Can I retire at age 42 with 850,000?

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 $850,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.3%
1 years$70,192$69,567$68,957$68,362$67,780$65,506
2 years$34,749$34,101$33,474$32,866$32,276$30,007
3 years$22,936$22,286$21,660$21,058$20,477$18,285
4 years$17,030$16,382$15,763$15,171$14,605$12,506
5 years$13,488$12,844$12,233$11,653$11,102$9,102
6 years$11,127$10,488$9,886$9,319$8,785$6,885
7 years$9,442$8,808$8,215$7,661$7,144$5,345
8 years$8,178$7,550$6,967$6,427$5,927$4,227
9 years$7,196$6,574$6,001$5,474$4,991$3,388
10 years$6,410$5,794$5,232$4,719$4,253$2,744
11 years$5,768$5,158$4,606$4,107$3,658$2,240
12 years$5,234$4,630$4,088$3,602$3,170$1,841
13 years$4,781$4,184$3,652$3,180$2,764$1,520
14 years$4,394$3,803$3,281$2,823$2,423$1,260
15 years$4,059$3,474$2,963$2,518$2,133$1,048
16 years$3,766$3,188$2,686$2,254$1,885$874
17 years$3,507$2,936$2,444$2,026$1,672$731
18 years$3,278$2,713$2,231$1,825$1,486$612
19 years$3,073$2,514$2,043$1,649$1,325$513
20 years$2,889$2,336$1,875$1,494$1,183$431
21 years$2,722$2,176$1,724$1,356$1,059$362
22 years$2,571$2,031$1,589$1,233$949$305
23 years$2,433$1,900$1,467$1,123$852$257
24 years$2,307$1,780$1,357$1,024$766$216
25 years$2,191$1,670$1,257$935$689$182
26 years$2,085$1,570$1,166$855$621$154
27 years$1,986$1,478$1,082$783$560$130
28 years$1,894$1,392$1,006$717$505$109
29 years$1,809$1,313$936$658$456$92
30 years$1,730$1,240$872$603$412$78
31 years$1,656$1,173$813$554$373$66
32 years$1,587$1,109$759$509$337$56
33 years$1,522$1,051$708$468$305$47
34 years$1,461$996$662$431$276$40
35 years$1,404$945$619$397$250$34
36 years$1,350$897$579$365$227$28
37 years$1,299$851$542$337$205$24
38 years$1,251$809$507$310$186$20
39 years$1,205$769$475$286$169$17
40 years$1,162$732$446$264$153$14
41 years$1,121$697$418$243$139$12
42 years$1,082$664$392$225$126$10
43 years$1,045$632$368$207$114$9
44 years$1,010$603$345$192$104$7
45 years$976$575$324$177$94$6
46 years$944$548$304$163$86$5
47 years$914$523$286$151$78$4
48 years$885$500$269$139$71$4
49 years$857$477$253$129$64$3
50 years$830$456$238$119$58$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $850,000, adding $3,812 every year, while hoping to spend $56,429 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: 37/44/19 Blend
41$850,000$850,000$850,000$850,000
42$940,632$895,582$882,407$969,914
43$976,537$879,426$851,928$975,312
44$1,014,212$860,586$818,536$975,545
45$1,053,779$838,873$782,075$974,625
46$1,095,371$814,083$742,380$972,479
47$1,139,128$786,003$699,280$969,033
48$1,185,208$754,406$652,594$964,211
49$1,233,780$719,052$602,137$957,935
50$1,285,028$679,688$547,710$950,124
51$1,339,153$636,045$489,111$940,696
52$1,396,375$587,840$426,125$929,570
53$1,456,934$534,773$358,529$916,659
54$1,521,091$476,526$286,089$901,878
55$1,589,131$412,765$208,562$885,143
56$1,661,368$343,136$125,694$866,366
57$1,738,142$267,265$37,220$845,464
58$1,819,828$184,756$0$822,351
59$1,906,834$95,193$0$808,541
60$1,999,609$0$0$801,164
61$2,098,642$0$0$793,556
62$2,204,471$0$0$834,750
63$2,317,686$0$0$878,892
64$2,438,932$0$0$926,246
65$2,568,917$0$0$977,098
66$2,708,419$0$0$1,031,763
67$2,858,291$0$0$1,090,586
68$3,019,468$0$0$1,153,946
69$3,192,979$0$0$1,222,261
70$3,379,953$0$0$1,295,989
71$3,581,628$0$0$1,375,632
72$3,799,367$0$0$1,461,744
73$4,034,666$0$0$1,554,931
74$4,289,170$0$0$1,655,863
75$4,564,687$0$0$1,765,272
76$4,863,205$0$0$1,883,968
77$5,186,909$0$0$2,012,838
78$5,538,201$0$0$2,152,859
79$5,919,725$0$0$2,305,105
80$6,334,389$0$0$2,470,759
81$6,785,390$0$0$2,651,121
82$7,276,248$0$0$2,847,624
83$7,810,833$0$0$3,061,841
84$8,393,407$0$0$3,295,507
85$9,028,659$0$0$3,550,529
86$9,721,749$0$0$3,829,009
87$10,478,357$0$0$4,133,258
88$11,304,736$0$0$4,465,821
89$12,207,770$0$0$4,829,502
90$13,195,036$0$0$5,227,385
91$14,274,880$0$0$5,662,868
92$15,456,486$0$0$6,139,693
93$16,749,972$0$0$6,661,979
94$18,166,477$0$0$7,234,264
95$19,718,267$0$0$7,861,543
96$21,418,853$0$0$8,549,321
97$23,283,112$0$0$9,303,658
98$25,327,430$0$0$10,131,230
99$27,569,857$0$0$11,039,390
100$30,030,271$0$0$12,036,238