Can I retire at age 54 with 406,000?

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 $406,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.7%
1 years$33,527$33,228$32,937$32,653$32,375$31,364
2 years$16,598$16,288$15,989$15,698$15,417$14,407
3 years$10,955$10,645$10,346$10,058$9,781$8,804
4 years$8,134$7,825$7,529$7,246$6,976$6,040
5 years$6,443$6,135$5,843$5,566$5,303$4,410
6 years$5,315$5,010$4,722$4,451$4,196$3,347
7 years$4,510$4,207$3,924$3,659$3,413$2,607
8 years$3,906$3,606$3,328$3,070$2,831$2,069
9 years$3,437$3,140$2,866$2,615$2,384$1,665
10 years$3,062$2,768$2,499$2,254$2,031$1,353
11 years$2,755$2,464$2,200$1,962$1,747$1,109
12 years$2,500$2,211$1,952$1,721$1,514$915
13 years$2,284$1,998$1,744$1,519$1,320$758
14 years$2,099$1,817$1,567$1,348$1,157$631
15 years$1,939$1,659$1,415$1,203$1,019$527
16 years$1,799$1,523$1,283$1,077$901$442
17 years$1,675$1,402$1,167$967$799$371
18 years$1,566$1,296$1,066$872$710$312
19 years$1,468$1,201$976$788$633$263
20 years$1,380$1,116$895$714$565$222
21 years$1,300$1,039$824$648$506$187
22 years$1,228$970$759$589$453$158
23 years$1,162$907$701$536$407$134
24 years$1,102$850$648$489$366$113
25 years$1,047$798$600$447$329$96
26 years$996$750$557$408$297$81
27 years$949$706$517$374$267$69
28 years$905$665$481$342$241$59
29 years$864$627$447$314$218$50
30 years$826$592$417$288$197$42
31 years$791$560$388$265$178$36
32 years$758$530$362$243$161$30
33 years$727$502$338$224$146$26
34 years$698$476$316$206$132$22
35 years$671$451$296$189$119$19
36 years$645$428$277$175$108$16
37 years$620$407$259$161$98$13
38 years$597$387$242$148$89$11
39 years$576$368$227$137$81$10
40 years$555$350$213$126$73$8
41 years$535$333$200$116$66$7
42 years$517$317$187$107$60$6
43 years$499$302$176$99$55$5
44 years$482$288$165$91$50$4
45 years$466$275$155$84$45$4
46 years$451$262$145$78$41$3
47 years$436$250$137$72$37$3
48 years$423$239$128$67$34$2
49 years$409$228$121$62$31$2
50 years$396$218$113$57$28$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 54 starting with $406,000, adding $6,537 every year, while hoping to spend $25,383 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: 58/33/9 Blend
53$406,000$406,000$406,000$406,000
54$454,155$432,637$426,344$479,172
55$473,471$426,829$413,619$490,968
56$493,907$419,885$399,617$500,391
57$515,550$411,724$384,269$510,040
58$538,496$402,258$367,501$519,940
59$562,848$391,394$349,238$530,119
60$588,721$379,035$329,400$540,607
61$616,240$365,077$307,904$551,443
62$645,540$349,410$284,663$562,666
63$676,773$331,918$259,587$574,323
64$710,101$312,479$232,580$586,469
65$745,703$290,963$203,544$599,164
66$783,777$267,233$172,375$612,476
67$824,538$241,143$138,965$626,484
68$868,222$212,540$103,201$641,274
69$915,089$181,263$64,967$656,945
70$965,423$147,139$24,138$673,610
71$1,019,537$109,989$0$691,392
72$1,077,772$69,622$0$712,299
73$1,140,507$25,835$0$737,217
74$1,208,153$0$0$764,017
75$1,281,166$0$0$800,749
76$1,360,044$0$0$850,594
77$1,445,337$0$0$904,521
78$1,537,645$0$0$962,914
79$1,637,634$0$0$1,026,196
80$1,746,030$0$0$1,094,832
81$1,863,635$0$0$1,169,334
82$1,991,331$0$0$1,250,264
83$2,130,086$0$0$1,338,242
84$2,280,967$0$0$1,433,947
85$2,445,146$0$0$1,538,130
86$2,623,915$0$0$1,651,613
87$2,818,693$0$0$1,775,304
88$3,031,043$0$0$1,910,202
89$3,262,686$0$0$2,057,404
90$3,515,514$0$0$2,218,121
91$3,791,611$0$0$2,393,682
92$4,093,273$0$0$2,585,555
93$4,423,023$0$0$2,795,351
94$4,783,644$0$0$3,024,848
95$5,178,196$0$0$3,276,001
96$5,610,051$0$0$3,550,964
97$6,082,922$0$0$3,852,109
98$6,600,895$0$0$4,182,048
99$7,168,474$0$0$4,543,656
100$7,790,615$0$0$4,940,103