Can I retire at age 56 with 1,200,000?

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 $1,200,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.8%
1 years$99,095$98,212$97,351$96,510$95,690$94,572
2 years$49,057$48,143$47,258$46,399$45,567$44,442
3 years$32,380$31,462$30,579$29,728$28,909$27,812
4 years$24,043$23,128$22,254$21,418$20,618$19,557
5 years$19,042$18,133$17,270$16,451$15,674$14,652
6 years$15,709$14,807$13,956$13,156$12,402$11,421
7 years$13,329$12,435$11,598$10,816$10,086$9,146
8 years$11,546$10,659$9,836$9,073$8,367$7,468
9 years$10,159$9,280$8,472$7,729$7,047$6,187
10 years$9,050$8,180$7,386$6,662$6,004$5,184
11 years$8,143$7,282$6,502$5,798$5,164$4,383
12 years$7,388$6,536$5,771$5,086$4,475$3,732
13 years$6,750$5,907$5,156$4,490$3,902$3,197
14 years$6,204$5,369$4,632$3,986$3,421$2,752
15 years$5,730$4,905$4,182$3,554$3,012$2,378
16 years$5,316$4,500$3,792$3,183$2,662$2,062
17 years$4,952$4,144$3,451$2,860$2,360$1,794
18 years$4,628$3,830$3,150$2,577$2,098$1,564
19 years$4,339$3,549$2,884$2,329$1,870$1,366
20 years$4,078$3,298$2,646$2,109$1,671$1,196
21 years$3,843$3,072$2,434$1,914$1,495$1,048
22 years$3,630$2,868$2,244$1,740$1,340$920
23 years$3,435$2,682$2,071$1,585$1,203$809
24 years$3,257$2,513$1,916$1,446$1,081$712
25 years$3,094$2,358$1,774$1,320$973$627
26 years$2,943$2,216$1,646$1,207$876$552
27 years$2,804$2,086$1,528$1,105$790$487
28 years$2,675$1,966$1,421$1,012$713$430
29 years$2,555$1,854$1,322$928$644$380
30 years$2,443$1,751$1,231$852$582$335
31 years$2,338$1,655$1,148$782$526$296
32 years$2,241$1,566$1,071$719$476$262
33 years$2,149$1,483$1,000$661$431$232
34 years$2,063$1,406$934$608$390$205
35 years$1,982$1,333$874$560$353$181
36 years$1,906$1,266$817$516$320$161
37 years$1,834$1,202$765$475$290$142
38 years$1,766$1,142$716$438$263$126
39 years$1,702$1,086$671$404$238$111
40 years$1,641$1,034$629$373$216$99
41 years$1,583$984$590$344$196$87
42 years$1,528$937$553$317$178$77
43 years$1,476$893$519$293$162$69
44 years$1,426$851$487$270$147$61
45 years$1,378$811$458$250$133$54
46 years$1,333$774$430$231$121$48
47 years$1,290$739$404$213$110$42
48 years$1,249$705$379$197$100$37
49 years$1,209$673$357$182$91$33
50 years$1,172$643$335$168$82$29

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $1,200,000, adding $3,735 every year, while hoping to spend $24,542 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: 65/15/20 Blend
55$1,200,000$1,200,000$1,200,000$1,200,000
56$1,326,253$1,262,653$1,244,053$1,405,509
57$1,435,418$1,298,410$1,259,616$1,494,955
58$1,554,896$1,335,097$1,274,878$1,589,531
59$1,685,711$1,372,733$1,289,803$1,692,309
60$1,828,995$1,411,339$1,304,353$1,804,096
61$1,985,991$1,450,933$1,318,487$1,925,776
62$2,158,070$1,491,536$1,332,164$2,058,327
63$2,346,740$1,533,168$1,345,338$2,202,822
64$2,553,663$1,575,849$1,357,963$2,360,447
65$2,780,671$1,619,600$1,369,989$2,532,505
66$3,029,780$1,664,441$1,381,363$2,720,432
67$3,303,210$1,710,391$1,392,032$2,925,813
68$3,603,408$1,757,471$1,401,936$3,150,390
69$3,933,070$1,805,701$1,411,015$3,396,086
70$4,295,163$1,855,101$1,419,204$3,665,015
71$4,692,959$1,905,690$1,426,437$3,959,511
72$5,130,061$1,957,489$1,432,642$4,282,142
73$5,610,437$2,010,516$1,437,746$4,635,739
74$6,138,461$2,064,790$1,441,669$5,023,422
75$6,718,949$2,120,330$1,444,331$5,448,627
76$7,357,210$2,177,154$1,445,644$5,915,141
77$8,059,090$2,235,280$1,445,518$6,427,138
78$8,831,033$2,294,724$1,443,858$6,989,214
79$9,680,137$2,355,503$1,440,565$7,606,436
80$10,614,221$2,417,634$1,435,535$8,284,388
81$11,641,904$2,481,130$1,428,657$9,029,221
82$12,772,678$2,546,006$1,419,818$9,847,716
83$14,017,006$2,612,274$1,408,896$10,747,341
84$15,386,413$2,679,948$1,395,766$11,736,330
85$16,893,599$2,749,037$1,380,296$12,823,753
86$18,552,557$2,819,552$1,362,348$14,019,608
87$20,378,708$2,891,500$1,341,776$15,334,911
88$22,389,040$2,964,887$1,318,430$16,781,802
89$24,602,275$3,039,719$1,292,150$18,373,657
90$27,039,041$3,115,999$1,262,771$20,125,221
91$29,722,068$3,193,728$1,230,118$22,052,738
92$32,676,402$3,272,904$1,194,011$24,174,113
93$35,929,644$3,353,525$1,154,259$26,509,074
94$39,512,203$3,435,583$1,110,662$29,079,364
95$43,457,593$3,519,072$1,063,014$31,908,943
96$47,802,739$3,603,978$1,011,097$35,024,214
97$52,588,333$3,690,287$954,683$38,454,277
98$57,859,213$3,777,982$893,535$42,231,197
99$63,664,790$3,867,040$827,406$46,390,311
100$70,059,509$3,957,436$756,035$50,970,563