QuantCalcRetire AtAge 62

How Much Do I Need to Retire at 62?

About 25.0× your annual spending — $1,500,000 for a $60,000/yr lifestyle over a 30-year retirement.

≈ $1,500,000 for a $60,000/yr lifestyle Retiring at 62 means planning for about a 30-year retirement (to age 92). That supports a 4.0% safe withdrawal rate, so you need roughly 25.0× your annual spending — before counting Social Security.

Retire age: 62 Planning horizon: 30 yrs Safe withdrawal rate: 4.0% Nest egg multiple: 25.0×

The number for retiring at 62, by spending level

Because a retirement starting at 62 runs about 30 years, we use a horizon-adjusted withdrawal rate of 4.0% (the 4% rule is calibrated for ~30 years; a 30-year retirement uses 4.0% to hold the same risk). Divide your annual spending by that rate to get the portfolio you need:

Annual spendingMultiplePortfolio needed at 62
$40,00025.0×$1,000,000
$60,00025.0×$1,500,000
$80,00025.0×$2,000,000
$100,00025.0×$2,500,000

These are portfolio-only targets — they assume your investments fund 100% of spending. In reality Social Security, a pension, or part-time income covers part of it, lowering the number. The opposite also applies: healthcare before Medicare and higher early-retirement spending can raise it.

What's specific about retiring at 62

At 62 you can tap IRAs and 401(k)s penalty-free (past 59½), but Medicare doesn't start until 65 — the gap years mean ACA Marketplace coverage, where keeping MAGI under the subsidy cliff materially lowers your premiums.

Run a Monte Carlo for retiring at 62

A flat withdrawal rate ignores sequence-of-returns risk. This simulation runs thousands of market paths from age 62 to 92 and reports your real success probability. Computed in your browser.

Three things that move the 62 number most

  1. Sequence of returns. A market drop in your first few years of withdrawals does far more damage than the same drop later. See the sequence-of-returns calculator.
  2. Healthcare before 65. Retiring at 62 means 3 years of bridge coverage before Medicare — usually ACA Marketplace, where the subsidy cliff is a real planning lever. See the ACA cliff optimizer.
  3. Tax location of your savings. A $1M traditional 401(k) is worth less after tax than $1M in Roth. Use the gap years before Social Security and Medicare for Roth conversions.

Find your real retire-at-62 number

Free 10,000-path Monte Carlo with taxes, Social Security timing, ACA cliff, and sequence-of-returns risk — in your browser, no signup.

Run a free simulation →

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FAQ

How much money do I need to retire at 62?

A 30-year retirement (to age 92) supports a safe withdrawal rate of about 4.0%, so you need roughly 25.0 times your annual spending. For $60,000/yr that is about $1,500,000; for $100,000/yr it is about $2,500,000. These figures are before Social Security, which reduces the portfolio you need to fund yourself.

What withdrawal rate is safe if I retire at 62?

Retiring at 62 implies roughly a 30-year horizon. The classic 4% rule was built for about 30 years, so a 30-year retirement uses about 4.0% to keep the same depletion risk. Longer retirements need a lower rate; shorter ones can sustain a higher one.

Can I access my 401(k) at 62 without penalty?

At 62 you can tap IRAs and 401(k)s penalty-free (past 59½), but Medicare doesn't start until 65 — the gap years mean ACA Marketplace coverage, where keeping MAGI under the subsidy cliff materially lowers your premiums.

Does Social Security change how much I need to retire at 62?

Yes — every dollar of Social Security is a dollar your portfolio doesn't have to produce. The multiples above fund your full spending from the portfolio alone; once benefits start, the portfolio only needs to cover the gap, lowering your target. Delaying Social Security raises the benefit about 8% per year up to age 70.

How does inflation affect the number?

The safe-withdrawal-rate approach already assumes you raise withdrawals with inflation each year, and the rate is chosen to survive historical inflation and market sequences. The bigger risk is a bad return sequence in the first decade — which is why a Monte Carlo simulation (below) is more honest than a flat rule.

Last updated 2026-06-02. Multiples use a horizon-adjusted safe withdrawal rate anchored to the 4% rule at 30 years and a planning horizon to age 92. Figures are portfolio-only and exclude Social Security and pensions. Educational only, not financial advice.