Can I retire at age 62 with 425,000?

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 $425,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.7%
1 years$35,096$34,783$34,478$34,181$33,890$32,964
2 years$17,374$17,051$16,737$16,433$16,138$15,212
3 years$11,468$11,143$10,830$10,529$10,239$9,341
4 years$8,515$8,191$7,881$7,585$7,302$6,441
5 years$6,744$6,422$6,116$5,826$5,551$4,727
6 years$5,564$5,244$4,943$4,659$4,392$3,608
7 years$4,721$4,404$4,108$3,831$3,572$2,826
8 years$4,089$3,775$3,484$3,213$2,963$2,256
9 years$3,598$3,287$3,000$2,737$2,496$1,826
10 years$3,205$2,897$2,616$2,359$2,126$1,494
11 years$2,884$2,579$2,303$2,053$1,829$1,232
12 years$2,617$2,315$2,044$1,801$1,585$1,023
13 years$2,391$2,092$1,826$1,590$1,382$854
14 years$2,197$1,902$1,641$1,412$1,211$716
15 years$2,029$1,737$1,481$1,259$1,067$602
16 years$1,883$1,594$1,343$1,127$943$508
17 years$1,754$1,468$1,222$1,013$836$430
18 years$1,639$1,356$1,116$913$743$364
19 years$1,537$1,257$1,021$825$662$309
20 years$1,444$1,168$937$747$592$263
21 years$1,361$1,088$862$678$530$224
22 years$1,286$1,016$795$616$475$191
23 years$1,217$950$734$561$426$162
24 years$1,154$890$679$512$383$139
25 years$1,096$835$628$468$345$118
26 years$1,042$785$583$428$310$101
27 years$993$739$541$391$280$86
28 years$947$696$503$359$253$74
29 years$905$657$468$329$228$63
30 years$865$620$436$302$206$54
31 years$828$586$407$277$186$46
32 years$794$555$379$255$168$40
33 years$761$525$354$234$152$34
34 years$731$498$331$215$138$29
35 years$702$472$309$198$125$25
36 years$675$448$289$183$113$21
37 years$650$426$271$168$103$18
38 years$625$405$254$155$93$16
39 years$603$385$238$143$84$13
40 years$581$366$223$132$77$11
41 years$561$348$209$122$69$10
42 years$541$332$196$112$63$8
43 years$523$316$184$104$57$7
44 years$505$301$173$96$52$6
45 years$488$287$162$88$47$5
46 years$472$274$152$82$43$5
47 years$457$262$143$75$39$4
48 years$442$250$134$70$35$3
49 years$428$239$126$64$32$3
50 years$415$228$119$60$29$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 62 starting with $425,000, adding $5,955 every year, while hoping to spend $26,285 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: 44/48/8 Blend
61$425,000$425,000$425,000$425,000
62$474,493$451,968$445,380$494,034
63$494,924$446,147$432,333$502,356
64$516,558$439,160$417,968$508,203
65$539,490$430,922$402,214$513,936
66$563,824$421,343$384,994$519,555
67$589,673$410,328$366,230$525,060
68$617,162$397,776$345,841$530,453
69$646,425$383,580$323,739$535,740
70$677,613$367,628$299,837$540,929
71$710,886$349,799$274,038$546,030
72$746,425$329,967$246,247$551,059
73$784,424$307,999$216,360$556,035
74$825,098$283,754$184,270$560,981
75$868,681$257,081$149,867$565,927
76$915,432$227,823$113,032$570,908
77$965,632$195,813$73,646$575,969
78$1,019,594$160,874$31,579$581,160
79$1,077,656$122,821$0$586,542
80$1,140,194$81,456$0$593,322
81$1,207,618$36,572$0$603,397
82$1,280,380$0$0$614,178
83$1,358,975$0$0$632,152
84$1,443,949$0$0$672,510
85$1,535,901$0$0$716,225
86$1,635,489$0$0$763,616
87$1,743,436$0$0$815,031
88$1,860,541$0$0$870,858
89$1,987,677$0$0$931,518
90$2,125,807$0$0$997,478
91$2,275,992$0$0$1,069,251
92$2,439,396$0$0$1,147,401
93$2,617,302$0$0$1,232,549
94$2,811,120$0$0$1,325,377
95$3,022,404$0$0$1,426,637
96$3,252,862$0$0$1,537,157
97$3,504,375$0$0$1,657,848
98$3,779,014$0$0$1,789,713
99$4,079,058$0$0$1,933,854
100$4,407,015$0$0$2,091,488