Can I retire at age 42 with 1,950,000?

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 $1,950,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.6%
1 years$161,029$159,595$158,195$156,829$155,496$153,808
2 years$79,717$78,233$76,794$75,399$74,046$72,346
3 years$52,617$51,126$49,691$48,309$46,978$45,319
4 years$39,070$37,583$36,162$34,804$33,505$31,900
5 years$30,943$29,466$28,063$26,733$25,470$23,924
6 years$25,527$24,061$22,679$21,378$20,153$18,668
7 years$21,660$20,206$18,847$17,576$16,390$14,966
8 years$18,761$17,320$15,983$14,744$13,597$12,234
9 years$16,508$15,081$13,767$12,559$11,451$10,148
10 years$14,706$13,293$12,002$10,826$9,757$8,514
11 years$13,233$11,834$10,566$9,422$8,391$7,207
12 years$12,006$10,621$9,377$8,264$7,271$6,145
13 years$10,969$9,599$8,378$7,296$6,341$5,270
14 years$10,081$8,725$7,528$6,477$5,558$4,542
15 years$9,312$7,970$6,797$5,776$4,894$3,931
16 years$8,639$7,313$6,162$5,172$4,325$3,413
17 years$8,047$6,735$5,607$4,647$3,835$2,973
18 years$7,520$6,223$5,119$4,188$3,410$2,596
19 years$7,050$5,768$4,686$3,784$3,039$2,271
20 years$6,627$5,359$4,300$3,427$2,715$1,991
21 years$6,245$4,992$3,956$3,110$2,430$1,748
22 years$5,899$4,660$3,646$2,828$2,178$1,537
23 years$5,583$4,358$3,366$2,575$1,955$1,353
24 years$5,293$4,084$3,113$2,349$1,757$1,192
25 years$5,027$3,832$2,883$2,145$1,581$1,052
26 years$4,782$3,602$2,674$1,961$1,424$928
27 years$4,556$3,390$2,483$1,795$1,284$820
28 years$4,346$3,194$2,308$1,645$1,159$725
29 years$4,151$3,013$2,148$1,508$1,046$641
30 years$3,969$2,846$2,001$1,384$945$567
31 years$3,800$2,690$1,865$1,271$855$502
32 years$3,641$2,545$1,741$1,169$773$445
33 years$3,492$2,410$1,625$1,075$700$394
34 years$3,352$2,285$1,518$989$633$349
35 years$3,221$2,167$1,420$910$574$309
36 years$3,097$2,057$1,328$838$520$274
37 years$2,980$1,953$1,243$772$471$243
38 years$2,870$1,856$1,164$712$427$216
39 years$2,765$1,765$1,091$656$387$191
40 years$2,666$1,679$1,022$605$351$170
41 years$2,572$1,599$958$559$319$151
42 years$2,483$1,523$899$515$289$134
43 years$2,398$1,451$844$476$262$119
44 years$2,317$1,383$792$439$238$105
45 years$2,240$1,319$744$406$216$93
46 years$2,166$1,258$698$375$196$83
47 years$2,096$1,200$656$346$178$74
48 years$2,029$1,146$617$320$162$65
49 years$1,965$1,094$580$296$147$58
50 years$1,904$1,045$545$273$134$51

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $1,950,000, adding $3,691 every year, while hoping to spend $21,072 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: 61/17/22 Blend
41$1,950,000$1,950,000$1,950,000$1,950,000
42$2,152,707$2,049,357$2,019,132$2,271,348
43$2,349,863$2,127,355$2,064,353$2,430,115
44$2,566,422$2,208,469$2,110,382$2,600,676
45$2,804,342$2,292,829$2,157,224$2,786,362
46$3,065,778$2,380,571$2,204,885$2,988,647
47$3,353,106$2,471,837$2,253,367$3,209,153
48$3,668,942$2,566,776$2,302,673$3,449,668
49$4,016,168$2,665,542$2,352,807$3,712,156
50$4,397,960$2,768,297$2,403,769$3,998,783
51$4,817,818$2,875,209$2,455,561$4,311,930
52$5,279,596$2,986,455$2,508,184$4,654,220
53$5,787,542$3,102,219$2,561,635$5,028,541
54$6,346,336$3,222,691$2,615,914$5,438,074
55$6,961,133$3,348,074$2,671,017$5,886,318
56$7,637,614$3,478,576$2,726,942$6,377,131
57$8,382,040$3,614,415$2,783,684$6,914,756
58$9,201,307$3,755,820$2,841,236$7,503,871
59$10,103,014$3,903,029$2,899,592$8,149,625
60$11,095,536$4,056,292$2,958,743$8,857,689
61$12,188,098$4,215,868$3,018,678$9,634,309
62$13,390,867$4,382,029$3,079,387$10,486,366
63$14,715,046$4,555,059$3,140,857$11,421,437
64$16,172,978$4,735,254$3,203,073$12,447,870
65$17,778,264$4,922,924$3,266,018$13,574,861
66$19,545,892$5,118,392$3,329,675$14,812,536
67$21,492,377$5,321,997$3,394,023$16,172,054
68$23,635,917$5,534,092$3,459,040$17,665,706
69$25,996,564$5,755,047$3,524,702$19,307,032
70$28,596,416$5,985,246$3,590,981$21,110,949
71$31,459,821$6,225,093$3,657,849$23,093,890
72$34,613,610$6,475,010$3,725,274$25,273,959
73$38,087,349$6,735,437$3,793,222$27,671,103
74$41,913,619$7,006,833$3,861,656$30,307,295
75$46,128,322$7,289,682$3,930,535$33,206,748
76$50,771,018$7,584,484$3,999,815$36,396,135
77$55,885,305$7,891,766$4,069,452$39,904,844
78$61,519,221$8,212,078$4,139,394$43,765,258
79$67,725,706$8,545,995$4,209,588$48,013,051
80$74,563,096$8,894,116$4,279,976$52,687,534
81$82,095,674$9,257,070$4,350,498$57,832,017
82$90,394,280$9,635,513$4,421,087$63,494,222
83$99,536,976$10,030,134$4,491,674$69,726,732
84$109,609,786$10,441,648$4,562,183$76,587,484
85$120,707,504$10,870,808$4,632,535$84,140,316
86$132,934,590$11,318,399$4,702,646$92,455,570
87$146,406,160$11,785,242$4,772,426$101,610,756
88$161,249,065$12,272,196$4,841,779$111,691,276
89$177,603,095$12,780,159$4,910,604$122,791,238
90$195,622,294$13,310,071$4,978,794$135,014,337
91$215,476,419$13,862,914$5,046,233$148,474,835
92$237,352,534$14,439,717$5,112,803$163,298,638
93$261,456,785$15,041,556$5,178,374$179,624,484
94$288,016,339$15,669,555$5,242,812$197,605,250
95$317,281,534$16,324,891$5,305,975$217,409,394
96$349,528,236$17,008,796$5,367,710$239,222,545
97$385,060,447$17,722,558$5,427,859$263,249,254
98$424,213,173$18,467,524$5,486,253$289,714,921
99$467,355,590$19,245,106$5,542,716$318,867,923
100$514,894,522$20,056,778$5,597,059$350,981,958