Can I retire at age 56 with 490,000?

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 $490,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.8%
1 years$40,464$40,103$39,752$39,408$39,073$38,458
2 years$20,032$19,658$19,297$18,946$18,606$17,988
3 years$13,222$12,847$12,486$12,139$11,805$11,202
4 years$9,817$9,444$9,087$8,746$8,419$7,838
5 years$7,775$7,404$7,052$6,717$6,400$5,841
6 years$6,415$6,046$5,699$5,372$5,064$4,528
7 years$5,443$5,077$4,736$4,417$4,119$3,606
8 years$4,714$4,352$4,016$3,705$3,417$2,928
9 years$4,148$3,789$3,459$3,156$2,877$2,411
10 years$3,695$3,340$3,016$2,720$2,452$2,008
11 years$3,325$2,974$2,655$2,368$2,109$1,687
12 years$3,017$2,669$2,356$2,077$1,827$1,428
13 years$2,756$2,412$2,105$1,833$1,593$1,215
14 years$2,533$2,192$1,892$1,627$1,397$1,039
15 years$2,340$2,003$1,708$1,451$1,230$892
16 years$2,171$1,838$1,548$1,300$1,087$768
17 years$2,022$1,692$1,409$1,168$964$663
18 years$1,890$1,564$1,286$1,052$857$574
19 years$1,772$1,449$1,177$951$764$498
20 years$1,665$1,347$1,081$861$682$433
21 years$1,569$1,254$994$782$610$376
22 years$1,482$1,171$916$711$547$328
23 years$1,403$1,095$846$647$491$286
24 years$1,330$1,026$782$590$442$250
25 years$1,263$963$725$539$397$218
26 years$1,202$905$672$493$358$191
27 years$1,145$852$624$451$323$167
28 years$1,092$803$580$413$291$146
29 years$1,043$757$540$379$263$128
30 years$997$715$503$348$238$112
31 years$955$676$469$319$215$98
32 years$915$640$437$294$194$86
33 years$878$606$408$270$176$76
34 years$842$574$382$248$159$66
35 years$809$544$357$229$144$58
36 years$778$517$334$211$131$51
37 years$749$491$312$194$118$45
38 years$721$466$292$179$107$39
39 years$695$444$274$165$97$35
40 years$670$422$257$152$88$30
41 years$646$402$241$140$80$27
42 years$624$383$226$130$73$23
43 years$603$365$212$120$66$21
44 years$582$347$199$110$60$18
45 years$563$331$187$102$54$16
46 years$544$316$175$94$49$14
47 years$527$302$165$87$45$12
48 years$510$288$155$80$41$11
49 years$494$275$146$74$37$9
50 years$478$263$137$69$34$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $490,000, adding $5,814 every year, while hoping to spend $20,879 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: 46/36/18 Blend
55$490,000$490,000$490,000$490,000
56$545,977$520,007$512,412$568,043
57$579,452$523,272$507,363$587,297
58$615,641$525,998$501,445$605,620
59$654,800$528,135$494,606$625,056
60$697,208$529,632$486,794$645,718
61$743,174$530,435$477,953$667,732
62$793,036$530,485$468,023$691,236
63$847,167$529,720$456,943$716,384
64$905,977$528,075$444,649$743,346
65$969,915$525,480$431,074$772,314
66$1,039,479$521,860$416,147$803,497
67$1,115,213$517,139$399,795$837,128
68$1,197,718$511,231$381,941$873,467
69$1,287,653$504,050$362,505$912,799
70$1,385,747$495,502$341,402$955,442
71$1,492,800$485,488$318,545$1,001,749
72$1,609,691$473,903$293,842$1,052,110
73$1,737,391$460,635$267,197$1,106,955
74$1,876,967$445,569$238,510$1,166,764
75$2,029,594$428,578$207,677$1,232,065
76$2,196,567$409,532$174,588$1,303,445
77$2,379,309$388,291$139,129$1,381,551
78$2,579,389$364,708$101,180$1,467,103
79$2,798,535$338,628$60,619$1,560,892
80$3,038,650$309,885$17,314$1,663,799
81$3,301,829$278,305$0$1,776,793
82$3,590,378$243,705$0$1,906,499
83$3,906,841$205,891$0$2,052,464
84$4,254,015$164,656$0$2,212,701
85$4,634,984$119,783$0$2,388,690
86$5,053,144$71,045$0$2,582,065
87$5,512,237$18,198$0$2,794,633
88$6,016,383$0$0$3,028,385
89$6,570,121$0$0$3,300,974
90$7,178,453$0$0$3,608,419
91$7,846,887$0$0$3,946,301
92$8,581,493$0$0$4,317,697
93$9,388,957$0$0$4,725,995
94$10,276,645$0$0$5,174,928
95$11,252,672$0$0$5,668,609
96$12,325,981$0$0$6,211,569
97$13,506,421$0$0$6,808,801
98$14,804,846$0$0$7,465,806
99$16,233,215$0$0$8,188,644
100$17,804,704$0$0$8,983,994