Can I retire at age 56 with 874,000?

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 $874,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.1%
1 years$72,174$71,531$70,904$70,292$69,694$67,954
2 years$35,730$35,064$34,419$33,794$33,188$31,446
3 years$23,583$22,915$22,272$21,652$21,056$19,366
4 years$17,511$16,845$16,208$15,599$15,017$13,393
5 years$13,869$13,207$12,578$11,982$11,416$9,862
6 years$11,441$10,784$10,165$9,582$9,033$7,550
7 years$9,708$9,057$8,447$7,878$7,346$5,935
8 years$8,409$7,763$7,164$6,608$6,094$4,755
9 years$7,399$6,759$6,170$5,629$5,132$3,862
10 years$6,591$5,958$5,379$4,852$4,373$3,172
11 years$5,931$5,304$4,736$4,223$3,761$2,626
12 years$5,381$4,761$4,203$3,704$3,259$2,189
13 years$4,916$4,302$3,755$3,270$2,842$1,835
14 years$4,518$3,911$3,374$2,903$2,491$1,544
15 years$4,174$3,572$3,046$2,589$2,194$1,305
16 years$3,872$3,278$2,762$2,318$1,939$1,105
17 years$3,607$3,019$2,513$2,083$1,719$939
18 years$3,371$2,789$2,294$1,877$1,528$799
19 years$3,160$2,585$2,100$1,696$1,362$682
20 years$2,970$2,402$1,927$1,536$1,217$582
21 years$2,799$2,238$1,773$1,394$1,089$498
22 years$2,644$2,089$1,634$1,268$976$426
23 years$2,502$1,953$1,509$1,154$876$365
24 years$2,372$1,830$1,395$1,053$788$313
25 years$2,253$1,718$1,292$962$709$268
26 years$2,144$1,614$1,199$879$638$230
27 years$2,042$1,519$1,113$805$576$198
28 years$1,948$1,432$1,035$737$519$170
29 years$1,861$1,351$963$676$469$146
30 years$1,779$1,275$897$620$424$126
31 years$1,703$1,206$836$570$383$108
32 years$1,632$1,141$780$524$346$93
33 years$1,565$1,080$728$482$314$80
34 years$1,503$1,024$681$443$284$69
35 years$1,444$971$636$408$257$59
36 years$1,388$922$595$376$233$51
37 years$1,336$876$557$346$211$44
38 years$1,286$832$522$319$191$38
39 years$1,239$791$489$294$174$32
40 years$1,195$753$458$271$157$28
41 years$1,153$717$430$250$143$24
42 years$1,113$682$403$231$130$21
43 years$1,075$650$378$213$118$18
44 years$1,038$620$355$197$107$15
45 years$1,004$591$333$182$97$13
46 years$971$564$313$168$88$11
47 years$940$538$294$155$80$10
48 years$910$514$276$143$73$8
49 years$881$490$260$133$66$7
50 years$853$469$244$123$60$6

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $874,000, adding $2,738 every year, while hoping to spend $51,882 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: 35/45/20 Blend
55$874,000$874,000$874,000$874,000
56$965,972$919,650$906,103$993,806
57$1,009,299$909,511$881,256$1,004,335
58$1,055,307$897,136$853,837$1,010,683
59$1,104,214$882,361$823,706$1,016,459
60$1,156,259$865,012$790,715$1,021,644
61$1,211,704$844,905$754,711$1,026,218
62$1,270,836$821,844$715,532$1,030,168
63$1,333,969$795,622$673,010$1,033,482
64$1,401,448$766,020$626,970$1,036,153
65$1,473,648$732,808$577,226$1,038,181
66$1,550,985$695,740$523,587$1,039,568
67$1,633,911$654,557$465,853$1,040,326
68$1,722,924$608,985$403,814$1,040,476
69$1,818,571$558,734$337,250$1,040,044
70$1,921,451$503,497$265,933$1,039,072
71$2,032,222$442,952$189,626$1,037,611
72$2,151,608$376,756$108,077$1,035,727
73$2,280,402$304,547$21,028$1,033,502
74$2,419,477$225,944$0$1,031,037
75$2,569,791$140,543$0$1,043,789
76$2,732,399$47,919$0$1,062,351
77$2,908,459$0$0$1,082,466
78$3,099,243$0$0$1,130,336
79$3,306,151$0$0$1,208,092
80$3,530,724$0$0$1,292,597
81$3,774,656$0$0$1,384,501
82$4,039,807$0$0$1,484,522
83$4,328,229$0$0$1,593,446
84$4,642,174$0$0$1,712,143
85$4,984,125$0$0$1,841,565
86$5,356,811$0$0$1,982,765
87$5,763,237$0$0$2,136,897
88$6,206,709$0$0$2,305,236
89$6,690,867$0$0$2,489,182
90$7,219,719$0$0$2,690,278
91$7,797,674$0$0$2,910,223
92$8,429,589$0$0$3,150,887
93$9,120,811$0$0$3,414,328
94$9,877,227$0$0$3,702,815
95$10,705,319$0$0$4,018,845
96$11,612,226$0$0$4,365,168
97$12,605,809$0$0$4,744,813
98$13,694,725$0$0$5,161,114
99$14,888,509$0$0$5,617,747
100$16,197,662$0$0$6,118,758