Can I retire at age 42 with 280,000?

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 $280,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.2%
1 years$23,122$22,916$22,715$22,519$22,328$22,030
2 years$11,447$11,233$11,027$10,826$10,632$10,333
3 years$7,555$7,341$7,135$6,937$6,745$6,454
4 years$5,610$5,397$5,193$4,997$4,811$4,529
5 years$4,443$4,231$4,030$3,839$3,657$3,386
6 years$3,665$3,455$3,257$3,070$2,894$2,634
7 years$3,110$2,901$2,706$2,524$2,353$2,104
8 years$2,694$2,487$2,295$2,117$1,952$1,714
9 years$2,370$2,165$1,977$1,803$1,644$1,417
10 years$2,112$1,909$1,723$1,554$1,401$1,184
11 years$1,900$1,699$1,517$1,353$1,205$999
12 years$1,724$1,525$1,346$1,187$1,044$848
13 years$1,575$1,378$1,203$1,048$910$725
14 years$1,447$1,253$1,081$930$798$622
15 years$1,337$1,144$976$829$703$536
16 years$1,241$1,050$885$743$621$464
17 years$1,155$967$805$667$551$402
18 years$1,080$894$735$601$490$350
19 years$1,012$828$673$543$436$305
20 years$952$770$618$492$390$266
21 years$897$717$568$447$349$232
22 years$847$669$523$406$313$203
23 years$802$626$483$370$281$178
24 years$760$586$447$337$252$156
25 years$722$550$414$308$227$137
26 years$687$517$384$282$204$121
27 years$654$487$357$258$184$106
28 years$624$459$331$236$166$93
29 years$596$433$308$217$150$82
30 years$570$409$287$199$136$72
31 years$546$386$268$183$123$64
32 years$523$365$250$168$111$56
33 years$501$346$233$154$100$49
34 years$481$328$218$142$91$44
35 years$462$311$204$131$82$38
36 years$445$295$191$120$75$34
37 years$428$280$178$111$68$30
38 years$412$267$167$102$61$26
39 years$397$253$157$94$56$23
40 years$383$241$147$87$50$21
41 years$369$230$138$80$46$18
42 years$356$219$129$74$42$16
43 years$344$208$121$68$38$14
44 years$333$199$114$63$34$12
45 years$322$189$107$58$31$11
46 years$311$181$100$54$28$10
47 years$301$172$94$50$26$9
48 years$291$165$89$46$23$8
49 years$282$157$83$42$21$7
50 years$273$150$78$39$19$6

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $280,000, adding $5,041 every year, while hoping to spend $22,889 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: 47/27/26 Blend
41$280,000$280,000$280,000$280,000
42$313,760$298,920$294,580$325,965
43$321,410$289,213$280,094$325,351
44$329,072$278,264$264,357$322,043
45$336,726$265,986$247,301$318,002
46$344,343$252,291$228,857$313,170
47$351,896$237,083$208,953$307,485
48$359,351$220,262$187,514$300,881
49$366,670$201,720$164,461$293,288
50$373,811$181,345$139,712$284,631
51$380,728$159,020$113,181$274,827
52$387,368$134,616$84,777$263,791
53$393,670$108,004$54,408$251,428
54$399,569$79,040$21,976$237,638
55$404,991$47,579$0$222,314
56$409,853$13,463$0$208,845
57$414,062$0$0$200,336
58$417,517$0$0$197,555
59$420,102$0$0$198,305
60$421,692$0$0$198,521
61$422,143$0$0$198,128
62$421,300$0$0$197,045
63$418,988$0$0$195,181
64$415,014$0$0$192,435
65$409,163$0$0$188,695
66$401,198$0$0$183,838
67$390,854$0$0$177,726
68$377,841$0$0$170,207
69$361,834$0$0$161,114
70$342,476$0$0$150,259
71$319,372$0$0$137,438
72$292,083$0$0$122,423
73$260,125$0$0$104,962
74$222,962$0$0$84,776
75$180,002$0$0$61,558
76$130,590$0$0$34,968
77$74,003$0$0$4,630
78$9,443$0$0$0
79$0$0$0$0
80$0$0$0$0
81$0$0$0$0
82$0$0$0$0
83$0$0$0$0
84$0$0$0$0
85$0$0$0$0
86$0$0$0$0
87$0$0$0$0
88$0$0$0$0
89$0$0$0$0
90$0$0$0$0
91$0$0$0$0
92$0$0$0$0
93$0$0$0$0
94$0$0$0$0
95$0$0$0$0
96$0$0$0$0
97$0$0$0$0
98$0$0$0$0
99$0$0$0$0
100$0$0$0$0