Can I retire at age 56 with 485,000?

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 $485,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.2%
1 years$40,051$39,694$39,346$39,006$38,675$37,542
2 years$19,827$19,458$19,100$18,753$18,416$17,284
3 years$13,087$12,716$12,359$12,015$11,684$10,588
4 years$9,717$9,348$8,994$8,656$8,333$7,282
5 years$7,696$7,329$6,980$6,649$6,335$5,331
6 years$6,349$5,984$5,641$5,317$5,013$4,057
7 years$5,387$5,026$4,687$4,372$4,077$3,169
8 years$4,666$4,308$3,975$3,667$3,382$2,523
9 years$4,106$3,751$3,424$3,124$2,848$2,036
10 years$3,658$3,306$2,985$2,693$2,427$1,660
11 years$3,291$2,943$2,628$2,343$2,087$1,365
12 years$2,986$2,642$2,332$2,055$1,809$1,130
13 years$2,728$2,387$2,084$1,815$1,577$940
14 years$2,507$2,170$1,872$1,611$1,382$785
15 years$2,316$1,982$1,690$1,437$1,217$658
16 years$2,149$1,819$1,533$1,286$1,076$553
17 years$2,001$1,675$1,395$1,156$954$466
18 years$1,870$1,548$1,273$1,042$848$394
19 years$1,753$1,434$1,165$941$756$333
20 years$1,648$1,333$1,070$852$675$282
21 years$1,553$1,242$984$774$604$239
22 years$1,467$1,159$907$703$542$203
23 years$1,388$1,084$837$641$486$172
24 years$1,317$1,016$774$584$437$146
25 years$1,250$953$717$534$393$124
26 years$1,189$896$665$488$354$106
27 years$1,133$843$618$447$319$90
28 years$1,081$794$574$409$288$77
29 years$1,032$749$534$375$260$65
30 years$987$708$498$344$235$56
31 years$945$669$464$316$213$47
32 years$906$633$433$291$192$40
33 years$869$600$404$267$174$34
34 years$834$568$378$246$158$29
35 years$801$539$353$226$143$25
36 years$770$512$330$208$129$21
37 years$741$486$309$192$117$18
38 years$714$462$290$177$106$16
39 years$688$439$271$163$96$13
40 years$663$418$254$151$87$11
41 years$640$398$238$139$79$10
42 years$617$379$224$128$72$8
43 years$596$361$210$118$65$7
44 years$576$344$197$109$59$6
45 years$557$328$185$101$54$5
46 years$539$313$174$93$49$4
47 years$521$299$163$86$44$4
48 years$505$285$153$80$40$3
49 years$489$272$144$74$37$3
50 years$474$260$136$68$33$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $485,000, adding $6,530 every year, while hoping to spend $37,070 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$485,000$485,000$485,000$485,000
56$541,206$515,501$507,983$562,244
57$556,966$501,318$485,558$563,389
58$573,092$485,198$461,140$560,382
59$589,582$467,007$434,622$556,286
60$606,431$446,602$405,894$551,017
61$623,635$423,833$374,839$544,483
62$641,188$398,543$341,338$536,590
63$659,080$370,563$305,264$527,235
64$677,300$339,715$266,485$516,309
65$695,836$305,811$224,863$503,698
66$714,669$268,655$180,254$489,278
67$733,782$228,035$132,509$472,918
68$753,149$183,730$81,470$454,480
69$772,745$135,507$26,973$433,816
70$792,536$83,118$0$410,768
71$812,487$26,303$0$388,162
72$832,555$0$0$365,786
73$852,691$0$0$359,860
74$872,841$0$0$368,090
75$892,941$0$0$376,262
76$912,920$0$0$384,343
77$932,697$0$0$392,294
78$952,181$0$0$400,071
79$971,269$0$0$407,625
80$989,846$0$0$414,903
81$1,007,783$0$0$421,843
82$1,024,934$0$0$428,376
83$1,041,136$0$0$434,426
84$1,056,209$0$0$439,908
85$1,069,948$0$0$444,725
86$1,082,128$0$0$448,772
87$1,092,497$0$0$451,931
88$1,100,772$0$0$454,069
89$1,106,643$0$0$455,040
90$1,109,760$0$0$454,682
91$1,109,737$0$0$452,815
92$1,106,146$0$0$449,237
93$1,098,510$0$0$443,727
94$1,086,301$0$0$436,037
95$1,068,932$0$0$425,896
96$1,045,754$0$0$412,999
97$1,016,047$0$0$397,013
98$979,015$0$0$377,565
99$933,774$0$0$354,246
100$879,348$0$0$326,600