Can I retire at age 42 with 870,000?

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 $870,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.7%
1 years$71,844$71,204$70,579$69,970$69,375$67,479
2 years$35,566$34,904$34,262$33,639$33,036$31,139
3 years$23,475$22,810$22,170$21,553$20,959$19,122
4 years$17,431$16,768$16,134$15,528$14,948$13,184
5 years$13,805$13,146$12,521$11,927$11,363$9,677
6 years$11,389$10,735$10,118$9,538$8,992$7,385
7 years$9,664$9,015$8,408$7,842$7,313$5,786
8 years$8,371$7,728$7,131$6,578$6,066$4,618
9 years$7,365$6,728$6,142$5,603$5,109$3,738
10 years$6,561$5,931$5,355$4,830$4,353$3,058
11 years$5,904$5,280$4,714$4,204$3,744$2,523
12 years$5,357$4,739$4,184$3,687$3,244$2,094
13 years$4,894$4,282$3,738$3,255$2,829$1,748
14 years$4,498$3,893$3,359$2,890$2,480$1,466
15 years$4,154$3,556$3,032$2,577$2,183$1,233
16 years$3,854$3,263$2,749$2,307$1,930$1,040
17 years$3,590$3,005$2,502$2,073$1,711$880
18 years$3,355$2,776$2,284$1,868$1,521$745
19 years$3,145$2,573$2,091$1,688$1,356$633
20 years$2,957$2,391$1,919$1,529$1,211$538
21 years$2,786$2,227$1,765$1,388$1,084$458
22 years$2,632$2,079$1,627$1,262$972$390
23 years$2,491$1,945$1,502$1,149$872$333
24 years$2,362$1,822$1,389$1,048$784$284
25 years$2,243$1,710$1,286$957$705$242
26 years$2,134$1,607$1,193$875$635$207
27 years$2,033$1,512$1,108$801$573$177
28 years$1,939$1,425$1,030$734$517$151
29 years$1,852$1,344$958$673$467$129
30 years$1,771$1,270$893$618$422$111
31 years$1,695$1,200$832$567$381$95
32 years$1,624$1,136$777$521$345$81
33 years$1,558$1,075$725$479$312$69
34 years$1,496$1,019$677$441$283$59
35 years$1,437$967$633$406$256$51
36 years$1,382$918$593$374$232$44
37 years$1,330$872$555$345$210$37
38 years$1,280$828$519$318$191$32
39 years$1,234$788$487$293$173$27
40 years$1,189$749$456$270$157$23
41 years$1,147$713$428$249$142$20
42 years$1,108$679$401$230$129$17
43 years$1,070$647$376$212$117$15
44 years$1,034$617$353$196$106$13
45 years$999$588$332$181$97$11
46 years$967$561$312$167$88$9
47 years$935$536$293$154$80$8
48 years$905$511$275$143$72$7
49 years$877$488$259$132$66$6
50 years$849$466$243$122$60$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $870,000, adding $3,948 every year, while hoping to spend $54,203 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: 60/30/10 Blend
41$870,000$870,000$870,000$870,000
42$962,812$916,702$903,217$1,018,123
43$1,003,348$903,949$875,804$1,042,971
44$1,046,201$888,754$845,655$1,063,552
45$1,091,551$870,941$812,622$1,084,666
46$1,139,594$850,322$776,550$1,106,369
47$1,190,544$826,699$737,276$1,128,722
48$1,244,634$799,862$694,629$1,151,796
49$1,302,120$769,589$648,432$1,175,672
50$1,363,282$735,644$598,500$1,200,442
51$1,428,424$697,778$544,637$1,226,211
52$1,497,883$655,729$486,642$1,253,095
53$1,572,025$609,218$424,303$1,281,228
54$1,651,253$557,950$357,398$1,310,761
55$1,736,006$501,615$285,696$1,341,864
56$1,826,769$439,884$208,957$1,374,727
57$1,924,070$372,410$126,928$1,409,566
58$2,028,492$298,825$39,347$1,446,623
59$2,140,672$218,741$0$1,486,170
60$2,261,311$131,749$0$1,534,285
61$2,391,177$37,417$0$1,590,392
62$2,531,114$0$0$1,650,702
63$2,682,050$0$0$1,737,040
64$2,845,004$0$0$1,843,640
65$3,021,095$0$0$1,958,891
66$3,211,552$0$0$2,083,604
67$3,417,729$0$0$2,218,672
68$3,641,112$0$0$2,365,077
69$3,883,336$0$0$2,523,899
70$4,146,197$0$0$2,696,324
71$4,431,673$0$0$2,883,659
72$4,741,939$0$0$3,087,340
73$5,079,386$0$0$3,308,947
74$5,446,646$0$0$3,550,219
75$5,846,615$0$0$3,813,069
76$6,282,481$0$0$4,099,602
77$6,757,749$0$0$4,412,137
78$7,276,280$0$0$4,753,223
79$7,842,322$0$0$5,125,668
80$8,460,552$0$0$5,532,561
81$9,136,118$0$0$5,977,307
82$9,874,689$0$0$6,463,650
83$10,682,505$0$0$6,995,714
84$11,566,436$0$0$7,578,042
85$12,534,050$0$0$8,215,633
86$13,593,677$0$0$8,913,994
87$14,754,492$0$0$9,679,189
88$16,026,600$0$0$10,517,898
89$17,421,127$0$0$11,437,475
90$18,950,331$0$0$12,446,021
91$20,627,710$0$0$13,552,459
92$22,468,131$0$0$14,766,619
93$24,487,971$0$0$16,099,324
94$26,705,270$0$0$17,562,500
95$29,139,899$0$0$19,169,283
96$31,813,746$0$0$20,934,144
97$34,750,926$0$0$22,873,022
98$37,978,002$0$0$25,003,479
99$41,524,237$0$0$27,344,861
100$45,421,872$0$0$29,918,482