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//// Financial · Passive Income

Passive Income Calculator

How much capital do you need to replace your income? Mix dividends, REITs, bonds, and HYSA — see blended yield, capital needed, time to target, and a 20-year projection.

Where this fits

📈 Investing & WealthFounders

This tool sits in the investing & wealth domain and connects best with the next tools in that decision lane.

401(k) Limit 2024$23,000
Roth IRA Limit$7,000
S&P 500 Avg Return~10%/yr

The 4% rule says you need 25× your annual expenses invested. But the right yield mix — dividends, REITs, bonds, HYSA — matters as much as the total. Higher yield means less capital needed, but more risk.

Your Goals

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Income Mix Builder

100% ✓
Dividend Stocks30%
Yield override:% (avg 1.5–2%)
REITs25%
Yield override:% (avg 4–5%)
Bonds / Bond Funds20%
Yield override:% (current ~4.5–5%)
HYSA / Savings25%
Yield override:% (current ~4.5%)
Blended annual yield: 3.7%
Capital Needed
$966,443
at 3.7% blended yield
4% Rule (FIRE)
$900,000
25× annual expenses
Current Gap
$941,443
still to accumulate
Time to Target
48.5 yrs
at current savings rate
Current Monthly Income
$78
from current savings
In 20 Years
$715/mo
$230,428 portfolio

Income Stream Breakdown

StreamAllocationYieldCapital NeededMonthly Income
Dividend Stocks30%1.8%$289,933$423
REITs25%4.5%$241,611$906
Bonds20%4.8%$193,289$765
HYSA / Savings25%4.5%$241,611$906
Total100%3.7%$966,443$3,000
1

Target Annual Income

target monthly × 12

$3,000 × 12

= $36,000

Your investment portfolio needs to produce this much every year.

2

Blended Yield

(div% × div_yield) + (REIT% × REIT_yield) + (bond% × bond_yield) + (savings% × savings_yield)

(30% × 1.75%) + (25% × 4.5%) + (20% × 4.75%) + (25% × 4.5%)

= 3.7%

Weighted average annual yield across your income mix.

3

Capital Needed (at blended yield)

annual income ÷ blended yield

$36,000 ÷ 3.7%

= $966,443

How much invested capital generates your target income at your blended yield.

4

4% Rule Comparison

annual income ÷ 4%

$36,000 ÷ 4%

= $900,000

The classic FIRE number — 25× annual expenses. Your blended yield may require more or less.

5

Current Savings Gap

capital needed − current savings

$966,443 − $25,000

= $941,443

How much more you need to accumulate to hit your passive income target.

6

Time to Target

FV = P(1+r)^n + PMT × [(1+r)^n − 1] / r ≥ capital needed

P=$25,000, PMT=$500/mo, r=3.7%/yr

= 48.5 years

How long until compound growth + contributions reach your capital target.

7

20-Year Projection

FV₂₄₀ = P(1+r)^240 + PMT × [(1+r)^240 − 1] / r

P=$25,000, PMT=$500/mo

= $230,428 → $715/mo

Projected portfolio value in 20 years and the monthly passive income it would generate.

#ShowYourWork

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