Can I retire at age 42 with 700,000?

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 $700,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.5%
1 years$57,805$57,290$56,788$56,298$55,819$53,689
2 years$28,617$28,084$27,567$27,066$26,580$24,460
3 years$18,888$18,353$17,838$17,342$16,864$14,819
4 years$14,025$13,491$12,981$12,494$12,027$10,074
5 years$11,108$10,577$10,074$9,596$9,143$7,286
6 years$9,164$8,637$8,141$7,674$7,235$5,475
7 years$7,776$7,254$6,765$6,309$5,884$4,222
8 years$6,735$6,218$5,738$5,293$4,881$3,315
9 years$5,926$5,414$4,942$4,508$4,111$2,637
10 years$5,279$4,772$4,308$3,886$3,502$2,120
11 years$4,750$4,248$3,793$3,382$3,012$1,717
12 years$4,310$3,813$3,366$2,967$2,610$1,400
13 years$3,938$3,446$3,008$2,619$2,276$1,146
14 years$3,619$3,132$2,702$2,325$1,995$942
15 years$3,343$2,861$2,440$2,073$1,757$777
16 years$3,101$2,625$2,212$1,857$1,553$643
17 years$2,889$2,418$2,013$1,668$1,377$532
18 years$2,700$2,234$1,837$1,503$1,224$442
19 years$2,531$2,070$1,682$1,358$1,091$367
20 years$2,379$1,924$1,544$1,230$975$306
21 years$2,242$1,792$1,420$1,117$872$254
22 years$2,117$1,673$1,309$1,015$782$212
23 years$2,004$1,565$1,208$925$702$177
24 years$1,900$1,466$1,118$843$631$148
25 years$1,805$1,376$1,035$770$568$123
26 years$1,717$1,293$960$704$511$103
27 years$1,635$1,217$891$645$461$86
28 years$1,560$1,147$829$591$416$72
29 years$1,490$1,082$771$542$376$60
30 years$1,425$1,021$718$497$339$50
31 years$1,364$966$670$456$307$42
32 years$1,307$914$625$419$278$35
33 years$1,254$865$583$386$251$29
34 years$1,203$820$545$355$227$25
35 years$1,156$778$510$327$206$21
36 years$1,112$738$477$301$187$17
37 years$1,070$701$446$277$169$14
38 years$1,030$666$418$256$153$12
39 years$993$634$391$236$139$10
40 years$957$603$367$217$126$8
41 years$923$574$344$201$114$7
42 years$891$547$323$185$104$6
43 years$861$521$303$171$94$5
44 years$832$496$284$158$86$4
45 years$804$473$267$146$78$3
46 years$778$452$251$135$70$3
47 years$753$431$236$124$64$2
48 years$728$411$221$115$58$2
49 years$705$393$208$106$53$2
50 years$683$375$196$98$48$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $700,000, adding $4,469 every year, while hoping to spend $51,364 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: 61/9/30 Blend
41$700,000$700,000$700,000$700,000
42$776,010$738,910$728,060$816,791
43$800,512$720,465$697,799$826,682
44$825,792$699,396$664,803$831,588
45$851,874$675,518$628,925$835,880
46$878,786$648,639$590,015$839,509
47$906,553$618,553$547,911$842,424
48$935,203$585,044$502,448$844,574
49$964,765$547,883$453,452$845,901
50$995,270$506,827$400,740$846,346
51$1,026,746$461,621$344,124$845,847
52$1,059,227$411,993$283,406$844,340
53$1,092,746$357,658$218,377$841,754
54$1,127,335$298,313$148,822$838,018
55$1,163,032$233,638$74,516$833,055
56$1,199,871$163,297$0$826,785
57$1,237,893$86,933$0$820,655
58$1,277,134$4,169$0$838,600
59$1,317,637$0$0$856,732
60$1,359,444$0$0$883,496
61$1,402,599$0$0$911,549
62$1,447,146$0$0$940,509
63$1,493,135$0$0$970,406
64$1,540,613$0$0$1,001,272
65$1,589,632$0$0$1,033,141
66$1,640,245$0$0$1,066,048
67$1,692,507$0$0$1,100,028
68$1,746,476$0$0$1,135,120
69$1,802,212$0$0$1,171,361
70$1,859,778$0$0$1,208,794
71$1,919,237$0$0$1,247,461
72$1,980,660$0$0$1,287,405
73$2,044,115$0$0$1,328,674
74$2,109,679$0$0$1,371,316
75$2,177,427$0$0$1,415,382
76$2,247,441$0$0$1,460,925
77$2,319,806$0$0$1,508,000
78$2,394,610$0$0$1,556,665
79$2,471,948$0$0$1,606,982
80$2,551,916$0$0$1,659,015
81$2,634,617$0$0$1,712,831
82$2,720,160$0$0$1,768,501
83$2,808,658$0$0$1,826,099
84$2,900,230$0$0$1,885,705
85$2,995,003$0$0$1,947,401
86$3,093,110$0$0$2,011,274
87$3,194,691$0$0$2,077,418
88$3,299,895$0$0$2,145,929
89$3,408,879$0$0$2,216,912
90$3,521,810$0$0$2,290,477
91$3,638,865$0$0$2,366,739
92$3,760,230$0$0$2,445,823
93$3,886,107$0$0$2,527,861
94$4,016,706$0$0$2,612,992
95$4,152,254$0$0$2,701,366
96$4,292,993$0$0$2,793,142
97$4,439,178$0$0$2,888,491
98$4,591,086$0$0$2,987,595
99$4,749,011$0$0$3,090,648
100$4,913,268$0$0$3,197,860