Pension Plus Portfolio Income Path
Calculator
Results
- First-year income gap
- $24,000.00
- Ending balance
- $0.00
- Total withdrawn
- $852,204.37
- Years funded
- 25 yr
Portfolio balance path
- Ending balance
- Cumulative withdrawn
Year-by-year portfolio projection
| 1 | 24,000.00 | 23,430.00 | 449,430.00 | 24,000.00 |
| 2 | 24,720.00 | 23,359.05 | 448,069.05 | 48,720.00 |
| 3 | 25,460.40 | 23,243.48 | 445,852.13 | 74,180.40 |
| 4 | 26,221.76 | 23,079.67 | 442,710.04 | 100,402.16 |
| 5 | 27,004.65 | 22,863.80 | 438,569.19 | 127,406.80 |
| 6 | 27,809.65 | 22,591.77 | 433,351.31 | 155,216.46 |
| 7 | 28,637.39 | 22,259.27 | 426,973.19 | 183,853.85 |
| 8 | 29,488.46 | 21,861.66 | 419,346.39 | 213,342.31 |
| 9 | 30,363.51 | 21,394.06 | 410,376.93 | 243,705.82 |
| 10 | 31,263.20 | 20,851.26 | 399,964.98 | 274,969.02 |
| 11 | 32,188.19 | 20,227.72 | 388,004.52 | 307,157.21 |
| 12 | 33,139.18 | 19,517.59 | 374,382.93 | 340,296.39 |
| 13 | 34,116.86 | 18,714.63 | 358,980.71 | 374,413.25 |
| 14 | 35,121.97 | 17,812.23 | 341,670.97 | 409,535.22 |
| 15 | 36,155.25 | 16,803.36 | 322,319.08 | 445,690.47 |
| 16 | 37,217.47 | 15,680.59 | 300,782.19 | 482,907.95 |
| 17 | 38,309.41 | 14,436.00 | 276,908.78 | 521,217.36 |
| 18 | 39,431.88 | 13,061.23 | 250,538.13 | 560,649.24 |
| 19 | 40,585.71 | 11,547.38 | 221,499.81 | 601,234.95 |
| 20 | 41,771.74 | 9,885.04 | 189,613.11 | 643,006.69 |
| 21 | 42,990.85 | 8,064.22 | 154,686.48 | 685,997.54 |
| 22 | 44,243.94 | 6,074.34 | 116,516.89 | 730,241.48 |
| 23 | 45,531.91 | 3,904.17 | 74,889.14 | 775,773.39 |
| 24 | 46,855.73 | 1,541.84 | 29,575.25 | 822,629.12 |
| 25 | 29,575.25 | 0.00 | 0.00 | 852,204.37 |
| 26 | 0.00 | 0.00 | 0.00 | 852,204.37 |
Comparison
| Scenario | Ending balance | Total withdrawn | Years funded |
|---|---|---|---|
| Baseline scenario | 0.00 | 583,862.20 | 11.00 |
| Selected scenario | 0.00 | 852,204.37 | 25.00 |
Formula
gapₜ = target(1+i)^(t−1) − pension(1+g)^(t−1)= 24000.00
Note
This is not financial advice. It is a simplified model: it applies the displayed formula to the figures you entered, uses a single constant rate for every year unless you supplied more, and ignores taxes, fees, product charges and any country's specific pension, benefit or minimum-distribution rules. Sequence-of-returns risk and longevity risk are real: a run of poor early years can exhaust a portfolio that the average return alone calls safe, and living longer than projected is the risk this page cannot price. Real returns can be negative. Consult a licensed adviser before acting on any figure here.
More in Retirement drawdown
See all →Frequently asked questions
What's the point of combining pension and portfolio income in one projection?+
A pension provides a fixed, often inflation-linked income floor, while portfolio withdrawals are variable and market-dependent. Seeing them combined shows your total income each year and highlights how much of your spending is guaranteed versus exposed to market risk.
How does having a pension change the safe withdrawal rate from my portfolio?+
If the pension already covers your essential expenses, the portfolio effectively only needs to fund discretionary spending, which means you can often tolerate a higher withdrawal rate or more investment risk on the portfolio side without jeopardizing your basic needs.
Does the calculator assume the pension is inflation-adjusted?+
That depends on what you enter — many private pensions pay a flat nominal amount for life, while some public pensions include cost-of-living adjustments. Since this materially affects the long-run purchasing power of your total income, check which type applies to your pension before relying on the projection.
Why might total income appear to dip in later years?+
If the pension is a fixed nominal amount, inflation erodes its real value over time even while the dollar amount stays constant, so the portfolio's inflation-adjusted withdrawals have to cover a growing share of real purchasing power as the years pass.
Can this replace a full retirement income plan?+
It's a useful directional tool for seeing how the two income streams interact, but it doesn't replace a full plan that accounts for taxes, survivor benefits, healthcare costs, or actual market volatility. Use it to understand the shape of your income, then refine with a more detailed plan or advisor.