Can I retire at age 56 with 1,250,000?

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 $1,250,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.6%
1 years$103,224$102,304$101,407$100,532$99,677$99,007
2 years$51,101$50,149$49,227$48,333$47,465$46,790
3 years$33,729$32,773$31,853$30,967$30,114$29,454
4 years$25,045$24,092$23,181$22,310$21,477$20,838
5 years$19,835$18,888$17,989$17,136$16,327$15,709
6 years$16,364$15,424$14,538$13,704$12,919$12,324
7 years$13,885$12,953$12,081$11,267$10,506$9,935
8 years$12,027$11,103$10,246$9,451$8,716$8,168
9 years$10,582$9,667$8,825$8,051$7,340$6,815
10 years$9,427$8,521$7,694$6,940$6,254$5,752
11 years$8,483$7,586$6,773$6,040$5,379$4,899
12 years$7,696$6,809$6,011$5,298$4,661$4,203
13 years$7,031$6,153$5,371$4,677$4,065$3,628
14 years$6,462$5,593$4,825$4,152$3,563$3,148
15 years$5,969$5,109$4,357$3,703$3,137$2,743
16 years$5,538$4,688$3,950$3,315$2,773$2,398
17 years$5,158$4,317$3,594$2,979$2,458$2,103
18 years$4,821$3,989$3,281$2,684$2,186$1,849
19 years$4,519$3,697$3,004$2,426$1,948$1,630
20 years$4,248$3,436$2,757$2,197$1,740$1,439
21 years$4,004$3,200$2,536$1,994$1,557$1,273
22 years$3,781$2,987$2,337$1,813$1,396$1,128
23 years$3,579$2,794$2,158$1,651$1,253$1,000
24 years$3,393$2,618$1,996$1,506$1,126$888
25 years$3,223$2,457$1,848$1,375$1,014$790
26 years$3,066$2,309$1,714$1,257$913$702
27 years$2,921$2,173$1,592$1,151$823$625
28 years$2,786$2,047$1,480$1,054$743$557
29 years$2,661$1,931$1,377$967$671$497
30 years$2,544$1,824$1,283$887$606$443
31 years$2,436$1,724$1,196$815$548$396
32 years$2,334$1,632$1,116$749$496$353
33 years$2,239$1,545$1,042$689$448$315
34 years$2,149$1,464$973$634$406$282
35 years$2,065$1,389$910$583$368$252
36 years$1,985$1,318$851$537$333$225
37 years$1,910$1,252$797$495$302$201
38 years$1,840$1,190$746$456$274$180
39 years$1,772$1,132$699$421$248$161
40 years$1,709$1,077$655$388$225$144
41 years$1,649$1,025$614$358$204$129
42 years$1,591$976$576$330$185$115
43 years$1,537$930$541$305$168$103
44 years$1,485$886$508$282$153$93
45 years$1,436$845$477$260$139$83
46 years$1,389$806$448$240$126$74
47 years$1,344$770$421$222$114$66
48 years$1,301$735$395$205$104$59
49 years$1,260$702$372$190$94$53
50 years$1,220$670$349$175$86$48

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $1,250,000, adding $4,168 every year, while hoping to spend $48,368 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: 68/15/17 Blend
55$1,250,000$1,250,000$1,250,000$1,250,000
56$1,381,799$1,315,549$1,296,174$1,469,844
57$1,471,280$1,328,548$1,288,133$1,542,124
58$1,568,266$1,340,563$1,278,201$1,615,081
59$1,673,473$1,351,494$1,266,264$1,693,680
60$1,787,686$1,361,236$1,252,203$1,778,471
61$1,911,769$1,369,676$1,235,891$1,870,063
62$2,046,674$1,376,694$1,217,198$1,969,126
63$2,193,446$1,382,164$1,195,986$2,076,401
64$2,353,236$1,385,949$1,172,110$2,192,703
65$2,527,311$1,387,905$1,145,420$2,318,932
66$2,717,064$1,387,879$1,115,759$2,456,081
67$2,924,028$1,385,709$1,082,961$2,605,245
68$3,149,892$1,381,222$1,046,853$2,767,631
69$3,396,515$1,374,235$1,007,256$2,944,571
70$3,665,940$1,364,554$963,980$3,137,535
71$3,960,421$1,351,972$916,829$3,348,143
72$4,282,437$1,336,271$865,595$3,578,183
73$4,634,717$1,317,220$810,064$3,829,626
74$5,020,267$1,294,572$750,010$4,104,646
75$5,442,396$1,268,069$685,197$4,405,641
76$5,904,749$1,237,433$615,380$4,735,257
77$6,411,340$1,202,374$540,302$5,096,410
78$6,966,590$1,162,583$459,695$5,492,316
79$7,575,365$1,117,732$373,278$5,926,524
80$8,243,028$1,067,477$280,759$6,402,945
81$8,975,484$1,011,451$181,832$6,925,895
82$9,779,239$949,267$76,178$7,500,130
83$10,661,457$880,517$0$8,130,898
84$11,630,030$804,767$0$8,830,617
85$12,693,652$721,559$0$9,614,211
86$13,861,900$630,412$0$10,474,947
87$15,145,325$530,813$0$11,420,651
88$16,555,549$422,223$0$12,459,946
89$18,105,376$304,073$0$13,602,338
90$19,808,912$175,760$0$14,858,302
91$21,681,697$36,649$0$16,239,382
92$23,740,853$0$0$17,758,303
93$26,005,243$0$0$19,447,894
94$28,495,650$0$0$21,312,864
95$31,234,971$0$0$23,364,322
96$34,248,435$0$0$25,621,171
97$37,563,838$0$0$28,104,240
98$41,211,808$0$0$30,836,477
99$45,226,089$0$0$33,843,170
100$49,643,863$0$0$37,152,178