What should I use as my retirement horizon?

The number of years your corpus must last: planned life expectancy minus retirement age. Retire at 45 and plan to 90, and your horizon is 45 years. When in doubt, plan longer.

Does the calculator account for market crashes?

The formula assumes a smooth average real return and does not model sequence-of-returns risk. That is why 4% is kept as a caution ceiling and a conservative post-retirement return is used by default. Keep a cash buffer for down years.

Free Tool · No Sign-up Required

Safe Withdrawal Rate Calculator

Q: Why isn't the safe withdrawal rate just 4%?

4% was calibrated for a 30-year US retirement. Early retirees in India face longer horizons and higher inflation, which lowers the sustainable rate. This tool derives the rate from your horizon - about 4% at 30 years, closer to 3% at 50 years.

This free SWR calculator India edition finds the withdrawal rate your corpus can actually sustain — matched to how long your retirement has to last, not a blanket 4%.

SWR calculator India — safe withdrawal rate tool for early retirement

Your Numbers

↻ Prefilled from your earlier inputs

Your retirement

Retirement Corpus

₹

The pot you’ll draw from at retirement.

Monthly Expenses in Retirement

₹

What you’ll withdraw monthly (today’s value).

Retirement Horizon: 45 yrs

45 yrs

How many years your money must last (life expectancy minus your retirement age).

Return after FIRE: 8%

Expected return in retirement (conservative equity + debt mix).

Inflation Rate: 6%

India’s avg CPI inflation: 5-7%. Higher = more conservative.

Your Withdrawal Rate

3.00%

of your corpus, per year

Recommended Safe Rate

3.26%

for 45-yr horizon

Verdict

Safe

within safe rate

Safe spend: ₹54,000/mo · You plan ₹50,000/mo

Corpus lasts: 50+ yrs · Horizon: 45 yrs

🔒 No spam. No ads. Unsubscribe anytime.

Retirement Horizon

45 yrs

Years to fund

Real Return

1.89%

After inflation

Safe Monthly Spend

₹54K

At recommended SWR

Corpus Lasts

50+ yrs

At your withdrawal

The Basics

What is a Safe Withdrawal Rate? Using the SWR Calculator India

Your Safe Withdrawal Rate (SWR) is the percentage of your corpus you can withdraw each year — rising with inflation — without running out of money before the end of your retirement. Withdraw at the safe rate and your corpus lasts your full horizon; withdraw faster and you risk depleting it early. This SWR calculator India works out the safe rate for your exact horizon.

The famous 4% Rule comes from the Trinity Study, built for a 30-year US retirement. But if you retire early in India, your money may need to last 45-50 years against 5-7% inflation, so 4% can be too aggressive. This calculator solves for the rate your horizon supports.

SWR = r ÷ [ (1 + r) × (1 − (1 + r)^-H) ]

r = real return = ((1 + return) ÷ (1 + inflation)) − 1. H = horizon in years. This is the reverse-amortisation (annuity) rate that draws your corpus down to zero over exactly H years in today’s money, using beginning-of-year withdrawals. As H grows, the safe rate falls toward your real return.

How to read your result

Recommended rate vs. your plan

The big number is the rate that’s safe for your horizon. Below it, “Your plan withdraws” is your actual rate — your annual expenses divided by your corpus. If your plan is at or below the recommended rate, you’re on solid ground. If it’s higher, the calculator shows roughly how many years your corpus would last so you can adjust.

We flag any rate above 4% as higher-risk (the widely stress-tested ceiling), but we never cap your numbers — the math always reflects exactly what you entered.

Frequently Asked Questions

Why isn’t the safe rate just 4%?

4% was calibrated for a 30-year retirement in the US. Early retirees in India face longer horizons and higher inflation, which lowers the sustainable rate. This tool derives the rate from your actual horizon — roughly 4% at 30 years, closer to 3% at 50 years.

What should I put as my retirement horizon?

The number of years your corpus must last: your planned life expectancy minus your retirement age. If you retire at 45 and plan to age 90, your horizon is 45 years. When in doubt, plan longer — it’s the safer assumption.

Does this account for market crashes?

The formula assumes a smooth average real return, so it doesn’t model sequence-of-returns risk (a bad run early in retirement). That’s exactly why we keep 4% as a caution ceiling and use a conservative post-retirement return by default. Treat the result as a planning guide and keep a cash buffer for down years.

My inputs carried over from another calculator — why?

All the Let’s Get FIREd calculators share your inputs, so you only enter your numbers once. Your corpus can auto-fill from the FIRE Number you calculated elsewhere. Use the Reset button to clear everything and start fresh.

Retire without running out

Every Friday, FIREd Up delivers one insight, one tool, and 3-5 actionable tips to help you build and draw down your corpus safely.