Can I retire at age 42 with 1,080,000?

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 $1,080,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11%
1 years$89,185$88,391$87,616$86,859$86,121$85,758
2 years$44,151$43,329$42,532$41,759$41,010$40,644
3 years$29,142$28,316$27,521$26,756$26,018$25,660
4 years$21,638$20,815$20,028$19,276$18,557$18,209
5 years$17,138$16,319$15,543$14,806$14,106$13,770
6 years$14,138$13,326$12,561$11,840$11,162$10,838
7 years$11,997$11,191$10,438$9,735$9,078$8,766
8 years$10,391$9,593$8,852$8,166$7,531$7,231
9 years$9,143$8,352$7,625$6,956$6,342$6,055
10 years$8,145$7,362$6,647$5,996$5,404$5,128
11 years$7,329$6,554$5,852$5,218$4,647$4,384
12 years$6,650$5,883$5,194$4,577$4,027$3,776
13 years$6,075$5,316$4,640$4,041$3,512$3,272
14 years$5,583$4,832$4,169$3,587$3,078$2,850
15 years$5,157$4,414$3,764$3,199$2,711$2,493
16 years$4,785$4,050$3,413$2,864$2,396$2,188
17 years$4,457$3,730$3,106$2,574$2,124$1,927
18 years$4,165$3,447$2,835$2,319$1,889$1,702
19 years$3,905$3,194$2,595$2,096$1,683$1,506
20 years$3,671$2,968$2,382$1,898$1,504$1,336
21 years$3,459$2,765$2,191$1,723$1,346$1,187
22 years$3,267$2,581$2,019$1,566$1,206$1,056
23 years$3,092$2,414$1,864$1,426$1,083$941
24 years$2,932$2,262$1,724$1,301$973$839
25 years$2,784$2,122$1,597$1,188$876$750
26 years$2,649$1,995$1,481$1,086$789$670
27 years$2,523$1,877$1,375$994$711$599
28 years$2,407$1,769$1,279$911$642$537
29 years$2,299$1,669$1,190$835$579$481
30 years$2,198$1,576$1,108$767$524$431
31 years$2,104$1,490$1,033$704$473$386
32 years$2,017$1,410$964$647$428$347
33 years$1,934$1,335$900$595$387$311
34 years$1,857$1,265$841$548$351$279
35 years$1,784$1,200$786$504$318$251
36 years$1,715$1,139$736$464$288$226
37 years$1,651$1,082$688$428$261$203
38 years$1,589$1,028$645$394$237$182
39 years$1,531$978$604$364$215$164
40 years$1,477$930$566$335$195$147
41 years$1,424$885$531$309$177$133
42 years$1,375$843$498$285$160$119
43 years$1,328$803$467$264$145$107
44 years$1,283$766$439$243$132$97
45 years$1,241$730$412$225$120$87
46 years$1,200$697$387$208$109$78
47 years$1,161$665$363$192$99$70
48 years$1,124$635$341$177$90$63
49 years$1,088$606$321$164$81$57
50 years$1,054$579$302$151$74$51

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $1,080,000, adding $5,279 every year, while hoping to spend $46,942 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: 68/6/26 Blend
41$1,080,000$1,080,000$1,080,000$1,080,000
42$1,195,605$1,138,365$1,121,625$1,268,538
43$1,267,611$1,144,199$1,109,254$1,324,027
44$1,345,388$1,148,746$1,094,895$1,378,865
45$1,429,476$1,151,892$1,078,431$1,437,782
46$1,520,466$1,153,519$1,059,743$1,501,183
47$1,619,011$1,153,499$1,038,702$1,569,513
48$1,725,826$1,151,696$1,015,174$1,643,265
49$1,841,700$1,147,968$989,021$1,722,983
50$1,967,497$1,142,163$960,098$1,809,266
51$2,104,170$1,134,118$928,250$1,902,778
52$2,252,769$1,123,662$893,319$2,004,251
53$2,414,444$1,110,615$855,138$2,114,491
54$2,590,465$1,094,782$813,533$2,234,392
55$2,782,227$1,075,961$768,321$2,364,936
56$2,991,266$1,053,935$719,311$2,507,211
57$3,219,272$1,028,475$666,306$2,662,415
58$3,468,107$999,339$609,095$2,831,872
59$3,739,817$966,270$547,464$3,017,041
60$4,036,657$928,997$481,183$3,219,534
61$4,361,110$887,231$410,016$3,441,130
62$4,715,908$840,670$333,716$3,683,791
63$5,104,058$788,990$252,023$3,949,681
64$5,528,875$731,853$164,669$4,241,189
65$5,994,005$668,899$71,370$4,560,951
66$6,503,465$599,748$0$4,911,873
67$7,061,680$523,997$0$5,304,987
68$7,673,522$441,222$0$5,757,645
69$8,344,354$350,976$0$6,254,018
70$9,080,088$252,783$0$6,798,506
71$9,887,232$146,144$0$7,395,953
72$10,772,955$30,531$0$8,051,699
73$11,745,155$0$0$8,771,624
74$12,812,530$0$0$9,568,456
75$13,984,662$0$0$10,445,773
76$15,272,107$0$0$11,409,470
77$16,686,493$0$0$12,468,257
78$18,240,631$0$0$13,631,733
79$19,948,632$0$0$14,910,474
80$21,826,045$0$0$16,316,127
81$23,889,997$0$0$17,861,528
82$26,159,359$0$0$19,560,816
83$28,654,923$0$0$21,429,570
84$31,399,594$0$0$23,484,953
85$34,418,611$0$0$25,745,877
86$37,739,780$0$0$28,233,178
87$41,393,738$0$0$30,969,811
88$45,414,241$0$0$33,981,072
89$49,838,483$0$0$37,294,830
90$54,707,446$0$0$40,941,794
91$60,066,284$0$0$44,955,799
92$65,964,752$0$0$49,374,127
93$72,457,673$0$0$54,237,860
94$79,605,453$0$0$59,592,262
95$87,474,656$0$0$65,487,210
96$96,138,626$0$0$71,977,664
97$105,678,179$0$0$79,124,183
98$116,182,369$0$0$86,993,498
99$127,749,324$0$0$95,659,140
100$140,487,174$0$0$105,202,136