Can I retire at age 55 with 500,000?

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 $500,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.8%
1 years$41,290$40,922$40,563$40,213$39,871$39,570
2 years$20,440$20,060$19,691$19,333$18,986$18,683
3 years$13,492$13,109$12,741$12,387$12,046$11,749
4 years$10,018$9,637$9,272$8,924$8,591$8,304
5 years$7,934$7,555$7,196$6,855$6,531$6,253
6 years$6,545$6,169$5,815$5,482$5,168$4,901
7 years$5,554$5,181$4,832$4,507$4,203$3,946
8 years$4,811$4,441$4,098$3,781$3,486$3,241
9 years$4,233$3,867$3,530$3,220$2,936$2,701
10 years$3,771$3,408$3,077$2,776$2,502$2,277
11 years$3,393$3,034$2,709$2,416$2,152$1,937
12 years$3,079$2,723$2,404$2,119$1,864$1,660
13 years$2,813$2,461$2,148$1,871$1,626$1,431
14 years$2,585$2,237$1,930$1,661$1,425$1,240
15 years$2,388$2,044$1,743$1,481$1,255$1,079
16 years$2,215$1,875$1,580$1,326$1,109$942
17 years$2,063$1,727$1,438$1,191$983$825
18 years$1,928$1,596$1,312$1,074$874$724
19 years$1,808$1,479$1,202$970$779$637
20 years$1,699$1,374$1,103$879$696$562
21 years$1,601$1,280$1,014$798$623$496
22 years$1,512$1,195$935$725$558$439
23 years$1,431$1,118$863$660$501$389
24 years$1,357$1,047$798$602$451$345
25 years$1,289$983$739$550$405$306
26 years$1,226$923$686$503$365$272
27 years$1,168$869$637$460$329$242
28 years$1,114$819$592$422$297$215
29 years$1,064$773$551$387$268$191
30 years$1,018$730$513$355$242$170
31 years$974$690$478$326$219$152
32 years$934$653$446$300$198$135
33 years$895$618$417$276$179$121
34 years$860$586$389$254$162$108
35 years$826$556$364$233$147$96
36 years$794$527$341$215$133$86
37 years$764$501$319$198$121$77
38 years$736$476$298$183$110$68
39 years$709$453$280$168$99$61
40 years$684$431$262$155$90$55
41 years$659$410$246$143$82$49
42 years$637$390$231$132$74$44
43 years$615$372$216$122$67$39
44 years$594$355$203$113$61$35
45 years$574$338$191$104$55$31
46 years$555$323$179$96$50$28
47 years$538$308$168$89$46$25
48 years$520$294$158$82$42$22
49 years$504$281$149$76$38$20
50 years$488$268$140$70$34$18

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 55 starting with $500,000, adding $3,501 every year, while hoping to spend $23,273 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: 65/20/15 Blend
54$500,000$500,000$500,000$500,000
55$554,611$528,111$520,361$588,442
56$586,419$529,226$513,031$612,625
57$620,692$529,616$504,675$636,024
58$657,655$529,221$495,235$661,020
59$697,560$527,976$484,649$687,769
60$740,678$525,813$472,851$716,441
61$787,311$522,662$459,776$747,228
62$837,790$518,446$445,352$780,339
63$892,478$513,084$429,505$816,007
64$951,775$506,489$412,158$854,487
65$1,016,121$498,572$393,230$896,064
66$1,086,000$489,236$372,637$941,050
67$1,161,942$478,379$350,290$989,792
68$1,244,533$465,892$326,098$1,042,671
69$1,334,416$451,662$299,963$1,100,109
70$1,432,300$435,567$271,786$1,162,574
71$1,538,965$417,480$241,461$1,230,579
72$1,655,267$397,264$208,877$1,304,695
73$1,782,151$374,777$173,921$1,385,548
74$1,920,655$349,866$136,473$1,473,834
75$2,071,924$322,371$96,406$1,570,319
76$2,237,216$292,123$53,592$1,675,848
77$2,417,917$258,942$7,892$1,791,357
78$2,615,554$222,640$0$1,917,875
79$2,831,807$183,015$0$2,063,085
80$3,068,525$139,857$0$2,223,474
81$3,327,747$92,942$0$2,399,191
82$3,611,716$42,035$0$2,591,792
83$3,922,902$0$0$2,802,996
84$4,264,028$0$0$3,037,582
85$4,638,089$0$0$3,304,995
86$5,048,388$0$0$3,598,347
87$5,498,559$0$0$3,920,244
88$5,992,607$0$0$4,273,552
89$6,534,944$0$0$4,661,431
90$7,130,429$0$0$5,087,361
91$7,784,414$0$0$5,555,175
92$8,502,796$0$0$6,069,097
93$9,292,071$0$0$6,633,779
94$10,159,394$0$0$7,254,346
95$11,112,650$0$0$7,936,444
96$12,160,524$0$0$8,686,293
97$13,312,583$0$0$9,510,749
98$14,579,371$0$0$10,417,359
99$15,972,501$0$0$11,414,445
100$17,504,771$0$0$12,511,170