Can I retire on $500,000?

Yes, $500,000 is a viable retirement amount for many people. Using the 4% rule, it provides $20,000/year. Combined with average Social Security ($21,600/year), that's $41,600/year - comfortable in many US cities. In low-cost areas or abroad, $500k can fund a very comfortable retirement.

How long will $500,000 last at age 55?

At 55, you have 7-12 years before Social Security. At $4,000/month expenses, $500k lasts 10+ years without returns, bridging you to Social Security. With modest 4% returns, it lasts much longer. This is a solid early retirement number for frugal individuals.

Is $500,000 enough to retire at 60?

Generally yes. At 60, Social Security is 2-7 years away. $500k using the 4% rule provides $20k/year, plus Social Security at 62+ adds $15-25k/year. Total income of $35-45k/year is comfortable in most areas. Healthcare before Medicare (65) is your biggest expense to plan for.

What is the 4% rule for $500,000?

The 4% rule states you can withdraw 4% of your portfolio annually and likely never run out over 30 years. For $500,000, that's $20,000/year or $1,667/month. This assumes a balanced stock/bond portfolio and adjusting withdrawals for inflation annually.

Amount Calculator$500,000

How Long Will $500,000 Last in Retirement?

$500,000 is a major retirement milestone. Using the 4% safe withdrawal rate, $500k can provide $20,000/year indefinitely without depleting principal. At $5,000/month expenses, $500k lasts about 8+ years even without returns. Combined with Social Security, this can fund a comfortable 30+ year retirement.