Can I retire at age 62 with 550,000?

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 $550,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.4%
1 years$45,418$45,014$44,619$44,234$43,858$42,885
2 years$22,484$22,066$21,660$21,266$20,885$19,909
3 years$14,841$14,420$14,015$13,626$13,250$12,303
4 years$11,020$10,600$10,200$9,816$9,450$8,538
5 years$8,728$8,311$7,915$7,540$7,184$6,310
6 years$7,200$6,786$6,397$6,030$5,684$4,850
7 years$6,109$5,699$5,316$4,957$4,623$3,828
8 years$5,292$4,885$4,508$4,159$3,835$3,079
9 years$4,656$4,254$3,883$3,542$3,230$2,512
10 years$4,148$3,749$3,385$3,053$2,752$2,071
11 years$3,732$3,338$2,980$2,657$2,367$1,723
12 years$3,386$2,996$2,645$2,331$2,051$1,443
13 years$3,094$2,707$2,363$2,058$1,788$1,215
14 years$2,843$2,461$2,123$1,827$1,568$1,027
15 years$2,626$2,248$1,917$1,629$1,380$872
16 years$2,437$2,063$1,738$1,459$1,220$743
17 years$2,270$1,900$1,582$1,311$1,082$634
18 years$2,121$1,755$1,444$1,181$962$543
19 years$1,989$1,627$1,322$1,067$857$465
20 years$1,869$1,512$1,213$967$766$399
21 years$1,762$1,408$1,116$877$685$343
22 years$1,664$1,314$1,028$798$614$295
23 years$1,575$1,229$949$726$551$254
24 years$1,493$1,152$878$663$496$219
25 years$1,418$1,081$813$605$446$189
26 years$1,349$1,016$754$553$402$163
27 years$1,285$956$700$506$362$141
28 years$1,226$901$651$464$327$122
29 years$1,171$850$606$425$295$105
30 years$1,120$803$564$390$267$91
31 years$1,072$759$526$359$241$79
32 years$1,027$718$491$330$218$68
33 years$985$680$458$303$197$59
34 years$946$644$428$279$179$51
35 years$908$611$400$257$162$44
36 years$874$580$375$236$147$38
37 years$841$551$351$218$133$33
38 years$809$524$328$201$120$29
39 years$780$498$308$185$109$25
40 years$752$474$288$171$99$22
41 years$725$451$270$158$90$19
42 years$700$429$254$145$82$16
43 years$676$409$238$134$74$14
44 years$653$390$223$124$67$12
45 years$632$372$210$114$61$11
46 years$611$355$197$106$55$9
47 years$591$339$185$98$50$8
48 years$572$323$174$90$46$7
49 years$554$309$163$83$41$6
50 years$537$295$154$77$38$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 62 starting with $550,000, adding $3,721 every year, while hoping to spend $41,315 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: 58/26/16 Blend
61$550,000$550,000$550,000$550,000
62$609,938$580,788$572,263$642,585
63$628,193$565,288$547,475$649,619
64$646,925$547,644$520,472$652,422
65$666,140$527,706$491,136$654,524
66$685,841$505,319$459,344$655,867
67$706,032$480,314$424,967$656,386
68$726,714$452,517$387,871$656,011
69$747,890$421,741$347,915$654,669
70$769,557$387,789$304,953$652,283
71$791,714$350,453$258,831$648,768
72$814,357$309,513$209,389$644,035
73$837,478$264,736$156,461$637,990
74$861,069$215,877$99,871$630,531
75$885,120$162,676$39,438$621,550
76$909,614$104,859$0$610,932
77$934,534$42,137$0$602,831
78$959,859$0$0$600,301
79$985,562$0$0$603,878
80$1,011,612$0$0$619,707
81$1,037,973$0$0$635,710
82$1,064,603$0$0$651,858
83$1,091,453$0$0$668,119
84$1,118,468$0$0$684,456
85$1,145,581$0$0$700,828
86$1,172,721$0$0$717,186
87$1,199,803$0$0$733,476
88$1,226,733$0$0$749,636
89$1,253,403$0$0$765,598
90$1,279,692$0$0$781,281
91$1,305,463$0$0$796,599
92$1,330,563$0$0$811,451
93$1,354,819$0$0$825,726
94$1,378,038$0$0$839,301
95$1,400,005$0$0$852,034
96$1,420,476$0$0$863,770
97$1,439,181$0$0$874,335
98$1,455,820$0$0$883,536
99$1,470,057$0$0$891,156
100$1,481,516$0$0$896,954