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%14.1%
1 years$41,290$40,922$40,563$40,213$39,871$39,194
2 years$20,440$20,060$19,691$19,333$18,986$18,306
3 years$13,492$13,109$12,741$12,387$12,046$11,384
4 years$10,018$9,637$9,272$8,924$8,591$7,953
5 years$7,934$7,555$7,196$6,855$6,531$5,918
6 years$6,545$6,169$5,815$5,482$5,168$4,580
7 years$5,554$5,181$4,832$4,507$4,203$3,641
8 years$4,811$4,441$4,098$3,781$3,486$2,951
9 years$4,233$3,867$3,530$3,220$2,936$2,426
10 years$3,771$3,408$3,077$2,776$2,502$2,017
11 years$3,393$3,034$2,709$2,416$2,152$1,691
12 years$3,079$2,723$2,404$2,119$1,864$1,428
13 years$2,813$2,461$2,148$1,871$1,626$1,213
14 years$2,585$2,237$1,930$1,661$1,425$1,035
15 years$2,388$2,044$1,743$1,481$1,255$887
16 years$2,215$1,875$1,580$1,326$1,109$762
17 years$2,063$1,727$1,438$1,191$983$657
18 years$1,928$1,596$1,312$1,074$874$567
19 years$1,808$1,479$1,202$970$779$491
20 years$1,699$1,374$1,103$879$696$426
21 years$1,601$1,280$1,014$798$623$369
22 years$1,512$1,195$935$725$558$321
23 years$1,431$1,118$863$660$501$279
24 years$1,357$1,047$798$602$451$243
25 years$1,289$983$739$550$405$212
26 years$1,226$923$686$503$365$185
27 years$1,168$869$637$460$329$162
28 years$1,114$819$592$422$297$141
29 years$1,064$773$551$387$268$123
30 years$1,018$730$513$355$242$108
31 years$974$690$478$326$219$94
32 years$934$653$446$300$198$82
33 years$895$618$417$276$179$72
34 years$860$586$389$254$162$63
35 years$826$556$364$233$147$55
36 years$794$527$341$215$133$48
37 years$764$501$319$198$121$42
38 years$736$476$298$183$110$37
39 years$709$453$280$168$99$32
40 years$684$431$262$155$90$28
41 years$659$410$246$143$82$25
42 years$637$390$231$132$74$22
43 years$615$372$216$122$67$19
44 years$594$355$203$113$61$17
45 years$574$338$191$104$55$15
46 years$555$323$179$96$50$13
47 years$538$308$168$89$46$11
48 years$520$294$158$82$42$10
49 years$504$281$149$76$38$9
50 years$488$268$140$70$34$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 55 starting with $500,000, adding $2,898 every year, while hoping to spend $23,489 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: 72/8/20 Blend
54$500,000$500,000$500,000$500,000
55$553,989$527,489$519,739$591,003
56$585,504$528,344$512,158$616,865
57$619,446$528,454$503,536$642,089
58$656,038$527,756$493,813$669,123
59$695,525$526,187$482,927$698,142
60$738,176$523,678$470,812$729,340
61$784,285$520,154$457,400$762,932
62$834,179$515,537$442,619$799,155
63$888,213$509,747$426,395$838,268
64$946,781$502,695$408,649$880,560
65$1,010,313$494,288$389,300$926,349
66$1,079,286$484,428$368,262$975,986
67$1,154,220$473,012$345,446$1,029,858
68$1,235,690$459,929$320,758$1,088,392
69$1,324,327$445,063$294,100$1,152,059
70$1,420,828$428,290$265,372$1,221,379
71$1,525,956$409,480$234,466$1,296,927
72$1,640,554$388,495$201,271$1,379,337
73$1,765,547$365,188$165,670$1,469,306
74$1,901,957$339,406$127,544$1,567,606
75$2,050,904$310,984$86,764$1,675,088
76$2,213,624$279,751$43,199$1,792,690
77$2,391,479$245,523$0$1,921,449
78$2,585,964$208,108$0$2,063,208
79$2,798,729$167,303$0$2,228,409
80$3,031,590$122,891$0$2,409,246
81$3,286,546$74,646$0$2,607,286
82$3,565,797$22,327$0$2,824,255
83$3,871,769$0$0$3,062,055
84$4,207,131$0$0$3,325,804
85$4,574,825$0$0$3,617,159
86$4,978,087$0$0$3,936,724
87$5,420,487$0$0$4,287,329
88$5,905,952$0$0$4,672,091
89$6,438,810$0$0$5,094,444
90$7,023,830$0$0$5,558,169
91$7,666,261$0$0$6,067,433
92$8,371,890$0$0$6,626,825
93$9,147,088$0$0$7,241,402
94$9,998,876$0$0$7,916,733
95$10,934,989$0$0$8,658,954
96$11,963,946$0$0$9,474,824
97$13,095,135$0$0$10,371,793
98$14,338,898$0$0$11,358,064
99$15,706,628$0$0$12,442,677
100$17,210,879$0$0$13,635,593