Can I retire at age 56 with 1,230,000?

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 $1,230,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.9%
1 years$101,572$100,667$99,785$98,923$98,082$97,301
2 years$50,283$49,347$48,439$47,559$46,706$45,918
3 years$33,189$32,249$31,343$30,472$29,632$28,863
4 years$24,644$23,706$22,810$21,953$21,134$20,389
5 years$19,518$18,586$17,701$16,862$16,066$15,347
6 years$16,102$15,177$14,305$13,485$12,712$12,020
7 years$13,663$12,745$11,888$11,087$10,338$9,674
8 years$11,834$10,925$10,082$9,300$8,577$7,940
9 years$10,413$9,512$8,683$7,922$7,223$6,613
10 years$9,276$8,385$7,570$6,829$6,154$5,571
11 years$8,347$7,464$6,665$5,943$5,293$4,737
12 years$7,573$6,700$5,915$5,213$4,587$4,056
13 years$6,919$6,055$5,285$4,602$4,000$3,495
14 years$6,359$5,503$4,748$4,085$3,506$3,026
15 years$5,873$5,027$4,287$3,643$3,087$2,631
16 years$5,449$4,613$3,887$3,262$2,728$2,296
17 years$5,076$4,248$3,537$2,931$2,419$2,009
18 years$4,744$3,925$3,229$2,641$2,151$1,763
19 years$4,447$3,638$2,956$2,387$1,917$1,550
20 years$4,180$3,381$2,713$2,162$1,712$1,366
21 years$3,939$3,149$2,495$1,962$1,532$1,206
22 years$3,721$2,939$2,300$1,784$1,374$1,066
23 years$3,521$2,749$2,123$1,625$1,233$943
24 years$3,339$2,576$1,964$1,482$1,108$836
25 years$3,171$2,417$1,819$1,353$997$741
26 years$3,017$2,272$1,687$1,237$898$658
27 years$2,874$2,138$1,566$1,132$810$584
28 years$2,741$2,015$1,456$1,038$731$519
29 years$2,618$1,901$1,355$951$660$462
30 years$2,504$1,795$1,262$873$596$411
31 years$2,397$1,697$1,177$802$539$366
32 years$2,297$1,606$1,098$737$488$326
33 years$2,203$1,520$1,025$678$441$290
34 years$2,115$1,441$958$624$400$259
35 years$2,032$1,367$895$574$362$231
36 years$1,954$1,297$838$529$328$206
37 years$1,880$1,232$784$487$297$184
38 years$1,810$1,171$734$449$269$164
39 years$1,744$1,113$688$414$244$146
40 years$1,682$1,059$645$382$222$130
41 years$1,622$1,008$605$352$201$116
42 years$1,566$960$567$325$182$104
43 years$1,512$915$532$300$166$93
44 years$1,461$872$500$277$150$83
45 years$1,413$832$469$256$136$74
46 years$1,366$793$441$236$124$66
47 years$1,322$757$414$218$112$59
48 years$1,280$723$389$202$102$53
49 years$1,240$690$366$187$93$47
50 years$1,201$659$344$172$84$42

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $1,230,000, adding $5,720 every year, while hoping to spend $50,362 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: 48/40/12 Blend
55$1,230,000$1,230,000$1,230,000$1,230,000
56$1,361,360$1,296,170$1,277,105$1,421,936
57$1,446,634$1,306,098$1,266,303$1,474,186
58$1,538,918$1,314,824$1,253,452$1,525,191
59$1,638,874$1,322,236$1,238,429$1,579,437
60$1,747,229$1,328,216$1,221,106$1,637,244
61$1,864,785$1,332,637$1,201,351$1,698,965
62$1,992,420$1,335,363$1,179,023$1,764,992
63$2,131,102$1,336,251$1,153,977$1,835,760
64$2,281,897$1,335,150$1,126,057$1,911,747
65$2,445,976$1,331,898$1,095,106$1,993,488
66$2,624,628$1,326,324$1,060,954$2,081,570
67$2,819,271$1,318,244$1,023,427$2,176,646
68$3,031,466$1,307,468$982,341$2,279,438
69$3,262,931$1,293,789$937,505$2,390,746
70$3,515,556$1,276,990$888,717$2,511,453
71$3,791,422$1,256,843$835,769$2,642,538
72$4,092,822$1,233,102$778,442$2,785,084
73$4,422,276$1,205,511$716,506$2,940,289
74$4,782,562$1,173,795$649,723$3,109,476
75$5,176,738$1,137,665$577,843$3,294,113
76$5,608,170$1,096,815$500,605$3,495,817
77$6,080,565$1,050,921$417,737$3,716,382
78$6,598,006$999,639$328,955$3,957,786
79$7,164,988$942,607$233,960$4,222,220
80$7,786,463$879,441$132,444$4,512,104
81$8,467,884$809,736$24,083$4,830,111
82$9,215,256$733,061$0$5,179,196
83$10,035,196$648,964$0$5,574,349
84$10,934,989$556,967$0$6,011,507
85$11,922,661$456,561$0$6,491,615
86$13,007,053$347,213$0$7,019,126
87$14,197,904$228,358$0$7,598,953
88$15,505,942$99,400$0$8,236,522
89$16,942,985$0$0$8,937,818
90$18,522,053$0$0$9,727,185
91$20,257,488$0$0$10,642,949
92$22,165,093$0$0$11,649,713
93$24,262,276$0$0$12,756,685
94$26,568,216$0$0$13,974,007
95$29,104,045$0$0$15,312,854
96$31,893,043$0$0$16,785,538
97$34,960,861$0$0$18,405,626
98$38,335,760$0$0$20,188,064
99$42,048,879$0$0$22,149,320
100$46,134,527$0$0$24,307,539