Can I retire at age 42 with 1,960,000?

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 $1,960,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.9%
1 years$161,855$160,413$159,007$157,634$156,293$150,092
2 years$80,126$78,634$77,188$75,785$74,425$68,255
3 years$52,887$51,388$49,946$48,556$47,218$41,273
4 years$39,270$37,776$36,348$34,982$33,677$28,001
5 years$31,102$29,617$28,207$26,870$25,600$20,209
6 years$25,658$24,184$22,796$21,488$20,257$15,153
7 years$21,771$20,310$18,943$17,666$16,474$11,657
8 years$18,858$17,409$16,065$14,820$13,667$9,131
9 years$16,593$15,158$13,837$12,623$11,510$7,247
10 years$14,782$13,361$12,064$10,881$9,807$5,811
11 years$13,301$11,894$10,621$9,470$8,434$4,695
12 years$12,068$10,676$9,425$8,307$7,309$3,816
13 years$11,025$9,648$8,421$7,333$6,373$3,116
14 years$10,132$8,770$7,566$6,510$5,587$2,555
15 years$9,359$8,011$6,831$5,806$4,919$2,101
16 years$8,684$7,350$6,194$5,198$4,348$1,732
17 years$8,088$6,769$5,636$4,671$3,855$1,431
18 years$7,559$6,255$5,145$4,209$3,428$1,184
19 years$7,086$5,797$4,710$3,803$3,055$981
20 years$6,661$5,387$4,323$3,445$2,729$814
21 years$6,278$5,018$3,976$3,126$2,442$676
22 years$5,929$4,684$3,664$2,842$2,189$561
23 years$5,611$4,381$3,383$2,589$1,965$467
24 years$5,320$4,104$3,129$2,361$1,766$388
25 years$5,053$3,852$2,898$2,156$1,589$323
26 years$4,807$3,620$2,688$1,972$1,431$269
27 years$4,579$3,407$2,496$1,805$1,291$224
28 years$4,368$3,210$2,320$1,653$1,165$187
29 years$4,172$3,029$2,159$1,516$1,052$155
30 years$3,990$2,860$2,011$1,392$950$130
31 years$3,819$2,704$1,875$1,278$859$108
32 years$3,660$2,558$1,749$1,174$777$90
33 years$3,510$2,423$1,633$1,080$703$75
34 years$3,370$2,296$1,526$994$637$63
35 years$3,237$2,178$1,427$915$577$52
36 years$3,113$2,067$1,335$843$522$43
37 years$2,995$1,963$1,249$776$474$36
38 years$2,884$1,866$1,170$715$429$30
39 years$2,779$1,774$1,096$660$389$25
40 years$2,680$1,688$1,027$608$353$21
41 years$2,585$1,607$963$561$320$18
42 years$2,495$1,530$904$518$291$15
43 years$2,410$1,458$848$478$264$12
44 years$2,329$1,390$796$442$239$10
45 years$2,251$1,325$747$408$217$8
46 years$2,178$1,264$702$377$197$7
47 years$2,107$1,207$660$348$179$6
48 years$2,040$1,152$620$322$163$5
49 years$1,975$1,100$583$297$148$4
50 years$1,914$1,051$548$275$134$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $1,960,000, adding $3,732 every year, while hoping to spend $54,962 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: 56/30/14 Blend
41$1,960,000$1,960,000$1,960,000$1,960,000
42$2,163,770$2,059,890$2,029,510$2,276,908
43$2,325,995$2,102,345$2,039,019$2,396,526
44$2,502,925$2,145,039$2,047,005$2,520,445
45$2,696,002$2,187,924$2,053,358$2,654,158
46$2,906,813$2,230,951$2,057,964$2,798,610
47$3,137,105$2,274,065$2,060,703$2,954,847
48$3,388,801$2,317,205$2,061,448$3,124,017
49$3,664,019$2,360,309$2,060,067$3,307,389
50$3,965,091$2,403,306$2,056,421$3,506,360
51$4,294,583$2,446,121$2,050,364$3,722,469
52$4,655,323$2,488,673$2,041,743$3,957,413
53$5,050,423$2,530,874$2,030,399$4,213,063
54$5,483,311$2,572,632$2,016,162$4,491,480
55$5,957,762$2,613,845$1,998,857$4,794,938
56$6,477,935$2,654,405$1,978,300$5,125,941
57$7,048,409$2,694,195$1,954,298$5,487,252
58$7,674,228$2,733,091$1,926,648$5,881,914
59$8,360,946$2,770,960$1,895,138$6,313,285
60$9,114,685$2,807,659$1,859,547$6,785,063
61$9,942,183$2,843,036$1,819,642$7,301,327
62$10,850,868$2,876,926$1,775,182$7,866,573
63$11,848,917$2,909,156$1,725,912$8,485,757
64$12,945,342$2,939,540$1,671,565$9,164,343
65$14,150,070$2,967,880$1,611,865$9,908,356
66$15,474,035$2,993,965$1,546,521$10,724,434
67$16,929,285$3,017,568$1,475,228$11,619,898
68$18,529,093$3,038,449$1,397,669$12,602,818
69$20,288,082$3,056,355$1,313,512$13,682,089
70$22,222,361$3,071,011$1,222,410$14,867,518
71$24,349,682$3,082,130$1,124,000$16,169,916
72$26,689,599$3,089,405$1,017,904$17,601,200
73$29,263,660$3,092,507$903,725$19,174,506
74$32,095,604$3,091,091$781,051$20,904,318
75$35,211,588$3,084,787$649,449$22,806,597
76$38,640,434$3,073,205$508,469$24,898,943
77$42,413,895$3,055,929$357,640$27,200,754
78$46,566,962$3,032,519$196,470$29,733,412
79$51,138,187$3,002,507$24,447$32,520,489
80$56,170,051$2,965,399$0$35,587,968
81$61,709,362$2,920,669$0$38,988,259
82$67,807,696$2,867,762$0$42,734,606
83$74,521,887$2,806,087$0$46,858,237
84$81,914,555$2,735,021$0$51,397,601
85$90,054,706$2,653,904$0$56,395,076
86$99,018,375$2,562,034$0$61,897,362
87$108,889,349$2,458,673$0$67,955,933
88$119,759,951$2,343,037$0$74,627,517
89$131,731,917$2,214,297$0$81,974,635
90$144,917,353$2,071,578$0$90,066,194
91$159,439,789$1,913,951$0$98,978,135
92$175,435,351$1,740,438$0$108,794,155
93$193,054,040$1,550,003$0$119,606,497
94$212,461,150$1,341,552$0$131,516,821
95$233,838,828$1,113,928$0$144,637,169
96$257,387,787$865,909$0$159,091,021
97$283,329,209$596,206$0$175,014,466
98$311,906,823$303,455$0$192,557,484
99$343,389,212$0$0$211,885,370
100$378,072,343$0$0$233,184,842