Can I retire at age 68 with 500,000?

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 $500,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.6%
1 years$41,290$40,922$40,563$40,213$39,871$38,487
2 years$20,440$20,060$19,691$19,333$18,986$17,606
3 years$13,492$13,109$12,741$12,387$12,046$10,713
4 years$10,018$9,637$9,272$8,924$8,591$7,316
5 years$7,934$7,555$7,196$6,855$6,531$5,316
6 years$6,545$6,169$5,815$5,482$5,168$4,015
7 years$5,554$5,181$4,832$4,507$4,203$3,112
8 years$4,811$4,441$4,098$3,781$3,486$2,456
9 years$4,233$3,867$3,530$3,220$2,936$1,965
10 years$3,771$3,408$3,077$2,776$2,502$1,589
11 years$3,393$3,034$2,709$2,416$2,152$1,294
12 years$3,079$2,723$2,404$2,119$1,864$1,061
13 years$2,813$2,461$2,148$1,871$1,626$875
14 years$2,585$2,237$1,930$1,661$1,425$724
15 years$2,388$2,044$1,743$1,481$1,255$601
16 years$2,215$1,875$1,580$1,326$1,109$500
17 years$2,063$1,727$1,438$1,191$983$417
18 years$1,928$1,596$1,312$1,074$874$348
19 years$1,808$1,479$1,202$970$779$291
20 years$1,699$1,374$1,103$879$696$244
21 years$1,601$1,280$1,014$798$623$205
22 years$1,512$1,195$935$725$558$172
23 years$1,431$1,118$863$660$501$144
24 years$1,357$1,047$798$602$451$121
25 years$1,289$983$739$550$405$102
26 years$1,226$923$686$503$365$86
27 years$1,168$869$637$460$329$72
28 years$1,114$819$592$422$297$61
29 years$1,064$773$551$387$268$51
30 years$1,018$730$513$355$242$43
31 years$974$690$478$326$219$36
32 years$934$653$446$300$198$31
33 years$895$618$417$276$179$26
34 years$860$586$389$254$162$22
35 years$826$556$364$233$147$18
36 years$794$527$341$215$133$15
37 years$764$501$319$198$121$13
38 years$736$476$298$183$110$11
39 years$709$453$280$168$99$9
40 years$684$431$262$155$90$8
41 years$659$410$246$143$82$7
42 years$637$390$231$132$74$6
43 years$615$372$216$122$67$5
44 years$594$355$203$113$61$4
45 years$574$338$191$104$55$3
46 years$555$323$179$96$50$3
47 years$538$308$168$89$46$2
48 years$520$294$158$82$42$2
49 years$504$281$149$76$38$2
50 years$488$268$140$70$34$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 68 starting with $500,000, adding $3,650 every year, while hoping to spend $21,424 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: 46/48/6 Blend
67$500,000$500,000$500,000$500,000
68$554,765$528,265$520,515$579,218
69$588,556$531,355$515,157$599,495
70$625,076$533,878$508,902$618,942
71$664,580$535,785$501,697$639,535
72$707,349$537,021$493,486$661,384
73$753,693$537,529$484,212$684,614
74$803,951$537,249$473,814$709,364
75$858,497$536,117$462,230$735,787
76$917,742$534,065$449,393$764,053
77$982,138$531,020$435,233$794,350
78$1,052,181$526,906$419,679$826,887
79$1,128,420$521,640$402,655$861,896
80$1,211,456$515,138$384,081$899,634
81$1,301,952$507,307$363,875$940,385
82$1,400,637$498,051$341,950$984,465
83$1,508,312$487,266$318,217$1,032,224
84$1,625,863$474,845$292,579$1,084,049
85$1,754,260$460,671$264,940$1,140,368
86$1,894,574$444,624$235,195$1,201,657
87$2,047,984$426,573$203,237$1,268,441
88$2,215,786$406,384$168,954$1,341,303
89$2,399,410$383,910$132,228$1,420,886
90$2,600,429$359,001$92,936$1,507,904
91$2,820,574$331,493$50,951$1,603,146
92$3,061,753$301,217$6,138$1,707,484
93$3,326,068$267,992$0$1,821,884
94$3,615,831$231,628$0$1,950,083
95$3,933,590$191,923$0$2,091,186
96$4,282,153$148,664$0$2,246,114
97$4,664,611$101,626$0$2,416,322
98$5,084,368$50,572$0$2,603,417
99$5,545,175$0$0$2,809,173
100$6,051,164$0$0$3,038,059