Can I retire at age 56 with 7,200,000?

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 $7,200,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.4%
1 years$594,569$589,273$584,106$579,063$574,138$566,026
2 years$294,341$288,859$283,547$278,396$273,399$265,242
3 years$194,278$188,773$183,473$178,371$173,456$165,507
4 years$144,257$138,768$133,522$128,506$123,710$116,031
5 years$114,251$108,796$103,618$98,705$94,042$86,655
6 years$94,255$88,840$83,739$78,935$74,413$67,326
7 years$79,977$74,608$69,587$64,897$60,517$53,734
8 years$69,273$63,953$59,016$54,440$50,205$43,724
9 years$60,953$55,682$50,830$46,371$42,280$36,099
10 years$54,300$49,081$44,315$39,972$36,025$30,138
11 years$48,860$43,694$39,014$34,788$30,982$25,385
12 years$44,331$39,217$34,624$30,514$26,849$21,534
13 years$40,501$35,441$30,934$26,939$23,413$18,373
14 years$37,221$32,215$27,795$23,913$20,523$15,751
15 years$34,381$29,429$25,095$21,327$18,070$13,557
16 years$31,899$27,000$22,752$19,096$15,971$11,708
17 years$29,711$24,866$20,704$17,157$14,161$10,139
18 years$27,768$22,978$18,900$15,462$12,591$8,802
19 years$26,031$21,296$17,302$13,971$11,223$7,657
20 years$24,471$19,789$15,879$12,654$10,024$6,673
21 years$23,060$18,433$14,605$11,484$8,971$5,824
22 years$21,780$17,206$13,461$10,442$8,041$5,089
23 years$20,613$16,092$12,429$9,509$7,218$4,453
24 years$19,544$15,078$11,495$8,673$6,488$3,899
25 years$18,563$14,150$10,646$7,921$5,838$3,418
26 years$17,658$13,298$9,874$7,242$5,259$2,998
27 years$16,822$12,515$9,169$6,629$4,741$2,631
28 years$16,047$11,793$8,524$6,074$4,278$2,311
29 years$15,327$11,125$7,932$5,570$3,863$2,031
30 years$14,656$10,507$7,388$5,112$3,490$1,785
31 years$14,030$9,932$6,888$4,695$3,156$1,570
32 years$13,444$9,398$6,427$4,314$2,854$1,381
33 years$12,894$8,900$6,000$3,968$2,583$1,215
34 years$12,378$8,435$5,606$3,650$2,339$1,069
35 years$11,893$8,001$5,242$3,360$2,118$942
36 years$11,435$7,594$4,903$3,095$1,919$829
37 years$11,004$7,212$4,590$2,852$1,740$730
38 years$10,596$6,854$4,298$2,628$1,577$643
39 years$10,209$6,518$4,027$2,423$1,430$567
40 years$9,844$6,201$3,774$2,235$1,297$499
41 years$9,496$5,903$3,539$2,062$1,177$440
42 years$9,167$5,622$3,320$1,903$1,068$388
43 years$8,853$5,356$3,115$1,757$969$342
44 years$8,555$5,106$2,924$1,622$880$301
45 years$8,270$4,869$2,746$1,498$799$265
46 years$7,999$4,645$2,579$1,384$725$234
47 years$7,740$4,432$2,423$1,279$658$206
48 years$7,493$4,231$2,277$1,181$598$182
49 years$7,256$4,041$2,140$1,092$543$160
50 years$7,030$3,860$2,012$1,009$493$141

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $7,200,000, adding $4,291 every year, while hoping to spend $40,258 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: 33/46/21 Blend
55$7,200,000$7,200,000$7,200,000$7,200,000
56$7,938,826$7,557,226$7,445,626$8,149,379
57$8,705,752$7,884,696$7,652,220$8,634,123
58$9,549,555$8,226,863$7,864,386$9,152,223
59$10,478,035$8,584,404$8,082,268$9,709,777
60$11,499,784$8,958,029$8,306,013$10,310,287
61$12,624,270$9,348,480$8,535,773$10,957,585
62$13,861,926$9,756,537$8,771,702$11,655,877
63$15,224,248$10,183,012$9,013,959$12,409,768
64$16,723,901$10,628,760$9,262,707$13,224,312
65$18,374,842$11,094,672$9,518,111$14,105,053
66$20,192,451$11,581,686$9,780,342$15,058,070
67$22,193,671$12,090,779$10,049,574$16,090,038
68$24,397,176$12,622,978$10,325,985$17,208,279
69$26,823,541$13,179,356$10,609,759$18,420,834
70$29,495,437$13,761,040$10,901,081$19,736,533
71$32,437,848$14,369,207$11,200,143$21,165,069
72$35,678,301$15,005,091$11,507,141$22,717,093
73$39,247,132$15,669,985$11,822,274$24,404,303
74$43,177,768$16,365,242$12,145,749$26,239,553
75$47,507,043$17,092,281$12,477,774$28,236,968
76$52,275,545$17,852,587$12,818,563$30,412,072
77$57,528,003$18,647,716$13,168,337$32,781,929
78$63,313,702$19,479,297$13,527,319$35,365,298
79$69,686,955$20,349,038$13,895,740$38,182,803
80$76,707,610$21,258,726$14,273,833$41,257,124
81$84,441,618$22,210,236$14,661,838$44,613,200
82$92,961,655$23,205,529$15,060,001$48,278,460
83$102,347,806$24,246,662$15,468,573$52,283,076
84$112,688,322$25,335,788$15,887,810$56,660,235
85$124,080,454$26,475,165$16,317,975$61,446,450
86$136,631,367$27,667,155$16,759,334$66,681,892
87$150,459,157$28,914,236$17,212,162$72,410,762
88$165,693,960$30,219,003$17,676,739$78,681,699
89$182,479,185$31,584,175$18,153,350$85,548,228
90$200,972,862$33,012,600$18,642,288$93,069,257
91$221,349,139$34,507,262$19,143,850$101,309,623
92$243,799,924$36,071,291$19,658,341$110,340,689
93$268,536,693$37,707,961$20,186,073$120,241,011
94$295,792,493$39,420,708$20,727,363$131,097,063
95$325,824,132$41,213,128$21,282,535$143,004,044
96$358,914,615$43,088,993$21,851,921$156,066,762
97$395,375,804$45,052,251$22,435,859$170,400,610
98$435,551,369$47,107,045$23,034,693$186,132,639
99$479,820,030$49,257,711$23,648,777$203,402,745
100$528,599,130$51,508,796$24,278,468$222,364,970