This early retirement calculator / visualizer is designed to project the number of years until you can retire, based upon a few key inputs such as annual income and spending, income growth rate, expected annual spending in retirement and asset allocation. It is useful before you retire to get a sense of how many years it is likely to take to accumulate enough to retire. The two primary modes that are available in the early retirement calculator are: (1) constant, single fixed-percentage real return rates and (2) historical series of real returns are applied to account for likely variability in future returns.
This interactive calculator was built to let you play with the inputs and help you understand how savings rate and retirement spending strongly determine how long it will take you to save up for retirement.
You may notice that additional features have been added to the calculator (taxes, investment fees, and ability to add other income sources (e.g. social security) and other expenses to the calculator).
One of the key issues with retiring is the question of outliving your money. This is also known as Longevity Risk and is especially important if you want to retire early, since your retirement could be 50 years long (or more). This interactive calculation and visualization looks at the question of whether your retirement savings can last long enough to support your retirement spending and combines it with average US life expectancy values to get a fuller picture of the likelihood of running out of money before you die.