Can I retire at age 56 with 850,000?

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 $850,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.1%
1 years$70,192$69,567$68,957$68,362$67,780$67,466
2 years$34,749$34,101$33,474$32,866$32,276$31,959
3 years$22,936$22,286$21,660$21,058$20,477$20,167
4 years$17,030$16,382$15,763$15,171$14,605$14,304
5 years$13,488$12,844$12,233$11,653$11,102$10,812
6 years$11,127$10,488$9,886$9,319$8,785$8,505
7 years$9,442$8,808$8,215$7,661$7,144$6,875
8 years$8,178$7,550$6,967$6,427$5,927$5,668
9 years$7,196$6,574$6,001$5,474$4,991$4,743
10 years$6,410$5,794$5,232$4,719$4,253$4,015
11 years$5,768$5,158$4,606$4,107$3,658$3,430
12 years$5,234$4,630$4,088$3,602$3,170$2,952
13 years$4,781$4,184$3,652$3,180$2,764$2,557
14 years$4,394$3,803$3,281$2,823$2,423$2,225
15 years$4,059$3,474$2,963$2,518$2,133$1,945
16 years$3,766$3,188$2,686$2,254$1,885$1,707
17 years$3,507$2,936$2,444$2,026$1,672$1,502
18 years$3,278$2,713$2,231$1,825$1,486$1,325
19 years$3,073$2,514$2,043$1,649$1,325$1,172
20 years$2,889$2,336$1,875$1,494$1,183$1,039
21 years$2,722$2,176$1,724$1,356$1,059$922
22 years$2,571$2,031$1,589$1,233$949$820
23 years$2,433$1,900$1,467$1,123$852$730
24 years$2,307$1,780$1,357$1,024$766$651
25 years$2,191$1,670$1,257$935$689$581
26 years$2,085$1,570$1,166$855$621$519
27 years$1,986$1,478$1,082$783$560$464
28 years$1,894$1,392$1,006$717$505$415
29 years$1,809$1,313$936$658$456$371
30 years$1,730$1,240$872$603$412$333
31 years$1,656$1,173$813$554$373$298
32 years$1,587$1,109$759$509$337$267
33 years$1,522$1,051$708$468$305$240
34 years$1,461$996$662$431$276$215
35 years$1,404$945$619$397$250$193
36 years$1,350$897$579$365$227$173
37 years$1,299$851$542$337$205$156
38 years$1,251$809$507$310$186$140
39 years$1,205$769$475$286$169$126
40 years$1,162$732$446$264$153$113
41 years$1,121$697$418$243$139$101
42 years$1,082$664$392$225$126$91
43 years$1,045$632$368$207$114$82
44 years$1,010$603$345$192$104$74
45 years$976$575$324$177$94$66
46 years$944$548$304$163$86$60
47 years$914$523$286$151$78$54
48 years$885$500$269$139$71$48
49 years$857$477$253$129$64$43
50 years$830$456$238$119$58$39

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $850,000, adding $3,074 every year, while hoping to spend $58,186 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: 67/20/13 Blend
55$850,000$850,000$850,000$850,000
56$939,871$894,821$881,646$999,870
57$973,828$876,758$849,272$1,022,171
58$1,009,299$855,859$813,863$1,039,380
59$1,046,376$831,925$775,256$1,056,713
60$1,085,161$804,743$733,281$1,074,178
61$1,125,761$774,089$687,759$1,091,784
62$1,168,294$739,725$638,505$1,109,543
63$1,212,889$701,401$585,323$1,127,471
64$1,259,683$658,849$528,011$1,145,587
65$1,308,827$611,789$466,356$1,163,916
66$1,360,485$559,924$400,137$1,182,484
67$1,414,833$502,939$329,120$1,201,328
68$1,472,066$440,503$253,066$1,220,488
69$1,532,394$372,265$171,721$1,240,011
70$1,596,046$297,854$84,821$1,259,954
71$1,663,272$216,877$0$1,280,382
72$1,734,344$128,923$0$1,302,471
73$1,809,560$33,553$0$1,337,837
74$1,889,245$0$0$1,374,844
75$1,973,754$0$0$1,428,992
76$2,063,475$0$0$1,494,344
77$2,158,832$0$0$1,563,830
78$2,260,289$0$0$1,637,791
79$2,368,354$0$0$1,716,602
80$2,483,584$0$0$1,800,671
81$2,606,587$0$0$1,890,448
82$2,738,032$0$0$1,986,424
83$2,878,649$0$0$2,089,140
84$3,029,242$0$0$2,199,185
85$3,190,689$0$0$2,317,210
86$3,363,957$0$0$2,443,924
87$3,550,105$0$0$2,580,110
88$3,750,294$0$0$2,726,624
89$3,965,803$0$0$2,884,408
90$4,198,032$0$0$3,054,495
91$4,448,522$0$0$3,238,022
92$4,718,963$0$0$3,436,235
93$5,011,216$0$0$3,650,506
94$5,327,322$0$0$3,882,342
95$5,669,528$0$0$4,133,398
96$6,040,301$0$0$4,405,497
97$6,442,356$0$0$4,700,640
98$6,878,679$0$0$5,021,030
99$7,352,551$0$0$5,369,088
100$7,867,583$0$0$5,747,480