Retirement Planner
Grow your savings to retirement, then spend them down year by year net of CPP and OAS, and find out the exact age your money runs out, or that it lasts comfortably past 95.
Rates & rules verified · July 2026Primary sources: Canada.ca – CPP payment amounts · CRA – RRSPs and related plans · CRA – Tax-Free Savings Account (TFSA) · CRA – Receiving income from a RRIF · CRA – Tax rates and income brackets
Portfolio balance by age
Balance from today through age 95, climbing while you save, falling once you draw down.
Where your retirement income comes from
Each retirement year's spending, split between CPP, OAS, and portfolio withdrawals.
Year-by-year plan
Every year from retirement to 95. The highlighted row is when the portfolio is exhausted.
| Age | Start balance | Spending | CPP | OAS | From portfolio | End balance |
|---|
How this is calculated
Two phases, in nominal dollars
The model runs in future (nominal) dollars for accuracy and offers a today's-dollars toggle for interpretation. Accumulation (now → retirement) compounds your current savings and monthly contributions: balance each month becomes balance × (1 + r_m) + contribution, where r_m = (1 + return)^(1/12) − 1. Drawdown (retirement → age 95) runs one year at a time.
Drawdown each year
Desired spending is inflated from today's dollars to that year: spend₀ × 12 × (1 + inflation)^(age − currentAge). From it we subtract government benefits, then withdraw the shortfall from the portfolio and grow the remainder at your post-retirement return. When the balance hits zero, that's the age your money runs out.
CPP & OAS (indexed)
CPP uses the July–September 2026 figures, average $877.01/mo or maximum $1,507.65/mo at 65, adjusted for your start age: −0.6%/month before 65 (−36% at 60) and +0.7%/month after 65 (+42% at 70). OAS is $751.97/mo at 65–74 and $827.17/mo from 75 (the automatic 10% boost). Both are indexed to inflation each year. The OAS recovery tax (clawback) is charged on net income, not gross spending: we take net income as CPP + gross OAS + the taxable share of your portfolio withdrawals (RRSP/RRIF is ~100% taxable, TFSA 0%, non-registered roughly the realised gain), and reduce OAS by 15% of the amount above the recovery threshold (about $93,454, indexed), capped at your OAS. This mirrors the canada.ca OAS recovery-tax rule.
Extra savings to reach 95
If your money runs out early, the tool solves for the additional monthly contribution that makes the portfolio last to 95, by bisection, re-running the whole two-phase model until it just survives. That is the honest number to close the gap, not a rule-of-thumb multiple.
FP Canada assumptions
Default returns and 2.1% inflation follow the FP Canada 2026 Projection Assumption Guidelines (60/40 balanced ≈ 5.2% nominal). Defaults are conservative and fully editable.
What this doesn't model
Sequence-of-returns risk: real markets don't return a smooth average, a crash in your first few retirement years is far more damaging than the same crash later, and a fixed return can't show that. It also omits income tax on RRSP/RRIF withdrawals (TFSA withdrawals are tax-free), RRIF minimum withdrawals, GIS, spousal splitting, and one-off events. Pair it with the RRSP vs TFSA tool and the income tax calculator for the fuller picture. Rules verified July 2026.
Common questions
How much do I need to retire in Canada?
It depends on your desired spending net of government benefits. CPP and OAS together replace roughly 25–40% of a typical income, so you only need to fund the gap from your own savings. This planner grows your savings to your retirement age, then draws them down each year to cover your inflation-adjusted spending minus CPP and OAS, and tells you the exact age the money runs out, or that it lasts past 95.
How much is CPP and OAS in 2026?
For the July–September 2026 quarter, maximum CPP at age 65 is about $1,507.65/month and the average is about $877.01/month. Maximum OAS is $751.97/month at ages 65–74 and $827.17/month at 75 and older. OAS is clawed back at 15% of net income above about $93,454. Both benefits are indexed to inflation.
Should I take CPP early at 60 or wait until 70?
CPP is reduced 0.6% for every month you start before 65 (−36% at age 60) and increased 0.7% for every month you delay after 65 (+42% at age 70). Delaying gives a larger, inflation-indexed lifetime benefit that is valuable if you expect to live into your late 80s or beyond. This planner adjusts your CPP automatically based on the retirement age you choose.
Why does this planner show results in today's dollars?
A $1.3M nest egg sounds huge, but after 30 years of inflation it buys far less. The planner runs the math in nominal (future) dollars for accuracy, then lets you toggle to today's dollars, deflating every figure back to 2026 purchasing power, so you can judge whether the plan actually supports the lifestyle you have in mind now.
What is a safe withdrawal rate in retirement?
The 4% rule is a rough starting point, but it ignores government benefits, longevity, and sequence-of-returns risk. This planner does something more realistic: it models each year of retirement to age 95, withdrawing exactly what you need after CPP and OAS, and grows the remaining balance at your post-retirement return. That reveals whether a given spending level is sustainable rather than assuming a fixed percentage.