Can I retire at age 56 with 5,000,000?

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 $5,000,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.8%
1 years$412,895$409,217$405,629$402,127$398,707$389,226
2 years$204,404$200,597$196,907$193,330$189,860$180,364
3 years$134,915$131,092$127,412$123,869$120,455$111,240
4 years$100,178$96,367$92,723$89,240$85,910$77,047
5 years$79,341$75,553$71,957$68,545$65,307$56,822
6 years$65,455$61,694$58,152$54,816$51,675$43,575
7 years$55,539$51,811$48,325$45,067$42,026$34,312
8 years$48,106$44,411$40,983$37,806$34,865$27,535
9 years$42,328$38,668$35,299$32,202$29,361$22,409
10 years$37,708$34,084$30,774$27,759$25,017$18,435
11 years$33,931$30,343$27,093$24,158$21,515$15,294
12 years$30,785$27,234$24,044$21,190$18,645$12,774
13 years$28,126$24,612$21,482$18,708$16,259$10,727
14 years$25,848$22,371$19,302$16,607$14,252$9,048
15 years$23,876$20,437$17,427$14,810$12,549$7,660
16 years$22,152$18,750$15,800$13,261$11,091$6,504
17 years$20,632$17,268$14,377$11,915$9,834$5,537
18 years$19,283$15,957$13,125$10,738$8,744$4,723
19 years$18,077$14,789$12,015$9,702$7,793$4,037
20 years$16,993$13,742$11,027$8,787$6,961$3,455
21 years$16,014$12,800$10,143$7,975$6,230$2,961
22 years$15,125$11,949$9,348$7,251$5,584$2,540
23 years$14,314$11,175$8,631$6,604$5,012$2,181
24 years$13,572$10,471$7,982$6,023$4,505$1,875
25 years$12,891$9,826$7,393$5,501$4,054$1,612
26 years$12,263$9,235$6,857$5,029$3,652$1,387
27 years$11,682$8,691$6,367$4,604$3,292$1,194
28 years$11,144$8,190$5,919$4,218$2,971$1,029
29 years$10,644$7,726$5,508$3,868$2,683$886
30 years$10,178$7,296$5,131$3,550$2,424$764
31 years$9,743$6,898$4,783$3,260$2,191$658
32 years$9,336$6,526$4,463$2,996$1,982$568
33 years$8,954$6,181$4,167$2,755$1,794$490
34 years$8,596$5,858$3,893$2,535$1,624$422
35 years$8,259$5,556$3,640$2,334$1,471$364
36 years$7,941$5,274$3,405$2,149$1,333$314
37 years$7,641$5,009$3,187$1,980$1,208$271
38 years$7,358$4,760$2,985$1,825$1,095$234
39 years$7,090$4,526$2,796$1,683$993$202
40 years$6,836$4,306$2,621$1,552$901$174
41 years$6,595$4,099$2,458$1,432$817$151
42 years$6,366$3,904$2,305$1,322$742$130
43 years$6,148$3,720$2,163$1,220$673$112
44 years$5,941$3,546$2,031$1,127$611$97
45 years$5,743$3,381$1,907$1,040$555$84
46 years$5,555$3,225$1,791$961$504$72
47 years$5,375$3,078$1,682$888$457$62
48 years$5,203$2,938$1,581$820$415$54
49 years$5,039$2,806$1,486$758$377$47
50 years$4,882$2,680$1,397$701$343$40

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $5,000,000, adding $5,826 every year, while hoping to spend $58,149 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: 78/16/6 Blend
55$5,000,000$5,000,000$5,000,000$5,000,000
56$5,516,010$5,251,010$5,173,510$5,942,943
57$6,016,772$5,446,439$5,284,952$6,419,159
58$6,566,664$5,649,495$5,398,179$6,933,100
59$7,170,635$5,860,491$5,513,189$7,494,974
60$7,834,136$6,079,753$5,629,978$8,109,522
61$8,563,177$6,307,619$5,748,540$8,781,964
62$9,364,372$6,544,444$5,868,868$9,518,048
63$10,245,014$6,790,597$5,990,951$10,324,100
64$11,213,134$7,046,465$6,114,776$11,207,091
65$12,277,581$7,312,449$6,240,328$12,174,691
66$13,448,104$7,588,968$6,367,589$13,235,352
67$14,735,443$7,876,461$6,496,536$14,398,376
68$16,151,434$8,175,383$6,627,145$15,674,013
69$17,709,114$8,486,211$6,759,388$17,073,547
70$19,422,850$8,809,441$6,893,234$18,609,410
71$21,308,471$9,145,594$7,028,648$20,295,291
72$23,383,416$9,495,209$7,165,588$22,146,271
73$25,666,902$9,858,852$7,304,013$24,178,960
74$28,180,103$10,237,113$7,443,875$26,411,653
75$30,946,348$10,630,606$7,585,119$28,864,505
76$33,991,344$11,039,974$7,727,690$31,559,715
77$37,343,417$11,465,889$7,871,523$34,521,742
78$41,033,777$11,909,049$8,016,551$37,777,525
79$45,096,816$12,370,186$8,162,699$41,356,745
80$49,570,430$12,850,063$8,309,887$45,292,098
81$54,496,374$13,349,477$8,458,029$49,619,607
82$59,920,662$13,869,259$8,607,031$54,378,954
83$65,893,996$14,410,279$8,756,793$59,613,863
84$72,472,245$14,973,444$8,907,207$65,372,502
85$79,716,973$15,559,702$9,058,157$71,707,940
86$87,696,018$16,170,041$9,209,519$78,678,649
87$96,484,136$16,805,497$9,361,162$86,349,050
88$106,163,699$17,467,148$9,512,943$94,790,121
89$116,825,481$18,156,123$9,664,711$104,080,067
90$128,569,507$18,873,600$9,816,306$114,305,054
91$141,506,001$19,620,810$9,967,555$125,560,022
92$155,756,422$20,399,039$10,118,277$137,949,578
93$171,454,615$21,209,630$10,268,278$151,588,985
94$188,748,072$22,053,989$10,417,352$166,605,242
95$207,799,322$22,933,581$10,565,280$183,138,287
96$228,787,467$23,849,939$10,711,830$201,342,312
97$251,909,869$24,804,667$10,856,757$221,387,216
98$277,384,018$25,799,438$10,999,801$243,460,211
99$305,449,579$26,836,002$11,140,685$267,767,579
100$336,370,658$27,916,188$11,279,120$294,536,626