Can I retire at age 56 with 875,000?

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 $875,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.6%
1 years$72,257$71,613$70,985$70,372$69,774$67,621
2 years$35,771$35,104$34,459$33,833$33,226$31,076
3 years$23,610$22,941$22,297$21,677$21,080$19,000
4 years$17,531$16,864$16,227$15,617$15,034$13,041
5 years$13,885$13,222$12,593$11,995$11,429$9,527
6 years$11,455$10,797$10,177$9,593$9,043$7,234
7 years$9,719$9,067$8,457$7,887$7,355$5,639
8 years$8,419$7,772$7,172$6,616$6,101$4,477
9 years$7,407$6,767$6,177$5,635$5,138$3,604
10 years$6,599$5,965$5,385$4,858$4,378$2,932
11 years$5,938$5,310$4,741$4,228$3,765$2,405
12 years$5,387$4,766$4,208$3,708$3,263$1,985
13 years$4,922$4,307$3,759$3,274$2,845$1,647
14 years$4,523$3,915$3,378$2,906$2,494$1,372
15 years$4,178$3,576$3,050$2,592$2,196$1,147
16 years$3,877$3,281$2,765$2,321$1,941$961
17 years$3,611$3,022$2,516$2,085$1,721$808
18 years$3,375$2,792$2,297$1,879$1,530$680
19 years$3,164$2,588$2,103$1,698$1,364$573
20 years$2,974$2,405$1,930$1,538$1,218$484
21 years$2,802$2,240$1,775$1,396$1,090$409
22 years$2,647$2,091$1,636$1,269$977$346
23 years$2,505$1,956$1,510$1,156$877$293
24 years$2,375$1,832$1,397$1,054$788$248
25 years$2,256$1,720$1,294$963$709$210
26 years$2,146$1,616$1,200$880$639$178
27 years$2,044$1,521$1,114$806$576$151
28 years$1,950$1,433$1,036$738$520$128
29 years$1,863$1,352$964$677$469$109
30 years$1,781$1,277$898$621$424$93
31 years$1,705$1,207$837$571$383$79
32 years$1,634$1,142$781$524$347$67
33 years$1,567$1,082$729$482$314$57
34 years$1,504$1,025$681$444$284$48
35 years$1,445$972$637$408$257$41
36 years$1,390$923$596$376$233$35
37 years$1,337$877$558$347$211$30
38 years$1,288$833$522$319$192$25
39 years$1,241$792$489$295$174$21
40 years$1,196$754$459$272$158$18
41 years$1,154$717$430$251$143$15
42 years$1,114$683$403$231$130$13
43 years$1,076$651$379$214$118$11
44 years$1,040$620$355$197$107$10
45 years$1,005$592$334$182$97$8
46 years$972$564$313$168$88$7
47 years$941$539$294$155$80$6
48 years$911$514$277$144$73$5
49 years$882$491$260$133$66$4
50 years$854$469$244$123$60$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $875,000, adding $3,186 every year, while hoping to spend $45,855 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: 39/45/16 Blend
55$875,000$875,000$875,000$875,000
56$967,536$921,161$907,599$1,000,522
57$1,017,436$917,509$889,214$1,020,702
58$1,070,888$912,141$868,676$1,037,848
59$1,128,207$904,924$845,866$1,055,410
60$1,189,737$895,719$820,655$1,073,451
61$1,255,857$884,375$792,914$1,092,039
62$1,326,981$870,736$762,503$1,111,257
63$1,403,565$854,635$729,279$1,131,197
64$1,486,110$835,892$693,091$1,151,966
65$1,575,165$814,323$653,781$1,173,686
66$1,671,333$789,726$611,184$1,196,495
67$1,775,279$761,893$565,129$1,220,551
68$1,887,732$730,600$515,435$1,246,032
69$2,009,493$695,612$461,915$1,273,142
70$2,141,444$656,679$404,372$1,302,108
71$2,284,554$613,540$342,601$1,333,190
72$2,439,889$565,913$276,388$1,366,678
73$2,608,621$513,506$205,510$1,402,901
74$2,792,039$456,007$129,734$1,442,227
75$2,991,561$393,086$48,814$1,485,070
76$3,208,750$324,396$0$1,531,896
77$3,445,321$249,570$0$1,589,633
78$3,703,164$168,220$0$1,661,767
79$3,984,360$79,936$0$1,740,656
80$4,291,198$0$0$1,827,078
81$4,626,196$0$0$1,929,683
82$4,992,129$0$0$2,085,109
83$5,392,050$0$0$2,255,084
84$5,829,321$0$0$2,441,051
85$6,307,642$0$0$2,644,600
86$6,831,091$0$0$2,867,479
87$7,404,153$0$0$3,111,615
88$8,031,770$0$0$3,379,131
89$8,719,385$0$0$3,672,362
90$9,472,990$0$0$3,993,882
91$10,299,187$0$0$4,346,526
92$11,205,243$0$0$4,733,415
93$12,199,167$0$0$5,157,989
94$13,289,778$0$0$5,624,035
95$14,486,789$0$0$6,135,726
96$15,800,901$0$0$6,697,657
97$17,243,901$0$0$7,314,892
98$18,828,773$0$0$7,993,009
99$20,569,821$0$0$8,738,151
100$22,482,802$0$0$9,557,088