Can I retire at age 42 with 980,000?

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 $980,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.5%
1 years$80,927$80,207$79,503$78,817$78,147$75,766
2 years$40,063$39,317$38,594$37,893$37,213$34,835
3 years$26,443$25,694$24,973$24,278$23,609$21,309
4 years$19,635$18,888$18,174$17,491$16,838$14,633
5 years$15,551$14,808$14,104$13,435$12,800$10,695
6 years$12,829$12,092$11,398$10,744$10,128$8,126
7 years$10,886$10,155$9,472$8,833$8,237$6,337
8 years$9,429$8,705$8,033$7,410$6,833$5,035
9 years$8,296$7,579$6,919$6,312$5,755$4,056
10 years$7,391$6,680$6,032$5,441$4,903$3,301
11 years$6,650$5,947$5,310$4,735$4,217$2,709
12 years$6,034$5,338$4,713$4,153$3,654$2,238
13 years$5,513$4,824$4,211$3,667$3,187$1,858
14 years$5,066$4,385$3,783$3,255$2,793$1,549
15 years$4,680$4,006$3,416$2,903$2,460$1,295
16 years$4,342$3,675$3,097$2,599$2,174$1,087
17 years$4,044$3,385$2,818$2,335$1,927$914
18 years$3,779$3,128$2,572$2,105$1,714$770
19 years$3,543$2,899$2,355$1,902$1,528$649
20 years$3,331$2,693$2,161$1,722$1,364$549
21 years$3,139$2,509$1,988$1,563$1,221$464
22 years$2,964$2,342$1,832$1,421$1,094$393
23 years$2,806$2,190$1,692$1,294$982$333
24 years$2,660$2,052$1,565$1,181$883$282
25 years$2,527$1,926$1,449$1,078$795$240
26 years$2,403$1,810$1,344$986$716$203
27 years$2,290$1,703$1,248$902$645$173
28 years$2,184$1,605$1,160$827$582$147
29 years$2,086$1,514$1,080$758$526$125
30 years$1,995$1,430$1,006$696$475$106
31 years$1,910$1,352$938$639$430$90
32 years$1,830$1,279$875$587$389$77
33 years$1,755$1,211$817$540$352$65
34 years$1,685$1,148$763$497$318$55
35 years$1,619$1,089$713$457$288$47
36 years$1,556$1,034$667$421$261$40
37 years$1,498$982$625$388$237$34
38 years$1,442$933$585$358$215$29
39 years$1,390$887$548$330$195$25
40 years$1,340$844$514$304$177$21
41 years$1,293$803$482$281$160$18
42 years$1,248$765$452$259$145$15
43 years$1,205$729$424$239$132$13
44 years$1,164$695$398$221$120$11
45 years$1,126$663$374$204$109$9
46 years$1,089$632$351$188$99$8
47 years$1,054$603$330$174$90$7
48 years$1,020$576$310$161$81$6
49 years$988$550$291$149$74$5
50 years$957$525$274$137$67$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $980,000, adding $6,093 every year, while hoping to spend $33,632 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: 64/17/19 Blend
41$980,000$980,000$980,000$980,000
42$1,086,245$1,034,305$1,019,115$1,150,170
43$1,161,258$1,049,202$1,017,471$1,208,774
44$1,242,795$1,063,701$1,014,645$1,268,401
45$1,331,486$1,077,748$1,010,561$1,332,749
46$1,428,024$1,091,285$1,005,142$1,402,281
47$1,533,172$1,104,247$998,304$1,477,507
48$1,647,768$1,116,569$989,960$1,558,991
49$1,772,738$1,128,178$980,021$1,647,353
50$1,909,097$1,138,998$968,391$1,743,279
51$2,057,963$1,148,947$954,971$1,847,523
52$2,220,570$1,157,940$939,657$1,960,918
53$2,398,272$1,165,883$922,339$2,084,383
54$2,592,563$1,172,678$902,905$2,218,930
55$2,805,085$1,178,221$881,233$2,365,678
56$3,037,650$1,182,400$857,201$2,525,859
57$3,292,250$1,185,097$830,676$2,700,830
58$3,571,078$1,186,186$801,523$2,892,091
59$3,876,552$1,185,533$769,598$3,101,294
60$4,211,333$1,182,997$734,752$3,330,261
61$4,578,352$1,178,426$696,829$3,581,004
62$4,980,837$1,171,662$655,666$3,855,736
63$5,422,344$1,162,535$611,092$4,156,904
64$5,906,788$1,150,864$562,929$4,487,202
65$6,438,484$1,136,460$510,990$4,849,601
66$7,022,182$1,119,119$455,081$5,247,379
67$7,663,117$1,098,629$394,999$5,684,150
68$8,367,055$1,074,761$330,531$6,163,898
69$9,140,347$1,047,277$261,456$6,691,015
70$9,989,990$1,015,921$187,543$7,270,348
71$10,923,692$980,425$108,549$7,907,236
72$11,949,946$940,503$24,223$8,607,569
73$13,078,107$895,854$0$9,377,840
74$14,318,482$846,159$0$10,238,541
75$15,682,427$791,081$0$11,190,340
76$17,182,454$730,263$0$12,237,079
77$18,832,347$663,328$0$13,388,414
78$20,647,293$589,878$0$14,654,984
79$22,644,026$509,491$0$16,048,516
80$24,840,983$421,723$0$17,581,934
81$27,258,479$326,103$0$19,269,480
82$29,918,897$222,134$0$21,126,852
83$32,846,898$109,293$0$23,171,350
84$36,069,658$0$0$25,422,041
85$39,617,120$0$0$27,902,365
86$43,522,276$0$0$30,655,371
87$47,821,481$0$0$33,686,254
88$52,554,793$0$0$37,023,263
89$57,766,351$0$0$40,697,529
90$63,504,793$0$0$44,743,355
91$69,823,715$0$0$49,198,536
92$76,782,171$0$0$54,104,725
93$84,445,238$0$0$59,507,814
94$92,884,623$0$0$65,458,377
95$102,179,344$0$0$72,012,142
96$112,416,471$0$0$79,230,517
97$123,691,953$0$0$87,181,169
98$136,111,517$0$0$95,938,666
99$149,791,671$0$0$105,585,176
100$164,860,799$0$0$116,211,244