Can I retire at age 42 with 680,000?

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 $680,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.6%
1 years$56,154$55,654$55,166$54,689$54,224$52,135
2 years$27,799$27,281$26,779$26,293$25,821$23,741
3 years$18,349$17,829$17,328$16,846$16,382$14,376
4 years$13,624$13,106$12,610$12,137$11,684$9,768
5 years$10,790$10,275$9,786$9,322$8,882$7,061
6 years$8,902$8,390$7,909$7,455$7,028$5,303
7 years$7,553$7,046$6,572$6,129$5,716$4,087
8 years$6,542$6,040$5,574$5,142$4,742$3,207
9 years$5,757$5,259$4,801$4,379$3,993$2,550
10 years$5,128$4,635$4,185$3,775$3,402$2,048
11 years$4,615$4,127$3,685$3,286$2,926$1,658
12 years$4,187$3,704$3,270$2,882$2,536$1,351
13 years$3,825$3,347$2,922$2,544$2,211$1,105
14 years$3,515$3,043$2,625$2,258$1,938$908
15 years$3,247$2,779$2,370$2,014$1,707$748
16 years$3,013$2,550$2,149$1,803$1,508$618
17 years$2,806$2,348$1,955$1,620$1,337$512
18 years$2,622$2,170$1,785$1,460$1,189$425
19 years$2,459$2,011$1,634$1,320$1,060$353
20 years$2,311$1,869$1,500$1,195$947$293
21 years$2,178$1,741$1,379$1,085$847$244
22 years$2,057$1,625$1,271$986$759$203
23 years$1,947$1,520$1,174$898$682$169
24 years$1,846$1,424$1,086$819$613$141
25 years$1,753$1,336$1,005$748$551$118
26 years$1,668$1,256$933$684$497$98
27 years$1,589$1,182$866$626$448$82
28 years$1,516$1,114$805$574$404$69
29 years$1,448$1,051$749$526$365$57
30 years$1,384$992$698$483$330$48
31 years$1,325$938$651$443$298$40
32 years$1,270$888$607$407$270$33
33 years$1,218$841$567$375$244$28
34 years$1,169$797$530$345$221$23
35 years$1,123$756$495$317$200$19
36 years$1,080$717$463$292$181$16
37 years$1,039$681$433$269$164$14
38 years$1,001$647$406$248$149$11
39 years$964$616$380$229$135$10
40 years$930$586$356$211$123$8
41 years$897$558$334$195$111$7
42 years$866$531$314$180$101$6
43 years$836$506$294$166$92$5
44 years$808$482$276$153$83$4
45 years$781$460$259$141$75$3
46 years$755$439$244$131$68$3
47 years$731$419$229$121$62$2
48 years$708$400$215$112$56$2
49 years$685$382$202$103$51$2
50 years$664$365$190$95$47$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $680,000, adding $2,725 every year, while hoping to spend $51,924 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
41$680,000$680,000$680,000$680,000
42$752,171$716,131$705,591$791,642
43$773,646$695,975$673,981$798,544
44$795,570$673,090$639,573$800,143
45$817,936$647,290$602,216$800,674
46$840,732$618,373$561,757$800,045
47$863,943$586,130$518,032$798,155
48$887,552$550,336$470,872$794,900
49$911,536$510,757$420,101$790,164
50$935,870$467,141$365,532$783,827
51$960,525$419,227$306,973$775,759
52$985,463$366,734$244,221$765,819
53$1,010,645$309,369$177,067$753,859
54$1,036,023$246,820$105,291$739,717
55$1,061,541$178,758$28,662$723,224
56$1,087,137$104,835$0$704,195
57$1,112,739$24,687$0$689,801
58$1,138,266$0$0$677,185
59$1,163,626$0$0$683,353
60$1,188,714$0$0$697,741
61$1,213,413$0$0$711,854
62$1,237,590$0$0$725,610
63$1,261,095$0$0$738,915
64$1,283,763$0$0$751,664
65$1,305,404$0$0$763,741
66$1,325,810$0$0$775,016
67$1,344,746$0$0$785,342
68$1,361,949$0$0$794,556
69$1,377,129$0$0$802,477
70$1,389,960$0$0$808,902
71$1,400,078$0$0$813,607
72$1,407,082$0$0$816,341
73$1,410,521$0$0$816,826
74$1,409,900$0$0$814,753
75$1,404,663$0$0$809,779
76$1,394,197$0$0$801,522
77$1,377,821$0$0$789,562
78$1,354,778$0$0$773,429
79$1,324,233$0$0$752,606
80$1,285,257$0$0$726,519
81$1,236,823$0$0$694,530
82$1,177,794$0$0$655,936
83$1,106,910$0$0$609,959
84$1,022,779$0$0$555,737
85$923,860$0$0$492,315
86$808,450$0$0$418,642
87$674,663$0$0$333,551
88$520,419$0$0$235,755
89$343,415$0$0$123,833
90$141,109$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