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

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 $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%15.6%
1 years$87,534$86,754$85,993$85,251$84,526$82,583
2 years$43,334$42,527$41,744$40,986$40,250$38,304
3 years$28,602$27,792$27,011$26,260$25,537$23,647
4 years$21,238$20,430$19,657$18,919$18,213$16,395
5 years$16,820$16,017$15,255$14,532$13,845$12,104
6 years$13,876$13,079$12,328$11,621$10,955$9,292
7 years$11,774$10,984$10,245$9,554$8,909$7,325
8 years$10,199$9,415$8,688$8,015$7,391$5,885
9 years$8,974$8,198$7,483$6,827$6,225$4,795
10 years$7,994$7,226$6,524$5,885$5,304$3,950
11 years$7,193$6,433$5,744$5,122$4,561$3,281
12 years$6,526$5,774$5,097$4,492$3,953$2,744
13 years$5,963$5,218$4,554$3,966$3,447$2,307
14 years$5,480$4,743$4,092$3,521$3,021$1,949
15 years$5,062$4,333$3,695$3,140$2,660$1,652
16 years$4,696$3,975$3,350$2,811$2,351$1,405
17 years$4,374$3,661$3,048$2,526$2,085$1,198
18 years$4,088$3,383$2,782$2,276$1,854$1,023
19 years$3,832$3,135$2,547$2,057$1,652$876
20 years$3,603$2,913$2,338$1,863$1,476$751
21 years$3,395$2,714$2,150$1,691$1,321$644
22 years$3,206$2,533$1,982$1,537$1,184$554
23 years$3,035$2,369$1,830$1,400$1,063$476
24 years$2,877$2,220$1,692$1,277$955$410
25 years$2,733$2,083$1,567$1,166$859$353
26 years$2,600$1,958$1,454$1,066$774$304
27 years$2,477$1,843$1,350$976$698$262
28 years$2,363$1,736$1,255$894$630$226
29 years$2,256$1,638$1,168$820$569$195
30 years$2,158$1,547$1,088$753$514$169
31 years$2,065$1,462$1,014$691$465$146
32 years$1,979$1,384$946$635$420$126
33 years$1,898$1,310$883$584$380$109
34 years$1,822$1,242$825$537$344$94
35 years$1,751$1,178$772$495$312$81
36 years$1,684$1,118$722$456$283$70
37 years$1,620$1,062$676$420$256$61
38 years$1,560$1,009$633$387$232$52
39 years$1,503$960$593$357$211$45
40 years$1,449$913$556$329$191$39
41 years$1,398$869$521$304$173$34
42 years$1,350$828$489$280$157$29
43 years$1,303$789$459$259$143$25
44 years$1,259$752$430$239$130$22
45 years$1,218$717$404$221$118$19
46 years$1,178$684$380$204$107$16
47 years$1,140$653$357$188$97$14
48 years$1,103$623$335$174$88$12
49 years$1,068$595$315$161$80$11
50 years$1,035$568$296$149$73$9

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 $6,482 every year, while hoping to spend $30,873 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: 33/50/17 Blend
39$1,060,000$1,060,000$1,060,000$1,060,000
40$1,174,806$1,118,626$1,102,196$1,207,173
41$1,261,788$1,140,590$1,106,271$1,253,565
42$1,356,607$1,162,596$1,109,448$1,300,213
43$1,460,030$1,184,612$1,111,664$1,349,829
44$1,572,901$1,206,607$1,112,853$1,402,691
45$1,696,150$1,228,543$1,112,946$1,459,106
46$1,830,799$1,250,383$1,111,871$1,519,414
47$1,977,973$1,272,085$1,109,552$1,583,988
48$2,138,913$1,293,604$1,105,908$1,653,241
49$2,314,983$1,314,891$1,100,857$1,727,631
50$2,507,687$1,335,896$1,094,311$1,807,661
51$2,718,678$1,356,562$1,086,178$1,893,887
52$2,949,779$1,376,830$1,076,361$1,986,925
53$3,202,997$1,396,635$1,064,759$2,087,453
54$3,480,542$1,415,909$1,051,268$2,196,220
55$3,784,848$1,434,580$1,035,776$2,314,054
56$4,118,596$1,452,568$1,018,168$2,441,868
57$4,484,739$1,469,789$998,323$2,580,670
58$4,886,528$1,486,155$976,113$2,731,575
59$5,327,548$1,501,570$951,406$2,895,812
60$5,811,742$1,515,932$924,063$3,074,739
61$6,343,460$1,529,132$893,939$3,269,853
62$6,927,488$1,541,055$860,881$3,482,809
63$7,569,103$1,551,578$824,732$3,715,434
64$8,274,115$1,560,569$785,324$3,969,741
65$9,048,927$1,567,889$742,484$4,247,957
66$9,900,591$1,573,389$696,032$4,552,535
67$10,836,879$1,576,913$645,776$4,886,188
68$11,866,350$1,578,291$591,519$5,251,903
69$12,998,437$1,577,346$533,054$5,652,983
70$14,243,531$1,573,889$470,165$6,093,069
71$15,613,081$1,567,720$402,625$6,576,180
72$17,119,701$1,558,624$330,199$7,106,749
73$18,777,290$1,546,376$252,640$7,689,670
74$20,601,162$1,530,737$169,692$8,330,341
75$22,608,189$1,511,452$81,085$9,034,718
76$24,816,963$1,488,252$0$9,809,371
77$27,247,969$1,460,851$0$10,663,992
78$29,923,776$1,428,947$0$11,619,990
79$32,869,256$1,392,221$0$12,671,515
80$36,111,812$1,350,332$0$13,828,356
81$39,681,641$1,302,922$0$15,101,306
82$43,612,015$1,249,612$0$16,502,264
83$47,939,597$1,189,999$0$18,044,353
84$52,704,785$1,123,658$0$19,742,040
85$57,952,096$1,050,140$0$21,611,278
86$63,730,582$968,970$0$23,669,655
87$70,094,297$879,644$0$25,936,565
88$77,102,801$781,633$0$28,433,389
89$84,821,727$674,373$0$31,183,699
90$93,323,399$557,273$0$34,213,485
91$102,687,511$429,705$0$37,551,399
92$113,001,884$291,008$0$41,229,032
93$124,363,292$140,483$0$45,281,208
94$136,878,372$0$0$49,746,320
95$150,664,636$0$0$54,679,132
96$165,851,576$0$0$60,198,500
97$182,581,887$0$0$66,279,020
98$201,012,814$0$0$72,977,872
99$221,317,634$0$0$80,358,065
100$243,687,293$0$0$88,489,037