Onni Wealth: Your Journey to Financial Freedom and Happiness
Annual Burn Rate Calculator (Default data represents typical annual expenses for a single adult)
Historical Averages (Last 100 Years):
Average Inflation Rate: ~3.0%
Average Stock Portfolio Return: ~10.0%
| Year | Withdrawal Amount | Portfolio Balance |
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Annual Burn Rate Calculator (Default data represents typical annual expenses for a single adult)
Portfolio Withdrawal Sequence
Recommended Withdrawal Strategy:
- 1. Cash & Savings (Use First)
- No tax implications on withdrawals
- Use for immediate needs
- Allows other investments to grow
- Consider inflation impact on purchasing power
- 2. Taxable Accounts
- Withdrawals treated as Long-Term Capital Gains (LTCG)
- 0% LTCG tax rate for 2025:
- Single filers: Income up to $42,000
- Married filing jointly: Income up to $94,050
- 15% LTCG tax rate applies above these thresholds
- Use tax-loss harvesting to offset gains
- Qualified dividends taxed at LTCG rates
- 3. Traditional IRA/401(k)
- Withdrawals taxed as ordinary income
- Required Minimum Distributions (RMDs) at age 72
- 10% penalty before age 59½
- Consider Roth conversions before RMDs begin
- 4. HSA for Healthcare
- Tax-free for qualified medical expenses
- After 65, can use for non-medical (taxed as income)
- Save receipts for future reimbursements
- Triple tax advantage: tax-free contributions, growth, and withdrawals
- 5. Roth IRA (Use Last)
- Tax-free withdrawals (account 5+ years old, age 59½+)
- No RMDs for original owner
- Ideal for legacy planning
- Maximum tax-free growth potential
40-Year Withdrawal Schedule:
| Year | Age | Cash | Taxable | HSA | Traditional IRA | 401(k) | Roth IRA | Roth Conversion (from Traditional IRA/401(k)) | Dividend Income (1.21% of Taxable) | Total Withdrawal | Tax Burden | Remaining Balance |
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Coast FIRE Calculator
Calculate how much you need invested now to reach your retirement goal without additional contributions.
