Can I retire at age 42 with 1,020,000?

Use the below retirement simulation to view the chances of a successful retirement.
Confused? Try the simple retirement calculator
About Your Retirement ?
Current Age
Retirement Age
Current Savings $
Annual Deposits $
Annual Withdrawals $
Stock market crash:
Portfolio ?
% in Stocks:
% in Bonds:
% in Cash:
Modify Stock Returns:
0%
Modify Bond Returns:
0%
Modify Cash Returns:
0%
Modify Inflation:
0%
How much money do I need to retire?

This retirement calculator runs simulations based on past data from the S&P 500, 10 Year Treasury Bond, 3 month T-Bill, and US inflation. For each year of each simulation, a random return and inflation amount is chosen.

How to use: Enter your current age and the age when you retire. Then enter your current savings, the amount that you can save annually before you retire, and the amount that you plan to withdraw after retirement. Your annual deposits and withdrawals take inflation into account. For example, if you need $50,000 to live on in retirement using today's dollars, we will automatically take into account the cost of living for your retirement years. The same is true for your annual deposits. Next, decide if you'd like to simulate a stock market crash.

In the portfolio section, choose the makeup of your portfolio with stocks, bonds, and cash. Cash assumes that your money is stored in a savings account. You can then alter the future returns and inflation. For example, if the market has historically returned about 10%, but you think the future will be worse, modify the stock returns by -3%, and the future returns will average out to 7%. Investment fees can also lower stock market returns. Many index funds and ETFs offer extremely low fees and expenses.

Many people receive income in retirement, such as social security, pension plans, part time jobs, annuities, and other benefits. This would allow you to take out smaller distributions every year. Please note that taxes must also be considered, but are not used in this simulation. A 401k, Roth IRA, and Traditional IRA are taxed differently than a standard investment account, as are dividends.

Note: This assumes that the future is at least somewhat like the past. In reality, anything could happen. The Soviet Union collapsed, Japan's Nikkei Index is still well below its 1989 peak. Numerous other markets have changed drastically and never recovered. However, this online tool is helpful in retirement planning and estimating how much you might need for retirement, especially those hoping to retire early. We recommend receiving advice from a financial planner.

