Can I retire at age 55 with 985,000?

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 $985,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.2%
1 years$81,340$80,616$79,909$79,219$78,545$76,245
2 years$40,268$39,518$38,791$38,086$37,403$35,104
3 years$26,578$25,825$25,100$24,402$23,730$21,504
4 years$19,735$18,984$18,267$17,580$16,924$14,789
5 years$15,630$14,884$14,176$13,503$12,866$10,827
6 years$12,895$12,154$11,456$10,799$10,180$8,240
7 years$10,941$10,207$9,520$8,878$8,279$6,437
8 years$9,477$8,749$8,074$7,448$6,868$5,123
9 years$8,339$7,618$6,954$6,344$5,784$4,134
10 years$7,429$6,715$6,063$5,468$4,928$3,372
11 years$6,684$5,978$5,337$4,759$4,239$2,772
12 years$6,065$5,365$4,737$4,174$3,673$2,294
13 years$5,541$4,849$4,232$3,685$3,203$1,908
14 years$5,092$4,407$3,802$3,271$2,808$1,594
15 years$4,704$4,026$3,433$2,918$2,472$1,337
16 years$4,364$3,694$3,113$2,612$2,185$1,124
17 years$4,065$3,402$2,832$2,347$1,937$947
18 years$3,799$3,143$2,586$2,115$1,723$799
19 years$3,561$2,913$2,367$1,911$1,535$676
20 years$3,348$2,707$2,172$1,731$1,371$572
21 years$3,155$2,522$1,998$1,571$1,227$485
22 years$2,980$2,354$1,842$1,428$1,100$412
23 years$2,820$2,202$1,700$1,301$987$350
24 years$2,674$2,063$1,573$1,187$888$297
25 years$2,539$1,936$1,456$1,084$799$253
26 years$2,416$1,819$1,351$991$719$215
27 years$2,301$1,712$1,254$907$649$183
28 years$2,195$1,613$1,166$831$585$156
29 years$2,097$1,522$1,085$762$528$133
30 years$2,005$1,437$1,011$699$477$113
31 years$1,919$1,359$942$642$432$96
32 years$1,839$1,286$879$590$391$82
33 years$1,764$1,218$821$543$353$70
34 years$1,693$1,154$767$499$320$60
35 years$1,627$1,095$717$460$290$51
36 years$1,564$1,039$671$423$263$43
37 years$1,505$987$628$390$238$37
38 years$1,450$938$588$360$216$32
39 years$1,397$892$551$332$196$27
40 years$1,347$848$516$306$177$23
41 years$1,299$808$484$282$161$20
42 years$1,254$769$454$260$146$17
43 years$1,211$733$426$240$133$14
44 years$1,170$698$400$222$120$12
45 years$1,131$666$376$205$109$10
46 years$1,094$635$353$189$99$9
47 years$1,059$606$331$175$90$8
48 years$1,025$579$311$162$82$6
49 years$993$553$293$149$74$6
50 years$962$528$275$138$67$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 55 starting with $985,000, adding $3,602 every year, while hoping to spend $58,779 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: 42/36/22 Blend
54$985,000$985,000$985,000$985,000
55$1,089,185$1,036,980$1,021,713$1,127,779
56$1,137,742$1,025,252$993,400$1,143,881
57$1,189,281$1,010,979$962,168$1,155,378
58$1,244,045$993,975$927,859$1,166,641
59$1,302,299$974,041$890,303$1,177,678
60$1,364,333$950,968$849,328$1,188,507
61$1,430,464$924,534$804,749$1,199,148
62$1,501,040$894,505$756,377$1,209,631
63$1,576,442$860,632$704,011$1,219,993
64$1,657,087$822,651$647,444$1,230,280
65$1,743,433$780,284$586,456$1,240,549
66$1,835,982$733,236$520,821$1,250,871
67$1,935,285$681,197$450,301$1,261,328
68$2,041,946$623,838$374,648$1,272,020
69$2,156,627$560,809$293,602$1,283,064
70$2,280,058$491,744$206,893$1,294,596
71$2,413,038$416,253$114,237$1,306,775
72$2,556,445$333,926$15,341$1,319,787
73$2,711,243$244,330$0$1,333,843
74$2,878,493$147,005$0$1,370,362
75$3,059,360$41,469$0$1,413,670
76$3,255,124$0$0$1,460,563
77$3,467,193$0$0$1,540,321
78$3,697,114$0$0$1,644,708
79$3,946,590$0$0$1,758,082
80$4,217,491$0$0$1,881,306
81$4,511,878$0$0$2,015,333
82$4,832,015$0$0$2,161,207
83$5,180,393$0$0$2,320,080
84$5,559,754$0$0$2,493,219
85$5,973,115$0$0$2,682,017
86$6,423,797$0$0$2,888,010
87$6,915,453$0$0$3,112,884
88$7,452,106$0$0$3,358,501
89$8,038,182$0$0$3,626,906
90$8,678,556$0$0$3,920,351
91$9,378,593$0$0$4,241,319
92$10,144,201$0$0$4,592,540
93$10,981,884$0$0$4,977,021
94$11,898,804$0$0$5,398,075
95$12,902,849$0$0$5,859,348
96$14,002,703$0$0$6,364,857
97$15,207,930$0$0$6,919,026
98$16,529,064$0$0$7,526,725
99$17,977,707$0$0$8,193,322
100$19,566,636$0$0$8,924,726