Can I retire at age 42 with 870,000?

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 $870,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.6%
1 years$71,844$71,204$70,579$69,970$69,375$67,506
2 years$35,566$34,904$34,262$33,639$33,036$31,166
3 years$23,475$22,810$22,170$21,553$20,959$19,148
4 years$17,431$16,768$16,134$15,528$14,948$13,209
5 years$13,805$13,146$12,521$11,927$11,363$9,700
6 years$11,389$10,735$10,118$9,538$8,992$7,407
7 years$9,664$9,015$8,408$7,842$7,313$5,806
8 years$8,371$7,728$7,131$6,578$6,066$4,637
9 years$7,365$6,728$6,142$5,603$5,109$3,756
10 years$6,561$5,931$5,355$4,830$4,353$3,074
11 years$5,904$5,280$4,714$4,204$3,744$2,538
12 years$5,357$4,739$4,184$3,687$3,244$2,108
13 years$4,894$4,282$3,738$3,255$2,829$1,761
14 years$4,498$3,893$3,359$2,890$2,480$1,477
15 years$4,154$3,556$3,032$2,577$2,183$1,244
16 years$3,854$3,263$2,749$2,307$1,930$1,050
17 years$3,590$3,005$2,502$2,073$1,711$889
18 years$3,355$2,776$2,284$1,868$1,521$754
19 years$3,145$2,573$2,091$1,688$1,356$640
20 years$2,957$2,391$1,919$1,529$1,211$545
21 years$2,786$2,227$1,765$1,388$1,084$464
22 years$2,632$2,079$1,627$1,262$972$396
23 years$2,491$1,945$1,502$1,149$872$337
24 years$2,362$1,822$1,389$1,048$784$288
25 years$2,243$1,710$1,286$957$705$246
26 years$2,134$1,607$1,193$875$635$211
27 years$2,033$1,512$1,108$801$573$180
28 years$1,939$1,425$1,030$734$517$154
29 years$1,852$1,344$958$673$467$132
30 years$1,771$1,270$893$618$422$113
31 years$1,695$1,200$832$567$381$97
32 years$1,624$1,136$777$521$345$83
33 years$1,558$1,075$725$479$312$71
34 years$1,496$1,019$677$441$283$61
35 years$1,437$967$633$406$256$52
36 years$1,382$918$593$374$232$45
37 years$1,330$872$555$345$210$38
38 years$1,280$828$519$318$191$33
39 years$1,234$788$487$293$173$28
40 years$1,189$749$456$270$157$24
41 years$1,147$713$428$249$142$21
42 years$1,108$679$401$230$129$18
43 years$1,070$647$376$212$117$15
44 years$1,034$617$353$196$106$13
45 years$999$588$332$181$97$11
46 years$967$561$312$167$88$10
47 years$935$536$293$154$80$8
48 years$905$511$275$143$72$7
49 years$877$488$259$132$66$6
50 years$849$466$243$122$60$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $870,000, adding $6,920 every year, while hoping to spend $24,126 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: 68/9/23 Blend
41$870,000$870,000$870,000$870,000
42$965,878$919,768$906,283$1,025,472
43$1,038,728$939,167$910,974$1,085,682
44$1,118,199$958,707$915,013$1,148,106
45$1,204,943$978,372$918,353$1,215,827
46$1,299,674$998,139$920,945$1,289,367
47$1,403,181$1,017,987$922,736$1,369,303
48$1,516,330$1,037,893$923,672$1,456,268
49$1,640,075$1,057,830$923,695$1,550,963
50$1,775,469$1,077,769$922,745$1,654,157
51$1,923,668$1,097,682$920,758$1,766,701
52$2,085,948$1,117,533$917,669$1,889,531
53$2,263,710$1,137,288$913,407$2,023,679
54$2,458,502$1,156,909$907,900$2,170,281
55$2,672,026$1,176,354$901,070$2,330,592
56$2,906,155$1,195,578$892,839$2,505,993
57$3,162,956$1,214,534$883,122$2,698,008
58$3,444,702$1,233,171$871,831$2,908,314
59$3,753,899$1,251,433$858,875$3,138,763
60$4,093,305$1,269,262$844,156$3,391,394
61$4,465,961$1,286,595$827,574$3,668,454
62$4,875,215$1,303,364$809,024$3,972,421
63$5,324,755$1,319,497$788,394$4,306,026
64$5,818,644$1,334,917$765,570$4,672,280
65$6,361,360$1,349,541$740,430$5,074,501
66$6,957,832$1,363,283$712,848$5,516,345
67$7,613,495$1,376,047$682,692$6,001,843
68$8,334,333$1,387,735$649,824$6,535,440
69$9,126,941$1,398,240$614,099$7,122,031
70$9,998,584$1,407,449$575,366$7,767,015
71$10,957,266$1,415,240$533,468$8,476,342
72$12,011,807$1,421,487$488,238$9,256,568
73$13,171,923$1,426,051$439,506$10,114,922
74$14,448,321$1,428,790$387,092$11,059,370
75$15,852,797$1,429,547$330,806$12,098,692
76$17,398,347$1,428,161$270,454$13,242,566
77$19,099,294$1,424,456$205,829$14,501,660
78$20,971,416$1,418,248$136,718$15,887,728
79$23,032,100$1,409,342$62,899$17,413,730
80$25,300,505$1,397,531$0$19,093,945
81$27,797,740$1,382,593$0$20,948,012
82$30,547,064$1,364,295$0$23,006,109
83$33,574,110$1,342,390$0$25,271,964
84$36,907,118$1,316,617$0$27,766,717
85$40,577,210$1,286,696$0$30,513,661
86$44,618,676$1,252,335$0$33,538,465
87$49,069,303$1,213,221$0$36,869,415
88$53,970,729$1,169,027$0$40,537,681
89$59,368,836$1,119,401$0$44,577,611
90$65,314,182$1,063,977$0$49,027,057
91$71,862,479$1,002,363$0$53,927,730
92$79,075,120$934,147$0$59,325,594
93$87,019,755$858,892$0$65,271,303
94$95,770,930$776,137$0$71,820,675
95$105,410,792$685,395$0$79,035,221
96$116,029,863$586,151$0$86,982,725
97$127,727,896$477,859$0$95,737,885
98$140,614,813$359,945$0$105,383,019
99$154,811,743$231,801$0$116,008,836
100$170,452,167$92,786$0$127,715,303