Can I retire at age 55 with 395,000?

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 $395,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.8%
1 years$32,619$32,328$32,045$31,768$31,498$30,875
2 years$16,148$15,847$15,556$15,273$14,999$14,374
3 years$10,658$10,356$10,066$9,786$9,516$8,908
4 years$7,914$7,613$7,325$7,050$6,787$6,201
5 years$6,268$5,969$5,685$5,415$5,159$4,597
6 years$5,171$4,874$4,594$4,330$4,082$3,545
7 years$4,388$4,093$3,818$3,560$3,320$2,807
8 years$3,800$3,509$3,238$2,987$2,754$2,266
9 years$3,344$3,055$2,789$2,544$2,320$1,855
10 years$2,979$2,693$2,431$2,193$1,976$1,536
11 years$2,681$2,397$2,140$1,909$1,700$1,282
12 years$2,432$2,152$1,900$1,674$1,473$1,078
13 years$2,222$1,944$1,697$1,478$1,284$911
14 years$2,042$1,767$1,525$1,312$1,126$774
15 years$1,886$1,615$1,377$1,170$991$660
16 years$1,750$1,481$1,248$1,048$876$564
17 years$1,630$1,364$1,136$941$777$484
18 years$1,523$1,261$1,037$848$691$416
19 years$1,428$1,168$949$766$616$358
20 years$1,342$1,086$871$694$550$309
21 years$1,265$1,011$801$630$492$267
22 years$1,195$944$738$573$441$230
23 years$1,131$883$682$522$396$199
24 years$1,072$827$631$476$356$173
25 years$1,018$776$584$435$320$150
26 years$969$730$542$397$288$130
27 years$923$687$503$364$260$113
28 years$880$647$468$333$235$98
29 years$841$610$435$306$212$85
30 years$804$576$405$280$191$74
31 years$770$545$378$258$173$64
32 years$738$516$353$237$157$56
33 years$707$488$329$218$142$49
34 years$679$463$308$200$128$42
35 years$652$439$288$184$116$37
36 years$627$417$269$170$105$32
37 years$604$396$252$156$95$28
38 years$581$376$236$144$87$24
39 years$560$358$221$133$78$21
40 years$540$340$207$123$71$18
41 years$521$324$194$113$65$16
42 years$503$308$182$104$59$14
43 years$486$294$171$96$53$12
44 years$469$280$160$89$48$11
45 years$454$267$151$82$44$9
46 years$439$255$141$76$40$8
47 years$425$243$133$70$36$7
48 years$411$232$125$65$33$6
49 years$398$222$117$60$30$5
50 years$386$212$110$55$27$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 55 starting with $395,000, adding $3,327 every year, while hoping to spend $26,561 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: 62/20/18 Blend
54$395,000$395,000$395,000$395,000
55$438,722$417,787$411,664$463,715
56$455,211$409,998$397,194$473,160
57$472,491$400,937$381,349$480,189
58$490,616$390,513$364,056$487,241
59$509,643$378,632$345,235$494,322
60$529,633$365,192$324,807$501,437
61$550,654$350,085$302,687$508,595
62$572,780$333,199$278,786$515,806
63$596,091$314,412$253,013$523,081
64$620,673$293,599$225,270$530,437
65$646,622$270,626$195,456$537,890
66$674,041$245,350$163,467$545,463
67$703,042$217,621$129,193$553,180
68$733,750$187,282$92,518$561,072
69$766,298$154,164$53,323$569,173
70$800,834$118,092$11,482$577,523
71$837,518$78,877$0$586,168
72$876,526$36,324$0$601,534
73$918,051$0$0$620,077
74$962,303$0$0$641,840
75$1,009,514$0$0$673,603
76$1,059,935$0$0$707,544
77$1,113,844$0$0$743,853
78$1,171,543$0$0$782,735
79$1,233,368$0$0$824,417
80$1,299,681$0$0$869,150
81$1,370,884$0$0$917,205
82$1,447,418$0$0$968,884
83$1,529,763$0$0$1,024,514
84$1,618,452$0$0$1,084,458
85$1,714,065$0$0$1,149,113
86$1,817,242$0$0$1,218,915
87$1,928,687$0$0$1,294,343
88$2,049,170$0$0$1,375,924
89$2,179,541$0$0$1,464,238
90$2,320,732$0$0$1,559,921
91$2,473,770$0$0$1,663,673
92$2,639,782$0$0$1,776,264
93$2,820,008$0$0$1,898,541
94$3,015,813$0$0$2,031,434
95$3,228,697$0$0$2,175,968
96$3,460,311$0$0$2,333,271
97$3,712,471$0$0$2,504,582
98$3,987,178$0$0$2,691,267
99$4,286,629$0$0$2,894,827
100$4,613,246$0$0$3,116,915