Find out the maximum annual expense your portfolio can sustain for life — without running out of money. Just enter your net worth, age, and expected returns.
This uses the present value annuity formula (PMT) to calculate the highest level spending your assets can support through your target age, adjusted for inflation.
A simple formula that answers one of the most important financial questions.
We use the present value annuity payment formula: Max Expense = Pool × r / (1 − (1+r)−n), where r is your real return and n is years remaining.
The calculator uses a “real return” (nominal return minus inflation) so the result is in today's dollars. Your spending power stays constant over time.
This calculates the spending level that depletes your portfolio to exactly $0 at your target age. Spend more and you run out early. Spend less and you leave money behind.
Lumifin goes beyond this calculator — model income changes, expense events, scenarios, and track your progress over time.
Try the Financial Independence Check