Can I retire at age 54 with 505,000?

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 $505,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.2%
1 years$41,702$41,331$40,969$40,615$40,269$39,248
2 years$20,645$20,260$19,888$19,526$19,176$18,154
3 years$13,626$13,240$12,869$12,511$12,166$11,175
4 years$10,118$9,733$9,365$9,013$8,677$7,724
5 years$8,013$7,631$7,268$6,923$6,596$5,685
6 years$6,611$6,231$5,873$5,536$5,219$4,350
7 years$5,609$5,233$4,881$4,552$4,245$3,417
8 years$4,859$4,486$4,139$3,818$3,521$2,736
9 years$4,275$3,905$3,565$3,252$2,965$2,221
10 years$3,809$3,442$3,108$2,804$2,527$1,823
11 years$3,427$3,065$2,736$2,440$2,173$1,508
12 years$3,109$2,751$2,428$2,140$1,883$1,257
13 years$2,841$2,486$2,170$1,889$1,642$1,052
14 years$2,611$2,260$1,949$1,677$1,439$885
15 years$2,411$2,064$1,760$1,496$1,267$747
16 years$2,237$1,894$1,596$1,339$1,120$633
17 years$2,084$1,744$1,452$1,203$993$537
18 years$1,948$1,612$1,326$1,085$883$457
19 years$1,826$1,494$1,214$980$787$389
20 years$1,716$1,388$1,114$888$703$332
21 years$1,617$1,293$1,024$805$629$284
22 years$1,528$1,207$944$732$564$243
23 years$1,446$1,129$872$667$506$208
24 years$1,371$1,058$806$608$455$178
25 years$1,302$992$747$556$409$153
26 years$1,239$933$693$508$369$131
27 years$1,180$878$643$465$333$112
28 years$1,126$827$598$426$300$96
29 years$1,075$780$556$391$271$83
30 years$1,028$737$518$359$245$71
31 years$984$697$483$329$221$61
32 years$943$659$451$303$200$53
33 years$904$624$421$278$181$45
34 years$868$592$393$256$164$39
35 years$834$561$368$236$149$33
36 years$802$533$344$217$135$29
37 years$772$506$322$200$122$25
38 years$743$481$301$184$111$21
39 years$716$457$282$170$100$18
40 years$690$435$265$157$91$16
41 years$666$414$248$145$83$14
42 years$643$394$233$133$75$12
43 years$621$376$218$123$68$10
44 years$600$358$205$114$62$9
45 years$580$341$193$105$56$7
46 years$561$326$181$97$51$6
47 years$543$311$170$90$46$5
48 years$526$297$160$83$42$5
49 years$509$283$150$77$38$4
50 years$493$271$141$71$35$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 54 starting with $505,000, adding $2,920 every year, while hoping to spend $40,927 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: 43/32/25 Blend
53$505,000$505,000$505,000$505,000
54$559,522$532,757$524,929$579,395
55$573,047$515,316$498,969$576,404
56$586,580$495,649$470,766$569,021
57$600,079$473,603$440,204$560,217
58$613,495$449,017$407,159$549,882
59$626,774$421,722$371,501$537,901
60$639,854$391,536$333,096$524,149
61$652,667$358,269$291,803$508,493
62$665,135$321,719$247,474$490,791
63$677,170$281,675$199,955$470,890
64$688,674$237,910$149,087$448,627
65$699,539$190,188$94,702$423,827
66$709,642$138,257$36,624$396,303
67$718,845$81,851$0$365,854
68$726,997$20,692$0$339,028
69$733,928$0$0$319,697
70$739,448$0$0$313,912
71$743,347$0$0$314,610
72$745,391$0$0$314,393
73$745,319$0$0$313,137
74$742,843$0$0$310,702
75$737,641$0$0$306,936
76$729,358$0$0$301,669
77$717,599$0$0$294,713
78$701,927$0$0$285,859
79$681,857$0$0$274,876
80$656,853$0$0$261,508
81$626,320$0$0$245,472
82$589,600$0$0$226,456
83$545,965$0$0$204,112
84$494,611$0$0$178,057
85$434,648$0$0$147,869
86$365,089$0$0$113,078
87$284,848$0$0$73,167
88$192,722$0$0$27,565
89$87,382$0$0$0
90$0$0$0$0
91$0$0$0$0
92$0$0$0$0
93$0$0$0$0
94$0$0$0$0
95$0$0$0$0
96$0$0$0$0
97$0$0$0$0
98$0$0$0$0
99$0$0$0$0
100$0$0$0$0