How Long Your Money Actually Lasts in Retirement With $1.8 Million

"Retiring with $1.8 million in the bank is going to put you in a very strong financial position relative to most Americans, but it's also a dollar amount that leaves you in something of an interesting position. It's enough money to support a comfortable retirement with proper planning, but not enough money to ignore spending decisions or go crazy with luxury vehicles and European vacations."

"The 4% rule is popular for a reason, as it creates a traditional starting point that anyone can use to help outline just how long $1.8 million can last in retirement. With this number, you know off the bat that you can withdraw approximately $72,000 annually, adjusted for inflation each year, and plan to have enough money to last approximately 30 years, assuming historical returns hold steady."

Retiring with $1.8 million provides a strong financial base capable of supporting a comfortable, middle-class lifestyle with prudent planning. Retirement longevity depends on withdrawal rates, retirement age, investment returns, and cost of living where one lives. Using the 4% rule yields about $72,000 annually, which historically can last roughly 30 years; a 3.5% rate yields about $63,000 and extends longevity, while a 5% rate yields about $90,000 but increases the risk of depletion. Beginning with a conservative withdrawal rate improves odds of lasting 35–40 years, but reduces spending power during healthier early retirement years. Disciplined investing and spending choices determine overall sustainability.

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