Fill in the following boxes to determine how much money you would make if you had an initial investment and also withdrew a specified amount of money each year (in percentage of your portfolio value, or in actual dollars). The results replicate the specified years of S&P 500 returns from the year you chose. You can specify any number of years.
In the example below, we have $1,730,000 in the S&P500, and want to withdraw $80,0000 a year (or, about 4.5% of our portfolio).
You can also increase your withdrawal by a specific amount. In the example below, we are increasing our withdrawal by 2.5 percent each year (.025). The result will show what the final withdrawal amount will be for each year. Finally, when selecting the "Increased Withdrawal" button, the program calculates the middle 80% range over the entire time horizon, meaning the range shown will the results between the lowest 10% and the highest 90%.
Press the appropriate button to see your results
Initial Year (starting at 1926): Initial Investment: Withdrawal Amount / Yearly Investment (in dollars): Increase withdrawal / Yearly Investment