Can I retire at age 42 with 700,000?

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 $700,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.5%
1 years$57,805$57,290$56,788$56,298$55,819$53,903
2 years$28,617$28,084$27,567$27,066$26,580$24,669
3 years$18,888$18,353$17,838$17,342$16,864$15,018
4 years$14,025$13,491$12,981$12,494$12,027$10,261
5 years$11,108$10,577$10,074$9,596$9,143$7,461
6 years$9,164$8,637$8,141$7,674$7,235$5,637
7 years$7,776$7,254$6,765$6,309$5,884$4,371
8 years$6,735$6,218$5,738$5,293$4,881$3,453
9 years$5,926$5,414$4,942$4,508$4,111$2,764
10 years$5,279$4,772$4,308$3,886$3,502$2,236
11 years$4,750$4,248$3,793$3,382$3,012$1,823
12 years$4,310$3,813$3,366$2,967$2,610$1,496
13 years$3,938$3,446$3,008$2,619$2,276$1,233
14 years$3,619$3,132$2,702$2,325$1,995$1,021
15 years$3,343$2,861$2,440$2,073$1,757$848
16 years$3,101$2,625$2,212$1,857$1,553$706
17 years$2,889$2,418$2,013$1,668$1,377$590
18 years$2,700$2,234$1,837$1,503$1,224$493
19 years$2,531$2,070$1,682$1,358$1,091$413
20 years$2,379$1,924$1,544$1,230$975$346
21 years$2,242$1,792$1,420$1,117$872$291
22 years$2,117$1,673$1,309$1,015$782$244
23 years$2,004$1,565$1,208$925$702$205
24 years$1,900$1,466$1,118$843$631$173
25 years$1,805$1,376$1,035$770$568$145
26 years$1,717$1,293$960$704$511$122
27 years$1,635$1,217$891$645$461$103
28 years$1,560$1,147$829$591$416$87
29 years$1,490$1,082$771$542$376$73
30 years$1,425$1,021$718$497$339$62
31 years$1,364$966$670$456$307$52
32 years$1,307$914$625$419$278$44
33 years$1,254$865$583$386$251$37
34 years$1,203$820$545$355$227$31
35 years$1,156$778$510$327$206$26
36 years$1,112$738$477$301$187$22
37 years$1,070$701$446$277$169$19
38 years$1,030$666$418$256$153$16
39 years$993$634$391$236$139$13
40 years$957$603$367$217$126$11
41 years$923$574$344$201$114$9
42 years$891$547$323$185$104$8
43 years$861$521$303$171$94$7
44 years$832$496$284$158$86$6
45 years$804$473$267$146$78$5
46 years$778$452$251$135$70$4
47 years$753$431$236$124$64$3
48 years$728$411$221$115$58$3
49 years$705$393$208$106$53$2
50 years$683$375$196$98$48$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $700,000, adding $4,033 every year, while hoping to spend $20,560 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: 69/18/13 Blend
41$700,000$700,000$700,000$700,000
42$775,560$738,460$727,610$826,567
43$832,791$752,769$730,109$875,297
44$895,171$767,090$732,003$925,746
45$963,203$781,402$733,250$980,405
46$1,037,441$795,682$733,805$1,039,687
47$1,118,495$809,905$733,622$1,104,043
48$1,207,037$824,045$732,654$1,173,973
49$1,303,805$838,074$730,848$1,250,027
50$1,409,613$851,959$728,151$1,332,810
51$1,525,358$865,670$724,508$1,422,991
52$1,652,025$879,168$719,860$1,521,305
53$1,790,702$892,417$714,146$1,628,561
54$1,942,583$905,376$707,300$1,745,655
55$2,108,988$918,001$699,255$1,873,570
56$2,291,366$930,244$689,942$2,013,390
57$2,491,315$942,056$679,285$2,166,312
58$2,710,596$953,383$667,207$2,333,654
59$2,951,146$964,168$653,628$2,516,867
60$3,215,100$974,349$638,461$2,717,551
61$3,504,810$983,862$621,619$2,937,472
62$3,822,866$992,637$603,009$3,178,572
63$4,172,121$1,000,599$582,533$3,442,996
64$4,555,719$1,007,670$560,090$3,733,103
65$4,977,123$1,013,767$535,573$4,051,497
66$5,440,147$1,018,798$508,872$4,401,048
67$5,948,992$1,022,670$479,870$4,784,916
68$6,508,290$1,025,281$448,446$5,206,586
69$7,123,139$1,026,523$414,472$5,669,901
70$7,799,160$1,026,284$377,818$6,179,092
71$8,542,542$1,024,440$338,343$6,738,827
72$9,360,108$1,020,864$295,904$7,354,248
73$10,259,372$1,015,419$250,349$8,031,023
74$11,248,613$1,007,960$201,521$8,775,399
75$12,336,954$998,333$149,255$9,594,263
76$13,534,448$986,375$93,379$10,495,203
77$14,852,168$971,914$33,714$11,486,584
78$16,302,317$954,766$0$12,577,626
79$17,898,342$934,737$0$13,782,644
80$19,655,056$911,623$0$15,113,943
81$21,588,784$885,205$0$16,579,213
82$23,717,514$855,254$0$18,192,087
83$26,061,064$821,525$0$19,967,590
84$28,641,273$783,760$0$21,922,278
85$31,482,207$741,688$0$24,074,398
86$34,610,380$695,019$0$26,444,058
87$38,055,013$643,449$0$29,053,417
88$41,848,300$586,654$0$31,926,896
89$46,025,721$524,294$0$35,091,407
90$50,626,369$456,009$0$38,576,608
91$55,693,323$381,418$0$42,415,184
92$61,274,052$300,118$0$46,643,153
93$67,420,866$211,684$0$51,300,209
94$74,191,407$115,669$0$56,430,098
95$81,649,191$11,598$0$62,081,027
96$89,864,213$0$0$68,306,123
97$98,913,601$0$0$75,183,945
98$108,882,348$0$0$82,763,100
99$119,864,115$0$0$91,112,507
100$131,962,107$0$0$100,310,641