4% Withdrawal Rate Calculator
This calculator helps you estimate how much you can safely withdraw from your retirement savings each year, based on the widely used 4% rule. The 4% rule suggests that you can withdraw 4% of your initial retirement portfolio value in your first year of retirement, and then adjust that amount for inflation in subsequent years, with a high probability of your money lasting for at least 30 years.
Current Retirement Savings:
(Enter your total retirement nest egg in your preferred currency)
Expected Annual Inflation Rate:
(Enter as a percentage, e.g., 2.5 for 2.5%)
Calculate Withdrawal
.calculator-container {
font-family: sans-serif;
border: 1px solid #ddd;
padding: 20px;
border-radius: 8px;
max-width: 600px;
margin: 20px auto;
background-color: #f9f9f9;
}
.calculator-container h2 {
text-align: center;
color: #333;
margin-bottom: 20px;
}
.input-section {
margin-bottom: 15px;
display: flex;
flex-direction: column;
}
.input-section label {
margin-bottom: 5px;
font-weight: bold;
color: #555;
}
.input-section input {
padding: 10px;
border: 1px solid #ccc;
border-radius: 4px;
font-size: 1em;
}
.input-section span {
font-size: 0.85em;
color: #777;
margin-top: 5px;
}
.calculator-container button {
background-color: #4CAF50;
color: white;
padding: 12px 20px;
border: none;
border-radius: 4px;
cursor: pointer;
font-size: 1.1em;
width: 100%;
margin-top: 10px;
transition: background-color 0.3s ease;
}
.calculator-container button:hover {
background-color: #45a049;
}
.result-section {
margin-top: 25px;
padding: 15px;
background-color: #e0f7fa;
border: 1px solid #b2ebf2;
border-radius: 4px;
text-align: center;
font-size: 1.1em;
color: #00796b;
}
.result-section p {
margin: 0;
}
.result-section span {
font-weight: bold;
}
function calculateWithdrawal() {
var retirementSavingsInput = document.getElementById("retirementSavings");
var inflationRateInput = document.getElementById("inflationRate");
var resultDiv = document.getElementById("result");
var retirementSavings = parseFloat(retirementSavingsInput.value);
var inflationRate = parseFloat(inflationRateInput.value);
if (isNaN(retirementSavings) || isNaN(inflationRate)) {
resultDiv.innerHTML = "Please enter valid numbers for all fields.";
return;
}
if (retirementSavings < 0 || inflationRate < 0) {
resultDiv.innerHTML = "Savings and inflation rate cannot be negative.";
return;
}
var initialWithdrawal = retirementSavings * 0.04;
var withdrawalWithInflation = initialWithdrawal * (1 + inflationRate / 100);
resultDiv.innerHTML =
"Based on the 4% rule:" +
"Your initial annual withdrawal amount would be:
" + initialWithdrawal.toLocaleString(undefined, { minimumFractionDigits: 2, maximumFractionDigits: 2 }) + " " +
"Your estimated withdrawal for the second year (adjusted for " + inflationRate + "% inflation) would be:
" + withdrawalWithInflation.toLocaleString(undefined, { minimumFractionDigits: 2, maximumFractionDigits: 2 }) + " ";
}