Can I retire at age 56?

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 $1,000,000

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
1%2%3%4%5%6%7%8%9%10%
1 years$82,954$82,579$82,209$81,843$81,482$81,126$80,774$80,425$80,081$79,741
2 years$41,271$40,881$40,497$40,119$39,748$39,381$39,021$38,666$38,316$37,972
3 years$27,377$26,983$26,597$26,218$25,847$25,482$25,125$24,774$24,429$24,091
4 years$20,430$20,036$19,650$19,273$18,905$18,545$18,192$17,848$17,511$17,182
5 years$16,262$15,868$15,484$15,111$14,746$14,391$14,046$13,709$13,381$13,061
6 years$13,484$13,091$12,709$12,339$11,979$11,630$11,292$10,963$10,644$10,335
7 years$11,500$11,108$10,729$10,362$10,008$9,665$9,334$9,013$8,704$8,405
8 years$10,012$9,621$9,245$8,882$8,533$8,197$7,873$7,561$7,261$6,973
9 years$8,855$8,466$8,092$7,734$7,390$7,060$6,743$6,440$6,150$5,872
10 years$7,929$7,542$7,171$6,817$6,478$6,155$5,846$5,552$5,271$5,003
11 years$7,172$6,786$6,419$6,069$5,735$5,419$5,118$4,832$4,560$4,303
12 years$6,541$6,157$5,793$5,447$5,119$4,809$4,515$4,238$3,976$3,729
13 years$6,007$5,625$5,264$4,922$4,600$4,296$4,010$3,742$3,489$3,252
14 years$5,550$5,170$4,811$4,474$4,158$3,860$3,582$3,321$3,078$2,850
15 years$5,153$4,775$4,420$4,087$3,776$3,485$3,214$2,962$2,727$2,510
16 years$4,807$4,430$4,078$3,750$3,444$3,160$2,896$2,652$2,426$2,218
17 years$4,501$4,126$3,778$3,454$3,153$2,875$2,619$2,383$2,166$1,967
18 years$4,229$3,857$3,511$3,191$2,896$2,625$2,376$2,148$1,939$1,749
19 years$3,986$3,615$3,273$2,958$2,668$2,403$2,161$1,940$1,740$1,559
20 years$3,767$3,399$3,059$2,748$2,464$2,205$1,970$1,757$1,565$1,392
21 years$3,570$3,203$2,867$2,560$2,281$2,029$1,800$1,595$1,411$1,246
22 years$3,390$3,025$2,692$2,390$2,116$1,870$1,648$1,450$1,274$1,117
23 years$3,226$2,863$2,533$2,235$1,967$1,726$1,512$1,321$1,152$1,002
24 years$3,075$2,714$2,388$2,094$1,831$1,596$1,388$1,205$1,043$901
25 years$2,937$2,578$2,255$1,965$1,707$1,479$1,277$1,100$945$811
26 years$2,810$2,453$2,132$1,847$1,594$1,371$1,176$1,006$858$730
27 years$2,691$2,336$2,019$1,738$1,490$1,273$1,084$921$780$658
28 years$2,582$2,229$1,915$1,638$1,395$1,184$1,001$844$709$594
29 years$2,480$2,129$1,818$1,545$1,307$1,102$925$774$645$537
30 years$2,385$2,036$1,728$1,459$1,226$1,026$855$710$588$485

Sample Expected Returns by Investment Class

Person retiring at age 56 starting with $1,000,000, adding $5,245 every year, while hoping to spend $71,306 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: 50/30/20 Blend
55$1,000,000$1,000,000$1,000,000$1,000,000
56$1,107,410$1,054,410$1,038,910$1,156,357
57$1,144,497$1,030,207$997,845$1,166,572
58$1,182,977$1,002,429$953,014$1,169,938
59$1,222,916$970,823$904,215$1,172,091
60$1,264,387$935,127$851,240$1,172,941
61$1,307,465$895,058$793,867$1,172,399
62$1,352,231$850,321$731,866$1,170,366
63$1,398,772$800,601$664,997$1,166,744
64$1,447,182$745,565$593,010$1,161,427
65$1,497,561$684,864$515,642$1,154,306
66$1,550,015$618,125$432,619$1,145,266
67$1,604,660$544,957$343,655$1,134,190
68$1,661,621$464,945$248,453$1,120,952
69$1,721,029$377,651$146,699$1,105,426
70$1,783,030$282,611$38,069$1,087,477
71$1,847,778$179,339$0$1,066,967
72$1,915,442$67,316$0$1,060,368
73$1,986,201$0$0$1,060,667
74$2,060,253$0$0$1,077,484
75$2,137,809$0$0$1,118,400
76$2,219,099$0$0$1,161,315
77$2,304,372$0$0$1,206,366
78$2,393,899$0$0$1,253,701
79$2,487,975$0$0$1,303,478
80$2,586,918$0$0$1,355,873
81$2,691,075$0$0$1,411,074
82$2,800,826$0$0$1,469,288
83$2,916,583$0$0$1,530,740
84$3,038,794$0$0$1,595,674
85$3,167,949$0$0$1,664,360
86$3,304,582$0$0$1,737,088
87$3,449,278$0$0$1,814,177
88$3,602,673$0$0$1,895,977
89$3,765,463$0$0$1,982,868
90$3,938,411$0$0$2,075,267
91$4,122,348$0$0$2,173,631
92$4,318,188$0$0$2,278,458
93$4,526,926$0$0$2,390,296
94$4,749,657$0$0$2,509,743
95$4,987,578$0$0$2,637,457
96$5,242,000$0$0$2,774,157
97$5,514,363$0$0$2,920,631
98$5,806,243$0$0$3,077,747
99$6,119,372$0$0$3,246,454
100$6,455,648$0$0$3,427,795

Retirement Simulation By Amount