Can I retire at age 40 with 1,050,000?

Use the below retirement simulation to view the chances of a successful retirement.
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 $1,050,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.7%
1 years$86,708$85,936$85,182$84,447$83,728$80,790
2 years$42,925$42,125$41,351$40,599$39,871$36,941
3 years$28,332$27,529$26,757$26,012$25,296$22,467
4 years$21,037$20,237$19,472$18,740$18,041$15,335
5 years$16,662$15,866$15,111$14,394$13,715$11,138
6 years$13,745$12,956$12,212$11,511$10,852$8,407
7 years$11,663$10,880$10,148$9,464$8,825$6,512
8 years$10,102$9,326$8,606$7,939$7,322$5,137
9 years$8,889$8,120$7,413$6,762$6,166$4,108
10 years$7,919$7,158$6,463$5,829$5,254$3,318
11 years$7,125$6,372$5,690$5,073$4,518$2,702
12 years$6,465$5,719$5,049$4,450$3,915$2,214
13 years$5,906$5,168$4,511$3,929$3,414$1,823
14 years$5,428$4,698$4,053$3,487$2,993$1,507
15 years$5,014$4,292$3,660$3,110$2,635$1,250
16 years$4,652$3,938$3,318$2,785$2,329$1,040
17 years$4,333$3,626$3,019$2,502$2,065$866
18 years$4,049$3,351$2,756$2,255$1,836$723
19 years$3,796$3,106$2,523$2,037$1,637$605
20 years$3,569$2,886$2,316$1,845$1,462$506
21 years$3,363$2,688$2,130$1,675$1,308$424
22 years$3,176$2,509$1,963$1,523$1,173$356
23 years$3,006$2,347$1,813$1,387$1,053$299
24 years$2,850$2,199$1,676$1,265$946$251
25 years$2,707$2,063$1,553$1,155$851$211
26 years$2,575$1,939$1,440$1,056$767$177
27 years$2,453$1,825$1,337$967$691$149
28 years$2,340$1,720$1,243$886$624$125
29 years$2,235$1,622$1,157$812$563$105
30 years$2,137$1,532$1,077$745$509$89
31 years$2,046$1,448$1,004$685$460$75
32 years$1,961$1,371$937$629$416$63
33 years$1,880$1,298$875$579$377$53
34 years$1,805$1,230$818$532$341$45
35 years$1,734$1,167$764$490$309$38
36 years$1,668$1,107$715$451$280$32
37 years$1,605$1,052$669$416$254$27
38 years$1,545$1,000$627$383$230$22
39 years$1,489$951$587$353$209$19
40 years$1,436$904$550$326$189$16
41 years$1,385$861$516$301$172$13
42 years$1,337$820$484$278$156$11
43 years$1,291$781$454$256$141$10
44 years$1,248$745$426$237$128$8
45 years$1,206$710$400$218$116$7
46 years$1,167$677$376$202$106$6
47 years$1,129$646$353$186$96$5
48 years$1,093$617$332$172$87$4
49 years$1,058$589$312$159$79$3
50 years$1,025$563$293$147$72$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,050,000, adding $4,124 every year, while hoping to spend $23,704 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: 49/38/13 Blend
39$1,050,000$1,050,000$1,050,000$1,050,000
40$1,161,354$1,105,704$1,089,429$1,213,923
41$1,254,591$1,134,663$1,100,704$1,279,478
42$1,356,544$1,164,246$1,111,562$1,347,840
43$1,468,077$1,194,459$1,121,965$1,421,567
44$1,590,141$1,225,307$1,131,870$1,501,168
45$1,723,783$1,256,795$1,141,236$1,587,206
46$1,870,157$1,288,927$1,150,016$1,680,299
47$2,030,534$1,321,705$1,158,162$1,781,127
48$2,206,313$1,355,133$1,165,625$1,890,441
49$2,399,033$1,389,211$1,172,350$2,009,066
50$2,610,393$1,423,941$1,178,282$2,137,912
51$2,842,262$1,459,322$1,183,363$2,277,979
52$3,096,698$1,495,354$1,187,531$2,430,372
53$3,375,968$1,532,034$1,190,721$2,596,304
54$3,682,572$1,569,359$1,192,865$2,777,114
55$4,019,260$1,607,323$1,193,892$2,974,277
56$4,389,064$1,645,922$1,193,727$3,189,417
57$4,795,323$1,685,146$1,192,291$3,424,324
58$5,241,716$1,724,988$1,189,502$3,680,970
59$5,732,295$1,765,436$1,185,274$3,961,526
60$6,271,524$1,806,478$1,179,516$4,268,386
61$6,864,322$1,848,098$1,172,133$4,604,189
62$7,516,109$1,890,281$1,163,025$4,971,840
63$8,232,854$1,933,007$1,152,089$5,374,541
64$9,021,135$1,976,254$1,139,214$5,815,821
65$9,888,200$2,019,999$1,124,286$6,299,569
66$10,842,033$2,064,216$1,107,187$6,830,070
67$11,891,432$2,108,874$1,087,789$7,412,046
68$13,046,090$2,153,941$1,065,962$8,050,700
69$14,316,688$2,199,381$1,041,568$8,751,767
70$15,714,994$2,245,154$1,014,464$9,521,567
71$17,253,974$2,291,217$984,499$10,367,063
72$18,947,915$2,337,522$951,516$11,295,932
73$20,812,560$2,384,019$915,350$12,316,630
74$22,865,257$2,430,651$875,829$13,438,480
75$25,125,117$2,477,357$832,774$14,671,754
76$27,613,202$2,524,071$785,995$16,027,773
77$30,352,720$2,570,722$735,297$17,519,014
78$33,369,243$2,617,232$680,475$19,159,227
79$36,690,948$2,663,519$621,313$20,963,565
80$40,348,885$2,709,492$557,587$22,948,730
81$44,377,268$2,755,054$489,064$25,133,127
82$48,813,800$2,800,102$415,498$27,537,039
83$53,700,025$2,844,525$336,634$30,182,821
84$59,081,722$2,888,201$252,206$33,095,110
85$65,009,337$2,931,002$161,934$36,301,057
86$71,538,460$2,972,791$65,529$39,830,585
87$78,730,345$3,013,421$0$43,716,671
88$86,652,494$3,052,732$0$48,000,841
89$95,379,289$3,090,557$0$52,728,004
90$104,992,697$3,126,714$0$57,933,249
91$115,583,041$3,161,012$0$63,665,272
92$127,249,855$3,193,245$0$69,977,737
93$140,102,819$3,223,194$0$76,929,782
94$154,262,801$3,250,625$0$84,586,579
95$169,862,991$3,275,289$0$93,019,948
96$187,050,159$3,296,921$0$102,309,037
97$205,986,044$3,315,239$0$112,541,070
98$226,848,877$3,329,943$0$123,812,167
99$249,835,066$3,340,714$0$136,228,257
100$275,161,046$3,347,211$0$149,906,075