Can I retire at age 56 with 1,600,000?

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 $1,600,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.2%
1 years$132,127$130,950$129,801$128,681$127,586$126,412
2 years$65,409$64,191$63,010$61,866$60,755$59,572
3 years$43,173$41,950$40,772$39,638$38,546$37,390
4 years$32,057$30,837$29,671$28,557$27,491$26,372
5 years$25,389$24,177$23,026$21,934$20,898$19,820
6 years$20,945$19,742$18,609$17,541$16,536$15,499
7 years$17,773$16,579$15,464$14,422$13,448$12,453
8 years$15,394$14,212$13,115$12,098$11,157$10,203
9 years$13,545$12,374$11,296$10,305$9,396$8,483
10 years$12,067$10,907$9,848$8,883$8,005$7,134
11 years$10,858$9,710$8,670$7,731$6,885$6,054
12 years$9,851$8,715$7,694$6,781$5,966$5,175
13 years$9,000$7,876$6,874$5,986$5,203$4,450
14 years$8,271$7,159$6,177$5,314$4,561$3,845
15 years$7,640$6,540$5,577$4,739$4,016$3,337
16 years$7,089$6,000$5,056$4,243$3,549$2,906
17 years$6,602$5,526$4,601$3,813$3,147$2,538
18 years$6,171$5,106$4,200$3,436$2,798$2,222
19 years$5,785$4,732$3,845$3,105$2,494$1,950
20 years$5,438$4,398$3,529$2,812$2,228$1,714
21 years$5,124$4,096$3,246$2,552$1,993$1,510
22 years$4,840$3,824$2,991$2,320$1,787$1,331
23 years$4,581$3,576$2,762$2,113$1,604$1,175
24 years$4,343$3,351$2,554$1,927$1,442$1,039
25 years$4,125$3,144$2,366$1,760$1,297$919
26 years$3,924$2,955$2,194$1,609$1,169$814
27 years$3,738$2,781$2,038$1,473$1,054$721
28 years$3,566$2,621$1,894$1,350$951$640
29 years$3,406$2,472$1,763$1,238$858$568
30 years$3,257$2,335$1,642$1,136$776$504
31 years$3,118$2,207$1,531$1,043$701$447
32 years$2,987$2,088$1,428$959$634$398
33 years$2,865$1,978$1,333$882$574$353
34 years$2,751$1,875$1,246$811$520$314
35 years$2,643$1,778$1,165$747$471$279
36 years$2,541$1,688$1,090$688$427$249
37 years$2,445$1,603$1,020$634$387$221
38 years$2,355$1,523$955$584$350$197
39 years$2,269$1,448$895$539$318$175
40 years$2,187$1,378$839$497$288$156
41 years$2,110$1,312$786$458$262$139
42 years$2,037$1,249$738$423$237$124
43 years$1,967$1,190$692$390$215$110
44 years$1,901$1,135$650$361$195$98
45 years$1,838$1,082$610$333$177$87
46 years$1,778$1,032$573$308$161$78
47 years$1,720$985$538$284$146$69
48 years$1,665$940$506$263$133$62
49 years$1,612$898$476$243$121$55
50 years$1,562$858$447$224$110$49

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $1,600,000, adding $5,153 every year, while hoping to spend $31,243 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: 42/49/9 Blend
55$1,600,000$1,600,000$1,600,000$1,600,000
56$1,768,515$1,683,715$1,658,915$1,837,919
57$1,915,662$1,732,975$1,681,247$1,936,115
58$2,076,770$1,783,601$1,703,279$2,038,827
59$2,253,231$1,835,628$1,724,969$2,149,336
60$2,446,576$1,889,090$1,746,272$2,268,363
61$2,658,494$1,944,023$1,767,139$2,396,704
62$2,890,842$2,000,462$1,787,520$2,535,233
63$3,145,667$2,058,443$1,807,361$2,684,910
64$3,425,223$2,118,004$1,826,605$2,846,793
65$3,731,992$2,179,183$1,845,193$3,022,044
66$4,068,709$2,242,018$1,863,061$3,211,944
67$4,438,388$2,306,547$1,880,144$3,417,900
68$4,844,346$2,372,810$1,896,371$3,641,463
69$5,290,239$2,440,847$1,911,669$3,884,337
70$5,780,093$2,510,699$1,925,960$4,148,402
71$6,318,346$2,582,406$1,939,163$4,435,722
72$6,909,884$2,656,011$1,951,191$4,748,575
73$7,560,091$2,731,554$1,961,956$5,089,465
74$8,274,900$2,809,080$1,971,360$5,461,151
75$9,060,845$2,888,630$1,979,306$5,866,670
76$9,925,126$2,970,248$1,985,688$6,309,368
77$10,875,677$3,053,978$1,990,396$6,792,928
78$11,921,236$3,139,863$1,993,315$7,321,409
79$13,071,434$3,227,948$1,994,323$7,899,277
80$14,336,881$3,318,278$1,993,293$8,531,456
81$15,729,266$3,410,897$1,990,092$9,223,366
82$17,261,470$3,505,850$1,984,579$9,980,980
83$18,947,686$3,603,182$1,976,608$10,810,875
84$20,803,550$3,702,938$1,966,025$11,720,298
85$22,846,293$3,805,163$1,952,667$12,717,232
86$25,094,900$3,909,902$1,936,367$13,810,473
87$27,570,292$4,017,199$1,916,947$15,009,708
88$30,295,518$4,127,098$1,894,221$16,325,612
89$33,295,979$4,239,643$1,867,995$17,769,947
90$36,599,661$4,354,878$1,838,066$19,355,669
91$40,237,405$4,472,846$1,804,220$21,097,055
92$44,243,194$4,593,589$1,766,234$23,009,833
93$48,654,472$4,717,147$1,723,876$25,111,336
94$53,512,503$4,843,562$1,676,900$27,420,659
95$58,862,753$4,972,872$1,625,052$29,958,844
96$64,755,327$5,105,115$1,568,064$32,749,074
97$71,245,433$5,240,329$1,505,657$35,816,896
98$78,393,910$5,378,547$1,437,538$39,190,460
99$86,267,796$5,519,804$1,363,404$42,900,782
100$94,940,967$5,664,130$1,282,933$46,982,042