$400,000 at $25,000 a year, year by year
Starting at 65, the money runs out at age 86. The withdrawal grows 2% a year, so by year 20 it is $36,420; the balance earns 5% on what is left after each withdrawal.
| Year | Age | Balance at start | Withdrawal | Balance at end |
|---|---|---|---|---|
| 1 | 65 | $400,000 | $25,000 | $393,750 |
| 2 | 66 | $393,750 | $25,500 | $386,663 |
| 3 | 67 | $386,663 | $26,010 | $378,685 |
| 4 | 68 | $378,685 | $26,530 | $369,763 |
| 5 | 69 | $369,763 | $27,061 | $359,837 |
| 6 | 70 | $359,837 | $27,602 | $348,847 |
| 7 | 71 | $348,847 | $28,154 | $336,727 |
| 8 | 72 | $336,727 | $28,717 | $323,411 |
| 9 | 73 | $323,411 | $29,291 | $308,825 |
| 10 | 74 | $308,825 | $29,877 | $292,895 |
| 11 | 75 | $292,895 | $30,475 | $275,541 |
| 12 | 76 | $275,541 | $31,084 | $256,680 |
| 13 | 77 | $256,680 | $31,706 | $236,222 |
| 14 | 78 | $236,222 | $32,340 | $214,076 |
| 15 | 79 | $214,076 | $32,987 | $190,144 |
| 16 | 80 | $190,144 | $33,647 | $164,322 |
| 17 | 81 | $164,322 | $34,320 | $136,503 |
| 18 | 82 | $136,503 | $35,006 | $106,571 |
| 19 | 83 | $106,571 | $35,706 | $74,408 |
| 20 | 84 | $74,408 | $36,420 | $39,888 |
| 21 | 85 | $39,888 | $37,149 | $2,876 |
| 22 | 86 | $2,876 | $2,876 | $0 |
The odds $400,000 lasts at $25,000 a year
Returns arrive in a random order, and a few bad years early do the most damage. In 1,000 simulated markets, this is the share in which $25,000 a year, rising with inflation, still leaves money in the account after each number of years.
| For | Trinity-style (7%, 12%) | Cautious (5%, 15%) |
|---|---|---|
| 20 years | 57% | 42% |
| 25 years | 36% | 23% |
| 30 years | 21% | 15% |
| 35 years | 15% | 11% |
| 40 years | 12% | 8% |
What other returns and inflation do
| Return | No raise | 2% raise | 3% raise |
|---|---|---|---|
| 3% | 22 years | 18 years | 16 years |
| 4% | 25 years | 19 years | 18 years |
| 5% | 30 years | 22 years | 19 years |
| 6% | 41 years | 25 years | 22 years |
| 7% | 60+ years | 29 years | 24 years |
$25,000 a year from other balances
| Balance | Lasts |
|---|---|
| $250,000 | 12 years |
| $300,000 | 15 years |
| $350,000 | 18 years |
| $400,000 | 22 years |
| $450,000 | 25 years |
| $500,000 | 30 years |
| $600,000 | 40 years |
| $700,000 | 56 years |
| $750,000 | 60+ years |
| $800,000 | 60+ years |
Tax on a $25,000 withdrawal
From a traditional 401(k) or IRA, the whole withdrawal is ordinary income, and it can make more of your Social Security taxable. Federal tax it adds at 65 on 2026 rules, estimates:
| Household | Federal tax | Share of the withdrawal |
|---|---|---|
| Single, $24,000 of Social Security | $790 | 3% |
| Married, $42,000 of Social Security | $0 | 0% |
Roth withdrawals after 59½ and a five-year holding period are tax-free; money in a taxable account is taxed only on the gains. The retirement tax calculator adds state tax.
The calculator, set to these numbers
Taking $25,000 a year ($2,083 a month) from $400,000, raised 2.0% a year for inflation, at a steady 5.0% return, the money runs out in year 22, around age 86. To make it last exactly 30 years, you could start at $19,674 a year.
Other withdrawals from $400,000
| Withdrawal a year | A month | Lasts |
|---|---|---|
| $12,000 | $1,000 | 60+ years |
| $15,000 | $1,250 | 50 years |
| $20,000 | $1,667 | 30 years |
| $25,000 | $2,083 | 22 years |
| $30,000 | $2,500 | 17 years |
| $40,000 | $3,333 | 12 years |
All withdrawals and the odds on one page: how long $400,000 lasts.
How it is worked out
The steady-return figures are the how-long calculator’s own math: the withdrawal comes out at the start of each year, the rest earns the return, and the next withdrawal is 2% larger to keep up with inflation. Real markets do not return the same every year, so the odds come from 1,000 simulated sequences of yearly returns: Trinity-style (7% average, 12% volatility, 3% inflation) and cautious (5%, 15%, 2%). Taxes and fees are not taken out; take them from the withdrawal you enter. More on the method on the methodology page.