Pick the row closest to what you expect to spend each month in retirement, then read across to see the portfolio that supports it at different safe withdrawal rates.
| Monthly spending | 3% withdrawal | 3.5% withdrawal | 4% withdrawal | 4.5% withdrawal |
|---|---|---|---|---|
| $1,500 | $600,000 | $514,286 | $450,000 | $400,000 |
| $2,000 | $800,000 | $685,714 | $600,000 | $533,333 |
| $2,500 | $1,000,000 | $857,143 | $750,000 | $666,667 |
| $3,000 | $1,200,000 | $1,028,571 | $900,000 | $800,000 |
| $3,500 | $1,400,000 | $1,200,000 | $1,050,000 | $933,333 |
| $4,000 | $1,600,000 | $1,371,429 | $1,200,000 | $1,066,667 |
| $5,000 | $2,000,000 | $1,714,286 | $1,500,000 | $1,333,333 |
| $6,000 | $2,400,000 | $2,057,143 | $1,800,000 | $1,600,000 |
| $8,000 | $3,200,000 | $2,742,857 | $2,400,000 | $2,133,333 |
| $10,000 | $4,000,000 | $3,428,571 | $3,000,000 | $2,666,667 |
The 4% column is highlighted because it is the most common starting point. Figures are before taxes and use today's money; add a tax allowance in the calculator for a gross-up.
Each cell answers one question: if you spend this much per month, how large must the portfolio be so that the chosen withdrawal rate covers it for a year?
A lower withdrawal rate means a bigger portfolio but a larger safety cushion, which matters most for retirements that may last 40 years or more. A higher rate shrinks the target but leaves less room for a bad market stretch.
Use the row for your real planned spending, including housing, health insurance and travel, not your current salary. Spending is the number that sets the target.
FIRE number = monthly spending × 12 ÷ withdrawal rate
Spending stays flat in real terms, taxes are not included, and the withdrawal rate is applied to the starting portfolio. The main calculator adds a tax gross-up and projects the date you reach the target.