| Age | Starting balance | Spending | Ending balance |
|---|
How this works
Each year your balance grows by the portfolio growth rate, then your inflation-adjusted spending is deducted. When the ending balance reaches zero, the money is depleted. If your real return (growth minus inflation) exceeds your real spending rate, the portfolio never runs out.
This model is deterministic — it assumes constant returns each year. Real markets have good years and bad years; sequence-of-returns risk means early bad years can deplete a portfolio faster than this model shows. Build in a buffer.
Educational purposes only. This calculator illustrates mathematical concepts related to long-term investing and is not financial advice. Past market returns do not guarantee future results. Portfolios can lose value. The formulas assume constant returns and do not account for taxes, fees, inflation, or sequence-of-returns risk. Consult a qualified financial professional before making investment decisions.