Understand how long your portfolio might last based on withdrawal rates and life expectancy

The Longevity Risk Calculator helps illustrate how long your portfolio may last based on withdrawal rates, life expectancy assumptions, and overall income needs. By modeling different scenarios, it provides insight into the risk of outliving assets and highlights how spending decisions and income sources can influence long-term sustainability in retirement.

Your Information

years
$

Total retirement savings available for withdrawals

$

Amount you plan to withdraw each year (inflation-adjusted)

%

Average annual portfolio return (after fees)

%

Annual increase in withdrawal amount

years

Age you're planning to (e.g., 90, 95, 100)

Understanding Longevity Risk

What is Longevity Risk?

Longevity risk is the possibility of outliving your retirement savings. As life expectancies increase, planning for 25-30+ year retirements becomes essential to avoid running out of money in your later years.

Life Expectancy Considerations

A 65-year-old man has a 50% chance of living to 85 and a 25% chance of reaching 92. For women, those ages are 88 and 94. For married couples, there's a 50% chance one spouse lives to 92 and a 25% chance one reaches 97.

Safe Withdrawal Rates

The traditional "4% rule" suggests withdrawing 4% of your initial portfolio annually (adjusted for inflation). However, your safe rate depends on your asset allocation, retirement length, and risk tolerance.

Mitigation Strategies

Reduce longevity risk by: delaying Social Security to age 70, considering annuities for guaranteed income, maintaining flexible spending, part-time work in early retirement, and building a balanced portfolio for longevity.

Important: This calculator uses constant returns. Real portfolios experience volatility, making sequence of returns risk a critical factor. Poor returns early in retirement can significantly reduce portfolio longevity.

Need Help with Longevity Planning?

Understanding portfolio duration is just the beginning. Let's develop a comprehensive strategy that accounts for market volatility, guaranteed income sources, and longevity protection.

Schedule a Consultation

Long Financial Services Group | Educational Tool

This calculator provides simplified portfolio longevity projections using constant returns. Actual portfolio performance involves market volatility, which significantly impacts real-world outcomes through sequence of returns risk. This tool does not account for taxes, required minimum distributions, changing spending patterns, healthcare costs, or guaranteed income sources. Results should be viewed as general guidelines only. Consult with qualified financial professionals to develop a comprehensive retirement income strategy that addresses longevity risk through proper asset allocation, guaranteed income planning, and flexible withdrawal strategies.

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