calc.shareIncentive.h1
calc.shareIncentive.intro
Results
Projected portfolio value
$22,090
Your contributions
$15,000
Employer contributions
$3,000
Investment growth
$4,090
Employer match benefit
$3,682
Estimated tax savings (illustrative)
$3,000
Tax treatment varies by jurisdiction and plan rules; confirm with a tax professional.
Total illustrative benefit
$25,090
How this calculator works
- Projects wealth from recurring employee contributions plus employer match.
- Applies a constant growth rate and optional dividend yield for intuition—not a Monte Carlo engine.
- Converts marginal tax rate into rough tax-deferral / savings markers where applicable.
- Shows employer match as both contributions and incremental benefit.
- Totals are nominal dollars; inflation is not modeled unless you lower growth manually.
- All figures are illustrative; consult plan documents and a financial advisor.
Future value intuition
Each period compounds prior balance plus new money from you and your employer.
FV ≈ Σ contributions×(1+r)^remaining periods (simplified)
- P — employee contribution per period
- r — growth rate per period (annual ÷ periods per year)
- n — number of contribution periods
Annualized view: multiply monthly flows by 12 before compounding yearly (conceptual).
Real plans have vesting schedules, blackout windows, and loan provisions not modeled here.
Worked example (illustrative)
Assume $200/mo employee, 50% match, 6% growth, 7 years, 24% marginal rate—see the calculator for numbers.
Employee monthly
$200
Employer match
50%
Years
7
Key assumptions
- Contributions invest immediately each period.
- Match vests according to your stated percent (simplified).
- Growth and dividend rates stay flat—reality varies every quarter.
- Tax savings are a coarse marker, not substitute for Form 8949 / plan rules.
- No employer stock price path, blackout, or concentration risk modeled.
- Currency is USD; foreign plans may differ materially.