Can I retire at age 56 with 1,080,000?

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 $1,080,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.3%
1 years$89,185$88,391$87,616$86,859$86,121$82,900
2 years$44,151$43,329$42,532$41,759$41,010$37,802
3 years$29,142$28,316$27,521$26,756$26,018$22,924
4 years$21,638$20,815$20,028$19,276$18,557$15,600
5 years$17,138$16,319$15,543$14,806$14,106$11,295
6 years$14,138$13,326$12,561$11,840$11,162$8,497
7 years$11,997$11,191$10,438$9,735$9,078$6,559
8 years$10,391$9,593$8,852$8,166$7,531$5,156
9 years$9,143$8,352$7,625$6,956$6,342$4,108
10 years$8,145$7,362$6,647$5,996$5,404$3,306
11 years$7,329$6,554$5,852$5,218$4,647$2,681
12 years$6,650$5,883$5,194$4,577$4,027$2,188
13 years$6,075$5,316$4,640$4,041$3,512$1,795
14 years$5,583$4,832$4,169$3,587$3,078$1,477
15 years$5,157$4,414$3,764$3,199$2,711$1,220
16 years$4,785$4,050$3,413$2,864$2,396$1,010
17 years$4,457$3,730$3,106$2,574$2,124$838
18 years$4,165$3,447$2,835$2,319$1,889$697
19 years$3,905$3,194$2,595$2,096$1,683$580
20 years$3,671$2,968$2,382$1,898$1,504$483
21 years$3,459$2,765$2,191$1,723$1,346$403
22 years$3,267$2,581$2,019$1,566$1,206$337
23 years$3,092$2,414$1,864$1,426$1,083$281
24 years$2,932$2,262$1,724$1,301$973$235
25 years$2,784$2,122$1,597$1,188$876$197
26 years$2,649$1,995$1,481$1,086$789$164
27 years$2,523$1,877$1,375$994$711$138
28 years$2,407$1,769$1,279$911$642$115
29 years$2,299$1,669$1,190$835$579$96
30 years$2,198$1,576$1,108$767$524$81
31 years$2,104$1,490$1,033$704$473$68
32 years$2,017$1,410$964$647$428$57
33 years$1,934$1,335$900$595$387$47
34 years$1,857$1,265$841$548$351$40
35 years$1,784$1,200$786$504$318$33
36 years$1,715$1,139$736$464$288$28
37 years$1,651$1,082$688$428$261$23
38 years$1,589$1,028$645$394$237$20
39 years$1,531$978$604$364$215$16
40 years$1,477$930$566$335$195$14
41 years$1,424$885$531$309$177$12
42 years$1,375$843$498$285$160$10
43 years$1,328$803$467$264$145$8
44 years$1,283$766$439$243$132$7
45 years$1,241$730$412$225$120$6
46 years$1,200$697$387$208$109$5
47 years$1,161$665$363$192$99$4
48 years$1,124$635$341$177$90$3
49 years$1,088$606$321$164$81$3
50 years$1,054$579$302$151$74$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $1,080,000, adding $3,311 every year, while hoping to spend $46,475 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: 41/48/11 Blend
55$1,080,000$1,080,000$1,080,000$1,080,000
56$1,193,575$1,136,335$1,119,595$1,238,494
57$1,265,871$1,142,567$1,107,653$1,276,588
58$1,343,983$1,147,546$1,093,752$1,312,915
59$1,428,456$1,151,162$1,077,780$1,351,197
60$1,519,888$1,153,298$1,059,615$1,391,633
61$1,618,936$1,153,830$1,039,131$1,434,442
62$1,726,324$1,152,624$1,016,199$1,479,869
63$1,842,846$1,149,540$990,679$1,528,188
64$1,969,378$1,144,428$962,428$1,579,701
65$2,106,880$1,137,131$931,295$1,634,748
66$2,256,412$1,127,480$897,123$1,693,703
67$2,419,136$1,115,297$859,747$1,756,983
68$2,596,335$1,100,393$818,995$1,825,054
69$2,789,416$1,082,568$774,687$1,898,431
70$2,999,932$1,061,610$726,634$1,977,687
71$3,229,590$1,037,293$674,641$2,063,457
72$3,480,268$1,009,380$618,501$2,156,447
73$3,754,035$977,619$558,001$2,257,441
74$4,053,167$941,744$492,915$2,367,309
75$4,380,172$901,471$423,010$2,487,013
76$4,737,810$856,503$348,040$2,617,623
77$5,129,118$806,524$267,752$2,760,325
78$5,557,444$751,199$181,877$2,916,431
79$6,026,471$690,176$90,138$3,087,398
80$6,540,258$623,080$0$3,274,836
81$7,103,271$549,519$0$3,481,445
82$7,720,434$469,074$0$3,719,639
83$8,397,164$381,305$0$3,981,055
84$9,139,433$285,747$0$4,268,156
85$9,953,814$181,907$0$4,583,663
86$10,847,550$69,268$0$4,930,589
87$11,828,618$0$0$5,312,261
88$12,905,806$0$0$5,760,204
89$14,088,793$0$0$6,292,468
90$15,388,242$0$0$6,877,282
91$16,815,900$0$0$7,519,950
92$18,384,709$0$0$8,226,318
93$20,108,923$0$0$9,002,825
94$22,004,251$0$0$9,856,564
95$24,087,994$0$0$10,795,351
96$26,379,218$0$0$11,827,797
97$28,898,926$0$0$12,963,389
98$31,670,258$0$0$14,212,580
99$34,718,710$0$0$15,586,886
100$38,072,374$0$0$17,098,997