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%19.4%
1 years$57,805$57,290$56,788$56,298$55,819$53,710
2 years$28,617$28,084$27,567$27,066$26,580$24,481
3 years$18,888$18,353$17,838$17,342$16,864$14,839
4 years$14,025$13,491$12,981$12,494$12,027$10,092
5 years$11,108$10,577$10,074$9,596$9,143$7,303
6 years$9,164$8,637$8,141$7,674$7,235$5,491
7 years$7,776$7,254$6,765$6,309$5,884$4,236
8 years$6,735$6,218$5,738$5,293$4,881$3,328
9 years$5,926$5,414$4,942$4,508$4,111$2,650
10 years$5,279$4,772$4,308$3,886$3,502$2,131
11 years$4,750$4,248$3,793$3,382$3,012$1,728
12 years$4,310$3,813$3,366$2,967$2,610$1,409
13 years$3,938$3,446$3,008$2,619$2,276$1,155
14 years$3,619$3,132$2,702$2,325$1,995$950
15 years$3,343$2,861$2,440$2,073$1,757$784
16 years$3,101$2,625$2,212$1,857$1,553$649
17 years$2,889$2,418$2,013$1,668$1,377$538
18 years$2,700$2,234$1,837$1,503$1,224$447
19 years$2,531$2,070$1,682$1,358$1,091$372
20 years$2,379$1,924$1,544$1,230$975$309
21 years$2,242$1,792$1,420$1,117$872$258
22 years$2,117$1,673$1,309$1,015$782$215
23 years$2,004$1,565$1,208$925$702$180
24 years$1,900$1,466$1,118$843$631$150
25 years$1,805$1,376$1,035$770$568$125
26 years$1,717$1,293$960$704$511$105
27 years$1,635$1,217$891$645$461$88
28 years$1,560$1,147$829$591$416$73
29 years$1,490$1,082$771$542$376$61
30 years$1,425$1,021$718$497$339$51
31 years$1,364$966$670$456$307$43
32 years$1,307$914$625$419$278$36
33 years$1,254$865$583$386$251$30
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$18
37 years$1,070$701$446$277$169$15
38 years$1,030$666$418$256$153$12
39 years$993$634$391$236$139$10
40 years$957$603$367$217$126$9
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$4
46 years$778$452$251$135$70$3
47 years$753$431$236$124$64$3
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 $5,699 every year, while hoping to spend $48,606 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: 42/48/10 Blend
41$700,000$700,000$700,000$700,000
42$777,279$740,179$729,329$807,417
43$804,845$724,731$702,045$813,592
44$833,593$706,897$672,218$814,950
45$863,594$686,509$639,711$815,327
46$894,921$663,389$604,382$814,655
47$927,656$637,348$566,082$812,860
48$961,886$608,187$524,654$809,866
49$997,704$575,694$479,937$805,595
50$1,035,214$539,647$431,759$799,963
51$1,074,526$499,810$379,943$792,886
52$1,115,760$455,933$324,303$784,273
53$1,159,046$407,753$264,646$774,032
54$1,204,526$354,990$200,769$762,068
55$1,252,354$297,350$132,460$748,281
56$1,302,696$234,522$59,500$732,571
57$1,355,735$166,178$0$714,832
58$1,411,670$91,970$0$696,916
59$1,470,715$11,532$0$683,655
60$1,533,108$0$0$668,609
61$1,599,105$0$0$691,581
62$1,668,986$0$0$722,395
63$1,743,058$0$0$755,102
64$1,821,657$0$0$789,853
65$1,905,148$0$0$826,818
66$1,993,932$0$0$866,179
67$2,088,448$0$0$908,139
68$2,189,175$0$0$952,918
69$2,296,639$0$0$1,000,756
70$2,411,415$0$0$1,051,919
71$2,534,135$0$0$1,106,697
72$2,665,491$0$0$1,165,408
73$2,806,240$0$0$1,228,402
74$2,957,215$0$0$1,296,060
75$3,119,328$0$0$1,368,804
76$3,293,582$0$0$1,447,095
77$3,481,077$0$0$1,531,440
78$3,683,020$0$0$1,622,395
79$3,900,738$0$0$1,720,573
80$4,135,687$0$0$1,826,644
81$4,389,469$0$0$1,941,348
82$4,663,843$0$0$2,065,496
83$4,960,743$0$0$2,199,979
84$5,282,294$0$0$2,345,780
85$5,630,833$0$0$2,503,977
86$6,008,930$0$0$2,675,756
87$6,419,411$0$0$2,862,423
88$6,865,384$0$0$3,065,412
89$7,350,269$0$0$3,286,303
90$7,877,829$0$0$3,526,834
91$8,452,200$0$0$3,788,917
92$9,077,939$0$0$4,074,657
93$9,760,058$0$0$4,386,368
94$10,504,071$0$0$4,726,602
95$11,316,052$0$0$5,098,163
96$12,202,682$0$0$5,504,141
97$13,171,318$0$0$5,947,937
98$14,230,061$0$0$6,433,295
99$15,387,826$0$0$6,964,337
100$16,654,432$0$0$7,545,603