How much capital pays you a monthly income forever, without ever spending the capital, and what your savings would pay.
Figures checked: October 2026 · Methodology and sources
Before tax. The first figure keeps the income growing with the increase you set; the last keeps it flat.
A perpetuity pays an income without ever using up the capital: you only spend what it earns. If the income should also rise with inflation, part of the return has to stay invested so the capital grows at the same pace: capital = yearly income / (return − increase).
It is the most cautious way to plan living off savings, and the formula behind foundations and endowments.
Because the capital only pays out the difference between return and increase. With 5 % return and 2 % increase, you can only spend 3 % a year.
No. The 4 % rule may use up the capital over about 30 years; a perpetuity never does.
The result is before tax. If the income is taxed, plan for a higher income before tax.
Indicative results. This is not financial advice.
Know how much you will have left at the end of the month
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