Can I retire at age 56 with 1,940,000?

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 $1,940,000?

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$160,203$158,776$157,384$156,025$154,698$152,892
2 years$79,309$77,832$76,400$75,012$73,666$71,848
3 years$52,347$50,864$49,436$48,061$46,737$44,963
4 years$38,869$37,390$35,977$34,625$33,333$31,618
5 years$30,784$29,314$27,919$26,596$25,339$23,687
6 years$25,396$23,937$22,563$21,269$20,050$18,463
7 years$21,549$20,103$18,750$17,486$16,306$14,785
8 years$18,665$17,232$15,901$14,669$13,527$12,073
9 years$16,423$15,003$13,696$12,494$11,392$10,003
10 years$14,631$13,225$11,940$10,770$9,707$8,381
11 years$13,165$11,773$10,512$9,373$8,348$7,086
12 years$11,945$10,567$9,329$8,222$7,234$6,034
13 years$10,913$9,549$8,335$7,259$6,308$5,168
14 years$10,029$8,680$7,489$6,443$5,530$4,449
15 years$9,264$7,929$6,762$5,746$4,869$3,845
16 years$8,595$7,275$6,130$5,145$4,303$3,334
17 years$8,005$6,700$5,578$4,623$3,816$2,900
18 years$7,482$6,191$5,092$4,166$3,393$2,528
19 years$7,014$5,738$4,662$3,765$3,024$2,209
20 years$6,593$5,332$4,278$3,409$2,701$1,933
21 years$6,213$4,967$3,935$3,094$2,417$1,695
22 years$5,868$4,636$3,627$2,813$2,167$1,488
23 years$5,554$4,336$3,349$2,562$1,945$1,308
24 years$5,266$4,063$3,097$2,337$1,748$1,151
25 years$5,002$3,813$2,869$2,134$1,573$1,013
26 years$4,758$3,583$2,660$1,951$1,417$893
27 years$4,533$3,372$2,470$1,786$1,277$788
28 years$4,324$3,178$2,297$1,637$1,153$695
29 years$4,130$2,998$2,137$1,501$1,041$614
30 years$3,949$2,831$1,991$1,377$940$542
31 years$3,780$2,676$1,856$1,265$850$479
32 years$3,622$2,532$1,732$1,163$769$424
33 years$3,474$2,398$1,617$1,069$696$375
34 years$3,335$2,273$1,511$984$630$331
35 years$3,204$2,156$1,412$905$571$293
36 years$3,081$2,046$1,321$834$517$260
37 years$2,965$1,943$1,237$768$469$230
38 years$2,855$1,847$1,158$708$425$203
39 years$2,751$1,756$1,085$653$385$180
40 years$2,652$1,671$1,017$602$350$159
41 years$2,559$1,591$954$556$317$141
42 years$2,470$1,515$894$513$288$125
43 years$2,385$1,443$839$473$261$111
44 years$2,305$1,376$788$437$237$98
45 years$2,228$1,312$740$404$215$87
46 years$2,155$1,251$695$373$195$77
47 years$2,086$1,194$653$345$177$68
48 years$2,019$1,140$613$318$161$61
49 years$1,955$1,089$577$294$146$54
50 years$1,894$1,040$542$272$133$48

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $1,940,000, adding $3,950 every year, while hoping to spend $53,193 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: 36/41/23 Blend
55$1,940,000$1,940,000$1,940,000$1,940,000
56$2,141,954$2,039,134$2,009,064$2,204,069
57$2,303,837$2,082,455$2,019,771$2,293,382
58$2,480,448$2,126,116$2,029,054$2,384,547
59$2,673,235$2,170,077$2,036,808$2,481,899
60$2,883,790$2,214,295$2,042,926$2,586,024
61$3,113,864$2,258,723$2,047,292$2,697,571
62$3,365,388$2,303,310$2,049,785$2,817,255
63$3,640,485$2,348,000$2,050,281$2,945,865
64$3,941,495$2,392,732$2,048,645$3,084,270
65$4,270,992$2,437,441$2,044,740$3,233,432
66$4,631,814$2,482,056$2,038,419$3,394,410
67$5,027,082$2,526,500$2,029,530$3,568,375
68$5,460,237$2,570,691$2,017,911$3,756,617
69$5,935,066$2,614,539$2,003,396$3,960,562
70$6,455,741$2,657,950$1,985,808$4,181,780
71$7,026,857$2,700,820$1,964,963$4,422,008
72$7,653,474$2,743,038$1,940,667$4,683,160
73$8,341,167$2,784,486$1,912,718$4,967,347
74$9,096,077$2,825,036$1,880,905$5,276,902
75$9,924,967$2,864,553$1,845,006$5,614,397
76$10,835,288$2,902,891$1,804,788$5,982,669
77$11,835,249$2,939,893$1,760,009$6,384,851
78$12,933,890$2,975,394$1,710,415$6,824,397
79$14,141,173$3,009,214$1,655,740$7,305,121
80$15,468,071$3,041,165$1,595,707$7,831,227
81$16,926,676$3,071,043$1,530,024$8,407,356
82$18,530,305$3,098,632$1,458,387$9,038,627
83$20,293,632$3,123,702$1,380,480$9,730,688
84$22,232,827$3,146,007$1,295,970$10,489,768
85$24,365,700$3,165,286$1,204,510$11,322,738
86$26,711,878$3,181,262$1,105,738$12,237,180
87$29,292,984$3,193,638$999,274$13,241,455
88$32,132,841$3,202,100$884,723$14,344,785
89$35,257,702$3,206,313$761,672$15,557,343
90$38,696,489$3,205,924$629,689$16,890,348
91$42,481,070$3,200,554$488,324$18,356,175
92$46,646,562$3,189,803$337,105$19,968,469
93$51,231,655$3,173,247$175,542$21,742,283
94$56,278,982$3,150,435$3,121$23,694,214
95$61,835,521$3,120,888$0$25,842,565
96$67,953,033$3,084,101$0$28,251,912
97$74,688,555$3,039,535$0$30,903,826
98$82,104,936$2,986,621$0$33,822,227
99$90,271,430$2,924,755$0$37,034,330
100$99,264,348$2,853,300$0$40,570,132