Can I retire at age 56 with 2,980,000?

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 $2,980,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.2%
1 years$246,086$243,894$241,755$239,668$237,629$234,466
2 years$121,825$119,556$117,357$115,225$113,157$109,975
3 years$80,410$78,131$75,938$73,826$71,791$68,689
4 years$59,706$57,435$55,263$53,187$51,202$48,204
5 years$47,287$45,029$42,886$40,853$38,923$36,038
6 years$39,011$36,770$34,659$32,670$30,799$28,030
7 years$33,101$30,879$28,801$26,860$25,047$22,396
8 years$28,671$26,469$24,426$22,532$20,779$18,245
9 years$25,228$23,046$21,038$19,193$17,499$15,081
10 years$22,474$20,314$18,341$16,544$14,910$12,606
11 years$20,223$18,084$16,148$14,398$12,823$10,631
12 years$18,348$16,232$14,331$12,629$11,112$9,030
13 years$16,763$14,669$12,803$11,150$9,690$7,714
14 years$15,405$13,333$11,504$9,898$8,494$6,622
15 years$14,230$12,180$10,386$8,827$7,479$5,708
16 years$13,203$11,175$9,417$7,903$6,610$4,936
17 years$12,297$10,292$8,569$7,101$5,861$4,281
18 years$11,493$9,510$7,822$6,400$5,211$3,722
19 years$10,774$8,814$7,161$5,783$4,645$3,242
20 years$10,128$8,190$6,572$5,237$4,149$2,830
21 years$9,544$7,629$6,045$4,753$3,713$2,473
22 years$9,014$7,121$5,571$4,322$3,328$2,165
23 years$8,531$6,661$5,144$3,936$2,987$1,897
24 years$8,089$6,240$4,757$3,590$2,685$1,664
25 years$7,683$5,856$4,406$3,278$2,416$1,461
26 years$7,309$5,504$4,087$2,998$2,176$1,283
27 years$6,963$5,180$3,795$2,744$1,962$1,128
28 years$6,642$4,881$3,528$2,514$1,771$992
29 years$6,344$4,605$3,283$2,305$1,599$873
30 years$6,066$4,349$3,058$2,116$1,445$769
31 years$5,807$4,111$2,851$1,943$1,306$677
32 years$5,564$3,890$2,660$1,786$1,181$597
33 years$5,337$3,684$2,484$1,642$1,069$526
34 years$5,123$3,491$2,320$1,511$968$464
35 years$4,922$3,311$2,169$1,391$877$409
36 years$4,733$3,143$2,029$1,281$794$361
37 years$4,554$2,985$1,900$1,180$720$318
38 years$4,385$2,837$1,779$1,088$653$281
39 years$4,226$2,698$1,667$1,003$592$248
40 years$4,074$2,567$1,562$925$537$219
41 years$3,930$2,443$1,465$854$487$193
42 years$3,794$2,327$1,374$788$442$170
43 years$3,664$2,217$1,289$727$401$150
44 years$3,541$2,113$1,210$671$364$133
45 years$3,423$2,015$1,136$620$331$117
46 years$3,311$1,922$1,067$573$300$104
47 years$3,204$1,835$1,003$529$273$91
48 years$3,101$1,751$942$489$247$81
49 years$3,003$1,672$886$452$225$71
50 years$2,910$1,598$833$418$204$63

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $2,980,000, adding $5,986 every year, while hoping to spend $33,604 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: 36/43/21 Blend
55$2,980,000$2,980,000$2,980,000$2,980,000
56$3,290,135$3,132,195$3,086,005$3,387,472
57$3,589,974$3,249,918$3,153,631$3,576,921
58$3,919,271$3,372,283$3,222,397$3,777,753
59$4,280,994$3,499,482$3,292,305$3,993,879
60$4,678,414$3,631,716$3,363,357$4,226,689
61$5,115,136$3,769,194$3,435,552$4,477,706
62$5,595,128$3,912,132$3,508,892$4,748,603
63$6,122,764$4,060,760$3,583,372$5,041,219
64$6,702,862$4,215,313$3,658,992$5,357,570
65$7,340,731$4,376,041$3,735,745$5,699,873
66$8,042,219$4,543,200$3,813,626$6,070,565
67$8,813,770$4,717,062$3,892,627$6,472,321
68$9,662,484$4,897,907$3,972,739$6,908,083
69$10,596,182$5,086,029$4,053,951$7,381,084
70$11,623,483$5,281,735$4,136,249$7,894,880
71$12,753,884$5,485,345$4,219,618$8,453,378
72$13,997,846$5,697,194$4,304,042$9,060,877
73$15,366,900$5,917,629$4,389,500$9,722,104
74$16,873,747$6,147,016$4,475,972$10,442,257
75$18,532,384$6,385,735$4,563,432$11,227,056
76$20,358,234$6,634,183$4,651,854$12,082,793
77$22,368,290$6,892,774$4,741,207$13,016,389
78$24,581,278$7,161,942$4,831,460$14,035,463
79$27,017,830$7,442,140$4,922,576$15,148,396
80$29,700,683$7,733,838$5,014,516$16,364,413
81$32,654,888$8,037,532$5,107,237$17,693,665
82$35,908,051$8,353,735$5,200,694$19,147,327
83$39,490,591$8,682,987$5,294,837$20,737,698
84$43,436,028$9,025,850$5,389,610$22,478,320
85$47,781,297$9,382,911$5,484,956$24,384,097
86$52,567,100$9,754,784$5,580,813$26,471,440
87$57,838,286$10,142,111$5,677,112$28,758,416
88$63,644,277$10,545,560$5,773,782$31,264,918
89$70,039,534$10,965,833$5,870,744$34,012,852
90$77,084,068$11,403,661$5,967,916$37,026,338
91$84,844,011$11,859,809$6,065,209$40,331,936
92$93,392,235$12,335,074$6,162,528$43,958,896
93$102,809,043$12,830,293$6,259,773$47,939,433
94$113,182,926$13,346,338$6,356,836$52,309,021
95$124,611,397$13,884,121$6,453,602$57,106,733
96$137,201,912$14,444,595$6,549,950$62,375,603
97$151,072,884$15,028,757$6,645,751$68,163,030
98$166,354,801$15,637,649$6,740,867$74,521,221
99$183,191,457$16,272,360$6,835,152$81,507,682
100$201,741,309$16,934,029$6,928,452$89,185,756