Can I retire at age 56 with 493,000?

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 $493,000?

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%
1 years$40,711$40,349$39,995$39,650$39,313$38,805
2 years$20,154$19,779$19,415$19,062$18,720$18,210
3 years$13,303$12,926$12,563$12,213$11,877$11,379
4 years$9,878$9,502$9,143$8,799$8,471$7,990
5 years$7,823$7,449$7,095$6,759$6,439$5,976
6 years$6,454$6,083$5,734$5,405$5,095$4,651
7 years$5,476$5,109$4,765$4,444$4,144$3,718
8 years$4,743$4,379$4,041$3,728$3,438$3,031
9 years$4,174$3,813$3,480$3,175$2,895$2,507
10 years$3,718$3,361$3,034$2,737$2,467$2,097
11 years$3,346$2,992$2,671$2,382$2,121$1,769
12 years$3,035$2,685$2,371$2,089$1,838$1,504
13 years$2,773$2,427$2,118$1,845$1,603$1,285
14 years$2,549$2,206$1,903$1,637$1,405$1,104
15 years$2,354$2,015$1,718$1,460$1,237$952
16 years$2,184$1,849$1,558$1,308$1,094$824
17 years$2,034$1,703$1,418$1,175$970$715
18 years$1,901$1,573$1,294$1,059$862$622
19 years$1,782$1,458$1,185$957$768$543
20 years$1,676$1,355$1,087$866$686$474
21 years$1,579$1,262$1,000$786$614$414
22 years$1,491$1,178$922$715$551$363
23 years$1,411$1,102$851$651$494$318
24 years$1,338$1,032$787$594$444$279
25 years$1,271$969$729$542$400$246
26 years$1,209$911$676$496$360$216
27 years$1,152$857$628$454$325$190
28 years$1,099$808$584$416$293$167
29 years$1,049$762$543$381$264$147
30 years$1,004$719$506$350$239$130
31 years$961$680$472$321$216$114
32 years$921$644$440$295$195$101
33 years$883$609$411$272$177$89
34 years$848$578$384$250$160$79
35 years$814$548$359$230$145$69
36 years$783$520$336$212$131$61
37 years$753$494$314$195$119$54
38 years$726$469$294$180$108$48
39 years$699$446$276$166$98$42
40 years$674$425$258$153$89$37
41 years$650$404$242$141$81$33
42 years$628$385$227$130$73$29
43 years$606$367$213$120$66$26
44 years$586$350$200$111$60$23
45 years$566$333$188$103$55$20
46 years$548$318$177$95$50$18
47 years$530$303$166$88$45$16
48 years$513$290$156$81$41$14
49 years$497$277$147$75$37$12
50 years$481$264$138$69$34$11

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $493,000, adding $3,900 every year, while hoping to spend $21,858 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: 62/33/5 Blend
55$493,000$493,000$493,000$493,000
56$547,309$521,180$513,538$580,571
57$579,878$523,461$507,485$605,512
58$615,036$525,121$500,497$629,807
59$653,024$526,107$492,518$655,752
60$694,108$526,362$483,493$683,508
61$738,579$525,825$473,362$713,247
62$786,756$524,433$462,061$745,165
63$838,992$522,117$449,527$779,475
64$895,674$518,805$435,691$816,412
65$957,226$514,420$420,480$856,237
66$1,024,119$508,882$403,822$899,239
67$1,096,865$502,104$385,636$945,735
68$1,176,034$493,995$365,843$996,077
69$1,262,246$484,458$344,356$1,050,652
70$1,356,190$473,391$321,086$1,109,891
71$1,458,619$460,685$295,941$1,174,266
72$1,570,365$446,225$268,822$1,244,301
73$1,692,343$429,891$239,628$1,320,572
74$1,825,560$411,553$208,253$1,403,719
75$1,971,123$391,075$174,585$1,494,446
76$2,130,253$368,314$138,510$1,593,530
77$2,304,294$343,116$99,905$1,701,832
78$2,494,725$315,322$58,645$1,820,299
79$2,703,175$284,761$14,598$1,949,978
80$2,931,438$251,253$0$2,092,027
81$3,181,488$214,608$0$2,249,450
82$3,455,501$174,625$0$2,422,871
83$3,755,873$131,092$0$2,613,075
84$4,085,242$83,785$0$2,821,785
85$4,446,514$32,468$0$3,050,905
86$4,842,889$0$0$3,302,537
87$5,277,895$0$0$3,587,390
88$5,755,413$0$0$3,913,061
89$6,279,723$0$0$4,270,683
90$6,855,535$0$0$4,663,475
91$7,488,042$0$0$5,094,983
92$8,182,961$0$0$5,569,114
93$8,946,593$0$0$6,090,171
94$9,785,879$0$0$6,662,896
95$10,708,463$0$0$7,292,511
96$11,722,770$0$0$7,984,772
97$12,838,081$0$0$8,746,020
98$14,064,621$0$0$9,583,238
99$15,413,655$0$0$10,504,125
100$16,897,596$0$0$11,517,159