How Long Will My Money Last With Social Security?
Social Security changes this question completely. The typical retired worker receives about $1,976 a month, which means savings only have to cover what is left over — and that gap is usually far smaller than people assume.
Enter the gap, not your spending
This is the mistake that makes people think they cannot afford to retire. If you spend $4,500 a month and Social Security pays $1,976, your savings need to produce about $2,524 — not $4,500. On a $500,000 balance those two inputs give wildly different answers.
| Monthly spending | Social Security | Savings must cover | How long $500,000 lasts |
|---|---|---|---|
| $3,000 | $1,976 | $1,024 | ∞ |
| $3,500 | $1,976 | $1,524 | 44.9 years |
| $4,000 | $1,976 | $2,024 | 28.6 years |
| $4,500 | $1,976 | $2,524 | 21.2 years |
| $5,000 | $1,976 | $3,024 | 16.8 years |
| $6,000 | $1,976 | $4,024 | 12.0 years |
5% return, 2.5% inflation, no tax. Enter your own balance above.
Why the gap shrinks the risk so much
Social Security is inflation-adjusted and lasts as long as you do. That makes it the sturdiest part of a retirement plan, and it means the portion of your spending it covers carries no longevity risk at all. A retiree whose guaranteed income covers most of their essential costs can survive a bad market by trimming discretionary spending; a retiree funding everything from a portfolio cannot.
The two-stage problem if you retire before claiming
Most people do not retire and claim on the same day. If you stop working at 62 and claim at 67, savings carry the full load for five years and then only the gap after that. The calculator on this page models a constant withdrawal, so run it twice:
- Stage one — full spending from savings, for the years before Social Security starts.
- Stage two — take the balance the calculator shows at the end of stage one, then re-run it with the smaller gap.
The bridge calculator walks through this properly, including why the front-loaded spending is usually worth it.
Getting your own benefit number
Do not use the average. Create an account at ssa.gov and read your statement — it shows your estimated benefit at 62, at full retirement age and at 70, based on your actual earnings record. The spread between those three numbers is typically larger than any investment decision you will make in retirement.
Taxes on the combination
Once savings withdrawals and Social Security are added together, up to 85% of the benefit can become taxable income. That is why the tax field on this calculator matters more for retirees with Social Security than for those without. See how Social Security is taxed for the thresholds.
Frequently asked questions
Should I include Social Security in a retirement calculator?
Subtract it from your spending rather than adding it to your assets. Retirement calculators model what your savings must produce, so the correct input is monthly spending minus Social Security, pension and any other guaranteed income.
What is the average Social Security benefit?
About $1,976 a month for a retired worker, with a maximum near $4,018 for someone claiming at full retirement age after a full career at the taxable maximum. Your own figure is on your ssa.gov statement.
Does Social Security keep up with inflation?
It is adjusted annually by the cost-of-living adjustment, which is based on a consumer price index. It is the only major retirement income source that adjusts automatically, which is why it is worth treating as the foundation rather than a supplement.
How long will $500,000 last with Social Security?
If you spend $4,000 a month and Social Security covers $1,976, savings need to produce $2,024 a month — and $500,000 lasts about 28.6 years at 5% returns. Without Social Security, covering the full $4,000 would exhaust it in about 12.1 years.
More on Social Security
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SavingsLast calculators are educational estimates. They assume a constant average return and steady inflation; real markets are volatile and sequence-of-returns risk can shorten how long money lasts. Nothing here is financial, investment, tax, or legal advice. Consult a qualified professional before making decisions.