Can I retire at age 56 with 1,020,000?

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 $1,020,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.3%
1 years$84,231$83,480$82,748$82,034$81,336$80,891
2 years$41,698$40,922$40,169$39,439$38,732$38,283
3 years$27,523$26,743$25,992$25,269$24,573$24,134
4 years$20,436$19,659$18,916$18,205$17,526$17,100
5 years$16,186$15,413$14,679$13,983$13,323$12,912
6 years$13,353$12,586$11,863$11,182$10,542$10,146
7 years$11,330$10,569$9,858$9,194$8,573$8,192
8 years$9,814$9,060$8,361$7,712$7,112$6,747
9 years$8,635$7,888$7,201$6,569$5,990$5,639
10 years$7,692$6,953$6,278$5,663$5,103$4,768
11 years$6,922$6,190$5,527$4,928$4,389$4,068
12 years$6,280$5,556$4,905$4,323$3,804$3,497
13 years$5,738$5,021$4,382$3,816$3,317$3,025
14 years$5,273$4,564$3,938$3,388$2,907$2,629
15 years$4,871$4,169$3,555$3,021$2,560$2,295
16 years$4,519$3,825$3,223$2,705$2,262$2,011
17 years$4,209$3,523$2,933$2,431$2,006$1,767
18 years$3,934$3,255$2,677$2,190$1,784$1,557
19 years$3,688$3,017$2,451$1,979$1,590$1,375
20 years$3,467$2,803$2,249$1,793$1,420$1,217
21 years$3,267$2,611$2,069$1,627$1,271$1,079
22 years$3,085$2,438$1,907$1,479$1,139$958
23 years$2,920$2,280$1,761$1,347$1,023$852
24 years$2,769$2,136$1,628$1,229$919$758
25 years$2,630$2,005$1,508$1,122$827$675
26 years$2,502$1,884$1,399$1,026$745$602
27 years$2,383$1,773$1,299$939$672$538
28 years$2,273$1,671$1,208$860$606$480
29 years$2,171$1,576$1,124$789$547$429
30 years$2,076$1,488$1,047$724$494$384
31 years$1,988$1,407$976$665$447$343
32 years$1,905$1,331$910$611$404$307
33 years$1,827$1,261$850$562$366$275
34 years$1,754$1,195$794$517$331$246
35 years$1,685$1,133$743$476$300$221
36 years$1,620$1,076$695$438$272$198
37 years$1,559$1,022$650$404$246$177
38 years$1,501$971$609$372$223$159
39 years$1,446$923$570$343$203$143
40 years$1,395$879$535$317$184$128
41 years$1,345$836$501$292$167$115
42 years$1,299$796$470$270$151$103
43 years$1,254$759$441$249$137$92
44 years$1,212$723$414$230$125$83
45 years$1,172$690$389$212$113$75
46 years$1,133$658$365$196$103$67
47 years$1,097$628$343$181$93$60
48 years$1,061$599$323$167$85$54
49 years$1,028$572$303$155$77$48
50 years$996$547$285$143$70$43

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $1,020,000, adding $6,432 every year, while hoping to spend $39,177 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: 64/30/6 Blend
55$1,020,000$1,020,000$1,020,000$1,020,000
56$1,130,675$1,076,615$1,060,805$1,201,489
57$1,204,319$1,087,685$1,054,658$1,260,494
58$1,284,163$1,097,984$1,046,991$1,319,679
59$1,370,796$1,107,434$1,037,714$1,383,290
60$1,464,869$1,115,950$1,026,729$1,451,750
61$1,567,096$1,123,442$1,013,935$1,525,531
62$1,678,263$1,129,814$999,226$1,605,151
63$1,799,237$1,134,966$982,490$1,691,180
64$1,930,968$1,138,788$963,613$1,784,250
65$2,074,504$1,141,166$942,471$1,885,054
66$2,230,998$1,141,978$918,939$1,994,361
67$2,401,719$1,141,094$892,882$2,113,015
68$2,588,063$1,138,376$864,162$2,241,950
69$2,791,567$1,133,678$832,633$2,382,195
70$3,013,923$1,126,845$798,143$2,534,886
71$3,256,995$1,117,712$760,532$2,701,274
72$3,522,833$1,106,104$719,635$2,882,741
73$3,813,696$1,091,837$675,276$3,080,812
74$4,132,070$1,074,713$627,275$3,297,166
75$4,480,693$1,054,527$575,441$3,533,659
76$4,862,581$1,031,056$519,576$3,792,334
77$5,281,055$1,004,068$459,472$4,075,450
78$5,739,772$973,317$394,913$4,385,493
79$6,242,759$938,540$325,674$4,725,208
80$6,794,453$899,461$251,516$5,097,624
81$7,399,741$855,788$172,195$5,506,078
82$8,064,004$807,211$87,453$5,954,254
83$8,793,170$753,402$0$6,446,213
84$9,593,771$694,016$0$6,986,626
85$10,472,999$628,687$0$7,586,229
86$11,438,779$557,027$0$8,244,886
87$12,499,842$478,628$0$8,968,624
88$13,665,803$393,059$0$9,764,091
89$14,947,258$299,862$0$10,638,616
90$16,355,880$198,556$0$11,600,278
91$17,904,527$88,632$0$12,657,988
92$19,607,366$0$0$13,821,568
93$21,480,008$0$0$15,111,899
94$23,539,648$0$0$16,563,341
95$25,805,236$0$0$18,159,995
96$28,297,646$0$0$19,916,585
97$31,039,881$0$0$21,849,331
98$34,057,285$0$0$23,976,107
99$37,377,780$0$0$26,316,606
100$41,032,135$0$0$28,892,526