Can I retire at age 56 with 504,000?

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 $504,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.1%
1 years$41,620$41,249$40,887$40,534$40,190$39,508
2 years$20,604$20,220$19,848$19,488$19,138$18,453
3 years$13,599$13,214$12,843$12,486$12,142$11,475
4 years$10,098$9,714$9,347$8,995$8,660$8,016
5 years$7,998$7,616$7,253$6,909$6,583$5,965
6 years$6,598$6,219$5,862$5,525$5,209$4,617
7 years$5,598$5,223$4,871$4,543$4,236$3,670
8 years$4,849$4,477$4,131$3,811$3,514$2,975
9 years$4,267$3,898$3,558$3,246$2,960$2,446
10 years$3,801$3,436$3,102$2,798$2,522$2,033
11 years$3,420$3,059$2,731$2,435$2,169$1,705
12 years$3,103$2,745$2,424$2,136$1,879$1,440
13 years$2,835$2,481$2,165$1,886$1,639$1,223
14 years$2,605$2,255$1,946$1,674$1,437$1,043
15 years$2,407$2,060$1,757$1,493$1,265$894
16 years$2,233$1,890$1,593$1,337$1,118$768
17 years$2,080$1,741$1,449$1,201$991$662
18 years$1,944$1,608$1,323$1,082$881$572
19 years$1,822$1,491$1,211$978$786$495
20 years$1,713$1,385$1,112$886$702$429
21 years$1,614$1,290$1,022$804$628$372
22 years$1,525$1,204$942$731$563$324
23 years$1,443$1,126$870$666$505$282
24 years$1,368$1,055$805$607$454$245
25 years$1,299$990$745$554$409$214
26 years$1,236$931$691$507$368$187
27 years$1,178$876$642$464$332$163
28 years$1,123$826$597$425$299$142
29 years$1,073$779$555$390$270$124
30 years$1,026$735$517$358$244$109
31 years$982$695$482$329$221$95
32 years$941$658$450$302$200$83
33 years$903$623$420$278$181$73
34 years$866$590$392$256$164$64
35 years$832$560$367$235$148$56
36 years$800$532$343$217$134$49
37 years$770$505$321$200$122$43
38 years$742$480$301$184$110$37
39 years$715$456$282$170$100$33
40 years$689$434$264$156$91$29
41 years$665$413$248$144$82$25
42 years$642$394$232$133$75$22
43 years$620$375$218$123$68$19
44 years$599$357$205$114$62$17
45 years$579$341$192$105$56$15
46 years$560$325$181$97$51$13
47 years$542$310$170$89$46$11
48 years$524$296$159$83$42$10
49 years$508$283$150$76$38$9
50 years$492$270$141$71$35$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $504,000, adding $5,462 every year, while hoping to spend $27,643 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: 55/16/29 Blend
55$504,000$504,000$504,000$504,000
56$561,042$534,330$526,518$587,120
57$588,856$531,100$514,744$602,489
58$618,581$526,786$501,650$615,924
59$650,383$521,304$487,161$630,007
60$684,442$514,568$471,201$644,809
61$720,958$506,485$453,690$660,411
62$760,150$496,958$434,543$676,905
63$802,258$485,881$413,673$694,392
64$847,545$473,146$390,987$712,987
65$896,301$458,636$366,391$732,814
66$948,841$442,227$339,783$754,018
67$1,005,517$423,790$311,059$776,756
68$1,066,709$403,185$280,110$801,203
69$1,132,841$380,268$246,821$827,558
70$1,204,373$354,884$211,072$856,038
71$1,281,815$326,870$172,739$886,887
72$1,365,726$296,052$131,691$920,375
73$1,456,721$262,249$87,794$956,806
74$1,555,475$225,269$40,904$996,512
75$1,662,733$184,906$0$1,039,868
76$1,779,312$140,946$0$1,090,112
77$1,906,112$93,163$0$1,158,567
78$2,044,122$41,315$0$1,233,124
79$2,194,433$0$0$1,314,399
80$2,358,242$0$0$1,405,688
81$2,536,869$0$0$1,513,209
82$2,731,766$0$0$1,630,568
83$2,944,531$0$0$1,758,732
84$3,176,923$0$0$1,898,767
85$3,430,878$0$0$2,051,846
86$3,708,528$0$0$2,219,261
87$4,012,222$0$0$2,402,432
88$4,344,543$0$0$2,602,927
89$4,708,338$0$0$2,822,468
90$5,106,741$0$0$3,062,956
91$5,543,202$0$0$3,326,479
92$6,021,523$0$0$3,615,342
93$6,545,889$0$0$3,932,080
94$7,120,911$0$0$4,279,486
95$7,751,667$0$0$4,660,638
96$8,443,749$0$0$5,078,923
97$9,203,318$0$0$5,538,074
98$10,037,160$0$0$6,042,204
99$10,952,749$0$0$6,595,841
100$11,958,320$0$0$7,203,975