Retirement Withdrawal Calculator

Historically, withdrawing 4% of the initial portfolio in year one of retirement, then increasing that dollar amount by inflation each year, worked for many 30-year periods in U.S. market history. It is a guideline, not a guarantee — your mix, fees, sequence of returns, and longevity change the outcome.

Some researchers suggest a lower starting rate (e.g., 3.25–3.5%) when valuations are high or retirements are very long. Others use flexible spending — reducing withdrawals after market drops. Revisit your plan every few years rather than setting and forgetting.

Withdrawals from traditional 401(k)s and IRAs are generally taxable; Roth withdrawals are often tax-free. Taxable accounts may owe capital gains. Your effective withdrawal rate should be net of taxes, so gross withdrawals may need to be higher than spending alone.