Can I retire at age 42 with 1,050,000?

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 $1,050,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.1%
1 years$86,708$85,936$85,182$84,447$83,728$82,648
2 years$42,925$42,125$41,351$40,599$39,871$38,784
3 years$28,332$27,529$26,757$26,012$25,296$24,236
4 years$21,037$20,237$19,472$18,740$18,041$17,017
5 years$16,662$15,866$15,111$14,394$13,715$12,728
6 years$13,745$12,956$12,212$11,511$10,852$9,905
7 years$11,663$10,880$10,148$9,464$8,825$7,919
8 years$10,102$9,326$8,606$7,939$7,322$6,455
9 years$8,889$8,120$7,413$6,762$6,166$5,339
10 years$7,919$7,158$6,463$5,829$5,254$4,465
11 years$7,125$6,372$5,690$5,073$4,518$3,768
12 years$6,465$5,719$5,049$4,450$3,915$3,202
13 years$5,906$5,168$4,511$3,929$3,414$2,738
14 years$5,428$4,698$4,053$3,487$2,993$2,352
15 years$5,014$4,292$3,660$3,110$2,635$2,028
16 years$4,652$3,938$3,318$2,785$2,329$1,755
17 years$4,333$3,626$3,019$2,502$2,065$1,523
18 years$4,049$3,351$2,756$2,255$1,836$1,325
19 years$3,796$3,106$2,523$2,037$1,637$1,155
20 years$3,569$2,886$2,316$1,845$1,462$1,009
21 years$3,363$2,688$2,130$1,675$1,308$883
22 years$3,176$2,509$1,963$1,523$1,173$773
23 years$3,006$2,347$1,813$1,387$1,053$678
24 years$2,850$2,199$1,676$1,265$946$595
25 years$2,707$2,063$1,553$1,155$851$523
26 years$2,575$1,939$1,440$1,056$767$460
27 years$2,453$1,825$1,337$967$691$405
28 years$2,340$1,720$1,243$886$624$356
29 years$2,235$1,622$1,157$812$563$314
30 years$2,137$1,532$1,077$745$509$276
31 years$2,046$1,448$1,004$685$460$244
32 years$1,961$1,371$937$629$416$215
33 years$1,880$1,298$875$579$377$190
34 years$1,805$1,230$818$532$341$167
35 years$1,734$1,167$764$490$309$148
36 years$1,668$1,107$715$451$280$130
37 years$1,605$1,052$669$416$254$115
38 years$1,545$1,000$627$383$230$102
39 years$1,489$951$587$353$209$90
40 years$1,436$904$550$326$189$79
41 years$1,385$861$516$301$172$70
42 years$1,337$820$484$278$156$62
43 years$1,291$781$454$256$141$55
44 years$1,248$745$426$237$128$48
45 years$1,206$710$400$218$116$43
46 years$1,167$677$376$202$106$38
47 years$1,129$646$353$186$96$33
48 years$1,093$617$332$172$87$29
49 years$1,058$589$312$159$79$26
50 years$1,025$563$293$147$72$23

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $1,050,000, adding $2,983 every year, while hoping to spend $37,815 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: 38/48/14 Blend
41$1,050,000$1,050,000$1,050,000$1,050,000
42$1,160,177$1,104,527$1,088,252$1,199,240
43$1,238,280$1,118,414$1,084,474$1,241,293
44$1,323,082$1,131,714$1,079,301$1,282,838
45$1,415,227$1,144,358$1,072,648$1,326,916
46$1,515,422$1,156,274$1,064,424$1,373,774
47$1,624,446$1,167,382$1,054,533$1,423,684
48$1,743,156$1,177,600$1,042,876$1,476,949
49$1,872,494$1,186,839$1,029,348$1,533,905
50$2,013,498$1,195,003$1,013,841$1,594,921
51$2,167,310$1,201,993$996,240$1,660,409
52$2,335,186$1,207,701$976,424$1,730,825
53$2,518,510$1,212,014$954,269$1,806,672
54$2,718,805$1,214,809$929,644$1,888,508
55$2,937,747$1,215,959$902,411$1,976,950
56$3,177,182$1,215,326$872,428$2,072,682
57$3,439,143$1,212,766$839,542$2,176,461
58$3,725,868$1,208,123$803,599$2,289,122
59$4,039,821$1,201,235$764,434$2,411,593
60$4,383,714$1,191,928$721,874$2,544,897
61$4,760,538$1,180,017$675,742$2,690,167
62$5,173,583$1,165,308$625,849$2,848,657
63$5,626,474$1,147,594$572,000$3,021,751
64$6,123,203$1,126,654$513,991$3,210,983
65$6,668,167$1,102,258$451,607$3,418,045
66$7,266,210$1,074,159$384,626$3,644,809
67$7,922,667$1,042,096$312,815$3,893,346
68$8,643,415$1,005,795$235,930$4,165,942
69$9,434,927$964,963$153,718$4,465,125
70$10,304,335$919,291$65,913$4,793,687
71$11,259,495$868,453$0$5,154,714
72$12,309,060$812,104$0$5,555,766
73$13,462,565$749,879$0$6,007,234
74$14,730,515$681,391$0$6,503,466
75$16,124,480$606,232$0$7,049,101
76$17,657,211$523,971$0$7,649,261
77$19,342,753$434,152$0$8,309,600
78$21,196,583$336,295$0$9,036,353
79$23,235,750$229,889$0$9,836,406
80$25,479,042$114,399$0$10,717,354
81$27,947,157$0$0$11,687,580
82$30,662,901$0$0$12,762,007
83$33,651,402$0$0$14,011,002
84$36,940,349$0$0$15,385,735
85$40,560,248$0$0$16,898,976
86$44,544,714$0$0$18,564,801
87$48,930,786$0$0$20,398,718
88$53,759,277$0$0$22,417,813
89$59,075,157$0$0$24,640,916
90$64,927,978$0$0$27,088,776
91$71,372,342$0$0$29,784,253
92$78,468,416$0$0$32,752,540
93$86,282,496$0$0$36,021,397
94$94,887,636$0$0$39,621,413
95$104,364,337$0$0$43,586,293
96$114,801,304$0$0$47,953,182
97$126,296,283$0$0$52,763,008
98$138,956,985$0$0$58,060,871
99$152,902,101$0$0$63,896,472
100$168,262,421$0$0$70,324,576