Can I retire at age 56 with 980,000?

Use the below retirement simulation to view the chances of a successful retirement.
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%16.9%
1 years$80,927$80,207$79,503$78,817$78,147$75,950
2 years$40,063$39,317$38,594$37,893$37,213$35,016
3 years$26,443$25,694$24,973$24,278$23,609$21,482
4 years$19,635$18,888$18,174$17,491$16,838$14,796
5 years$15,551$14,808$14,104$13,435$12,800$10,849
6 years$12,829$12,092$11,398$10,744$10,128$8,270
7 years$10,886$10,155$9,472$8,833$8,237$6,472
8 years$9,429$8,705$8,033$7,410$6,833$5,160
9 years$8,296$7,579$6,919$6,312$5,755$4,172
10 years$7,391$6,680$6,032$5,441$4,903$3,408
11 years$6,650$5,947$5,310$4,735$4,217$2,808
12 years$6,034$5,338$4,713$4,153$3,654$2,328
13 years$5,513$4,824$4,211$3,667$3,187$1,941
14 years$5,066$4,385$3,783$3,255$2,793$1,625
15 years$4,680$4,006$3,416$2,903$2,460$1,365
16 years$4,342$3,675$3,097$2,599$2,174$1,150
17 years$4,044$3,385$2,818$2,335$1,927$971
18 years$3,779$3,128$2,572$2,105$1,714$822
19 years$3,543$2,899$2,355$1,902$1,528$696
20 years$3,331$2,693$2,161$1,722$1,364$591
21 years$3,139$2,509$1,988$1,563$1,221$502
22 years$2,964$2,342$1,832$1,421$1,094$427
23 years$2,806$2,190$1,692$1,294$982$364
24 years$2,660$2,052$1,565$1,181$883$310
25 years$2,527$1,926$1,449$1,078$795$264
26 years$2,403$1,810$1,344$986$716$225
27 years$2,290$1,703$1,248$902$645$192
28 years$2,184$1,605$1,160$827$582$164
29 years$2,086$1,514$1,080$758$526$140
30 years$1,995$1,430$1,006$696$475$120
31 years$1,910$1,352$938$639$430$102
32 years$1,830$1,279$875$587$389$87
33 years$1,755$1,211$817$540$352$75
34 years$1,685$1,148$763$497$318$64
35 years$1,619$1,089$713$457$288$55
36 years$1,556$1,034$667$421$261$47
37 years$1,498$982$625$388$237$40
38 years$1,442$933$585$358$215$34
39 years$1,390$887$548$330$195$29
40 years$1,340$844$514$304$177$25
41 years$1,293$803$482$281$160$21
42 years$1,248$765$452$259$145$18
43 years$1,205$729$424$239$132$16
44 years$1,164$695$398$221$120$13
45 years$1,126$663$374$204$109$11
46 years$1,089$632$351$188$99$10
47 years$1,054$603$330$174$90$8
48 years$1,020$576$310$161$81$7
49 years$988$550$291$149$74$6
50 years$957$525$274$137$67$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $980,000, adding $6,047 every year, while hoping to spend $41,578 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: 41/44/15 Blend
55$980,000$980,000$980,000$980,000
56$1,086,197$1,034,257$1,019,067$1,125,692
57$1,152,751$1,040,697$1,008,968$1,160,622
58$1,224,699$1,046,059$997,136$1,193,865
59$1,302,549$1,050,247$983,470$1,228,952
60$1,386,857$1,053,157$967,864$1,266,069
61$1,478,235$1,054,679$950,206$1,305,425
62$1,577,355$1,054,700$930,379$1,347,253
63$1,684,959$1,053,093$908,260$1,391,812
64$1,801,860$1,049,730$883,721$1,439,388
65$1,928,953$1,044,470$856,630$1,490,302
66$2,067,224$1,037,167$826,844$1,544,910
67$2,217,756$1,027,663$794,219$1,603,605
68$2,381,742$1,015,794$758,601$1,666,827
69$2,560,495$1,001,383$719,829$1,735,063
70$2,755,459$984,244$677,736$1,808,854
71$2,968,223$964,180$632,148$1,888,800
72$3,200,539$940,981$582,882$1,975,567
73$3,454,331$914,427$529,746$2,069,893
74$3,731,722$884,282$472,541$2,172,599
75$4,035,045$850,300$411,059$2,284,591
76$4,366,872$812,217$345,082$2,406,879
77$4,730,033$769,756$274,382$2,540,575
78$5,127,646$722,623$198,724$2,686,918
79$5,563,142$670,508$117,857$2,847,277
80$6,040,302$613,083$31,525$3,023,167
81$6,563,288$549,999$0$3,216,267
82$7,136,686$480,891$0$3,438,137
83$7,765,544$405,371$0$3,687,149
84$8,455,425$323,030$0$3,960,575
85$9,212,454$233,434$0$4,260,983
86$10,043,379$136,127$0$4,591,211
87$10,955,633$30,627$0$4,954,394
88$11,957,404$0$0$5,353,997
89$13,057,711$0$0$5,834,310
90$14,266,489$0$0$6,378,400
91$15,594,685$0$0$6,976,379
92$17,054,357$0$0$7,633,695
93$18,658,789$0$0$8,356,348
94$20,422,617$0$0$9,150,948
95$22,361,966$0$0$10,024,778
96$24,494,600$0$0$10,985,862
97$26,840,091$0$0$12,043,042
98$29,420,005$0$0$13,206,057
99$32,258,099$0$0$14,485,640
100$35,380,553$0$0$15,893,617