Can I retire at age 42 with 480,000?

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 $480,000?

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$39,638$39,285$38,940$38,604$38,276$38,115
2 years$19,623$19,257$18,903$18,560$18,227$18,064
3 years$12,952$12,585$12,232$11,891$11,564$11,404
4 years$9,617$9,251$8,901$8,567$8,247$8,093
5 years$7,617$7,253$6,908$6,580$6,269$6,120
6 years$6,284$5,923$5,583$5,262$4,961$4,817
7 years$5,332$4,974$4,639$4,326$4,034$3,896
8 years$4,618$4,264$3,934$3,629$3,347$3,214
9 years$4,064$3,712$3,389$3,091$2,819$2,691
10 years$3,620$3,272$2,954$2,665$2,402$2,279
11 years$3,257$2,913$2,601$2,319$2,065$1,948
12 years$2,955$2,614$2,308$2,034$1,790$1,678
13 years$2,700$2,363$2,062$1,796$1,561$1,454
14 years$2,481$2,148$1,853$1,594$1,368$1,266
15 years$2,292$1,962$1,673$1,422$1,205$1,108
16 years$2,127$1,800$1,517$1,273$1,065$973
17 years$1,981$1,658$1,380$1,144$944$856
18 years$1,851$1,532$1,260$1,031$839$756
19 years$1,735$1,420$1,153$931$748$669
20 years$1,631$1,319$1,059$844$668$594
21 years$1,537$1,229$974$766$598$527
22 years$1,452$1,147$897$696$536$469
23 years$1,374$1,073$829$634$481$418
24 years$1,303$1,005$766$578$433$373
25 years$1,238$943$710$528$389$333
26 years$1,177$887$658$483$351$298
27 years$1,121$834$611$442$316$266
28 years$1,070$786$568$405$285$238
29 years$1,022$742$529$371$258$214
30 years$977$700$493$341$233$192
31 years$935$662$459$313$210$172
32 years$896$627$428$288$190$154
33 years$860$593$400$265$172$138
34 years$825$562$374$243$156$124
35 years$793$533$349$224$141$112
36 years$762$506$327$206$128$100
37 years$734$481$306$190$116$90
38 years$706$457$287$175$105$81
39 years$681$435$268$162$95$73
40 years$656$413$252$149$86$66
41 years$633$394$236$137$78$59
42 years$611$375$221$127$71$53
43 years$590$357$208$117$65$48
44 years$570$340$195$108$59$43
45 years$551$325$183$100$53$39
46 years$533$310$172$92$48$35
47 years$516$295$162$85$44$31
48 years$500$282$152$79$40$28
49 years$484$269$143$73$36$25
50 years$469$257$134$67$33$23

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $480,000, adding $5,000 every year, while hoping to spend $30,781 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: 73/11/16 Blend
41$480,000$480,000$480,000$480,000
42$534,118$508,678$501,238$570,818
43$555,847$500,852$485,278$587,986
44$578,761$491,611$467,753$602,543
45$602,948$480,854$448,576$617,679
46$628,504$468,471$427,659$633,444
47$655,535$454,350$404,909$649,894
48$684,155$438,369$380,229$667,093
49$714,490$420,400$353,518$685,108
50$746,677$400,308$324,669$704,018
51$780,864$377,949$293,572$723,907
52$817,217$353,173$260,111$744,872
53$855,913$325,819$224,165$767,018
54$897,150$295,718$185,608$790,462
55$941,142$262,691$144,309$815,335
56$988,124$226,549$100,129$841,782
57$1,038,355$187,091$52,925$869,963
58$1,092,117$144,108$2,548$900,058
59$1,149,719$97,376$0$932,263
60$1,211,503$46,660$0$975,542
61$1,277,840$0$0$1,022,427
62$1,349,141$0$0$1,073,786
63$1,425,855$0$0$1,135,135
64$1,508,476$0$0$1,201,225
65$1,597,545$0$0$1,272,491
66$1,693,658$0$0$1,349,411
67$1,797,469$0$0$1,432,511
68$1,909,698$0$0$1,522,370
69$2,031,133$0$0$1,619,622
70$2,162,645$0$0$1,724,966
71$2,305,187$0$0$1,839,169
72$2,459,810$0$0$1,963,076
73$2,627,668$0$0$2,097,616
74$2,810,032$0$0$2,243,809
75$3,008,300$0$0$2,402,780
76$3,224,007$0$0$2,575,763
77$3,458,845$0$0$2,764,120
78$3,714,676$0$0$2,969,346
79$3,993,547$0$0$3,193,090
80$4,297,712$0$0$3,437,162
81$4,629,651$0$0$3,703,558
82$4,992,096$0$0$3,994,475
83$5,388,052$0$0$4,312,330
84$5,820,829$0$0$4,659,784
85$6,294,070$0$0$5,039,768
86$6,811,786$0$0$5,455,508
87$7,378,394$0$0$5,910,556
88$7,998,758$0$0$6,408,824
89$8,678,234$0$0$6,954,621
90$9,422,720$0$0$7,552,690
91$10,238,712$0$0$8,208,256
92$11,133,363$0$0$8,927,074
93$12,114,554$0$0$9,715,480
94$13,190,962$0$0$10,580,456
95$14,372,146$0$0$11,529,691
96$15,668,636$0$0$12,571,653
97$17,092,029$0$0$13,715,672
98$18,655,102$0$0$14,972,025
99$20,371,929$0$0$16,352,033
100$22,258,014$0$0$17,868,167