Can I retire at age 56 with 1,960,000?

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 $1,960,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.6%
1 years$161,855$160,413$159,007$157,634$156,293$154,597
2 years$80,126$78,634$77,188$75,785$74,425$72,717
3 years$52,887$51,388$49,946$48,556$47,218$45,552
4 years$39,270$37,776$36,348$34,982$33,677$32,064
5 years$31,102$29,617$28,207$26,870$25,600$24,047
6 years$25,658$24,184$22,796$21,488$20,257$18,764
7 years$21,771$20,310$18,943$17,666$16,474$15,043
8 years$18,858$17,409$16,065$14,820$13,667$12,297
9 years$16,593$15,158$13,837$12,623$11,510$10,200
10 years$14,782$13,361$12,064$10,881$9,807$8,557
11 years$13,301$11,894$10,621$9,470$8,434$7,244
12 years$12,068$10,676$9,425$8,307$7,309$6,176
13 years$11,025$9,648$8,421$7,333$6,373$5,297
14 years$10,132$8,770$7,566$6,510$5,587$4,565
15 years$9,359$8,011$6,831$5,806$4,919$3,951
16 years$8,684$7,350$6,194$5,198$4,348$3,431
17 years$8,088$6,769$5,636$4,671$3,855$2,988
18 years$7,559$6,255$5,145$4,209$3,428$2,609
19 years$7,086$5,797$4,710$3,803$3,055$2,283
20 years$6,661$5,387$4,323$3,445$2,729$2,001
21 years$6,278$5,018$3,976$3,126$2,442$1,757
22 years$5,929$4,684$3,664$2,842$2,189$1,545
23 years$5,611$4,381$3,383$2,589$1,965$1,360
24 years$5,320$4,104$3,129$2,361$1,766$1,198
25 years$5,053$3,852$2,898$2,156$1,589$1,057
26 years$4,807$3,620$2,688$1,972$1,431$933
27 years$4,579$3,407$2,496$1,805$1,291$824
28 years$4,368$3,210$2,320$1,653$1,165$729
29 years$4,172$3,029$2,159$1,516$1,052$644
30 years$3,990$2,860$2,011$1,392$950$570
31 years$3,819$2,704$1,875$1,278$859$505
32 years$3,660$2,558$1,749$1,174$777$447
33 years$3,510$2,423$1,633$1,080$703$396
34 years$3,370$2,296$1,526$994$637$351
35 years$3,237$2,178$1,427$915$577$311
36 years$3,113$2,067$1,335$843$522$276
37 years$2,995$1,963$1,249$776$474$244
38 years$2,884$1,866$1,170$715$429$217
39 years$2,779$1,774$1,096$660$389$192
40 years$2,680$1,688$1,027$608$353$171
41 years$2,585$1,607$963$561$320$151
42 years$2,495$1,530$904$518$291$134
43 years$2,410$1,458$848$478$264$119
44 years$2,329$1,390$796$442$239$106
45 years$2,251$1,325$747$408$217$94
46 years$2,178$1,264$702$377$197$83
47 years$2,107$1,207$660$348$179$74
48 years$2,040$1,152$620$322$163$66
49 years$1,975$1,100$583$297$148$58
50 years$1,914$1,051$548$275$134$52

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $1,960,000, adding $4,589 every year, while hoping to spend $56,436 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: 47/25/28 Blend
55$1,960,000$1,960,000$1,960,000$1,960,000
56$2,164,654$2,060,774$2,030,394$2,248,824
57$2,325,401$2,101,704$2,038,364$2,349,629
58$2,500,653$2,142,749$2,044,711$2,453,131
59$2,691,829$2,183,853$2,049,318$2,564,398
60$2,900,493$2,224,959$2,052,068$2,684,189
61$3,128,365$2,266,004$2,052,834$2,813,343
62$3,377,338$2,306,918$2,051,484$2,952,785
63$3,649,498$2,347,629$2,047,880$3,103,534
64$3,947,140$2,388,055$2,041,877$3,266,718
65$4,272,791$2,428,113$2,033,323$3,443,579
66$4,629,235$2,467,709$2,022,058$3,635,488
67$5,019,535$2,506,745$2,007,915$3,843,959
68$5,447,067$2,545,115$1,990,719$4,070,660
69$5,915,546$2,582,704$1,970,287$4,317,435
70$6,429,066$2,619,391$1,946,425$4,586,314
71$6,992,134$2,655,044$1,918,934$4,879,541
72$7,609,715$2,689,525$1,887,602$5,199,590
73$8,287,277$2,722,683$1,852,208$5,549,190
74$9,030,844$2,754,359$1,812,522$5,931,352
75$9,847,051$2,784,383$1,768,301$6,349,397
76$10,743,204$2,812,572$1,719,294$6,806,992
77$11,727,356$2,838,733$1,665,235$7,308,178
78$12,808,374$2,862,658$1,605,848$7,857,414
79$13,996,027$2,884,128$1,540,843$8,459,619
80$15,301,080$2,902,908$1,469,919$9,120,219
81$16,735,387$2,918,748$1,392,758$9,845,198
82$18,312,012$2,931,382$1,309,031$10,641,157
83$20,045,346$2,940,528$1,218,392$11,515,375
84$21,951,243$2,945,886$1,120,481$12,475,882
85$24,047,172$2,947,137$1,014,919$13,531,532
86$26,352,378$2,943,941$901,313$14,692,090
87$28,888,066$2,935,939$779,252$15,968,327
88$31,677,597$2,922,749$648,306$17,372,119
89$34,746,714$2,903,966$508,026$18,916,561
90$38,123,778$2,879,159$357,944$20,616,096
91$41,840,038$2,847,873$197,570$22,486,648
92$45,929,928$2,809,624$26,395$24,545,778
93$50,431,386$2,763,901$0$26,812,847
94$55,386,216$2,710,160$0$29,355,894
95$60,840,479$2,647,828$0$32,163,219
96$66,844,930$2,576,294$0$35,253,054
97$73,455,496$2,494,915$0$38,654,195
98$80,733,799$2,403,008$0$42,398,379
99$88,747,743$2,299,852$0$46,520,585
100$97,572,151$2,184,683$0$51,059,367