Can I retire at age 56 with 875,000?

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 $875,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.7%
1 years$72,257$71,613$70,985$70,372$69,774$68,142
2 years$35,771$35,104$34,459$33,833$33,226$31,591
3 years$23,610$22,941$22,297$21,677$21,080$19,493
4 years$17,531$16,864$16,227$15,617$15,034$13,508
5 years$13,885$13,222$12,593$11,995$11,429$9,968
6 years$11,455$10,797$10,177$9,593$9,043$7,648
7 years$9,719$9,067$8,457$7,887$7,355$6,026
8 years$8,419$7,772$7,172$6,616$6,101$4,838
9 years$7,407$6,767$6,177$5,635$5,138$3,940
10 years$6,599$5,965$5,385$4,858$4,378$3,243
11 years$5,938$5,310$4,741$4,228$3,765$2,692
12 years$5,387$4,766$4,208$3,708$3,263$2,250
13 years$4,922$4,307$3,759$3,274$2,845$1,891
14 years$4,523$3,915$3,378$2,906$2,494$1,596
15 years$4,178$3,576$3,050$2,592$2,196$1,352
16 years$3,877$3,281$2,765$2,321$1,941$1,149
17 years$3,611$3,022$2,516$2,085$1,721$979
18 years$3,375$2,792$2,297$1,879$1,530$836
19 years$3,164$2,588$2,103$1,698$1,364$715
20 years$2,974$2,405$1,930$1,538$1,218$612
21 years$2,802$2,240$1,775$1,396$1,090$525
22 years$2,647$2,091$1,636$1,269$977$451
23 years$2,505$1,956$1,510$1,156$877$387
24 years$2,375$1,832$1,397$1,054$788$333
25 years$2,256$1,720$1,294$963$709$287
26 years$2,146$1,616$1,200$880$639$247
27 years$2,044$1,521$1,114$806$576$213
28 years$1,950$1,433$1,036$738$520$183
29 years$1,863$1,352$964$677$469$158
30 years$1,781$1,277$898$621$424$136
31 years$1,705$1,207$837$571$383$118
32 years$1,634$1,142$781$524$347$102
33 years$1,567$1,082$729$482$314$88
34 years$1,504$1,025$681$444$284$76
35 years$1,445$972$637$408$257$65
36 years$1,390$923$596$376$233$56
37 years$1,337$877$558$347$211$49
38 years$1,288$833$522$319$192$42
39 years$1,241$792$489$295$174$36
40 years$1,196$754$459$272$158$31
41 years$1,154$717$430$251$143$27
42 years$1,114$683$403$231$130$23
43 years$1,076$651$379$214$118$20
44 years$1,040$620$355$197$107$18
45 years$1,005$592$334$182$97$15
46 years$972$564$313$168$88$13
47 years$941$539$294$155$80$11
48 years$911$514$277$144$73$10
49 years$882$491$260$133$66$8
50 years$854$469$244$123$60$7

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $875,000, adding $5,000 every year, while hoping to spend $54,860 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: 47/41/12 Blend
55$875,000$875,000$875,000$875,000
56$969,408$923,033$909,470$1,011,503
57$1,009,916$909,890$881,567$1,027,948
58$1,052,719$894,266$850,890$1,039,725
59$1,097,990$875,979$817,289$1,051,278
60$1,145,923$854,840$780,606$1,062,604
61$1,196,727$830,647$740,676$1,073,705
62$1,250,631$803,187$697,327$1,084,588
63$1,307,887$772,234$650,378$1,095,263
64$1,368,768$737,550$599,643$1,105,745
65$1,433,574$698,882$544,923$1,116,059
66$1,502,634$655,963$486,013$1,126,232
67$1,576,308$608,510$422,699$1,136,305
68$1,654,989$556,224$354,757$1,146,324
69$1,739,109$498,791$281,953$1,156,349
70$1,829,142$435,875$204,042$1,166,450
71$1,925,606$367,125$120,770$1,176,715
72$2,029,071$292,168$31,869$1,187,245
73$2,140,162$210,610$0$1,198,159
74$2,259,565$122,035$0$1,217,665
75$2,388,031$26,005$0$1,242,740
76$2,526,387$0$0$1,269,526
77$2,675,541$0$0$1,333,448
78$2,836,491$0$0$1,415,162
79$3,010,330$0$0$1,503,501
80$3,198,263$0$0$1,599,085
81$3,401,613$0$0$1,702,599
82$3,621,834$0$0$1,814,795
83$3,860,525$0$0$1,936,498
84$4,119,445$0$0$2,068,618
85$4,400,527$0$0$2,212,153
86$4,705,897$0$0$2,368,205
87$5,037,895$0$0$2,537,981
88$5,399,095$0$0$2,722,813
89$5,792,328$0$0$2,924,166
90$6,220,711$0$0$3,143,652
91$6,687,672$0$0$3,383,043
92$7,196,985$0$0$3,644,293
93$7,752,805$0$0$3,929,549
94$8,359,702$0$0$4,241,178
95$9,022,710$0$0$4,581,784
96$9,747,369$0$0$4,954,234
97$10,539,781$0$0$5,361,685
98$11,406,662$0$0$5,807,613
99$12,355,407$0$0$6,295,845
100$13,394,160$0$0$6,830,595