GSGurinder SidhuCPA · Real Estate
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Free tool · Retirement & wealth planning

How long will my money last?

Enter what you have, what you take out each year, what you expect to earn, and inflation. See the age your money runs out — or the withdrawal that makes it last exactly to your target age.

Your numbers

The age your money should last to.

The amount you need from savings, after CPP, OAS or pensions.

Try a return of:
Withdrawals are taken at the start of each year and the rest grows at your rate of return. Taxes, fees and market ups and downs are not modelled — see the notes below.

    Show year-by-year table
    AgeStart of yearWithdrawalGrowthEnd of year

    Disclaimer

    Calculations are based on the information provided and are for illustrative and general information only. The rate of return and inflation rate used are the same for every year of the projection; actual returns vary from year to year. Taxes on withdrawals, fees and government benefits are not included. Results should not be considered specific financial advice. Actual results may vary.

    How to read it

    Three numbers that matter most

    • Real return. Your return minus inflation is what actually grows your purchasing power. At 5% return and 2.5% inflation, the real return is about 2.4%.
    • Sustainable withdrawal. The most you could take out today (rising with inflation) and hit zero exactly at your target age. Plan below it, not at it.
    • Balance at target age. If it is large, you may be under-spending or have an estate to plan for; if it is zero before your target, something has to change — spending, timing, or returns.

    What it leaves out

    Where a CPA earns their keep

    • Tax. RRSP and RRIF withdrawals are fully taxable; TFSA withdrawals are not; non-registered accounts are taxed on the gains. The order you draw from each account can add years to your money.
    • Government benefits. When to start CPP (60 to 70) and OAS (65 to 70), and how withdrawals affect the OAS clawback.
    • Sequence of returns. A market drop in the first few years of retirement hurts far more than the same drop later. A cash buffer or a flexible spending rule protects against it.
    • What is left. Whatever remains at your target age is your estate — and the deemed disposition on death has its own tax bill. Estate planning is where these two conversations meet.

    Questions

    Retirement withdrawal FAQ

    What rate of return should I assume?
    Be conservative. A balanced portfolio has historically returned roughly 5% to 6% a year before fees over long periods; after fees, 4% to 5% is a reasonable planning figure, and a GIC-heavy portfolio lower still. Run the calculator at two or three rates and plan around the lower one.
    Why does inflation matter so much?
    If you need $40,000 a year today and inflation runs at 2.5%, you will need about $66,000 a year in 20 years to buy the same things. Indexing your withdrawals to inflation keeps your lifestyle constant, but it means the portfolio has to work much harder in later years.
    Does this calculator include taxes, CPP or OAS?
    No. It models one pool of savings and one withdrawal. To use it with government pensions, enter only the amount you need from savings after CPP and OAS. Withdrawals from an RRSP or RRIF are taxable, so enter a pre-tax amount for those accounts; TFSA withdrawals are tax-free.
    What is a sustainable withdrawal rate?
    The calculator solves for the exact withdrawal that would leave you with nothing at your target age. In practice you want a margin: markets do not deliver the same return every year, and a bad sequence of returns early in retirement does the most damage. Treat the sustainable figure as a ceiling, not a target.

    Turn the estimate into a plan.

    Which account to draw from first, when to start CPP and OAS, and how to pass on what is left — that is tax planning, and it is what I do.

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