Want to retire with $1,020,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.8%
1 years$84,231$83,480$82,748$82,034$81,336$79,402
2 years$41,698$40,922$40,169$39,439$38,732$36,794
3 years$27,523$26,743$25,992$25,269$24,573$22,693
4 years$20,436$19,659$18,916$18,205$17,526$15,718
5 years$16,186$15,413$14,679$13,983$13,323$11,592
6 years$13,353$12,586$11,863$11,182$10,542$8,889
7 years$11,330$10,569$9,858$9,194$8,573$7,000
8 years$9,814$9,060$8,361$7,712$7,112$5,617
9 years$8,635$7,888$7,201$6,569$5,990$4,571
10 years$7,692$6,953$6,278$5,663$5,103$3,761
11 years$6,922$6,190$5,527$4,928$4,389$3,120
12 years$6,280$5,556$4,905$4,323$3,804$2,606
13 years$5,738$5,021$4,382$3,816$3,317$2,188
14 years$5,273$4,564$3,938$3,388$2,907$1,846
15 years$4,871$4,169$3,555$3,021$2,560$1,563
16 years$4,519$3,825$3,223$2,705$2,262$1,327
17 years$4,209$3,523$2,933$2,431$2,006$1,129
18 years$3,934$3,255$2,677$2,190$1,784$964
19 years$3,688$3,017$2,451$1,979$1,590$823
20 years$3,467$2,803$2,249$1,793$1,420$705
21 years$3,267$2,611$2,069$1,627$1,271$604
22 years$3,085$2,438$1,907$1,479$1,139$518
23 years$2,920$2,280$1,761$1,347$1,023$445
24 years$2,769$2,136$1,628$1,229$919$382
25 years$2,630$2,005$1,508$1,122$827$329
26 years$2,502$1,884$1,399$1,026$745$283
27 years$2,383$1,773$1,299$939$672$244
28 years$2,273$1,671$1,208$860$606$210
29 years$2,171$1,576$1,124$789$547$181
30 years$2,076$1,488$1,047$724$494$156
31 years$1,988$1,407$976$665$447$134
32 years$1,905$1,331$910$611$404$116
33 years$1,827$1,261$850$562$366$100
34 years$1,754$1,195$794$517$331$86
35 years$1,685$1,133$743$476$300$74
36 years$1,620$1,076$695$438$272$64
37 years$1,559$1,022$650$404$246$55
38 years$1,501$971$609$372$223$48
39 years$1,446$923$570$343$203$41
40 years$1,395$879$535$317$184$36
41 years$1,345$836$501$292$167$31
42 years$1,299$796$470$270$151$27
43 years$1,254$759$441$249$137$23
44 years$1,212$723$414$230$125$20
45 years$1,172$690$389$212$113$17
46 years$1,133$658$365$196$103$15
47 years$1,097$628$343$181$93$13
48 years$1,061$599$323$167$85$11
49 years$1,028$572$303$155$77$9
50 years$996$547$285$143$70$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $1,020,000, adding $4,357 every year, while hoping to spend $55,649 every year in retirement. These numbers increase with inflation.
Reality usually performs much different than the expected returns. This uses historical averages, but anything can happen. In general, riskier investments have greater returns on average, but more volatility in the short term.
Age Total: 100% Stocks Total: 100% Bonds Total: 100% Cash Total: 62/24/14 Blend
41$1,020,000$1,020,000$1,020,000$1,020,000
42$1,128,534$1,074,474$1,058,664$1,194,389
43$1,184,435$1,067,913$1,034,919$1,232,572
44$1,244,172$1,059,166$1,008,514$1,267,512
45$1,308,078$1,048,066$979,300$1,304,308
46$1,376,519$1,034,438$947,123$1,343,140
47$1,449,893$1,018,095$911,821$1,384,213
48$1,528,640$998,839$873,225$1,427,753
49$1,613,241$976,462$831,158$1,474,009
50$1,704,225$950,742$785,435$1,523,261
51$1,802,172$921,445$735,864$1,575,819
52$1,907,720$888,321$682,241$1,632,025
53$2,021,567$851,109$624,356$1,692,263
54$2,144,484$809,530$561,989$1,756,956
55$2,277,315$763,291$494,909$1,826,573
56$2,420,988$712,079$422,876$1,901,636
57$2,576,525$655,567$345,638$1,982,725
58$2,745,047$593,407$262,934$2,070,479
59$2,927,789$525,231$174,489$2,165,611
60$3,126,107$450,650$80,017$2,268,909
61$3,341,493$369,256$0$2,381,245
62$3,575,589$280,613$0$2,506,695
63$3,830,201$184,265$0$2,656,181
64$4,107,315$79,728$0$2,818,973
65$4,409,118$0$0$2,996,435
66$4,738,014$0$0$3,198,926
67$5,096,652$0$0$3,442,755
68$5,487,944$0$0$3,708,858
69$5,915,098$0$0$3,999,424
70$6,381,645$0$0$4,316,864
71$6,891,470$0$0$4,663,833
72$7,448,853$0$0$5,043,251
73$8,058,504$0$0$5,458,337
74$8,725,611$0$0$5,912,633
75$9,455,884$0$0$6,410,039
76$10,255,613$0$0$6,954,852
77$11,131,725$0$0$7,551,803
78$12,091,846$0$0$8,206,100
79$13,144,377$0$0$8,923,482
80$14,298,569$0$0$9,710,268
81$15,564,614$0$0$10,573,419
82$16,953,734$0$0$11,520,602
83$18,478,293$0$0$12,560,261
84$20,151,907$0$0$13,701,699
85$21,989,579$0$0$14,955,162
86$24,007,832$0$0$16,331,940
87$26,224,869$0$0$17,844,466
88$28,660,743$0$0$19,506,440
89$31,337,546$0$0$21,332,954
90$34,279,615$0$0$23,340,633
91$37,513,763$0$0$25,547,794
92$41,069,529$0$0$27,974,618
93$44,979,458$0$0$30,643,337
94$49,279,406$0$0$33,578,448
95$54,008,879$0$0$36,806,940
96$59,211,401$0$0$40,358,548
97$64,934,929$0$0$44,266,034
98$71,232,303$0$0$48,565,498
99$78,161,739$0$0$53,296,714
100$85,787,387$0$0$58,503,506