Can I retire at age 40 with 1,060,000?

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 $1,060,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.2%
1 years$87,534$86,754$85,993$85,251$84,526$84,099
2 years$43,334$42,527$41,744$40,986$40,250$39,820
3 years$28,602$27,792$27,011$26,260$25,537$25,115
4 years$21,238$20,430$19,657$18,919$18,213$17,804
5 years$16,820$16,017$15,255$14,532$13,845$13,450
6 years$13,876$13,079$12,328$11,621$10,955$10,575
7 years$11,774$10,984$10,245$9,554$8,909$8,543
8 years$10,199$9,415$8,688$8,015$7,391$7,040
9 years$8,974$8,198$7,483$6,827$6,225$5,888
10 years$7,994$7,226$6,524$5,885$5,304$4,981
11 years$7,193$6,433$5,744$5,122$4,561$4,253
12 years$6,526$5,774$5,097$4,492$3,953$3,658
13 years$5,963$5,218$4,554$3,966$3,447$3,166
14 years$5,480$4,743$4,092$3,521$3,021$2,754
15 years$5,062$4,333$3,695$3,140$2,660$2,406
16 years$4,696$3,975$3,350$2,811$2,351$2,109
17 years$4,374$3,661$3,048$2,526$2,085$1,855
18 years$4,088$3,383$2,782$2,276$1,854$1,636
19 years$3,832$3,135$2,547$2,057$1,652$1,446
20 years$3,603$2,913$2,338$1,863$1,476$1,280
21 years$3,395$2,714$2,150$1,691$1,321$1,136
22 years$3,206$2,533$1,982$1,537$1,184$1,009
23 years$3,035$2,369$1,830$1,400$1,063$898
24 years$2,877$2,220$1,692$1,277$955$800
25 years$2,733$2,083$1,567$1,166$859$713
26 years$2,600$1,958$1,454$1,066$774$636
27 years$2,477$1,843$1,350$976$698$568
28 years$2,363$1,736$1,255$894$630$508
29 years$2,256$1,638$1,168$820$569$454
30 years$2,158$1,547$1,088$753$514$407
31 years$2,065$1,462$1,014$691$465$364
32 years$1,979$1,384$946$635$420$326
33 years$1,898$1,310$883$584$380$292
34 years$1,822$1,242$825$537$344$262
35 years$1,751$1,178$772$495$312$235
36 years$1,684$1,118$722$456$283$211
37 years$1,620$1,062$676$420$256$189
38 years$1,560$1,009$633$387$232$170
39 years$1,503$960$593$357$211$152
40 years$1,449$913$556$329$191$137
41 years$1,398$869$521$304$173$123
42 years$1,350$828$489$280$157$110
43 years$1,303$789$459$259$143$99
44 years$1,259$752$430$239$130$89
45 years$1,218$717$404$221$118$80
46 years$1,178$684$380$204$107$72
47 years$1,140$653$357$188$97$65
48 years$1,103$623$335$174$88$58
49 years$1,068$595$315$161$80$52
50 years$1,035$568$296$149$73$47

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,060,000, adding $4,933 every year, while hoping to spend $36,609 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: 39/41/20 Blend
39$1,060,000$1,060,000$1,060,000$1,060,000
40$1,173,208$1,117,028$1,100,598$1,211,799
41$1,253,924$1,132,811$1,098,517$1,255,779
42$1,341,646$1,148,140$1,095,138$1,299,456
43$1,437,049$1,162,955$1,090,381$1,345,931
44$1,540,878$1,177,190$1,084,159$1,395,478
45$1,653,951$1,190,776$1,076,382$1,448,400
46$1,777,169$1,203,638$1,066,955$1,505,032
47$1,911,522$1,215,698$1,055,780$1,565,747
48$2,058,101$1,226,871$1,042,753$1,630,954
49$2,218,107$1,237,067$1,027,764$1,701,110
50$2,392,861$1,246,190$1,010,701$1,776,717
51$2,583,817$1,254,139$991,445$1,858,333
52$2,792,578$1,260,803$969,870$1,946,572
53$3,020,907$1,266,068$945,846$2,042,117
54$3,270,745$1,269,811$919,238$2,145,721
55$3,544,231$1,271,901$889,901$2,258,217
56$3,843,717$1,272,200$857,688$2,380,527
57$4,171,798$1,270,559$822,443$2,513,668
58$4,531,328$1,266,823$784,001$2,658,768
59$4,925,450$1,260,824$742,192$2,817,071
60$5,357,630$1,252,388$696,838$2,989,952
61$5,831,679$1,241,326$647,754$3,178,933
62$6,351,800$1,227,441$594,743$3,385,694
63$6,922,620$1,210,522$537,604$3,612,090
64$7,549,236$1,190,346$476,122$3,860,173
65$8,237,263$1,166,678$410,077$4,132,209
66$8,992,886$1,139,267$339,237$4,430,701
67$9,822,918$1,107,849$263,359$4,758,413
68$10,734,866$1,072,144$182,191$5,118,398
69$11,736,997$1,031,854$95,470$5,514,029
70$12,838,422$986,666$2,919$5,949,029
71$14,049,175$936,247$0$6,427,509
72$15,380,315$880,247$0$6,974,462
73$16,844,022$818,294$0$7,576,438
74$18,453,717$749,995$0$8,238,414
75$20,224,186$674,935$0$8,966,566
76$22,171,721$592,675$0$9,767,704
77$24,314,272$502,751$0$10,649,345
78$26,671,615$404,674$0$11,619,777
79$29,265,543$297,925$0$12,688,142
80$32,120,063$181,958$0$13,864,523
81$35,261,632$56,197$0$15,160,041
82$38,719,398$0$0$16,586,962
83$42,525,481$0$0$18,194,891
84$46,715,270$0$0$19,993,005
85$51,327,762$0$0$21,972,706
86$56,405,925$0$0$24,152,461
87$61,997,107$0$0$26,552,614
88$68,153,479$0$0$29,195,586
89$74,932,531$0$0$32,106,081
90$82,397,608$0$0$35,311,322
91$90,618,516$0$0$38,841,305
92$99,672,170$0$0$42,729,087
93$109,643,331$0$0$47,011,089
94$120,625,395$0$0$51,727,451
95$132,721,280$0$0$56,922,400
96$146,044,397$0$0$62,644,675
97$160,719,716$0$0$68,947,982
98$176,884,949$0$0$75,891,502
99$194,691,849$0$0$83,540,453
100$214,307,639$0$0$91,966,700