Can I retire at age 56 with 985,000?

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 $985,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18%
1 years$81,340$80,616$79,909$79,219$78,545$76,001
2 years$40,268$39,518$38,791$38,086$37,403$34,863
3 years$26,578$25,825$25,100$24,402$23,730$21,274
4 years$19,735$18,984$18,267$17,580$16,924$14,572
5 years$15,630$14,884$14,176$13,503$12,866$10,623
6 years$12,895$12,154$11,456$10,799$10,180$8,049
7 years$10,941$10,207$9,520$8,878$8,279$6,260
8 years$9,477$8,749$8,074$7,448$6,868$4,959
9 years$8,339$7,618$6,954$6,344$5,784$3,982
10 years$7,429$6,715$6,063$5,468$4,928$3,231
11 years$6,684$5,978$5,337$4,759$4,239$2,643
12 years$6,065$5,365$4,737$4,174$3,673$2,176
13 years$5,541$4,849$4,232$3,685$3,203$1,800
14 years$5,092$4,407$3,802$3,271$2,808$1,496
15 years$4,704$4,026$3,433$2,918$2,472$1,247
16 years$4,364$3,694$3,113$2,612$2,185$1,042
17 years$4,065$3,402$2,832$2,347$1,937$873
18 years$3,799$3,143$2,586$2,115$1,723$733
19 years$3,561$2,913$2,367$1,911$1,535$616
20 years$3,348$2,707$2,172$1,731$1,371$518
21 years$3,155$2,522$1,998$1,571$1,227$437
22 years$2,980$2,354$1,842$1,428$1,100$368
23 years$2,820$2,202$1,700$1,301$987$311
24 years$2,674$2,063$1,573$1,187$888$263
25 years$2,539$1,936$1,456$1,084$799$222
26 years$2,416$1,819$1,351$991$719$188
27 years$2,301$1,712$1,254$907$649$159
28 years$2,195$1,613$1,166$831$585$134
29 years$2,097$1,522$1,085$762$528$114
30 years$2,005$1,437$1,011$699$477$96
31 years$1,919$1,359$942$642$432$81
32 years$1,839$1,286$879$590$391$69
33 years$1,764$1,218$821$543$353$58
34 years$1,693$1,154$767$499$320$49
35 years$1,627$1,095$717$460$290$42
36 years$1,564$1,039$671$423$263$35
37 years$1,505$987$628$390$238$30
38 years$1,450$938$588$360$216$25
39 years$1,397$892$551$332$196$22
40 years$1,347$848$516$306$177$18
41 years$1,299$808$484$282$161$15
42 years$1,254$769$454$260$146$13
43 years$1,211$733$426$240$133$11
44 years$1,170$698$400$222$120$9
45 years$1,131$666$376$205$109$8
46 years$1,094$635$353$189$99$7
47 years$1,059$606$331$175$90$6
48 years$1,025$579$311$162$82$5
49 years$993$553$293$149$74$4
50 years$962$528$275$138$67$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $985,000, adding $6,296 every year, while hoping to spend $26,186 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: 70/16/14 Blend
55$985,000$985,000$985,000$985,000
56$1,091,964$1,039,759$1,024,492$1,164,543
57$1,175,483$1,062,846$1,030,951$1,236,662
58$1,266,643$1,086,186$1,036,748$1,311,813
59$1,366,196$1,109,764$1,041,835$1,393,377
60$1,474,969$1,133,564$1,046,158$1,481,984
61$1,593,875$1,157,567$1,049,662$1,578,324
62$1,723,915$1,181,753$1,052,291$1,683,160
63$1,866,194$1,206,099$1,053,982$1,797,331
64$2,021,928$1,230,580$1,054,673$1,921,762
65$2,192,457$1,255,171$1,054,297$2,057,473
66$2,379,256$1,279,842$1,052,784$2,205,585
67$2,583,947$1,304,562$1,050,059$2,367,336
68$2,808,320$1,329,296$1,046,047$2,544,089
69$3,054,345$1,354,007$1,040,666$2,737,345
70$3,324,191$1,378,656$1,033,831$2,948,759
71$3,620,247$1,403,200$1,025,453$3,180,155
72$3,945,147$1,427,591$1,015,440$3,433,541
73$4,301,789$1,451,780$1,003,695$3,711,132
74$4,693,367$1,475,713$990,114$4,015,368
75$5,123,399$1,499,331$974,591$4,348,938
76$5,595,760$1,522,573$957,014$4,714,804
77$6,114,720$1,545,371$937,267$5,116,231
78$6,684,982$1,567,655$915,226$5,556,820
79$7,311,728$1,589,348$890,763$6,040,534
80$8,000,665$1,610,366$863,745$6,571,744
81$8,758,082$1,630,624$834,030$7,155,267
82$9,590,909$1,650,027$801,472$7,796,410
83$10,506,778$1,668,475$765,918$8,501,024
84$11,514,101$1,685,862$727,208$9,275,554
85$12,622,142$1,702,072$685,172$10,127,107
86$13,841,113$1,716,985$639,638$11,063,511
87$15,182,261$1,730,472$590,420$12,093,396
88$16,657,981$1,742,395$537,328$13,226,272
89$18,281,928$1,752,606$480,162$14,472,620
90$20,069,151$1,760,949$418,714$15,843,992
91$22,036,228$1,767,259$352,764$17,353,117
92$24,201,428$1,771,360$282,086$19,014,025
93$26,584,879$1,773,062$206,442$20,842,178
94$29,208,762$1,772,167$125,583$22,854,617
95$32,097,516$1,768,464$39,251$25,070,121
96$35,278,071$1,761,727$0$27,509,387
97$38,780,101$1,751,718$0$30,203,125
98$42,636,304$1,738,185$0$33,175,344
99$46,882,709$1,720,858$0$36,447,922
100$51,559,018$1,699,453$0$40,051,439