How Long Will $1 Million Last?
Spend up to $40,000 a year and $1 million lasts forever. Spend $100,000 a year and it lasts about 13 years.
Assumes the money is invested and earns 4.0% a year after inflation, with all figures in today's dollars. Change any of it below.
In today's dollars. It rises with inflation each year.
$1,000,000 spending $100,000 a year lasts
about 13 years
To make it last forever, keep spending under $40,000 a year.
$1 million at different spending levels
How long the money lasts if you spend the same amount every year, rising with inflation.
| Spending a year | Lasts | Runs out in |
|---|---|---|
| Up to $40,000 | Forever | Never |
| $50,000 | 41 years | 2067 |
| $100,000 | 13 years | 2039 |
| $150,000 | 7 years | 2033 |
| $250,000 | 4 years | 2030 |
| $500,000 | 2 years | 2028 |
A million is a head start, not a finish line
A million dollars still sounds like the definition of rich, but it pays about $40,000 a year forever. That is less than half the typical American household's income. On its own it buys freedom from debt and a lot of options, not a life without work.
Where it shines is time. Spend $60,000 a year and it lasts nearly three decades, long enough to take a career break, start a business or retire a decade early on top of other savings.
In lottery terms, $1 million is not a jackpot. It is the Powerball Match 5 prize, and it is taxed like any other income, so the check is noticeably smaller than the headline.
What jackpot gets you $1 million?
Lottery prizes are taxed as income, so you need to win a lot more than $1 million to keep it. Taking the cash option, it takes a prize of about $1.5 million in a state with no lottery tax like Florida, and about $1.8 million in New York, the most expensive state.
That is less than even the smallest Powerball jackpot, which starts at $20 million advertised. Any jackpot win clears it.
Got a jackpot in mind?
Pick a real jackpot, see what it pays after tax, spend it on everything you want, and see what the rest pays you for life.
Spend the jackpotCommon questions
How long will other amounts last?
Estimates for planning and entertainment, not financial advice. Real returns vary year to year, and a bad run early on shortens how long money lasts. Talk to a financial planner before relying on any of this.