Question 1

What is a "real return" and why does it matter for retirement planning?

Accepted Answer

A real return is your investment return after subtracting inflation. For example, if your portfolio earns 7% per year but inflation is 2.5%, your real return is roughly 4.5%. Using real returns keeps all projections in today's dollars, so the spending power of your retirement income is directly comparable to what you earn now. This planner applies the real return during both accumulation (growing your nest egg) and decumulation (drawing it down), giving you an inflation-honest picture of your retirement readiness.

Question 2

What is the FIRE movement and how does this planner support it?

Accepted Answer

FIRE stands for Financial Independence, Retire Early. Followers aim to accumulate a portfolio large enough that investment returns cover all living expenses indefinitely, allowing them to stop working well before traditional retirement age. This planner supports FIRE analysis by letting you set an early retirement age, a target annual income, and enable the Leave an Inheritance toggle (which checks whether your portfolio's principal is preserved). The Safe Stop optimizer automatically identifies the earliest age at which your current savings rate produces a sustainable retirement.

Question 3

How does the Safe Stop optimizer work?

Accepted Answer

The Safe Stop optimizer scans every possible retirement age from one year after your current age up to 30 years beyond your selected retirement age (capped at your life expectancy). At each candidate age it runs a full two-phase retirement projection using your current inputs. It identifies two key ages: the Earliest Safe Age — the youngest age at which your portfolio survives to life expectancy without hitting zero — and the Earliest Perpetual Age — the youngest age at which the final balance equals or exceeds the nest egg you had at retirement, meaning principal is never depleted. These ages appear in the message box below the summary cards.

Question 4

How should I enter CPP, OAS, or Social Security pension income?

Accepted Answer

Enter the total annual government pension you expect in the "Government Pension (Annual)" field, and set the age at which payments begin in "Pension Start Age". In Canada, CPP and OAS are typically claimed between ages 60 and 70 — delaying CPP beyond 65 increases payments by 0.7% per month, while taking it early reduces them. In the United States, Social Security benefits can start as early as 62 but are permanently reduced; waiting until age 70 maximizes the monthly benefit. The planner subtracts your pension from your target income to calculate the net annual withdrawal required from your portfolio, which significantly extends how long your savings last.

Question 5

What is the 4% rule and does this planner use it?

Accepted Answer

The 4% rule, derived from the Trinity Study, suggests that a retiree can withdraw 4% of their portfolio in the first year of retirement and adjust for inflation each year, with a high probability of the portfolio lasting 30 years. This planner does not hard-code the 4% rule. Instead, it calculates your actual withdrawal rate based on your target income, government pension, and projected nest egg, then simulates year-by-year portfolio performance. This gives you a personalized, dynamic view rather than a one-size-fits-all guideline — particularly important for early retirees who may need portfolios to last 40 or 50 years.

Advanced Retirement Planner

Savings

Rates

Retirement Income

Custom Contributions

Portfolio Trajectory

Retirement Planning — Common Questions

Advanced Retirement Planner

Savings

Rates

Retirement Income

Custom Contributions

Portfolio Trajectory

Retirement Planning — Common Questions

The Mathematics of Time (Why Planning Matters)

The Two Phases of Wealth (Accumulation vs. Decumulation)

What is 'Coast FIRE' and the Safe Stop?

The Stratos Recommended Curriculum

Where to Find Your Exact Pension Numbers