Withdrawal rate calculator guide
This calculator compares your annual portfolio withdrawal against common retirement withdrawal-rate guidelines. It is useful for FIRE planning, retirement spending checks, and stress testing a retirement budget.
How to use it
- Enter your investable retirement portfolio.
- Enter annual spending and any non-portfolio income.
- Review the calculated withdrawal rate and the 3%, 4%, and 5% spending bands.
Calculation method
Withdrawal rate = (annual spending − other income) ÷ portfolio
The calculator also estimates how long a portfolio may last using a simplified real-return model.
Common mistake
A low withdrawal rate is not a guarantee. Market sequence, inflation, taxes, and changing spending can materially change outcomes.
FAQ
Is 4% always safe?
No. The 4% rule is a historical guideline, not a guarantee. Many early retirees use more conservative assumptions.
Should I include Social Security or pension income?
You can enter any stable non-portfolio income in the other income field.
What is a conservative withdrawal rate?
Many planners consider 3% to 3.5% more conservative, especially for long retirements.