Can I retire at age 56 with 1,260,000?

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 $1,260,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.6%
1 years$104,050$103,123$102,219$101,336$100,474$96,986
2 years$51,510$50,550$49,621$48,719$47,845$44,367
3 years$33,999$33,035$32,108$31,215$30,355$26,996
4 years$25,245$24,284$23,366$22,489$21,649$18,436
5 years$19,994$19,039$18,133$17,273$16,457$13,397
6 years$16,495$15,547$14,654$13,814$13,022$10,118
7 years$13,996$13,056$12,178$11,357$10,591$7,841
8 years$12,123$11,192$10,328$9,527$8,786$6,190
9 years$10,667$9,744$8,895$8,115$7,399$4,952
10 years$9,502$8,589$7,755$6,995$6,304$4,003
11 years$8,551$7,646$6,827$6,088$5,422$3,262
12 years$7,758$6,863$6,059$5,340$4,699$2,675
13 years$7,088$6,202$5,414$4,714$4,097$2,204
14 years$6,514$5,638$4,864$4,185$3,592$1,823
15 years$6,017$5,150$4,392$3,732$3,162$1,513
16 years$5,582$4,725$3,982$3,342$2,795$1,259
17 years$5,199$4,352$3,623$3,003$2,478$1,050
18 years$4,859$4,021$3,307$2,706$2,203$878
19 years$4,555$3,727$3,028$2,445$1,964$734
20 years$4,282$3,463$2,779$2,214$1,754$615
21 years$4,036$3,226$2,556$2,010$1,570$516
22 years$3,811$3,011$2,356$1,827$1,407$433
23 years$3,607$2,816$2,175$1,664$1,263$364
24 years$3,420$2,639$2,012$1,518$1,135$306
25 years$3,248$2,476$1,863$1,386$1,022$257
26 years$3,090$2,327$1,728$1,267$920$216
27 years$2,944$2,190$1,605$1,160$830$182
28 years$2,808$2,064$1,492$1,063$749$153
29 years$2,682$1,947$1,388$975$676$129
30 years$2,565$1,839$1,293$895$611$109
31 years$2,455$1,738$1,205$822$552$92
32 years$2,353$1,645$1,125$755$500$77
33 years$2,256$1,558$1,050$694$452$65
34 years$2,166$1,476$981$639$409$55
35 years$2,081$1,400$917$588$371$46
36 years$2,001$1,329$858$542$336$39
37 years$1,926$1,262$803$499$304$33
38 years$1,854$1,200$752$460$276$28
39 years$1,787$1,141$705$424$250$23
40 years$1,723$1,085$660$391$227$20
41 years$1,662$1,033$619$361$206$17
42 years$1,604$984$581$333$187$14
43 years$1,549$937$545$307$170$12
44 years$1,497$894$512$284$154$10
45 years$1,447$852$480$262$140$8
46 years$1,400$813$451$242$127$7
47 years$1,355$776$424$224$115$6
48 years$1,311$740$398$207$105$5
49 years$1,270$707$374$191$95$4
50 years$1,230$675$352$177$86$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $1,260,000, adding $4,403 every year, while hoping to spend $43,567 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: 61/28/11 Blend
55$1,260,000$1,260,000$1,260,000$1,260,000
56$1,393,062$1,326,282$1,306,752$1,474,196
57$1,488,799$1,344,915$1,304,173$1,547,785
58$1,592,841$1,363,000$1,300,048$1,622,683
59$1,705,990$1,380,466$1,294,278$1,703,338
60$1,829,126$1,397,234$1,286,761$1,790,307
61$1,963,219$1,413,221$1,277,390$1,884,205
62$2,109,337$1,428,338$1,266,052$1,985,711
63$2,268,654$1,442,491$1,252,629$2,095,574
64$2,442,462$1,455,579$1,236,998$2,214,619
65$2,632,185$1,467,493$1,219,029$2,343,755
66$2,839,387$1,478,120$1,198,586$2,483,987
67$3,065,794$1,487,338$1,175,528$2,636,422
68$3,313,304$1,495,016$1,149,707$2,802,281
69$3,584,006$1,501,016$1,120,967$2,982,911
70$3,880,200$1,505,192$1,089,145$3,179,797
71$4,204,422$1,507,387$1,054,073$3,394,576
72$4,559,459$1,507,436$1,015,571$3,629,056
73$4,948,386$1,505,162$973,454$3,885,230
74$5,374,584$1,500,378$927,528$4,165,294
75$5,841,781$1,492,886$877,589$4,471,672
76$6,354,080$1,482,475$823,426$4,807,037
77$6,916,002$1,468,922$764,816$5,174,338
78$7,532,524$1,451,989$701,528$5,576,824
79$8,209,131$1,431,426$633,318$6,018,082
80$8,951,863$1,406,966$559,935$6,502,064
81$9,767,374$1,378,328$481,114$7,033,132
82$10,662,993$1,345,213$396,578$7,616,093
83$11,646,794$1,307,305$306,040$8,256,249
84$12,727,673$1,264,269$209,198$8,959,448
85$13,915,429$1,215,751$105,738$9,732,137
86$15,220,855$1,161,375$0$10,581,425
87$16,655,846$1,100,746$0$11,515,700
88$18,233,503$1,033,444$0$12,556,339
89$19,968,262$959,024$0$13,700,490
90$21,876,028$877,019$0$14,958,708
91$23,974,322$786,932$0$16,342,624
92$26,282,450$688,240$0$17,865,064
93$28,821,685$580,388$0$19,540,162
94$31,615,461$462,792$0$21,383,503
95$34,689,603$334,833$0$23,412,261
96$38,072,562$195,860$0$25,645,373
97$41,795,688$45,182$0$28,103,710
98$45,893,525$0$0$30,810,277
99$50,404,133$0$0$33,826,770
100$55,369,452$0$0$37,162,796