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%16.9%
1 years$246,086$243,894$241,755$239,668$237,629$230,949
2 years$121,825$119,556$117,357$115,225$113,157$106,477
3 years$80,410$78,131$75,938$73,826$71,791$65,322
4 years$59,706$57,435$55,263$53,187$51,202$44,992
5 years$47,287$45,029$42,886$40,853$38,923$32,990
6 years$39,011$36,770$34,659$32,670$30,799$25,148
7 years$33,101$30,879$28,801$26,860$25,047$19,679
8 years$28,671$26,469$24,426$22,532$20,779$15,690
9 years$25,228$23,046$21,038$19,193$17,499$12,685
10 years$22,474$20,314$18,341$16,544$14,910$10,364
11 years$20,223$18,084$16,148$14,398$12,823$8,538
12 years$18,348$16,232$14,331$12,629$11,112$7,080
13 years$16,763$14,669$12,803$11,150$9,690$5,902
14 years$15,405$13,333$11,504$9,898$8,494$4,940
15 years$14,230$12,180$10,386$8,827$7,479$4,150
16 years$13,203$11,175$9,417$7,903$6,610$3,496
17 years$12,297$10,292$8,569$7,101$5,861$2,953
18 years$11,493$9,510$7,822$6,400$5,211$2,499
19 years$10,774$8,814$7,161$5,783$4,645$2,118
20 years$10,128$8,190$6,572$5,237$4,149$1,797
21 years$9,544$7,629$6,045$4,753$3,713$1,527
22 years$9,014$7,121$5,571$4,322$3,328$1,299
23 years$8,531$6,661$5,144$3,936$2,987$1,106
24 years$8,089$6,240$4,757$3,590$2,685$942
25 years$7,683$5,856$4,406$3,278$2,416$803
26 years$7,309$5,504$4,087$2,998$2,176$685
27 years$6,963$5,180$3,795$2,744$1,962$585
28 years$6,642$4,881$3,528$2,514$1,771$499
29 years$6,344$4,605$3,283$2,305$1,599$426
30 years$6,066$4,349$3,058$2,116$1,445$364
31 years$5,807$4,111$2,851$1,943$1,306$311
32 years$5,564$3,890$2,660$1,786$1,181$266
33 years$5,337$3,684$2,484$1,642$1,069$227
34 years$5,123$3,491$2,320$1,511$968$194
35 years$4,922$3,311$2,169$1,391$877$166
36 years$4,733$3,143$2,029$1,281$794$142
37 years$4,554$2,985$1,900$1,180$720$121
38 years$4,385$2,837$1,779$1,088$653$104
39 years$4,226$2,698$1,667$1,003$592$89
40 years$4,074$2,567$1,562$925$537$76
41 years$3,930$2,443$1,465$854$487$65
42 years$3,794$2,327$1,374$788$442$55
43 years$3,664$2,217$1,289$727$401$47
44 years$3,541$2,113$1,210$671$364$41
45 years$3,423$2,015$1,136$620$331$35
46 years$3,311$1,922$1,067$573$300$30
47 years$3,204$1,835$1,003$529$273$25
48 years$3,101$1,751$942$489$247$22
49 years$3,003$1,672$886$452$225$19
50 years$2,910$1,598$833$418$204$16

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 $6,250 every year, while hoping to spend $35,141 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: 46/36/18 Blend
55$2,980,000$2,980,000$2,980,000$2,980,000
56$3,290,407$3,132,467$3,086,277$3,424,603
57$3,588,639$3,248,568$3,152,277$3,634,999
58$3,916,112$3,369,180$3,219,311$3,859,104
59$4,275,773$3,494,488$3,287,376$4,101,492
60$4,670,867$3,624,682$3,356,467$4,363,881
61$5,104,967$3,759,963$3,426,581$4,648,157
62$5,582,012$3,900,540$3,497,710$4,956,394
63$6,106,340$4,046,630$3,569,846$5,290,873
64$6,682,732$4,198,459$3,642,980$5,654,099
65$7,316,451$4,356,265$3,717,101$6,048,830
66$8,013,301$4,520,293$3,792,196$6,478,097
67$8,779,672$4,690,802$3,868,249$6,945,236
68$9,622,608$4,868,060$3,945,244$7,453,913
69$10,549,866$5,052,347$4,023,162$8,008,165
70$11,569,995$5,243,956$4,101,981$8,612,431
71$12,692,415$5,443,190$4,181,678$9,271,597
72$13,927,504$5,650,369$4,262,227$9,991,040
73$15,286,697$5,865,824$4,343,598$10,776,677
74$16,782,592$6,089,902$4,425,761$11,635,018
75$18,429,074$6,322,964$4,508,681$12,573,233
76$20,241,438$6,565,388$4,592,321$13,599,210
77$22,236,540$6,817,568$4,676,639$14,721,636
78$24,432,953$7,079,914$4,761,592$15,950,072
79$26,851,140$7,352,856$4,847,132$17,295,047
80$29,513,653$7,636,843$4,933,208$18,768,149
81$32,445,339$7,932,341$5,019,763$20,382,143
82$35,673,577$8,239,839$5,106,739$22,151,080
83$39,228,538$8,559,847$5,194,071$24,090,436
84$43,143,467$8,892,898$5,281,690$26,217,251
85$47,454,998$9,239,547$5,369,524$28,550,293
86$52,203,498$9,600,376$5,457,494$31,110,229
87$57,433,450$9,975,990$5,545,515$33,919,822
88$63,193,871$10,367,022$5,633,499$37,004,142
89$69,538,775$10,774,135$5,721,350$40,390,803
90$76,527,681$11,198,019$5,808,966$44,110,219
91$84,226,178$11,639,395$5,896,240$48,195,889
92$92,706,541$12,099,018$5,983,057$52,684,716
93$102,048,414$12,577,676$6,069,295$57,617,347
94$112,339,560$13,076,190$6,154,825$63,038,559
95$123,676,694$13,595,422$6,239,509$68,997,677
96$136,166,387$14,136,268$6,323,204$75,549,038
97$149,926,081$14,699,668$6,405,754$82,752,500
98$165,085,192$15,286,602$6,486,997$90,674,007
99$181,786,332$15,898,096$6,566,762$99,386,209
100$200,186,655$16,535,220$6,644,865$108,969,139