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%12%
1 years$70,192$69,567$68,957$68,362$67,780$67,212
2 years$34,749$34,101$33,474$32,866$32,276$31,704
3 years$22,936$22,286$21,660$21,058$20,477$19,918
4 years$17,030$16,382$15,763$15,171$14,605$14,063
5 years$13,488$12,844$12,233$11,653$11,102$10,580
6 years$11,127$10,488$9,886$9,319$8,785$8,282
7 years$9,442$8,808$8,215$7,661$7,144$6,662
8 years$8,178$7,550$6,967$6,427$5,927$5,465
9 years$7,196$6,574$6,001$5,474$4,991$4,549
10 years$6,410$5,794$5,232$4,719$4,253$3,830
11 years$5,768$5,158$4,606$4,107$3,658$3,254
12 years$5,234$4,630$4,088$3,602$3,170$2,785
13 years$4,781$4,184$3,652$3,180$2,764$2,398
14 years$4,394$3,803$3,281$2,823$2,423$2,075
15 years$4,059$3,474$2,963$2,518$2,133$1,803
16 years$3,766$3,188$2,686$2,254$1,885$1,572
17 years$3,507$2,936$2,444$2,026$1,672$1,375
18 years$3,278$2,713$2,231$1,825$1,486$1,206
19 years$3,073$2,514$2,043$1,649$1,325$1,059
20 years$2,889$2,336$1,875$1,494$1,183$933
21 years$2,722$2,176$1,724$1,356$1,059$823
22 years$2,571$2,031$1,589$1,233$949$727
23 years$2,433$1,900$1,467$1,123$852$643
24 years$2,307$1,780$1,357$1,024$766$569
25 years$2,191$1,670$1,257$935$689$504
26 years$2,085$1,570$1,166$855$621$447
27 years$1,986$1,478$1,082$783$560$397
28 years$1,894$1,392$1,006$717$505$352
29 years$1,809$1,313$936$658$456$313
30 years$1,730$1,240$872$603$412$279
31 years$1,656$1,173$813$554$373$248
32 years$1,587$1,109$759$509$337$220
33 years$1,522$1,051$708$468$305$196
34 years$1,461$996$662$431$276$175
35 years$1,404$945$619$397$250$156
36 years$1,350$897$579$365$227$139
37 years$1,299$851$542$337$205$124
38 years$1,251$809$507$310$186$110
39 years$1,205$769$475$286$169$98
40 years$1,162$732$446$264$153$88
41 years$1,121$697$418$243$139$78
42 years$1,082$664$392$225$126$70
43 years$1,045$632$368$207$114$62
44 years$1,010$603$345$192$104$55
45 years$976$575$324$177$94$49
46 years$944$548$304$163$86$44
47 years$914$523$286$151$78$39
48 years$885$500$269$139$71$35
49 years$857$477$253$129$64$31
50 years$830$456$238$119$58$28

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $850,000, adding $5,816 every year, while hoping to spend $32,667 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: 31/44/25 Blend
55$850,000$850,000$850,000$850,000
56$942,699$897,649$884,474$964,521
57$1,004,097$906,877$879,347$990,938
58$1,070,663$915,461$872,952$1,016,056
59$1,142,889$923,337$865,215$1,042,435
60$1,221,317$930,434$856,053$1,070,208
61$1,306,543$936,677$845,382$1,099,522
62$1,399,223$941,987$833,115$1,130,540
63$1,500,077$946,278$819,158$1,163,448
64$1,609,900$949,461$803,415$1,198,448
65$1,729,565$951,439$785,784$1,235,769
66$1,860,032$952,111$766,160$1,275,665
67$2,002,359$951,369$744,430$1,318,419
68$2,157,711$949,097$720,480$1,364,346
69$2,327,369$945,174$694,187$1,413,795
70$2,512,743$939,470$665,425$1,467,156
71$2,715,387$931,848$634,061$1,524,863
72$2,937,010$922,163$599,956$1,587,395
73$3,179,496$910,259$562,965$1,655,289
74$3,444,917$895,974$522,937$1,729,137
75$3,735,556$879,135$479,712$1,809,599
76$4,053,927$859,556$433,127$1,897,405
77$4,402,797$837,045$383,007$1,993,368
78$4,785,217$811,394$329,172$2,098,386
79$5,204,544$782,387$271,434$2,213,459
80$5,664,476$749,792$209,595$2,339,693
81$6,169,086$713,366$143,451$2,478,312
82$6,722,862$672,850$72,785$2,630,676
83$7,330,746$627,972$0$2,798,290
84$7,998,182$578,442$0$2,983,520
85$8,731,167$523,956$0$3,208,276
86$9,536,307$464,191$0$3,455,229
87$10,420,880$398,806$0$3,726,708
88$11,392,903$327,442$0$4,025,285
89$12,461,210$249,717$0$4,353,802
90$13,635,529$165,229$0$4,715,396
91$14,926,583$73,555$0$5,113,532
92$16,346,181$0$0$5,552,040
93$17,907,337$0$0$6,047,614
94$19,624,386$0$0$6,631,991
95$21,513,126$0$0$7,274,951
96$23,590,959$0$0$7,982,438
97$25,877,061$0$0$8,761,000
98$28,392,560$0$0$9,617,853
99$31,160,735$0$0$10,560,946
100$34,207,236$0$0$11,599,040