Can I retire at age 56 with 2,740,000?

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 $2,740,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.9%
1 years$226,267$224,251$222,285$220,366$218,491$214,960
2 years$112,013$109,927$107,905$105,945$104,044$100,496
3 years$73,934$71,839$69,822$67,880$66,010$62,555
4 years$54,898$52,809$50,812$48,904$47,079$43,745
5 years$43,479$41,403$39,433$37,563$35,788$32,584
6 years$35,869$33,809$31,867$30,039$28,318$25,248
7 years$30,436$28,392$26,482$24,697$23,030$20,095
8 years$26,362$24,337$22,459$20,718$19,106$16,304
9 years$23,196$21,190$19,344$17,647$16,090$13,421
10 years$20,664$18,678$16,864$15,212$13,709$11,171
11 years$18,594$16,628$14,847$13,239$11,790$9,379
12 years$16,870$14,924$13,176$11,612$10,217$7,931
13 years$15,413$13,487$11,772$10,252$8,910$6,745
14 years$14,165$12,260$10,577$9,100$7,810$5,763
15 years$13,084$11,199$9,550$8,116$6,877$4,943
16 years$12,139$10,275$8,658$7,267$6,078$4,254
17 years$11,307$9,463$7,879$6,529$5,389$3,671
18 years$10,567$8,744$7,192$5,884$4,792$3,175
19 years$9,906$8,104$6,584$5,317$4,271$2,752
20 years$9,312$7,531$6,043$4,815$3,815$2,390
21 years$8,776$7,015$5,558$4,370$3,414$2,078
22 years$8,288$6,548$5,123$3,974$3,060$1,809
23 years$7,844$6,124$4,730$3,619$2,747$1,576
24 years$7,438$5,738$4,374$3,301$2,469$1,375
25 years$7,064$5,385$4,052$3,014$2,222$1,201
26 years$6,720$5,061$3,758$2,756$2,001$1,049
27 years$6,402$4,763$3,489$2,523$1,804$917
28 years$6,107$4,488$3,244$2,311$1,628$802
29 years$5,833$4,234$3,019$2,120$1,470$702
30 years$5,577$3,998$2,812$1,945$1,328$614
31 years$5,339$3,780$2,621$1,787$1,201$538
32 years$5,116$3,576$2,446$1,642$1,086$471
33 years$4,907$3,387$2,284$1,510$983$413
34 years$4,711$3,210$2,134$1,389$890$362
35 years$4,526$3,045$1,995$1,279$806$317
36 years$4,352$2,890$1,866$1,178$730$278
37 years$4,187$2,745$1,747$1,085$662$244
38 years$4,032$2,608$1,636$1,000$600$214
39 years$3,885$2,480$1,532$922$544$188
40 years$3,746$2,360$1,436$851$494$165
41 years$3,614$2,246$1,347$785$448$145
42 years$3,488$2,139$1,263$724$406$127
43 years$3,369$2,038$1,185$669$369$111
44 years$3,256$1,943$1,113$617$335$98
45 years$3,147$1,853$1,045$570$304$86
46 years$3,044$1,768$981$527$276$75
47 years$2,946$1,687$922$487$251$66
48 years$2,851$1,610$866$450$228$58
49 years$2,761$1,538$814$416$207$51
50 years$2,675$1,469$766$384$188$45

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $2,740,000, adding $5,064 every year, while hoping to spend $51,490 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: 25/46/29 Blend
55$2,740,000$2,740,000$2,740,000$2,740,000
56$3,024,704$2,879,484$2,837,014$3,072,766
57$3,278,438$2,965,793$2,877,269$3,199,848
58$3,556,328$3,054,606$2,917,146$3,331,315
59$3,860,783$3,145,991$2,956,580$3,471,210
60$4,194,456$3,240,018$2,995,498$3,620,279
61$4,560,270$3,336,758$3,033,827$3,779,339
62$4,961,442$3,436,285$3,071,485$3,949,287
63$5,401,520$3,538,673$3,108,390$4,131,112
64$5,884,406$3,643,999$3,144,453$4,325,900
65$6,414,403$3,752,342$3,179,579$4,534,846
66$6,996,248$3,863,783$3,213,671$4,759,264
67$7,635,160$3,978,403$3,246,623$5,000,601
68$8,336,887$4,096,285$3,278,326$5,260,448
69$9,107,763$4,217,517$3,308,664$5,540,556
70$9,954,765$4,342,185$3,337,514$5,842,854
71$10,885,578$4,470,380$3,364,748$6,169,464
72$11,908,670$4,602,191$3,390,230$6,522,721
73$13,033,370$4,737,714$3,413,818$6,905,200
74$14,269,954$4,877,043$3,435,362$7,319,731
75$15,629,747$5,020,275$3,454,703$7,769,435
76$17,125,222$5,167,509$3,471,677$8,257,746
77$18,770,124$5,318,847$3,486,108$8,788,448
78$20,579,598$5,474,392$3,497,814$9,365,708
79$22,570,328$5,634,248$3,506,602$9,994,117
80$24,760,699$5,798,523$3,512,270$10,678,729
81$27,170,965$5,967,326$3,514,606$11,425,115
82$29,823,446$6,140,768$3,513,388$12,239,411
83$32,742,733$6,318,960$3,508,382$13,128,375
84$35,955,922$6,502,020$3,499,342$14,099,456
85$39,492,869$6,690,062$3,486,013$15,160,858
86$43,386,472$6,883,205$3,468,125$16,321,622
87$47,672,980$7,081,571$3,445,396$17,591,707
88$52,392,337$7,285,280$3,417,530$18,982,089
89$57,588,555$7,494,458$3,384,216$20,504,859
90$63,310,131$7,709,230$3,345,131$22,173,344
91$69,610,505$7,929,724$3,299,934$24,002,225
92$76,548,564$8,156,067$3,248,269$26,007,682
93$84,189,196$8,388,393$3,189,764$28,207,542
94$92,603,901$8,626,831$3,124,028$30,621,452
95$101,871,469$8,871,516$3,050,653$33,271,060
96$112,078,721$9,122,583$2,969,213$36,180,222
97$123,321,329$9,380,167$2,879,259$39,375,229
98$135,704,715$9,644,406$2,780,325$42,885,051
99$149,345,053$9,915,439$2,671,923$46,741,613
100$164,370,356$10,193,403$2,553,540$50,980,099