Can I retire at age 56 with 896,000?

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 $896,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.5%
1 years$73,991$73,332$72,689$72,061$71,448$69,835
2 years$36,629$35,947$35,286$34,645$34,023$32,406
3 years$24,177$23,492$22,832$22,197$21,586$20,015
4 years$17,952$17,269$16,616$15,992$15,395$13,884
5 years$14,218$13,539$12,895$12,283$11,703$10,256
6 years$11,729$11,056$10,421$9,823$9,260$7,878
7 years$9,953$9,285$8,660$8,076$7,531$6,214
8 years$8,621$7,959$7,344$6,775$6,248$4,995
9 years$7,585$6,929$6,326$5,771$5,261$4,072
10 years$6,757$6,108$5,515$4,974$4,483$3,356
11 years$6,080$5,437$4,855$4,329$3,856$2,790
12 years$5,517$4,880$4,309$3,797$3,341$2,335
13 years$5,040$4,410$3,850$3,352$2,914$1,965
14 years$4,632$4,009$3,459$2,976$2,554$1,660
15 years$4,279$3,662$3,123$2,654$2,249$1,409
16 years$3,970$3,360$2,831$2,376$1,987$1,199
17 years$3,697$3,094$2,576$2,135$1,762$1,023
18 years$3,456$2,859$2,352$1,924$1,567$874
19 years$3,239$2,650$2,153$1,739$1,397$749
20 years$3,045$2,463$1,976$1,575$1,247$642
21 years$2,870$2,294$1,818$1,429$1,116$552
22 years$2,710$2,141$1,675$1,299$1,001$474
23 years$2,565$2,003$1,547$1,183$898$408
24 years$2,432$1,876$1,430$1,079$807$352
25 years$2,310$1,761$1,325$986$726$303
26 years$2,197$1,655$1,229$901$654$262
27 years$2,093$1,557$1,141$825$590$226
28 years$1,997$1,468$1,061$756$532$195
29 years$1,907$1,384$987$693$481$168
30 years$1,824$1,308$919$636$434$145
31 years$1,746$1,236$857$584$393$126
32 years$1,673$1,170$800$537$355$109
33 years$1,605$1,108$747$494$321$94
34 years$1,540$1,050$698$454$291$81
35 years$1,480$996$652$418$264$70
36 years$1,423$945$610$385$239$61
37 years$1,369$898$571$355$216$53
38 years$1,319$853$535$327$196$46
39 years$1,271$811$501$302$178$39
40 years$1,225$772$470$278$161$34
41 years$1,182$735$440$257$146$29
42 years$1,141$700$413$237$133$26
43 years$1,102$667$388$219$121$22
44 years$1,065$635$364$202$109$19
45 years$1,029$606$342$186$99$17
46 years$995$578$321$172$90$14
47 years$963$552$301$159$82$12
48 years$932$527$283$147$74$11
49 years$903$503$266$136$68$9
50 years$875$480$250$126$61$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $896,000, adding $6,614 every year, while hoping to spend $59,936 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: 60/33/7 Blend
55$896,000$896,000$896,000$896,000
56$994,214$946,726$932,838$1,052,045
57$1,031,853$929,344$900,317$1,074,189
58$1,071,322$909,102$864,697$1,090,862
59$1,112,744$885,796$825,812$1,107,535
60$1,156,254$859,210$783,487$1,124,209
61$1,201,998$829,117$737,540$1,140,889
62$1,250,133$795,275$687,779$1,157,582
63$1,300,832$757,430$634,005$1,174,300
64$1,354,284$715,310$576,011$1,191,059
65$1,410,691$668,630$513,577$1,207,878
66$1,470,277$617,089$446,478$1,224,786
67$1,533,285$560,367$374,475$1,241,814
68$1,599,981$498,125$297,321$1,259,004
69$1,670,655$430,009$214,757$1,276,405
70$1,745,623$355,640$126,512$1,294,078
71$1,825,231$274,621$32,305$1,312,093
72$1,909,858$186,531$0$1,330,533
73$1,999,918$90,926$0$1,354,594
74$2,095,865$0$0$1,382,199
75$2,198,196$0$0$1,415,688
76$2,307,453$0$0$1,486,740
77$2,424,233$0$0$1,562,728
78$2,549,190$0$0$1,644,084
79$2,683,039$0$0$1,731,280
80$2,826,567$0$0$1,824,834
81$2,980,635$0$0$1,925,315
82$3,146,189$0$0$2,033,347
83$3,324,268$0$0$2,149,615
84$3,516,012$0$0$2,274,871
85$3,722,673$0$0$2,409,943
86$3,945,626$0$0$2,555,738
87$4,186,383$0$0$2,713,253
88$4,446,603$0$0$2,883,585
89$4,728,111$0$0$3,067,938
90$5,032,914$0$0$3,267,638
91$5,363,217$0$0$3,484,140
92$5,721,445$0$0$3,719,047
93$6,110,264$0$0$3,974,119
94$6,532,607$0$0$4,251,294
95$6,991,701$0$0$4,552,702
96$7,491,095$0$0$4,880,690
97$8,034,693$0$0$5,237,836
98$8,626,793$0$0$5,626,979
99$9,272,122$0$0$6,051,244
100$9,975,885$0$0$6,514,068