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

Use the below retirement simulation to view the chances of a successful retirement.
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%11%
1 years$209,751$207,882$206,060$204,280$202,543$201,690
2 years$103,837$101,903$100,029$98,212$96,449$95,588
3 years$68,537$66,595$64,725$62,925$61,191$60,348
4 years$50,891$48,954$47,103$45,334$43,642$42,824
5 years$40,305$38,381$36,554$34,821$33,176$32,385
6 years$33,251$31,341$29,541$27,847$26,251$25,489
7 years$28,214$26,320$24,549$22,894$21,349$20,616
8 years$24,438$22,561$20,819$19,205$17,711$17,007
9 years$21,503$19,643$17,932$16,359$14,915$14,240
10 years$19,156$17,315$15,633$14,101$12,709$12,061
11 years$17,237$15,414$13,763$12,272$10,930$10,311
12 years$15,639$13,835$12,215$10,765$9,472$8,880
13 years$14,288$12,503$10,913$9,503$8,259$7,695
14 years$13,131$11,365$9,805$8,436$7,240$6,702
15 years$12,129$10,382$8,853$7,524$6,375$5,862
16 years$11,253$9,525$8,026$6,737$5,634$5,146
17 years$10,481$8,772$7,304$6,053$4,996$4,532
18 years$9,796$8,106$6,667$5,455$4,442$4,002
19 years$9,183$7,513$6,104$4,929$3,959$3,542
20 years$8,633$6,981$5,602$4,464$3,536$3,141
21 years$8,135$6,503$5,152$4,051$3,165$2,791
22 years$7,683$6,070$4,749$3,684$2,837$2,483
23 years$7,272$5,677$4,385$3,355$2,546$2,213
24 years$6,895$5,319$4,055$3,060$2,289$1,974
25 years$6,549$4,992$3,756$2,794$2,059$1,763
26 years$6,229$4,691$3,483$2,555$1,855$1,576
27 years$5,934$4,415$3,235$2,339$1,673$1,410
28 years$5,661$4,160$3,007$2,143$1,509$1,262
29 years$5,407$3,925$2,798$1,965$1,363$1,131
30 years$5,170$3,707$2,606$1,803$1,231$1,013
31 years$4,949$3,504$2,430$1,656$1,113$909
32 years$4,743$3,315$2,267$1,522$1,007$815
33 years$4,549$3,140$2,117$1,400$911$732
34 years$4,367$2,976$1,978$1,288$825$657
35 years$4,195$2,822$1,849$1,185$747$590
36 years$4,034$2,679$1,730$1,092$677$531
37 years$3,882$2,544$1,619$1,006$614$477
38 years$3,738$2,418$1,516$927$556$429
39 years$3,602$2,299$1,421$855$505$385
40 years$3,473$2,188$1,331$789$458$347
41 years$3,350$2,082$1,248$728$415$312
42 years$3,234$1,983$1,171$671$377$281
43 years$3,123$1,890$1,099$620$342$252
44 years$3,018$1,801$1,032$572$310$227
45 years$2,918$1,718$969$529$282$204
46 years$2,822$1,639$910$488$256$184
47 years$2,731$1,564$855$451$232$166
48 years$2,643$1,493$803$417$211$149
49 years$2,560$1,425$755$385$192$134
50 years$2,480$1,362$710$356$174$121

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 $6,912 every year, while hoping to spend $31,101 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: 46/46/8 Blend
54$2,540,000$2,540,000$2,540,000$2,540,000
55$2,806,210$2,671,590$2,632,220$2,928,790
56$3,059,352$2,769,406$2,687,308$3,111,770
57$3,337,272$2,870,974$2,743,199$3,306,360
58$3,642,465$2,976,443$2,799,887$3,516,726
59$3,977,679$3,085,970$2,857,366$3,744,336
60$4,345,940$3,199,721$2,915,626$3,990,804
61$4,750,584$3,317,865$2,974,657$4,257,901
62$5,195,284$3,440,582$3,034,449$4,547,576
63$5,684,089$3,568,055$3,094,988$4,861,967
64$6,221,456$3,700,480$3,156,261$5,203,429
65$6,812,299$3,838,058$3,218,250$5,574,548
66$7,462,029$3,980,999$3,280,937$5,978,166
67$8,176,611$4,129,523$3,344,303$6,417,413
68$8,962,614$4,283,858$3,408,326$6,895,725
69$9,827,277$4,444,244$3,472,982$7,416,887
70$10,778,576$4,610,928$3,538,243$7,985,060
71$11,825,298$4,784,171$3,604,081$8,604,820
72$12,977,125$4,964,242$3,670,465$9,281,205
73$14,244,728$5,151,426$3,737,361$10,019,756
74$15,639,859$5,346,015$3,804,732$10,826,570
75$17,175,472$5,548,317$3,872,538$11,708,360
76$18,865,839$5,758,653$3,940,736$12,672,510
77$20,726,685$5,977,357$4,009,281$13,727,151
78$22,775,337$6,204,779$4,078,123$14,881,230
79$25,030,890$6,441,282$4,147,209$16,144,598
80$27,514,383$6,687,246$4,216,482$17,528,098
81$30,248,997$6,943,068$4,285,881$19,043,670
82$33,260,279$7,209,162$4,355,342$20,704,456
83$36,576,376$7,485,960$4,424,795$22,524,929
84$40,228,308$7,773,913$4,494,167$24,521,024
85$44,250,252$8,073,492$4,563,379$26,710,289
86$48,679,872$8,385,188$4,632,346$29,112,045
87$53,558,671$8,709,514$4,700,982$31,747,571
88$58,932,380$9,047,005$4,769,190$34,640,301
89$64,851,396$9,398,222$4,836,871$37,816,043
90$71,371,251$9,763,747$4,903,919$41,303,222
91$78,553,139$10,144,191$4,970,220$45,133,141
92$86,464,493$10,540,190$5,035,656$49,340,283
93$95,179,622$10,952,410$5,100,101$53,962,627
94$104,780,410$11,381,545$5,163,421$59,042,005
95$115,357,091$11,828,320$5,225,475$64,624,498
96$127,009,100$12,293,492$5,286,114$70,760,864
97$139,846,009$12,777,855$5,345,180$77,507,018
98$153,988,566$13,282,233$5,402,507$84,924,554
99$169,569,828$13,807,491$5,457,920$93,081,324
100$186,736,424$14,354,532$5,511,233$102,052,077