Can I retire at age 56 with 1,050,000?

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 $1,050,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.7%
1 years$86,708$85,936$85,182$84,447$83,728$81,771
2 years$42,925$42,125$41,351$40,599$39,871$37,909
3 years$28,332$27,529$26,757$26,012$25,296$23,392
4 years$21,037$20,237$19,472$18,740$18,041$16,210
5 years$16,662$15,866$15,111$14,394$13,715$11,961
6 years$13,745$12,956$12,212$11,511$10,852$9,178
7 years$11,663$10,880$10,148$9,464$8,825$7,231
8 years$10,102$9,326$8,606$7,939$7,322$5,806
9 years$8,889$8,120$7,413$6,762$6,166$4,728
10 years$7,919$7,158$6,463$5,829$5,254$3,892
11 years$7,125$6,372$5,690$5,073$4,518$3,231
12 years$6,465$5,719$5,049$4,450$3,915$2,700
13 years$5,906$5,168$4,511$3,929$3,414$2,269
14 years$5,428$4,698$4,053$3,487$2,993$1,915
15 years$5,014$4,292$3,660$3,110$2,635$1,622
16 years$4,652$3,938$3,318$2,785$2,329$1,379
17 years$4,333$3,626$3,019$2,502$2,065$1,174
18 years$4,049$3,351$2,756$2,255$1,836$1,003
19 years$3,796$3,106$2,523$2,037$1,637$858
20 years$3,569$2,886$2,316$1,845$1,462$735
21 years$3,363$2,688$2,130$1,675$1,308$630
22 years$3,176$2,509$1,963$1,523$1,173$541
23 years$3,006$2,347$1,813$1,387$1,053$465
24 years$2,850$2,199$1,676$1,265$946$400
25 years$2,707$2,063$1,553$1,155$851$344
26 years$2,575$1,939$1,440$1,056$767$296
27 years$2,453$1,825$1,337$967$691$255
28 years$2,340$1,720$1,243$886$624$220
29 years$2,235$1,622$1,157$812$563$190
30 years$2,137$1,532$1,077$745$509$164
31 years$2,046$1,448$1,004$685$460$141
32 years$1,961$1,371$937$629$416$122
33 years$1,880$1,298$875$579$377$105
34 years$1,805$1,230$818$532$341$91
35 years$1,734$1,167$764$490$309$78
36 years$1,668$1,107$715$451$280$68
37 years$1,605$1,052$669$416$254$58
38 years$1,545$1,000$627$383$230$51
39 years$1,489$951$587$353$209$44
40 years$1,436$904$550$326$189$38
41 years$1,385$861$516$301$172$33
42 years$1,337$820$484$278$156$28
43 years$1,291$781$454$256$141$24
44 years$1,248$745$426$237$128$21
45 years$1,206$710$400$218$116$18
46 years$1,167$677$376$202$106$16
47 years$1,129$646$353$186$96$14
48 years$1,093$617$332$172$87$12
49 years$1,058$589$312$159$79$10
50 years$1,025$563$293$147$72$9

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $1,050,000, adding $2,601 every year, while hoping to spend $27,228 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: 69/6/25 Blend
55$1,050,000$1,050,000$1,050,000$1,050,000
56$1,159,783$1,104,133$1,087,858$1,232,226
57$1,249,110$1,129,265$1,095,331$1,306,247
58$1,346,637$1,154,716$1,102,141$1,383,841
59$1,453,169$1,180,473$1,108,239$1,468,119
60$1,569,597$1,206,521$1,113,570$1,559,745
61$1,696,900$1,232,844$1,118,077$1,659,446
62$1,836,154$1,259,423$1,121,703$1,768,026
63$1,988,546$1,286,239$1,124,385$1,886,370
64$2,155,383$1,313,270$1,126,057$2,015,453
65$2,338,103$1,340,492$1,126,651$2,156,349
66$2,538,291$1,367,878$1,126,096$2,310,244
67$2,757,693$1,395,400$1,124,316$2,478,443
68$2,998,228$1,423,025$1,121,231$2,662,385
69$3,262,015$1,450,721$1,116,760$2,863,656
70$3,551,384$1,478,450$1,110,815$3,084,004
71$3,868,903$1,506,172$1,103,305$3,325,355
72$4,217,400$1,533,843$1,094,135$3,589,833
73$4,599,991$1,561,417$1,083,204$3,879,777
74$5,020,107$1,588,844$1,070,409$4,197,768
75$5,481,529$1,616,068$1,055,638$4,546,647
76$5,988,421$1,643,031$1,038,778$4,929,549
77$6,545,371$1,669,671$1,019,708$5,349,926
78$7,157,433$1,695,919$998,303$5,811,586
79$7,830,175$1,721,703$974,430$6,318,723
80$8,569,731$1,746,944$947,951$6,875,962
81$9,382,860$1,771,561$918,724$7,488,398
82$10,277,007$1,795,462$886,596$8,161,650
83$11,260,375$1,818,553$851,410$8,901,908
84$12,342,003$1,840,732$813,002$9,715,995
85$13,531,848$1,861,889$771,199$10,611,433
86$14,840,883$1,881,908$725,821$11,596,510
87$16,281,197$1,900,665$676,679$12,680,362
88$17,866,108$1,918,027$623,577$13,873,059
89$19,610,294$1,933,853$566,310$15,185,698
90$21,529,925$1,947,993$504,662$16,630,509
91$23,642,818$1,960,286$438,410$18,220,974
92$25,968,608$1,970,561$367,318$19,971,950
93$28,528,925$1,978,639$291,143$21,899,812
94$31,347,608$1,984,325$209,629$24,022,607
95$34,450,922$1,987,414$122,509$26,360,224
96$37,867,808$1,987,690$29,505$28,934,586
97$41,630,158$1,984,920$0$31,769,852
98$45,773,112$1,978,859$0$34,911,253
99$50,335,393$1,969,246$0$38,379,140
100$55,359,669$1,955,805$0$42,198,060