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How Long Will My Savings Last?
Enter your savings, how much you take out each year and the return you expect. You get how long the money lasts and the withdrawal that would last a set number of years.
| To last | Yearly withdrawal | Monthly |
|---|---|---|
| 20 years | $31,538 | $2,628.17 |
| 25 years | $26,652 | $2,221.03 |
| 30 years | $23,434 | $1,952.85 |
| 40 years | $19,497 | $1,624.76 |
| 50 years | $17,223 | $1,435.26 |
Example
Taking $30,000 a year from $500,000 is a withdrawal rate of 6%. With a 5% return and 2.5% inflation, the money lasts 21 years 4 months. A withdrawal of $23,434 a year would last exactly 30 years.
How the how long will my savings last? works
Each month the calculator takes out one twelfth of your yearly withdrawal and applies growth to what is left. It repeats until the balance reaches zero.
The withdrawal is in today’s money and rises with prices. That is handled by using the return after inflation: (1 + return) / (1 + inflation) − 1.
The result assumes the same return every year. Real markets vary, and poor returns early in retirement shorten the life of the money more than the same returns later.
Common questions
How much can I withdraw so the money never runs out?
With steady returns, any withdrawal below the return after inflation leaves the balance growing. Because returns are not steady, planners usually suggest a lower figure, often 3% to 4% of the starting balance.
Does this include tax on withdrawals?
No. If withdrawals are taxed, enter the amount before tax that you need to take out to cover your spending.
What if I have other income, such as a pension?
Enter only the part of your spending that savings must cover. If a pension starts later, the withdrawal will drop at that point and the money will last longer than shown.