Can I retire at age 55 with 397,000?

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 $397,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.3%
1 years$32,784$32,492$32,207$31,929$31,657$30,718
2 years$16,230$15,927$15,634$15,350$15,075$14,136
3 years$10,712$10,409$10,117$9,835$9,564$8,656
4 years$7,954$7,652$7,362$7,086$6,821$5,950
5 years$6,300$5,999$5,713$5,442$5,185$4,353
6 years$5,197$4,899$4,617$4,352$4,103$3,311
7 years$4,410$4,114$3,837$3,578$3,337$2,585
8 years$3,820$3,526$3,254$3,002$2,768$2,056
9 years$3,361$3,070$2,803$2,557$2,331$1,659
10 years$2,994$2,706$2,443$2,204$1,986$1,352
11 years$2,694$2,409$2,151$1,918$1,708$1,111
12 years$2,444$2,162$1,909$1,682$1,480$919
13 years$2,233$1,954$1,706$1,485$1,291$764
14 years$2,052$1,776$1,533$1,319$1,132$637
15 years$1,896$1,623$1,384$1,176$996$534
16 years$1,759$1,489$1,255$1,053$881$449
17 years$1,638$1,371$1,142$946$781$378
18 years$1,531$1,267$1,042$853$694$319
19 years$1,435$1,174$954$770$619$269
20 years$1,349$1,091$876$698$553$228
21 years$1,272$1,016$805$633$495$193
22 years$1,201$949$742$576$443$164
23 years$1,137$887$685$524$398$139
24 years$1,078$831$634$478$358$118
25 years$1,024$780$587$437$322$100
26 years$974$733$544$399$290$85
27 years$928$690$506$366$261$72
28 years$885$650$470$335$236$62
29 years$845$613$437$307$213$52
30 years$808$579$407$282$192$45
31 years$774$548$380$259$174$38
32 years$741$518$354$238$157$32
33 years$711$491$331$219$142$28
34 years$683$465$309$201$129$24
35 years$656$441$289$185$117$20
36 years$631$419$270$171$106$17
37 years$607$398$253$157$96$15
38 years$584$378$237$145$87$12
39 years$563$359$222$134$79$11
40 years$543$342$208$123$72$9
41 years$524$325$195$114$65$8
42 years$505$310$183$105$59$7
43 years$488$295$172$97$53$6
44 years$472$282$161$89$49$5
45 years$456$268$151$83$44$4
46 years$441$256$142$76$40$3
47 years$427$244$134$70$36$3
48 years$413$233$126$65$33$3
49 years$400$223$118$60$30$2
50 years$388$213$111$56$27$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 55 starting with $397,000, adding $3,904 every year, while hoping to spend $30,002 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: 58/29/13 Blend
54$397,000$397,000$397,000$397,000
55$441,521$420,480$414,326$465,471
56$454,634$409,162$396,285$470,779
57$468,079$396,283$376,633$472,893
58$481,859$381,736$355,285$474,487
59$495,974$365,407$332,153$475,517
60$510,425$347,174$307,142$475,932
61$525,212$326,909$280,154$475,681
62$540,333$304,477$251,089$474,708
63$555,785$279,734$219,839$472,953
64$571,564$252,530$186,292$470,352
65$587,664$222,704$150,333$466,838
66$604,076$190,087$111,840$462,337
67$620,791$154,501$70,686$456,773
68$637,797$115,757$26,739$450,061
69$655,079$73,655$0$442,114
70$672,619$27,986$0$435,634
71$690,395$0$0$431,862
72$708,383$0$0$433,851
73$726,555$0$0$444,869
74$744,876$0$0$455,965
75$763,309$0$0$467,112
76$781,809$0$0$478,283
77$800,327$0$0$489,444
78$818,804$0$0$500,558
79$837,177$0$0$511,583
80$855,373$0$0$522,473
81$873,307$0$0$533,172
82$890,887$0$0$543,620
83$908,008$0$0$553,751
84$924,552$0$0$563,487
85$940,388$0$0$572,744
86$955,367$0$0$581,426
87$969,325$0$0$589,427
88$982,076$0$0$596,628
89$993,415$0$0$602,896
90$1,003,112$0$0$608,085
91$1,010,912$0$0$612,029
92$1,016,530$0$0$614,545
93$1,019,651$0$0$615,432
94$1,019,921$0$0$614,462
95$1,016,952$0$0$611,385
96$1,010,309$0$0$605,923
97$999,512$0$0$597,767
98$984,028$0$0$586,576
99$963,265$0$0$571,970
100$936,568$0$0$553,530