Can I retire at age 56 with 507,000?

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 $507,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.2%
1 years$41,868$41,495$41,131$40,776$40,429$39,404
2 years$20,727$20,341$19,966$19,604$19,252$18,226
3 years$13,680$13,293$12,920$12,560$12,214$11,219
4 years$10,158$9,772$9,402$9,049$8,711$7,755
5 years$8,045$7,661$7,296$6,950$6,622$5,707
6 years$6,637$6,256$5,897$5,558$5,240$4,367
7 years$5,632$5,254$4,900$4,570$4,261$3,431
8 years$4,878$4,503$4,156$3,834$3,535$2,747
9 years$4,292$3,921$3,579$3,265$2,977$2,230
10 years$3,824$3,456$3,121$2,815$2,537$1,830
11 years$3,441$3,077$2,747$2,450$2,182$1,514
12 years$3,122$2,762$2,438$2,149$1,891$1,262
13 years$2,852$2,496$2,178$1,897$1,649$1,057
14 years$2,621$2,268$1,957$1,684$1,445$889
15 years$2,421$2,072$1,767$1,502$1,272$750
16 years$2,246$1,901$1,602$1,345$1,125$635
17 years$2,092$1,751$1,458$1,208$997$539
18 years$1,955$1,618$1,331$1,089$887$459
19 years$1,833$1,500$1,218$984$790$391
20 years$1,723$1,393$1,118$891$706$333
21 years$1,624$1,298$1,028$809$632$285
22 years$1,534$1,212$948$735$566$244
23 years$1,451$1,133$875$670$508$209
24 years$1,376$1,062$809$611$457$179
25 years$1,307$996$750$558$411$153
26 years$1,243$936$695$510$370$131
27 years$1,185$881$646$467$334$113
28 years$1,130$830$600$428$301$97
29 years$1,079$783$559$392$272$83
30 years$1,032$740$520$360$246$71
31 years$988$699$485$331$222$61
32 years$947$662$453$304$201$53
33 years$908$627$423$279$182$45
34 years$872$594$395$257$165$39
35 years$837$563$369$237$149$34
36 years$805$535$345$218$135$29
37 years$775$508$323$201$122$25
38 years$746$483$303$185$111$21
39 years$719$459$284$171$101$18
40 years$693$437$266$157$91$16
41 years$669$416$249$145$83$14
42 years$645$396$234$134$75$12
43 years$623$377$219$124$68$10
44 years$602$360$206$114$62$9
45 years$582$343$193$105$56$7
46 years$563$327$182$97$51$6
47 years$545$312$171$90$46$6
48 years$528$298$160$83$42$5
49 years$511$285$151$77$38$4
50 years$495$272$142$71$35$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $507,000, adding $4,030 every year, while hoping to spend $30,647 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: 31/50/19 Blend
55$507,000$507,000$507,000$507,000
56$562,871$536,000$528,141$576,869
57$587,676$529,656$513,226$581,383
58$613,983$521,974$496,784$583,177
59$641,915$512,855$478,731$584,458
60$671,602$502,198$458,981$585,199
61$703,191$489,890$437,442$585,376
62$736,838$475,817$414,018$584,963
63$772,718$459,855$388,610$583,934
64$811,021$441,873$361,114$582,265
65$851,954$421,734$331,421$579,935
66$895,747$399,292$299,416$576,922
67$942,648$374,392$264,982$573,208
68$992,932$346,872$227,993$568,775
69$1,046,901$316,558$188,320$563,613
70$1,104,884$283,269$145,828$557,710
71$1,167,244$246,811$100,376$551,062
72$1,234,379$206,981$51,815$543,669
73$1,306,727$163,564$0$535,538
74$1,384,767$116,332$0$526,684
75$1,469,026$65,046$0$528,336
76$1,560,085$9,451$0$530,044
77$1,658,581$0$0$531,885
78$1,765,213$0$0$561,855
79$1,880,751$0$0$600,028
80$2,006,042$0$0$641,492
81$2,142,017$0$0$686,563
82$2,289,698$0$0$735,591
83$2,450,213$0$0$788,958
84$2,624,800$0$0$847,085
85$2,814,822$0$0$910,438
86$3,021,778$0$0$979,527
87$3,247,319$0$0$1,054,914
88$3,493,261$0$0$1,137,218
89$3,761,602$0$0$1,227,120
90$4,054,543$0$0$1,325,370
91$4,374,505$0$0$1,432,793
92$4,724,155$0$0$1,550,300
93$5,106,428$0$0$1,678,890
94$5,524,556$0$0$1,819,665
95$5,982,097$0$0$1,973,840
96$6,482,970$0$0$2,142,750
97$7,031,488$0$0$2,327,868
98$7,632,404$0$0$2,530,815
99$8,290,949$0$0$2,753,375
100$9,012,888$0$0$2,997,516