Tool

Monthly income from a lump sum

You have a lump sum and want to live off it: calculate the monthly income you can withdraw over the number of years you set, with the capital invested in the meantime.

Sustainable monthly withdrawal
Depleting the capital exactly at the end of the term
Interest-only withdrawal (perpetual)
Total withdrawn over the term
Return generated during retirement

Assumptions & method

  • Monthly income = an annuity that draws down the capital over the term: C × i ÷ (1 − (1+i)^−n), with i = rate ÷ 12.
  • The 'interest only' line (C × i) is the withdrawal that never touches the capital: smaller, but perpetual.
  • Nominal figures: with 4% inflation, a fixed monthly income loses ~33% of purchasing power in 10 years. Consider withdrawing less at the start.
  • Excludes ISR (income tax) on returns and intermediary fees. Editable assumptions; not a recommendation.
FAQ

The essentials, in brief

How much capital do I need to retire?
Flip the question in this calculator: adjust the capital until the monthly income is enough for you. Quick rule: every $1,000,000 MXN supports roughly $7,000–8,000 a month for 25 years at moderate rates.
What if I live longer than the term?
That's longevity risk: the capital runs out. The options are to plan for more years, withdraw interest only, or buy a life annuity from an insurer that takes on that risk.
What if returns vary?
The sequence of returns matters: bad years early in retirement hurt more than bad years at the end. That's why a liquid buffer of 1–2 years of spending and conservative assumptions are advisable.
Next step

Tell us about your deal

Tell us how much you need and what collateral you can offer. We'll tell you frankly whether it's viable and how we'd structure it.

Request via WhatsApp