Can I retire at age 56 with 980,000?

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 $980,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.3%
1 years$80,927$80,207$79,503$78,817$78,147$76,444
2 years$40,063$39,317$38,594$37,893$37,213$35,506
3 years$26,443$25,694$24,973$24,278$23,609$21,951
4 years$19,635$18,888$18,174$17,491$16,838$15,242
5 years$15,551$14,808$14,104$13,435$12,800$11,271
6 years$12,829$12,092$11,398$10,744$10,128$8,667
7 years$10,886$10,155$9,472$8,833$8,237$6,844
8 years$9,429$8,705$8,033$7,410$6,833$5,508
9 years$8,296$7,579$6,919$6,312$5,755$4,496
10 years$7,391$6,680$6,032$5,441$4,903$3,710
11 years$6,650$5,947$5,310$4,735$4,217$3,088
12 years$6,034$5,338$4,713$4,153$3,654$2,587
13 years$5,513$4,824$4,211$3,667$3,187$2,180
14 years$5,066$4,385$3,783$3,255$2,793$1,845
15 years$4,680$4,006$3,416$2,903$2,460$1,568
16 years$4,342$3,675$3,097$2,599$2,174$1,336
17 years$4,044$3,385$2,818$2,335$1,927$1,141
18 years$3,779$3,128$2,572$2,105$1,714$977
19 years$3,543$2,899$2,355$1,902$1,528$838
20 years$3,331$2,693$2,161$1,722$1,364$720
21 years$3,139$2,509$1,988$1,563$1,221$619
22 years$2,964$2,342$1,832$1,421$1,094$534
23 years$2,806$2,190$1,692$1,294$982$460
24 years$2,660$2,052$1,565$1,181$883$397
25 years$2,527$1,926$1,449$1,078$795$343
26 years$2,403$1,810$1,344$986$716$296
27 years$2,290$1,703$1,248$902$645$256
28 years$2,184$1,605$1,160$827$582$221
29 years$2,086$1,514$1,080$758$526$191
30 years$1,995$1,430$1,006$696$475$166
31 years$1,910$1,352$938$639$430$143
32 years$1,830$1,279$875$587$389$124
33 years$1,755$1,211$817$540$352$108
34 years$1,685$1,148$763$497$318$93
35 years$1,619$1,089$713$457$288$81
36 years$1,556$1,034$667$421$261$70
37 years$1,498$982$625$388$237$61
38 years$1,442$933$585$358$215$53
39 years$1,390$887$548$330$195$46
40 years$1,340$844$514$304$177$39
41 years$1,293$803$482$281$160$34
42 years$1,248$765$452$259$145$30
43 years$1,205$729$424$239$132$26
44 years$1,164$695$398$221$120$22
45 years$1,126$663$374$204$109$19
46 years$1,089$632$351$188$99$17
47 years$1,054$603$330$174$90$15
48 years$1,020$576$310$161$81$13
49 years$988$550$291$149$74$11
50 years$957$525$274$137$67$9

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $980,000, adding $2,213 every year, while hoping to spend $44,044 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: 33/39/28 Blend
55$980,000$980,000$980,000$980,000
56$1,082,243$1,030,303$1,015,113$1,108,687
57$1,145,769$1,033,925$1,002,257$1,132,605
58$1,214,299$1,036,249$987,493$1,154,297
59$1,288,296$1,037,164$970,713$1,176,820
60$1,368,270$1,036,553$951,800$1,200,278
61$1,454,782$1,034,292$930,633$1,224,789
62$1,548,446$1,030,249$907,086$1,250,487
63$1,649,941$1,024,284$881,027$1,277,522
64$1,760,010$1,016,249$852,316$1,306,065
65$1,879,472$1,005,986$820,810$1,336,306
66$2,009,227$993,328$786,356$1,368,462
67$2,150,265$978,099$748,796$1,402,774
68$2,303,677$960,110$707,966$1,439,514
69$2,470,660$939,164$663,691$1,478,986
70$2,652,534$915,050$615,791$1,521,533
71$2,850,750$887,544$564,077$1,567,536
72$3,066,905$856,413$508,352$1,617,422
73$3,302,757$821,405$448,410$1,671,670
74$3,560,242$782,257$384,035$1,730,813
75$3,841,489$738,690$315,003$1,795,447
76$4,148,844$690,408$241,078$1,866,235
77$4,484,887$637,100$162,016$1,943,918
78$4,852,462$578,435$77,560$2,029,320
79$5,254,699$514,063$0$2,123,361
80$5,695,043$443,617$0$2,230,816
81$6,177,290$366,707$0$2,374,041
82$6,705,618$282,920$0$2,531,189
83$7,284,631$191,823$0$2,703,756
84$7,919,397$92,956$0$2,893,396
85$8,615,498$0$0$3,101,940
86$9,379,084$0$0$3,337,495
87$10,216,927$0$0$3,639,876
88$11,136,488$0$0$3,971,901
89$12,145,982$0$0$4,336,557
90$13,254,462$0$0$4,737,133
91$14,471,900$0$0$5,177,252
92$15,809,279$0$0$5,660,907
93$17,278,700$0$0$6,192,495
94$18,893,493$0$0$6,776,862
95$20,668,345$0$0$7,419,345
96$22,619,434$0$0$8,125,826
97$24,764,587$0$0$8,902,784
98$27,123,441$0$0$9,757,357
99$29,717,634$0$0$10,697,411
100$32,571,004$0$0$11,731,612