Can I retire at age 68 with 895,000?

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 $895,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.5%
1 years$73,908$73,250$72,608$71,981$71,369$68,919
2 years$36,588$35,907$35,246$34,606$33,985$31,542
3 years$24,150$23,466$22,807$22,172$21,561$19,202
4 years$17,932$17,250$16,597$15,974$15,378$13,119
5 years$14,202$13,524$12,880$12,270$11,690$9,539
6 years$11,716$11,043$10,409$9,812$9,250$7,208
7 years$9,942$9,274$8,650$8,067$7,523$5,589
8 years$8,611$7,950$7,336$6,767$6,241$4,415
9 years$7,577$6,922$6,318$5,764$5,256$3,534
10 years$6,750$6,101$5,509$4,969$4,478$2,859
11 years$6,074$5,431$4,850$4,324$3,851$2,331
12 years$5,511$4,875$4,304$3,793$3,337$1,912
13 years$5,035$4,406$3,845$3,349$2,910$1,577
14 years$4,627$4,004$3,455$2,973$2,551$1,306
15 years$4,274$3,658$3,119$2,651$2,246$1,084
16 years$3,965$3,356$2,828$2,374$1,985$903
17 years$3,693$3,091$2,574$2,133$1,760$754
18 years$3,452$2,856$2,349$1,922$1,565$630
19 years$3,236$2,647$2,151$1,737$1,395$528
20 years$3,042$2,460$1,974$1,573$1,246$443
21 years$2,867$2,291$1,816$1,428$1,115$371
22 years$2,707$2,139$1,673$1,298$1,000$312
23 years$2,562$2,000$1,545$1,182$897$262
24 years$2,429$1,874$1,429$1,078$806$221
25 years$2,307$1,759$1,323$985$726$186
26 years$2,195$1,653$1,227$900$654$156
27 years$2,091$1,556$1,140$824$589$132
28 years$1,995$1,466$1,060$755$532$111
29 years$1,905$1,383$986$692$480$94
30 years$1,822$1,306$918$635$434$79
31 years$1,744$1,235$856$584$392$66
32 years$1,671$1,168$799$536$355$56
33 years$1,603$1,106$746$493$321$47
34 years$1,539$1,049$697$454$291$40
35 years$1,478$995$652$418$263$34
36 years$1,421$944$610$385$239$28
37 years$1,368$897$571$354$216$24
38 years$1,317$852$534$327$196$20
39 years$1,269$810$501$301$178$17
40 years$1,224$771$469$278$161$14
41 years$1,180$734$440$256$146$12
42 years$1,139$699$413$237$133$10
43 years$1,100$666$387$218$120$9
44 years$1,063$635$363$202$109$7
45 years$1,028$605$341$186$99$6
46 years$994$577$321$172$90$5
47 years$962$551$301$159$82$4
48 years$931$526$283$147$74$4
49 years$902$502$266$136$68$3
50 years$874$480$250$125$61$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 68 starting with $895,000, adding $3,371 every year, while hoping to spend $59,928 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: 56/31/13 Blend
67$895,000$895,000$895,000$895,000
68$989,767$942,332$928,460$1,041,719
69$1,026,961$924,744$895,800$1,059,719
70$1,065,939$904,285$860,038$1,072,469
71$1,106,822$880,751$821,006$1,084,961
72$1,149,737$853,928$778,529$1,097,179
73$1,194,825$823,585$732,425$1,109,112
74$1,242,239$789,483$682,503$1,120,749
75$1,292,144$751,363$628,563$1,132,082
76$1,344,719$708,957$570,397$1,143,108
77$1,400,161$661,977$507,786$1,153,824
78$1,458,685$610,121$440,504$1,164,235
79$1,520,523$553,068$368,313$1,174,348
80$1,585,929$490,482$290,964$1,184,177
81$1,655,181$422,003$208,199$1,193,742
82$1,728,584$347,255$119,747$1,203,072
83$1,806,467$265,838$25,327$1,212,204
84$1,889,194$177,331$0$1,221,185
85$1,977,160$81,289$0$1,240,538
86$2,070,800$0$0$1,264,299
87$2,170,589$0$0$1,296,848
88$2,277,046$0$0$1,361,201
89$2,390,740$0$0$1,429,978
90$2,512,297$0$0$1,503,563
91$2,642,400$0$0$1,582,377
92$2,781,800$0$0$1,666,882
93$2,931,319$0$0$1,757,584
94$3,091,862$0$0$1,855,039
95$3,264,419$0$0$1,959,858
96$3,450,078$0$0$2,072,709
97$3,650,034$0$0$2,194,329
98$3,865,598$0$0$2,325,526
99$4,098,214$0$0$2,467,187
100$4,349,463$0$0$2,620,288