Can I retire at age 55 with 2,040,000?

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 $2,040,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.7%
1 years$168,461$166,961$165,497$164,068$162,672$160,840
2 years$83,397$81,843$80,338$78,879$77,463$75,618
3 years$55,046$53,486$51,984$50,538$49,146$47,346
4 years$40,873$39,318$37,831$36,410$35,051$33,310
5 years$32,371$30,825$29,359$27,966$26,645$24,968
6 years$26,705$25,171$23,726$22,365$21,084$19,472
7 years$22,660$21,139$19,716$18,387$17,147$15,602
8 years$19,627$18,120$16,721$15,425$14,225$12,747
9 years$17,270$15,777$14,402$13,138$11,979$10,567
10 years$15,385$13,906$12,556$11,326$10,207$8,860
11 years$13,844$12,380$11,054$9,857$8,778$7,495
12 years$12,560$11,112$9,810$8,646$7,607$6,386
13 years$11,475$10,042$8,765$7,633$6,634$5,474
14 years$10,546$9,128$7,875$6,775$5,815$4,715
15 years$9,741$8,338$7,110$6,043$5,120$4,077
16 years$9,038$7,650$6,446$5,410$4,525$3,538
17 years$8,418$7,045$5,866$4,861$4,012$3,079
18 years$7,867$6,510$5,355$4,381$3,567$2,687
19 years$7,376$6,034$4,902$3,959$3,180$2,349
20 years$6,933$5,607$4,499$3,585$2,840$2,058
21 years$6,534$5,223$4,138$3,254$2,542$1,805
22 years$6,171$4,875$3,814$2,958$2,278$1,586
23 years$5,840$4,560$3,522$2,694$2,045$1,395
24 years$5,538$4,272$3,257$2,457$1,838$1,229
25 years$5,259$4,009$3,016$2,244$1,654$1,083
26 years$5,003$3,768$2,798$2,052$1,490$955
27 years$4,766$3,546$2,598$1,878$1,343$843
28 years$4,547$3,341$2,415$1,721$1,212$745
29 years$4,343$3,152$2,247$1,578$1,094$658
30 years$4,153$2,977$2,093$1,448$989$582
31 years$3,975$2,814$1,952$1,330$894$514
32 years$3,809$2,663$1,821$1,222$809$455
33 years$3,653$2,522$1,700$1,124$732$403
34 years$3,507$2,390$1,589$1,034$663$357
35 years$3,370$2,267$1,485$952$600$316
36 years$3,240$2,152$1,389$877$544$280
37 years$3,118$2,044$1,300$808$493$248
38 years$3,002$1,942$1,218$745$447$220
39 years$2,893$1,847$1,141$687$405$195
40 years$2,789$1,757$1,069$633$368$173
41 years$2,691$1,673$1,003$584$333$153
42 years$2,597$1,593$941$539$303$136
43 years$2,508$1,518$883$498$275$120
44 years$2,424$1,447$828$460$249$107
45 years$2,343$1,380$778$424$226$95
46 years$2,266$1,316$731$392$205$84
47 years$2,193$1,256$686$362$187$74
48 years$2,123$1,199$645$335$169$66
49 years$2,056$1,145$606$309$154$59
50 years$1,992$1,094$570$286$140$52

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 55 starting with $2,040,000, adding $2,304 every year, while hoping to spend $28,767 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: 59/27/14 Blend
54$2,040,000$2,040,000$2,040,000$2,040,000
55$2,250,457$2,142,337$2,110,717$2,375,190
56$2,449,395$2,216,703$2,150,818$2,533,977
57$2,667,662$2,293,750$2,191,298$2,703,644
58$2,907,197$2,373,577$2,232,140$2,887,981
59$3,170,138$2,456,290$2,273,324$3,088,406
60$3,458,842$2,541,997$2,314,830$3,306,479
61$3,775,902$2,630,813$2,356,635$3,543,914
62$4,124,176$2,722,855$2,398,714$3,802,600
63$4,506,812$2,818,246$2,441,042$4,084,615
64$4,927,280$2,917,113$2,483,590$4,392,247
65$5,389,400$3,019,588$2,526,327$4,728,012
66$5,897,381$3,125,811$2,569,222$5,094,683
67$6,455,862$3,235,923$2,612,239$5,495,310
68$7,069,952$3,350,075$2,655,340$5,933,252
69$7,745,279$3,468,422$2,698,487$6,412,209
70$8,488,048$3,591,125$2,741,636$6,936,251
71$9,305,090$3,718,351$2,784,743$7,509,863
72$10,203,936$3,850,277$2,827,758$8,137,984
73$11,192,880$3,987,083$2,870,631$8,826,050
74$12,281,063$4,128,959$2,913,306$9,580,051
75$13,478,556$4,276,103$2,955,726$10,406,581
76$14,796,455$4,428,718$2,997,829$11,312,905
77$16,246,986$4,587,018$3,039,549$12,307,024
78$17,843,623$4,751,226$3,080,819$13,397,750
79$19,601,209$4,921,573$3,121,563$14,594,789
80$21,536,102$5,098,299$3,161,704$15,908,833
81$23,666,324$5,281,655$3,201,160$17,351,660
82$26,011,734$5,471,903$3,239,845$18,936,244
83$28,594,218$5,669,312$3,277,667$20,676,876
84$31,437,887$5,874,168$3,314,528$22,589,302
85$34,569,313$6,086,763$3,350,326$24,690,865
86$38,017,774$6,307,406$3,384,953$27,000,673
87$41,815,534$6,536,416$3,418,295$29,539,778
88$45,998,143$6,774,125$3,450,233$32,331,372
89$50,604,778$7,020,881$3,480,640$35,401,005
90$55,678,606$7,277,045$3,509,382$38,776,828
91$61,267,197$7,542,993$3,536,320$42,489,857
92$67,422,970$7,819,119$3,561,305$46,574,262
93$74,203,687$8,105,829$3,584,183$51,067,694
94$81,672,999$8,403,552$3,604,790$56,011,634
95$89,901,049$8,712,729$3,622,953$61,451,788
96$98,965,127$9,033,824$3,638,494$67,438,515
97$108,950,408$9,367,320$3,651,221$74,027,303
98$119,950,749$9,713,718$3,660,937$81,279,289
99$132,069,578$10,073,542$3,667,431$89,261,839
100$145,420,869$10,447,340$3,670,483$98,049,180