How-to · Updated October 2, 2026
How much do I need to retire according to Dave Ramsey?
Direct answer
Ramsey’s published example — $10,000 a month, 30 years away, 3% inflation, 8% withdrawal — is a $3,640,894 nest egg. The same lifestyle at the 4% rule needs $7,281,787.
The $10,000 example
$10,000 × 1.03^30 = $24,273 a month in future dollars, or $291,271 a year. Divide by 0.08 and the goal is $3,640,894. Divide by 0.04 and it is $7,281,787. With $25,000 already invested at 11%, the monthly deposits are $1,060 at 8% and $2,358 at 4%.
Other monthly goals
Today’s dollars, 30 years, 3% inflation, $25,000 already saved, 11% return.
| Monthly income today | In 30 years | Nest egg at 8% | Invest/month | Nest egg at 4% |
|---|---|---|---|---|
| $4,000 | $9,709 | $1,456,357 | $281 | $2,912,715 |
| $6,000 | $14,564 | $2,184,536 | $541 | $4,369,072 |
| $8,000 | $19,418 | $2,912,715 | $800 | $5,825,430 |
| $10,000 | $24,273 | $3,640,894 | $1,060 | $7,281,787 |
Limits
- Educational estimate of Ramsey Solutions’ published method. This site is not affiliated with Ramsey Solutions, and this is not financial advice.
- An 8% withdrawal needs only 12.5 times annual spending. The 4% rule needs 25 times. Morningstar’s 2025 base starting rate is 3.9%.
- The 11% return is a long-run nominal stock average. The same monthly plan at a lower return finishes with a smaller balance.
Use the calculator
Baby Step 4 is the contribution side: how much is 15% of your income for retirement. Change the monthly goal in the Dave Ramsey retirement calculator.