📉 5% Return Reality Check

Will your retirement plan still fly?

Nest Egg at 50 (5%)
$1.17M
vs $1.42M @7%
4% Rule Income
$47k/yr
~$3.9k/mo
Income Gap
-$12k/yr
vs target
Required Rate
6.1%
to hit target
Comparison
Shortfall Options
Option Monthly Annual Impact
Save more +$1,100 +$13.2k closes gap
Retire later +2 yrs age 52 compounds longer
Spend less -$1k/mo -$12k/yr target ↓
Part-time work $1k/mo $12k/yr bridge income
⚠️
Reality Check
At 5% returns you fall ~$12k/yr short of your target. The gap is manageable: boost savings by $1,100/mo, work two extra years, or blend smaller tweaks.
💡
Low-Risk Route
Keep the $3.5k/mo baseline, plan to retire at 52, and earmark part-time income for the first five years. This cushions sequence-of-returns risk without major lifestyle cuts.

Assumes same $420k starting balance, $3.5k monthly additions, 12-year horizon, and 4% withdrawal rate. Tax effects not shown.