Can I retire at age 55 with 2,540,000?

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 $2,540,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.2%
1 years$209,751$207,882$206,060$204,280$202,543$200,679
2 years$103,837$101,903$100,029$98,212$96,449$94,570
3 years$68,537$66,595$64,725$62,925$61,191$59,357
4 years$50,891$48,954$47,103$45,334$43,642$41,866
5 years$40,305$38,381$36,554$34,821$33,176$31,463
6 years$33,251$31,341$29,541$27,847$26,251$24,604
7 years$28,214$26,320$24,549$22,894$21,349$19,769
8 years$24,438$22,561$20,819$19,205$17,711$16,197
9 years$21,503$19,643$17,932$16,359$14,915$13,467
10 years$19,156$17,315$15,633$14,101$12,709$11,325
11 years$17,237$15,414$13,763$12,272$10,930$9,611
12 years$15,639$13,835$12,215$10,765$9,472$8,215
13 years$14,288$12,503$10,913$9,503$8,259$7,064
14 years$13,131$11,365$9,805$8,436$7,240$6,104
15 years$12,129$10,382$8,853$7,524$6,375$5,297
16 years$11,253$9,525$8,026$6,737$5,634$4,613
17 years$10,481$8,772$7,304$6,053$4,996$4,028
18 years$9,796$8,106$6,667$5,455$4,442$3,527
19 years$9,183$7,513$6,104$4,929$3,959$3,095
20 years$8,633$6,981$5,602$4,464$3,536$2,721
21 years$8,135$6,503$5,152$4,051$3,165$2,396
22 years$7,683$6,070$4,749$3,684$2,837$2,113
23 years$7,272$5,677$4,385$3,355$2,546$1,866
24 years$6,895$5,319$4,055$3,060$2,289$1,649
25 years$6,549$4,992$3,756$2,794$2,059$1,459
26 years$6,229$4,691$3,483$2,555$1,855$1,292
27 years$5,934$4,415$3,235$2,339$1,673$1,145
28 years$5,661$4,160$3,007$2,143$1,509$1,016
29 years$5,407$3,925$2,798$1,965$1,363$901
30 years$5,170$3,707$2,606$1,803$1,231$800
31 years$4,949$3,504$2,430$1,656$1,113$710
32 years$4,743$3,315$2,267$1,522$1,007$631
33 years$4,549$3,140$2,117$1,400$911$561
34 years$4,367$2,976$1,978$1,288$825$499
35 years$4,195$2,822$1,849$1,185$747$444
36 years$4,034$2,679$1,730$1,092$677$395
37 years$3,882$2,544$1,619$1,006$614$351
38 years$3,738$2,418$1,516$927$556$312
39 years$3,602$2,299$1,421$855$505$278
40 years$3,473$2,188$1,331$789$458$247
41 years$3,350$2,082$1,248$728$415$220
42 years$3,234$1,983$1,171$671$377$196
43 years$3,123$1,890$1,099$620$342$175
44 years$3,018$1,801$1,032$572$310$156
45 years$2,918$1,718$969$529$282$139
46 years$2,822$1,639$910$488$256$123
47 years$2,731$1,564$855$451$232$110
48 years$2,643$1,493$803$417$211$98
49 years$2,560$1,425$755$385$192$87
50 years$2,480$1,362$710$356$174$78

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 55 starting with $2,540,000, adding $5,382 every year, while hoping to spend $51,243 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: 57/22/21 Blend
54$2,540,000$2,540,000$2,540,000$2,540,000
55$2,804,632$2,670,012$2,630,642$2,948,406
56$3,036,182$2,746,320$2,664,246$3,123,319
57$3,289,633$2,824,650$2,697,259$3,307,894
58$3,567,164$2,905,047$2,729,606$3,507,931
59$3,871,176$2,987,556$2,761,209$3,724,933
60$4,204,313$3,072,222$2,791,986$3,960,551
61$4,569,485$3,159,094$2,821,850$4,216,608
62$4,969,899$3,248,216$2,850,708$4,495,108
63$5,409,087$3,339,636$2,878,465$4,798,258
64$5,890,938$3,433,403$2,905,018$5,128,493
65$6,419,737$3,529,563$2,930,259$5,488,490
66$7,000,203$3,628,164$2,954,076$5,881,200
67$7,637,534$3,729,255$2,976,348$6,309,875
68$8,337,458$3,832,883$2,996,951$6,778,095
69$9,106,282$3,939,098$3,015,752$7,289,806
70$9,950,956$4,047,946$3,032,612$7,849,354
71$10,879,135$4,159,477$3,047,386$8,461,528
72$11,899,253$4,273,739$3,059,921$9,131,602
73$13,020,603$4,390,778$3,070,054$9,865,391
74$14,253,421$4,510,642$3,077,617$10,669,298
75$15,608,984$4,633,378$3,082,432$11,550,379
76$17,099,720$4,759,033$3,084,312$12,516,411
77$18,739,316$4,887,650$3,083,062$13,575,961
78$20,542,858$5,019,277$3,078,475$14,738,469
79$22,526,962$5,153,954$3,070,338$16,014,338
80$24,709,941$5,291,726$3,058,422$17,415,029
81$27,111,968$5,432,634$3,042,492$18,953,174
82$29,755,272$5,576,717$3,022,300$20,642,692
83$32,664,347$5,724,013$2,997,584$22,498,919
84$35,866,180$5,874,559$2,968,073$24,538,758
85$39,390,507$6,028,389$2,933,480$26,780,832
86$43,270,094$6,185,535$2,893,506$29,245,667
87$47,541,043$6,346,027$2,847,838$31,955,879
88$52,243,138$6,509,890$2,796,149$34,936,392
89$57,420,213$6,677,150$2,738,095$38,214,672
90$63,120,570$6,847,825$2,673,317$41,820,987
91$69,397,434$7,021,934$2,601,438$45,788,691
92$76,309,452$7,199,490$2,522,067$50,154,542
93$83,921,251$7,380,500$2,434,791$54,959,048
94$92,304,043$7,564,968$2,339,181$60,246,847
95$101,536,299$7,752,895$2,234,787$66,067,133
96$111,704,488$7,944,274$2,121,139$72,474,117
97$122,903,895$8,139,092$1,997,746$79,527,542
98$135,239,515$8,337,330$1,864,093$87,293,246
99$148,827,051$8,538,964$1,719,645$95,843,784
100$163,793,998$8,743,961$1,563,841$105,259,111