Savings Withdrawal Calculator
Find out how long your savings or retirement nest egg will last if you withdraw a fixed amount each month. This calculator accounts for investment returns on the remaining balance and optional inflation adjustments to your withdrawals.
Knowing how long your money will last is one of the most important questions in retirement planning. The answer depends on three things: how much you have, how much you take out, and what returns your remaining balance earns.
For example, $500,000 with $3,000 monthly withdrawals and a 5% annual return will last about 23 years. Without any returns, the same balance only lasts about 14 years. That is the power of keeping your money invested even during the withdrawal phase.
Inflation is the hidden factor most people overlook. If you withdraw $3,000 per month today, you will need $4,030 per month in 10 years just to maintain the same purchasing power at 3% inflation. This calculator lets you factor in inflation-adjusted withdrawals so you can see a more realistic timeline.
The classic 4% rule suggests withdrawing 4% of your initial balance per year (adjusted for inflation) to make your money last roughly 30 years. On a $500,000 portfolio, that is $20,000 per year or $1,667 per month. This rule assumes a balanced stock/bond portfolio and has held up historically through most 30-year periods.