https://calculating.ca/calculators/finance-money/retirement-drawdown-calculator/
Finance & Money / THE MITEY TOOLKIT
Retirement Drawdown Scenario
Explore a savings balance with monthly withdrawals, an assumed return and increasing living costs.
Balance at the end of the model
$0.00
From your inputs. Explore the breakdown below.
- Actual modeled withdrawals
- $1,270,808.78
- Modeled investment growth
- $520,808.78
- First depletion
- 26 yr 10 mo
- Projection length
- 30 years
- A constant-return model cannot measure market sequence risk.
- Withdrawals stop when funds are depleted; this is not a safe-withdrawal or longevity guarantee.
FOLLOW THE CASH FLOW
Annual cash-flow totals
Balance is the period-end value; growth and payments are totals for that year or final partial year. Download the ledger for every modeled period. Figures in CAD.
| Year | Closing balance | Interest / growth | Payment / withdrawal |
|---|---|---|---|
| 1 | $743,012.25 | $29,341.07 | $36,328.82 |
| 2 | $735,005.23 | $29,048.38 | $37,055.40 |
| 3 | $725,923.37 | $28,714.65 | $37,796.50 |
| 4 | $715,708.61 | $28,337.67 | $38,552.43 |
| 5 | $704,300.22 | $27,915.09 | $39,323.48 |
| 6 | $691,634.76 | $27,444.49 | $40,109.95 |
| 7 | $677,645.93 | $26,923.32 | $40,912.15 |
| 8 | $662,264.46 | $26,348.93 | $41,730.39 |
| 9 | $645,417.99 | $25,718.53 | $42,565.00 |
| 10 | $627,030.92 | $25,029.23 | $43,416.30 |
| 11 | $607,024.29 | $24,278.00 | $44,284.63 |
| 12 | $585,315.63 | $23,461.67 | $45,170.32 |
CHANGE ONE VARIABLEWhat moves your answer?
Compare five values while keeping every other input the same. These are scenarios, not likelihoods or forecasts.
| Input value | Primary result | Use scenario |
|---|
BEHIND THE ANSWER
Formula and method
Ending monthly balance = opening balance × (1 + equivalent monthly return) − available withdrawal.
The annual effective return is converted to a monthly equivalent. Growth occurs before each month-end withdrawal; requested withdrawals rise at the entered annual increase, converted monthly. Actual withdrawals are capped at funds available, so balances do not become negative.
Context sources checked October 24, 2026
These sources explain the subject. The model follows the formula and assumptions shown here; a source link does not imply endorsement.
Worked examples
Thirty-year illustration
- Starting investment balance:
- 750000
- First monthly withdrawal:
- 3000
- Annual return assumption:
- 4
- Annual withdrawal increase:
- 2
- Projection length:
- 30
Balance at the end of the model: $0.00
Twelve withdrawals without growth
- Starting investment balance:
- 12000
- First monthly withdrawal:
- 1000
- Annual return assumption:
- 0
- Annual withdrawal increase:
- 0
- Projection length:
- 1
Balance at the end of the model: $0.00
Assumptions and limits
- Constant deterministic return; no volatile return paths or sequence-of-return analysis.
- No income tax, account restrictions, pension/CPP/OAS income or estate costs.
- Use an appropriately scoped return assumption after any costs you want reflected.
This tool provides an educational estimate. Rules, rates and personal circumstances can change the answer. Review the assumptions before relying on a result. Report a correction.
Common mistakes to avoid
- Treating an illustrative rate as a lender quote or a return forecast.
- Comparing scenarios with different time periods or leaving out relevant fees.
Frequently asked questions
Does a remaining balance mean my retirement plan is safe?
No. The model assumes a constant return and does not simulate market losses, tax, longevity or personal spending changes. It is one scenario to discuss with a qualified adviser.
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