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%19.9%
1 years$412,895$409,217$405,629$402,127$398,707$382,888
2 years$204,404$200,597$196,907$193,330$189,860$174,119
3 years$134,915$131,092$127,412$123,869$120,455$105,287
4 years$100,178$96,367$92,723$89,240$85,910$71,431
5 years$79,341$75,553$71,957$68,545$65,307$51,554
6 years$65,455$61,694$58,152$54,816$51,675$38,656
7 years$55,539$51,811$48,325$45,067$42,026$29,736
8 years$48,106$44,411$40,983$37,806$34,865$23,292
9 years$42,328$38,668$35,299$32,202$29,361$18,488
10 years$37,708$34,084$30,774$27,759$25,017$14,823
11 years$33,931$30,343$27,093$24,158$21,515$11,976
12 years$30,785$27,234$24,044$21,190$18,645$9,734
13 years$28,126$24,612$21,482$18,708$16,259$7,950
14 years$25,848$22,371$19,302$16,607$14,252$6,518
15 years$23,876$20,437$17,427$14,810$12,549$5,360
16 years$22,152$18,750$15,800$13,261$11,091$4,419
17 years$20,632$17,268$14,377$11,915$9,834$3,650
18 years$19,283$15,957$13,125$10,738$8,744$3,020
19 years$18,077$14,789$12,015$9,702$7,793$2,503
20 years$16,993$13,742$11,027$8,787$6,961$2,076
21 years$16,014$12,800$10,143$7,975$6,230$1,724
22 years$15,125$11,949$9,348$7,251$5,584$1,432
23 years$14,314$11,175$8,631$6,604$5,012$1,191
24 years$13,572$10,471$7,982$6,023$4,505$991
25 years$12,891$9,826$7,393$5,501$4,054$824
26 years$12,263$9,235$6,857$5,029$3,652$686
27 years$11,682$8,691$6,367$4,604$3,292$572
28 years$11,144$8,190$5,919$4,218$2,971$476
29 years$10,644$7,726$5,508$3,868$2,683$397
30 years$10,178$7,296$5,131$3,550$2,424$331
31 years$9,743$6,898$4,783$3,260$2,191$275
32 years$9,336$6,526$4,463$2,996$1,982$230
33 years$8,954$6,181$4,167$2,755$1,794$191
34 years$8,596$5,858$3,893$2,535$1,624$160
35 years$8,259$5,556$3,640$2,334$1,471$133
36 years$7,941$5,274$3,405$2,149$1,333$111
37 years$7,641$5,009$3,187$1,980$1,208$93
38 years$7,358$4,760$2,985$1,825$1,095$77
39 years$7,090$4,526$2,796$1,683$993$64
40 years$6,836$4,306$2,621$1,552$901$54
41 years$6,595$4,099$2,458$1,432$817$45
42 years$6,366$3,904$2,305$1,322$742$37
43 years$6,148$3,720$2,163$1,220$673$31
44 years$5,941$3,546$2,031$1,127$611$26
45 years$5,743$3,381$1,907$1,040$555$22
46 years$5,555$3,225$1,791$961$504$18
47 years$5,375$3,078$1,682$888$457$15
48 years$5,203$2,938$1,581$820$415$13
49 years$5,039$2,806$1,486$758$377$10
50 years$4,882$2,680$1,397$701$343$9

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 $2,680 every year, while hoping to spend $33,348 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: 53/17/30 Blend
55$5,000,000$5,000,000$5,000,000$5,000,000
56$5,512,764$5,247,764$5,170,264$5,758,459
57$6,039,584$5,469,423$5,307,986$6,151,153
58$6,619,022$5,700,825$5,449,204$6,574,711
59$7,256,410$5,942,413$5,594,000$7,035,044
60$7,957,622$6,194,649$5,742,457$7,535,690
61$8,729,131$6,458,018$5,894,661$8,080,544
62$9,578,069$6,733,028$6,050,698$8,673,888
63$10,512,293$7,020,207$6,210,658$9,320,434
64$11,540,461$7,320,112$6,374,630$10,025,365
65$12,672,114$7,633,324$6,542,706$10,794,386
66$13,917,764$7,960,450$6,714,980$11,633,774
67$15,288,992$8,302,128$6,891,548$12,550,437
68$16,798,561$8,659,025$7,072,507$13,551,978
69$18,460,534$9,031,837$7,257,956$14,646,766
70$20,290,407$9,421,295$7,447,996$15,844,012
71$22,305,254$9,828,164$7,642,729$17,153,859
72$24,523,890$10,253,244$7,842,261$18,587,470
73$26,967,048$10,697,374$8,046,697$20,157,137
74$29,657,571$11,161,430$8,256,146$21,876,392
75$32,620,634$11,646,331$8,470,718$23,760,136
76$35,883,977$12,153,039$8,690,525$25,824,778
77$39,478,165$12,682,561$8,915,680$28,088,384
78$43,436,883$13,235,951$9,146,300$30,570,853
79$47,797,246$13,814,314$9,382,502$33,294,096
80$52,600,155$14,418,805$9,624,406$36,282,244
81$57,890,679$15,050,635$9,872,132$39,561,875
82$63,718,484$15,711,072$10,125,805$43,162,260
83$70,138,299$16,401,443$10,385,548$47,115,640
84$77,210,431$17,123,140$10,651,490$51,457,527
85$85,001,339$17,877,617$10,923,758$56,227,034
86$93,584,255$18,666,400$11,202,484$61,467,248
87$103,039,882$19,491,087$11,487,800$67,225,629
88$113,457,149$20,353,349$11,779,840$73,554,457
89$124,934,053$21,254,938$12,078,740$80,511,324
90$137,578,586$22,197,690$12,384,638$88,159,673
91$151,509,752$23,183,527$12,697,673$96,569,396
92$166,858,688$24,214,461$13,017,986$105,817,487
93$183,769,907$25,292,602$13,345,721$115,988,772
94$202,402,655$26,420,158$13,681,021$127,176,700
95$222,932,424$27,599,443$14,024,033$139,484,224
96$245,552,596$28,832,881$14,374,903$153,024,771
97$270,476,280$30,123,011$14,733,781$167,923,309
98$297,938,315$31,472,493$15,100,817$184,317,517
99$328,197,492$32,884,113$15,476,163$202,359,091
100$361,538,992$34,360,791$15,859,971$222,215,161