Can I retire at age 56 with 2,500,000?

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 $2,500,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13%
1 years$206,448$204,609$202,815$201,063$199,354$196,862
2 years$102,202$100,298$98,454$96,665$94,930$92,424
3 years$67,458$65,546$63,706$61,934$60,228$57,783
4 years$50,089$48,183$46,362$44,620$42,955$40,592
5 years$39,671$37,776$35,979$34,273$32,654$30,379
6 years$32,727$30,847$29,076$27,408$25,838$23,654
7 years$27,770$25,905$24,162$22,534$21,013$18,921
8 years$24,053$22,206$20,492$18,903$17,432$15,431
9 years$21,164$19,334$17,649$16,101$14,680$12,770
10 years$18,854$17,042$15,387$13,879$12,509$10,688
11 years$16,965$15,172$13,547$12,079$10,758$9,024
12 years$15,393$13,617$12,022$10,595$9,322$7,675
13 years$14,063$12,306$10,741$9,354$8,129$6,565
14 years$12,924$11,186$9,651$8,303$7,126$5,644
15 years$11,938$10,218$8,713$7,405$6,274$4,871
16 years$11,076$9,375$7,900$6,630$5,545$4,218
17 years$10,316$8,634$7,189$5,957$4,917$3,663
18 years$9,642$7,978$6,562$5,369$4,372$3,189
19 years$9,039$7,394$6,008$4,851$3,897$2,783
20 years$8,497$6,871$5,513$4,394$3,481$2,432
21 years$8,007$6,400$5,071$3,988$3,115$2,129
22 years$7,562$5,974$4,674$3,626$2,792$1,866
23 years$7,157$5,588$4,316$3,302$2,506$1,638
24 years$6,786$5,235$3,991$3,012$2,253$1,439
25 years$6,445$4,913$3,697$2,750$2,027$1,265
26 years$6,131$4,617$3,428$2,515$1,826$1,113
27 years$5,841$4,346$3,184$2,302$1,646$980
28 years$5,572$4,095$2,960$2,109$1,485$864
29 years$5,322$3,863$2,754$1,934$1,341$761
30 years$5,089$3,648$2,565$1,775$1,212$671
31 years$4,871$3,449$2,392$1,630$1,096$592
32 years$4,668$3,263$2,231$1,498$991$523
33 years$4,477$3,090$2,084$1,378$897$462
34 years$4,298$2,929$1,947$1,268$812$408
35 years$4,129$2,778$1,820$1,167$736$360
36 years$3,971$2,637$1,703$1,075$666$318
37 years$3,821$2,504$1,594$990$604$281
38 years$3,679$2,380$1,492$913$548$248
39 years$3,545$2,263$1,398$841$497$220
40 years$3,418$2,153$1,310$776$450$194
41 years$3,297$2,050$1,229$716$409$172
42 years$3,183$1,952$1,153$661$371$152
43 years$3,074$1,860$1,082$610$337$134
44 years$2,970$1,773$1,015$563$305$119
45 years$2,872$1,691$953$520$277$105
46 years$2,777$1,613$895$481$252$93
47 years$2,688$1,539$841$444$229$82
48 years$2,602$1,469$791$410$208$73
49 years$2,519$1,403$743$379$189$64
50 years$2,441$1,340$699$350$171$57

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $2,500,000, adding $6,484 every year, while hoping to spend $46,639 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: 50/21/29 Blend
55$2,500,000$2,500,000$2,500,000$2,500,000
56$2,761,688$2,629,188$2,590,438$2,876,792
57$2,993,757$2,708,395$2,627,594$3,037,245
58$3,247,933$2,789,920$2,664,432$3,206,408
59$3,526,424$2,873,827$2,700,892$3,389,381
60$3,831,657$2,960,182$2,736,909$3,587,501
61$4,166,308$3,049,053$2,772,418$3,802,236
62$4,533,324$3,140,509$2,807,346$4,035,203
63$4,935,950$3,234,621$2,841,620$4,288,183
64$5,377,761$3,331,462$2,875,159$4,563,140
65$5,862,695$3,431,106$2,907,879$4,862,234
66$6,395,089$3,533,629$2,939,692$5,187,845
67$6,979,721$3,639,110$2,970,504$5,542,595
68$7,621,853$3,747,627$3,000,217$5,929,372
69$8,327,285$3,859,263$3,028,726$6,351,358
70$9,102,402$3,974,102$3,055,923$6,812,058
71$9,954,242$4,092,228$3,081,691$7,315,333
72$10,890,557$4,213,729$3,105,910$7,865,438
73$11,919,887$4,338,694$3,128,451$8,467,060
74$13,051,640$4,467,216$3,149,179$9,125,363
75$14,296,185$4,599,386$3,167,954$9,846,038
76$15,664,941$4,735,302$3,184,626$10,635,354
77$17,170,492$4,875,059$3,199,038$11,500,220
78$18,826,704$5,018,758$3,211,027$12,448,247
79$20,648,850$5,166,500$3,220,419$13,487,824
80$22,653,763$5,318,388$3,227,033$14,628,192
81$24,859,987$5,474,529$3,230,679$15,879,537
82$27,287,955$5,635,031$3,231,156$17,253,081
83$29,960,182$5,800,003$3,228,256$18,761,192
84$32,901,476$5,969,558$3,221,757$20,417,496
85$36,139,169$6,143,809$3,211,429$22,237,012
86$39,703,383$6,322,874$3,197,030$24,236,289
87$43,627,303$6,506,871$3,178,306$26,433,563
88$47,947,500$6,695,919$3,154,991$28,848,931
89$52,704,269$6,890,143$3,126,808$31,504,539
90$57,942,012$7,089,667$3,093,462$34,424,794
91$63,709,654$7,294,618$3,054,650$37,636,589
92$70,061,108$7,505,124$3,010,051$41,169,565
93$77,055,783$7,721,316$2,959,329$45,056,382
94$84,759,140$7,943,328$2,902,134$49,333,036
95$93,243,316$8,171,295$2,838,099$54,039,192
96$102,587,797$8,405,351$2,766,838$59,218,565
97$112,880,176$8,645,637$2,687,951$64,919,327
98$124,216,973$8,892,293$2,601,017$71,194,566
99$136,704,549$9,145,459$2,505,595$78,102,787
100$150,460,107$9,405,281$2,401,226$85,708,462