Can I retire at age 56 with 1,540,000?

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 $1,540,000?

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$127,172$126,039$124,934$123,855$122,802$119,157
2 years$62,956$61,784$60,647$59,546$58,477$54,835
3 years$41,554$40,376$39,243$38,152$37,100$33,576
4 years$30,855$29,681$28,559$27,486$26,460$23,080
5 years$24,437$23,270$22,163$21,112$20,115$16,887
6 years$20,160$19,002$17,911$16,883$15,916$12,845
7 years$17,106$15,958$14,884$13,881$12,944$10,029
8 years$14,817$13,679$12,623$11,644$10,738$7,977
9 years$13,037$11,910$10,872$9,918$9,043$6,434
10 years$11,614$10,498$9,478$8,550$7,705$5,243
11 years$10,451$9,346$8,345$7,441$6,627$4,308
12 years$9,482$8,388$7,406$6,527$5,743$3,563
13 years$8,663$7,580$6,617$5,762$5,008$2,962
14 years$7,961$6,890$5,945$5,115$4,390$2,473
15 years$7,354$6,295$5,368$4,562$3,865$2,071
16 years$6,823$5,775$4,866$4,084$3,416$1,740
17 years$6,355$5,319$4,428$3,670$3,029$1,465
18 years$5,939$4,915$4,042$3,307$2,693$1,236
19 years$5,568$4,555$3,701$2,988$2,400$1,045
20 years$5,234$4,233$3,396$2,707$2,144$884
21 years$4,932$3,943$3,124$2,456$1,919$749
22 years$4,658$3,680$2,879$2,233$1,720$635
23 years$4,409$3,442$2,658$2,034$1,544$539
24 years$4,180$3,225$2,459$1,855$1,388$458
25 years$3,970$3,026$2,277$1,694$1,249$389
26 years$3,777$2,844$2,112$1,549$1,125$331
27 years$3,598$2,677$1,961$1,418$1,014$281
28 years$3,432$2,522$1,823$1,299$915$239
29 years$3,278$2,380$1,697$1,191$826$204
30 years$3,135$2,247$1,580$1,093$747$173
31 years$3,001$2,124$1,473$1,004$675$148
32 years$2,875$2,010$1,375$923$611$126
33 years$2,758$1,904$1,283$849$553$107
34 years$2,648$1,804$1,199$781$500$91
35 years$2,544$1,711$1,121$719$453$78
36 years$2,446$1,624$1,049$662$411$66
37 years$2,354$1,543$982$610$372$56
38 years$2,266$1,466$919$562$337$48
39 years$2,184$1,394$861$518$306$41
40 years$2,105$1,326$807$478$277$35
41 years$2,031$1,263$757$441$252$30
42 years$1,961$1,202$710$407$228$25
43 years$1,894$1,146$666$376$207$22
44 years$1,830$1,092$625$347$188$18
45 years$1,769$1,041$587$320$171$16
46 years$1,711$993$552$296$155$13
47 years$1,656$948$518$273$141$11
48 years$1,603$905$487$253$128$10
49 years$1,552$864$458$234$116$8
50 years$1,504$826$430$216$106$7

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $1,540,000, adding $5,540 every year, while hoping to spend $56,299 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: 33/45/22 Blend
55$1,540,000$1,540,000$1,540,000$1,540,000
56$1,702,795$1,621,175$1,597,305$1,747,332
57$1,816,578$1,640,710$1,590,913$1,800,618
58$1,940,080$1,659,317$1,582,419$1,852,502
59$2,074,233$1,676,888$1,571,696$1,907,268
60$2,220,063$1,693,313$1,558,605$1,965,203
61$2,378,696$1,708,472$1,543,005$2,026,631
62$2,551,373$1,722,237$1,524,746$2,091,908
63$2,739,460$1,734,474$1,503,672$2,161,432
64$2,944,459$1,745,037$1,479,619$2,235,643
65$3,168,023$1,753,774$1,452,416$2,315,031
66$3,411,973$1,760,520$1,421,883$2,400,141
67$3,678,312$1,765,103$1,387,833$2,491,576
68$3,969,244$1,767,337$1,350,070$2,590,007
69$4,287,196$1,767,026$1,308,387$2,696,177
70$4,634,843$1,763,963$1,262,570$2,810,911
71$5,015,125$1,757,926$1,212,395$2,935,124
72$5,431,283$1,748,680$1,157,625$3,069,831
73$5,886,885$1,735,976$1,098,017$3,216,154
74$6,385,859$1,719,550$1,033,312$3,375,341
75$6,932,531$1,699,123$963,243$3,548,771
76$7,531,667$1,674,397$887,529$3,737,974
77$8,188,513$1,645,058$805,877$3,944,643
78$8,908,848$1,610,773$717,981$4,170,652
79$9,699,039$1,571,189$623,521$4,418,078
80$10,566,095$1,525,933$522,164$4,689,218
81$11,517,741$1,474,607$413,561$4,986,616
82$12,562,483$1,416,795$297,347$5,313,083
83$13,709,691$1,352,053$173,143$5,671,734
84$14,969,689$1,279,913$40,552$6,066,010
85$16,353,846$1,199,878$0$6,499,719
86$17,874,692$1,111,425$0$7,000,767
87$19,546,025$1,013,999$0$7,561,812
88$21,383,050$907,015$0$8,178,577
89$23,402,516$789,854$0$8,856,859
90$25,622,877$661,862$0$9,603,061
91$28,064,464$522,346$0$10,424,247
92$30,749,676$370,579$0$11,328,220
93$33,703,194$205,787$0$12,323,589
94$36,952,207$27,159$0$13,419,856
95$40,526,675$0$0$14,627,511
96$44,459,607$0$0$16,040,411
97$48,787,374$0$0$17,610,222
98$53,550,048$0$0$19,338,064
99$58,791,786$0$0$21,239,992
100$64,561,240$0$0$23,333,695