment returns, fees, and how consistently you save;
- Explore ways to reduce expenses: test how moving to a more affordable area, paying off your mortgage, or cutting recurring costs could lower your annual spending. Since your retirement budget influences how much savings you need, reducing expenses may bring your FIRE target within reach sooner;
- Factor in part-time income: The Barista FIRE approach combines leaving full-time work with earning some income through part-time or seasonal jobs. Add this income to your projections to estimate how much less you might need to withdraw from your investments during the early years of retirement;
- Plan for healthcare before age 65: if you retire early in the United States, you may lose access to employer-sponsored health insurance before becoming eligible for Medicare at age 65. Include insurance premiums and out-of-pocket medical costs in your projections. You can also explore coverage through the Health Insurance Marketplace.
4.8/5
Take charge of your retirement date
A retirement planner app turns long-term financial goals into a practical plan you can adjust as your circumstances change.
Tools like Empower (iOS | Android) help you track your accounts, review investment fees, and explore different retirement scenarios.
By testing savings rates, future expenses, and potential retirement dates, you can make more informed decisions and build a strategy that fits your financial goals.
