Can I retire at age 56 with 2,720,000?

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 $2,720,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14%
1 years$224,615$222,614$220,662$218,757$216,897$213,303
2 years$111,196$109,125$107,118$105,172$103,284$99,674
3 years$73,394$71,314$69,312$67,384$65,528$62,014
4 years$54,497$52,423$50,442$48,547$46,735$43,344
5 years$43,162$41,101$39,145$37,289$35,527$32,269
6 years$35,607$33,562$31,635$29,820$28,111$24,990
7 years$30,213$28,185$26,289$24,517$22,862$19,878
8 years$26,170$24,160$22,295$20,566$18,966$16,119
9 years$23,027$21,035$19,203$17,518$15,972$13,261
10 years$20,513$18,542$16,741$15,101$13,609$11,031
11 years$18,458$16,507$14,739$13,142$11,704$9,256
12 years$16,747$14,815$13,080$11,527$10,143$7,822
13 years$15,300$13,389$11,686$10,177$8,845$6,647
14 years$14,061$12,170$10,500$9,034$7,753$5,676
15 years$12,988$11,118$9,480$8,057$6,827$4,865
16 years$12,051$10,200$8,595$7,214$6,033$4,184
17 years$11,224$9,394$7,821$6,482$5,350$3,608
18 years$10,490$8,680$7,140$5,841$4,757$3,119
19 years$9,834$8,045$6,536$5,278$4,240$2,701
20 years$9,244$7,476$5,999$4,780$3,787$2,343
21 years$8,712$6,963$5,518$4,338$3,389$2,036
22 years$8,228$6,500$5,085$3,945$3,038$1,771
23 years$7,787$6,079$4,695$3,592$2,727$1,542
24 years$7,383$5,696$4,342$3,277$2,451$1,344
25 years$7,013$5,345$4,022$2,992$2,205$1,173
26 years$6,671$5,024$3,730$2,736$1,987$1,024
27 years$6,355$4,728$3,464$2,504$1,791$894
28 years$6,062$4,455$3,220$2,295$1,616$782
29 years$5,790$4,203$2,997$2,104$1,459$683
30 years$5,537$3,969$2,791$1,931$1,319$598
31 years$5,300$3,752$2,602$1,774$1,192$523
32 years$5,079$3,550$2,428$1,630$1,078$458
33 years$4,871$3,362$2,267$1,499$976$401
34 years$4,676$3,187$2,118$1,379$884$351
35 years$4,493$3,023$1,980$1,270$800$308
36 years$4,320$2,869$1,852$1,169$725$269
37 years$4,157$2,725$1,734$1,077$657$236
38 years$4,003$2,589$1,624$993$596$207
39 years$3,857$2,462$1,521$916$540$181
40 years$3,719$2,343$1,426$844$490$159
41 years$3,588$2,230$1,337$779$445$139
42 years$3,463$2,124$1,254$719$403$122
43 years$3,345$2,024$1,177$664$366$107
44 years$3,232$1,929$1,105$613$332$94
45 years$3,124$1,839$1,037$566$302$82
46 years$3,022$1,755$974$523$274$72
47 years$2,924$1,674$915$483$249$63
48 years$2,831$1,599$860$446$226$56
49 years$2,741$1,526$808$412$205$49
50 years$2,656$1,458$760$381$186$43

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $2,720,000, adding $3,502 every year, while hoping to spend $39,661 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: 62/26/12 Blend
55$2,720,000$2,720,000$2,720,000$2,720,000
56$3,001,052$2,856,892$2,814,732$3,178,422
57$3,264,961$2,954,681$2,866,827$3,395,531
58$3,554,458$3,055,932$2,919,337$3,627,562
59$3,872,114$3,160,773$2,972,236$3,879,861
60$4,220,756$3,269,338$3,025,492$4,154,395
61$4,603,500$3,381,762$3,079,073$4,453,326
62$5,023,780$3,498,191$3,132,945$4,779,034
63$5,485,375$3,618,773$3,187,069$5,134,139
64$5,992,453$3,743,662$3,241,405$5,521,523
65$6,549,601$3,873,019$3,295,909$5,944,362
66$7,161,874$4,007,011$3,350,536$6,406,147
67$7,834,842$4,145,811$3,405,236$6,910,727
68$8,574,640$4,289,600$3,459,955$7,462,335
69$9,388,027$4,438,565$3,514,638$8,065,634
70$10,282,452$4,592,901$3,569,225$8,725,758
71$11,266,119$4,752,809$3,623,650$9,448,361
72$12,348,067$4,918,501$3,677,847$10,239,668
73$13,538,258$5,090,196$3,731,742$11,106,535
74$14,847,665$5,268,120$3,785,260$12,056,513
75$16,288,379$5,452,510$3,838,319$13,097,917
76$17,873,723$5,643,612$3,890,832$14,239,908
77$19,618,375$5,841,682$3,942,708$15,492,571
78$21,538,511$6,046,986$3,993,850$16,867,020
79$23,651,951$6,259,800$4,044,155$18,375,492
80$25,978,332$6,480,412$4,093,517$20,031,470
81$28,539,291$6,709,121$4,141,819$21,849,806
82$31,358,669$6,946,239$4,188,940$23,846,857
83$34,462,738$7,192,090$4,234,755$26,040,647
84$37,880,445$7,447,010$4,279,126$28,451,029
85$41,643,687$7,711,350$4,321,914$31,099,875
86$45,787,612$7,985,474$4,362,966$34,011,280
87$50,350,949$8,269,764$4,402,127$37,211,790
88$55,376,377$8,564,613$4,439,229$40,730,651
89$60,910,921$8,870,433$4,474,097$44,600,085
90$67,006,403$9,187,652$4,506,547$48,855,592
91$73,719,925$9,516,716$4,536,385$53,536,284
92$81,114,411$9,858,088$4,563,407$58,685,254
93$89,259,198$10,212,252$4,587,399$64,349,984
94$98,230,694$10,579,710$4,608,134$70,582,785
95$108,113,094$10,960,985$4,625,377$77,441,299
96$118,999,180$11,356,624$4,638,877$84,989,035
97$130,991,191$11,767,193$4,648,374$93,295,969
98$144,201,791$12,193,284$4,653,593$102,439,207
99$158,755,131$12,635,513$4,654,246$112,503,705
100$174,788,023$13,094,521$4,650,031$123,583,075