Can I retire at age 55 with 540,000?

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 $540,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.8%
1 years$44,593$44,195$43,808$43,430$43,060$42,558
2 years$22,076$21,664$21,266$20,880$20,505$19,999
3 years$14,571$14,158$13,761$13,378$13,009$12,516
4 years$10,819$10,408$10,014$9,638$9,278$8,801
5 years$8,569$8,160$7,771$7,403$7,053$6,593
6 years$7,069$6,663$6,280$5,920$5,581$5,139
7 years$5,998$5,596$5,219$4,867$4,539$4,116
8 years$5,195$4,796$4,426$4,083$3,765$3,360
9 years$4,571$4,176$3,812$3,478$3,171$2,784
10 years$4,072$3,681$3,324$2,998$2,702$2,333
11 years$3,665$3,277$2,926$2,609$2,324$1,972
12 years$3,325$2,941$2,597$2,289$2,014$1,680
13 years$3,038$2,658$2,320$2,020$1,756$1,439
14 years$2,792$2,416$2,085$1,794$1,539$1,238
15 years$2,579$2,207$1,882$1,599$1,355$1,070
16 years$2,392$2,025$1,706$1,432$1,198$928
17 years$2,228$1,865$1,553$1,287$1,062$807
18 years$2,083$1,723$1,417$1,160$944$704
19 years$1,952$1,597$1,298$1,048$842$615
20 years$1,835$1,484$1,191$949$752$538
21 years$1,730$1,382$1,095$861$673$472
22 years$1,633$1,290$1,010$783$603$414
23 years$1,546$1,207$932$713$541$364
24 years$1,466$1,131$862$650$487$320
25 years$1,392$1,061$798$594$438$282
26 years$1,324$997$741$543$394$249
27 years$1,262$939$688$497$356$219
28 years$1,204$884$639$456$321$194
29 years$1,150$834$595$418$290$171
30 years$1,099$788$554$383$262$151
31 years$1,052$745$517$352$237$133
32 years$1,008$705$482$324$214$118
33 years$967$668$450$298$194$104
34 years$928$633$420$274$175$92
35 years$892$600$393$252$159$82
36 years$858$570$368$232$144$72
37 years$825$541$344$214$130$64
38 years$795$514$322$197$118$57
39 years$766$489$302$182$107$50
40 years$738$465$283$168$97$44
41 years$712$443$265$155$88$39
42 years$687$422$249$143$80$35
43 years$664$402$234$132$73$31
44 years$642$383$219$122$66$27
45 years$620$365$206$112$60$24
46 years$600$348$193$104$54$21
47 years$581$332$182$96$49$19
48 years$562$317$171$89$45$17
49 years$544$303$160$82$41$15
50 years$527$289$151$76$37$13

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 55 starting with $540,000, adding $2,558 every year, while hoping to spend $23,709 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: 75/20/5 Blend
54$540,000$540,000$540,000$540,000
55$597,719$569,099$560,729$642,155
56$633,460$571,758$554,287$674,371
57$672,052$573,754$546,835$706,371
58$713,761$575,027$538,313$740,742
59$758,878$575,517$528,661$777,711
60$807,726$575,160$517,813$817,524
61$860,656$573,885$505,702$860,457
62$918,057$571,620$492,257$906,811
63$980,357$568,286$477,405$956,919
64$1,048,023$563,802$461,068$1,011,147
65$1,121,573$558,080$443,166$1,069,900
66$1,201,575$551,027$423,613$1,133,623
67$1,288,653$542,545$402,321$1,202,809
68$1,383,495$532,530$379,199$1,277,999
69$1,486,859$520,871$354,149$1,359,789
70$1,599,576$507,451$327,071$1,448,840
71$1,722,564$492,147$297,859$1,545,877
72$1,856,831$474,828$266,403$1,651,702
73$2,003,489$455,356$232,588$1,767,196
74$2,163,759$433,582$196,294$1,893,334
75$2,338,988$409,353$157,395$2,031,190
76$2,530,657$382,505$115,761$2,181,947
77$2,740,400$352,863$71,255$2,346,910
78$2,970,012$320,245$23,733$2,527,520
79$3,221,473$284,456$0$2,725,363
80$3,496,961$245,292$0$2,943,628
81$3,798,876$202,537$0$3,184,252
82$4,129,861$155,961$0$3,448,101
83$4,492,826$105,322$0$3,737,533
84$4,890,979$50,367$0$4,055,143
85$5,327,849$0$0$4,403,793
86$5,807,327$0$0$4,788,658
87$6,333,696$0$0$5,223,353
88$6,911,677$0$0$5,700,693
89$7,546,468$0$0$6,224,976
90$8,243,797$0$0$6,800,935
91$9,009,972$0$0$7,433,783
92$9,851,944$0$0$8,129,264
93$10,777,370$0$0$8,893,708
94$11,794,687$0$0$9,734,086
95$12,913,188$0$0$10,658,079
96$14,143,112$0$0$11,674,149
97$15,495,741$0$0$12,791,620
98$16,983,504$0$0$14,020,765
99$18,620,095$0$0$15,372,900
100$20,420,604$0$0$16,860,498