Can I retire at age 62 with 400,000?

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 $400,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.9%
1 years$33,032$32,737$32,450$32,170$31,897$31,643
2 years$16,352$16,048$15,753$15,466$15,189$14,933
3 years$10,793$10,487$10,193$9,909$9,636$9,386
4 years$8,014$7,709$7,418$7,139$6,873$6,630
5 years$6,347$6,044$5,757$5,484$5,225$4,991
6 years$5,236$4,936$4,652$4,385$4,134$3,909
7 years$4,443$4,145$3,866$3,605$3,362$3,146
8 years$3,849$3,553$3,279$3,024$2,789$2,582
9 years$3,386$3,093$2,824$2,576$2,349$2,151
10 years$3,017$2,727$2,462$2,221$2,001$1,812
11 years$2,714$2,427$2,167$1,933$1,721$1,540
12 years$2,463$2,179$1,924$1,695$1,492$1,319
13 years$2,250$1,969$1,719$1,497$1,301$1,137
14 years$2,068$1,790$1,544$1,329$1,140$984
15 years$1,910$1,635$1,394$1,185$1,004$856
16 years$1,772$1,500$1,264$1,061$887$747
17 years$1,651$1,381$1,150$953$787$653
18 years$1,543$1,277$1,050$859$699$573
19 years$1,446$1,183$961$776$623$504
20 years$1,359$1,099$882$703$557$444
21 years$1,281$1,024$811$638$498$392
22 years$1,210$956$748$580$447$347
23 years$1,145$894$690$528$401$307
24 years$1,086$838$639$482$360$272
25 years$1,031$786$591$440$324$241
26 years$981$739$549$402$292$214
27 years$935$695$509$368$263$190
28 years$892$655$474$337$238$169
29 years$852$618$441$309$215$150
30 years$814$584$410$284$194$134
31 years$779$552$383$261$175$119
32 years$747$522$357$240$159$106
33 years$716$494$333$220$144$94
34 years$688$469$311$203$130$84
35 years$661$444$291$187$118$75
36 years$635$422$272$172$107$67
37 years$611$401$255$158$97$60
38 years$589$381$239$146$88$53
39 years$567$362$224$135$79$48
40 years$547$345$210$124$72$42
41 years$528$328$197$115$65$38
42 years$509$312$184$106$59$34
43 years$492$298$173$98$54$30
44 years$475$284$162$90$49$27
45 years$459$270$153$83$44$24
46 years$444$258$143$77$40$21
47 years$430$246$135$71$37$19
48 years$416$235$126$66$33$17
49 years$403$224$119$61$30$15
50 years$391$214$112$56$27$14

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 62 starting with $400,000, adding $4,532 every year, while hoping to spend $26,502 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: 41/44/15 Blend
61$400,000$400,000$400,000$400,000
62$445,475$424,275$418,075$461,595
63$462,715$416,866$403,882$466,014
64$480,826$408,207$388,326$467,849
65$499,868$398,206$371,333$469,265
66$519,907$386,771$352,825$470,236
67$541,015$373,800$332,722$470,737
68$563,271$359,189$310,941$470,740
69$586,760$342,824$287,392$470,220
70$611,574$324,587$261,985$469,149
71$637,816$304,354$234,623$467,500
72$665,596$281,990$205,206$465,247
73$695,036$257,356$173,629$462,364
74$726,267$230,305$139,783$458,824
75$759,435$200,678$103,554$454,605
76$794,697$168,310$64,823$449,681
77$832,226$133,028$23,464$444,032
78$872,212$94,645$0$437,637
79$914,862$52,968$0$433,789
80$960,404$7,789$0$433,387
81$1,009,086$0$0$432,683
82$1,061,182$0$0$451,598
83$1,116,989$0$0$475,936
84$1,176,838$0$0$502,071
85$1,241,088$0$0$530,166
86$1,310,133$0$0$560,399
87$1,384,409$0$0$592,965
88$1,464,391$0$0$628,077
89$1,550,602$0$0$665,972
90$1,643,618$0$0$706,908
91$1,744,069$0$0$751,169
92$1,852,650$0$0$799,067
93$1,970,122$0$0$850,947
94$2,097,324$0$0$907,185
95$2,235,178$0$0$968,196
96$2,384,696$0$0$1,034,438
97$2,546,994$0$0$1,106,412
98$2,723,296$0$0$1,184,672
99$2,914,951$0$0$1,269,823
100$3,123,442$0$0$1,362,537