{
  "id": "retirement-budget",
  "version": "9114840114fb",
  "status": "published",
  "name": "Retirement Budget Calculator",
  "question": "Does my retirement budget balance?",
  "summary": "Adds up monthly retirement income from Social Security, a pension and a planned withdrawal from savings, subtracts monthly spending, and shows the extra savings a shortfall would need.",
  "category": "finance",
  "subcategory": "retirement",
  "url": "https://www.acalculator.org/finance/retirement-budget-calculator",
  "markdown": "https://www.acalculator.org/finance/retirement-budget-calculator.md",
  "kind": "function",
  "method": "withdrawal = savings × rate ÷ 12; income = Social Security + pension + other income + withdrawal; left = income − spending; extra savings for a shortfall = shortfall × 12 ÷ rate.",
  "assumptions": [
    "All amounts are per month and after any tax.",
    "The withdrawal is a fixed share of today’s savings. The withdrawal rate is a rule of thumb, not a guarantee that the money lasts.",
    "Prices rise over time; rerun the budget each year. Empty boxes count as $0."
  ],
  "inputs": {
    "$schema": "https://json-schema.org/draft/2020-12/schema",
    "type": "object",
    "properties": {
      "ss": {
        "title": "Social Security a month",
        "description": "Your expected monthly Social Security benefit, from your SSA estimate.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 100000000
      },
      "pension": {
        "title": "Pension a month",
        "description": "Any monthly pension or annuity income.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 100000000
      },
      "work": {
        "title": "Other income a month",
        "description": "Part-time work, rent or other monthly income.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 100000000
      },
      "savings": {
        "title": "Retirement savings",
        "description": "What you have in retirement accounts and other savings you will draw on.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 100000000000
      },
      "rate": {
        "title": "Yearly withdrawal rate",
        "description": "The share of your savings you take out each year, often 4%.",
        "type": "number",
        "x-unit": "percent",
        "minimum": 0.1,
        "maximum": 20
      },
      "housing": {
        "title": "Housing",
        "description": "Rent or mortgage, property tax, insurance and upkeep.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 100000000
      },
      "food": {
        "title": "Food",
        "description": "Groceries and eating out.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 100000000
      },
      "health": {
        "title": "Health care",
        "description": "Medicare and other premiums, and out-of-pocket costs.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 100000000
      },
      "transport": {
        "title": "Transportation",
        "description": "Car costs, fuel, insurance and transit.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 100000000
      },
      "fun": {
        "title": "Travel and hobbies",
        "description": "Travel, hobbies, gifts and entertainment.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 100000000
      },
      "other": {
        "title": "Everything else",
        "description": "Utilities, phone, clothing, taxes and anything else.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 100000000
      }
    }
  },
  "outputs": {
    "left": {
      "label": "Left over each month",
      "description": "Monthly income minus monthly spending. Negative means a shortfall.",
      "format": "money"
    },
    "month": {
      "label": "Your month ends",
      "description": "What is left over in words: an amount to spare, nothing to spare, or how much you are short.",
      "format": "text"
    },
    "income": {
      "label": "Income a month",
      "description": "Social Security + pension + other income + the monthly withdrawal.",
      "format": "money"
    },
    "withdrawal": {
      "label": "Withdrawal from savings a month",
      "description": "Savings × withdrawal rate ÷ 12.",
      "format": "money"
    },
    "spending": {
      "label": "Spending a month",
      "description": "Every spending line added up.",
      "format": "money"
    },
    "yearly": {
      "label": "Spending a year",
      "description": "12 × the monthly spending.",
      "format": "money"
    },
    "guaranteed": {
      "label": "Spending covered without savings",
      "description": "(Social Security + pension + other income) ÷ spending × 100.",
      "format": "percent"
    },
    "extra": {
      "label": "Extra savings to cover the shortfall",
      "description": "The shortfall × 12 ÷ withdrawal rate: the savings whose withdrawal would close the gap.",
      "format": "money"
    }
  },
  "defaultAnswer": {
    "inputs": {
      "ss": 2000,
      "pension": 0,
      "work": 0,
      "savings": 400000,
      "rate": 4,
      "housing": 1500,
      "food": 600,
      "health": 700,
      "transport": 350,
      "fun": 400,
      "other": 500
    },
    "outputs": {
      "left": -716.6666666666666,
      "month": "$716.67 short",
      "income": 3333.3333333333335,
      "withdrawal": 1333.3333333333333,
      "spending": 4050,
      "yearly": 48600,
      "guaranteed": 49.382716049382715,
      "extra": 215000
    },
    "text": "Retirement income of $3,333.33 a month against spending of $4,050.00 leaves you $716.67 short."
  },
  "examples": [
    {
      "given": {
        "ss": 2000,
        "pension": 0,
        "work": 0,
        "savings": 400000,
        "rate": 4,
        "housing": 1500,
        "food": 600,
        "health": 700,
        "transport": 350,
        "fun": 400,
        "other": 500
      },
      "expect": {
        "withdrawal": 1333.3333333333333,
        "income": 3333.3333333333335,
        "spending": 4050,
        "left": -716.6666666666666,
        "month": "$716.67 short",
        "guaranteed": 49.382716049382715,
        "extra": 215000
      },
      "source": "Consumer Financial Protection Bureau, Your Money, Your Goals: Monthly budget tool (list income, list spending, subtract spending from income), https://files.consumerfinance.gov/f/documents/cfpb_well-being_monthly-budget.pdf: income − spending; hand calculation in content.mdx: 716.67 × 12 ÷ 0.04 = 215,000"
    },
    {
      "given": {
        "ss": 2500,
        "pension": 1200,
        "savings": 300000,
        "rate": 4,
        "housing": 2000,
        "food": 800,
        "health": 600,
        "other": 600
      },
      "expect": {
        "withdrawal": 1000,
        "income": 4700,
        "spending": 4000,
        "left": 700,
        "month": "$700.00 to spare"
      },
      "source": "Consumer Financial Protection Bureau, Your Money, Your Goals: Monthly budget tool (list income, list spending, subtract spending from income), https://files.consumerfinance.gov/f/documents/cfpb_well-being_monthly-budget.pdf; hand calculation in content.mdx; benefit estimate: Social Security Administration, my Social Security (your benefit estimate), https://www.ssa.gov/myaccount/ (retrieved 2026-10-03)"
    },
    {
      "given": {
        "ss": 1800.5,
        "savings": 0,
        "rate": 4,
        "housing": 1000.25,
        "food": 800.25
      },
      "expect": {
        "left": 0,
        "month": "nothing to spare",
        "guaranteed": 100
      },
      "source": "hand calculation in content.mdx: exact decimals, 1,800.50 − 1,800.50 = 0"
    }
  ],
  "sources": [
    "Consumer Financial Protection Bureau, Your Money, Your Goals: Monthly budget tool (list income, list spending, subtract spending from income). https://files.consumerfinance.gov/f/documents/cfpb_well-being_monthly-budget.pdf (retrieved 2026-10-03)",
    "Social Security Administration, my Social Security account (personal benefit estimates). https://www.ssa.gov/myaccount/ (retrieved 2026-10-03)"
  ],
  "related": [
    "budget",
    "retirement",
    "fire",
    "social-security"
  ],
  "changelog": []
}