How much money do I need to never work again?
This is something I work on with a lot of founders, especially those on the road to an exit.
And one big question always comes up:
How much money do I need to never work again?
Not in a “live on the beach forever” kind of way. But realistically if I sold the business, cleared the decks, and wanted financial freedom… What’s the number?
I put together a simple calculator to help with exactly that.
It’s based on a paper from the Yale School of Management and gives you a rough idea of what kind of annual income you could expect to take from a lump sum without burning through the pot.
It’s not perfect. But it’s good enough to run the numbers and ask:
“If I exit for this much, what does life look like after that?”
What the Calculator Covers
- How much you’ll actually take home after tax
- Any one-off spending you might do (mortgage, house, holiday, etc.)
- Where you might place your money (conservative split)
- And the big one: How much you can draw every year without touching the capital
There are versions for USD, GBP, and EUR and I’ve kept the assumptions pretty conservative. No sign-up. No email gate. Just a simple download you can play with:
That $25 Million Number
It comes up a lot. Founders aiming to sell businesses doing $5–10M ARR usually circle that $25M exit figure.
Why? Because it gives you a nice annual income, without needing to work and without touching the core pot.
For a lot of people, it’s a freedom number.
That said, yours might be lower. Might be higher. This just helps you get a clearer picture.
One More Thing
People always imagine that once they sell, all the pressure disappears. It doesn’t.
The practical bits like how much money you need are easy to work through. The harder part is what comes after:
- What will you do?
- What will life look like?
- Will it still feel meaningful?
I’ve worked with plenty of founders post-exit and trust me: it’s a different kind of challenge. Especially if you haven’t planned for it.
So run the numbers. Think it through.
And if you want to chat it over, drop me a line.
Download the calculator here and watch this video walkthrough.