Can I retire at age 40 with 1,070,000?

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 $1,070,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.6%
1 years$88,360$87,573$86,805$86,055$85,323$83,703
2 years$43,742$42,928$42,138$41,373$40,630$39,004
3 years$28,872$28,054$27,266$26,508$25,777$24,196
4 years$21,438$20,622$19,843$19,097$18,385$16,861
5 years$16,979$16,168$15,399$14,669$13,976$12,513
6 years$14,007$13,203$12,445$11,731$11,059$9,659
7 years$11,885$11,088$10,341$9,644$8,994$7,657
8 years$10,295$9,504$8,770$8,090$7,461$6,188
9 years$9,058$8,275$7,554$6,891$6,283$5,072
10 years$8,070$7,294$6,586$5,940$5,354$4,204
11 years$7,261$6,493$5,798$5,170$4,604$3,514
12 years$6,588$5,828$5,146$4,535$3,990$2,958
13 years$6,019$5,267$4,597$4,003$3,479$2,504
14 years$5,531$4,788$4,131$3,554$3,050$2,129
15 years$5,109$4,373$3,729$3,169$2,685$1,818
16 years$4,741$4,013$3,381$2,838$2,373$1,557
17 years$4,415$3,695$3,077$2,550$2,104$1,337
18 years$4,127$3,415$2,809$2,298$1,871$1,150
19 years$3,869$3,165$2,571$2,076$1,668$992
20 years$3,637$2,941$2,360$1,880$1,490$857
21 years$3,427$2,739$2,171$1,707$1,333$741
22 years$3,237$2,557$2,000$1,552$1,195$642
23 years$3,063$2,392$1,847$1,413$1,073$556
24 years$2,904$2,241$1,708$1,289$964$482
25 years$2,759$2,103$1,582$1,177$868$419
26 years$2,624$1,976$1,467$1,076$781$364
27 years$2,500$1,860$1,363$985$705$316
28 years$2,385$1,753$1,267$903$636$275
29 years$2,278$1,653$1,179$828$574$239
30 years$2,178$1,561$1,098$760$519$208
31 years$2,085$1,476$1,024$698$469$181
32 years$1,998$1,397$955$641$424$158
33 years$1,916$1,323$892$590$384$138
34 years$1,840$1,254$833$543$348$120
35 years$1,767$1,189$779$499$315$105
36 years$1,699$1,129$729$460$285$91
37 years$1,635$1,072$682$424$259$79
38 years$1,575$1,019$639$391$234$69
39 years$1,517$969$598$360$213$60
40 years$1,463$922$561$332$193$53
41 years$1,411$877$526$306$175$46
42 years$1,362$835$493$283$159$40
43 years$1,316$796$463$261$144$35
44 years$1,271$759$435$241$131$30
45 years$1,229$724$408$223$119$27
46 years$1,189$690$383$206$108$23
47 years$1,150$659$360$190$98$20
48 years$1,113$629$338$176$89$18
49 years$1,078$600$318$162$81$15
50 years$1,045$574$299$150$73$13

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,070,000, adding $4,585 every year, while hoping to spend $51,569 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: 60/28/12 Blend
39$1,070,000$1,070,000$1,070,000$1,070,000
40$1,183,869$1,127,159$1,110,574$1,251,204
41$1,249,755$1,127,521$1,092,910$1,297,388
42$1,320,633$1,126,172$1,072,925$1,341,514
43$1,396,957$1,122,975$1,050,488$1,388,398
44$1,479,227$1,117,781$1,025,460$1,438,311
45$1,567,993$1,110,436$997,696$1,491,552
46$1,663,855$1,100,775$967,047$1,548,452
47$1,767,477$1,088,622$933,352$1,609,378
48$1,879,587$1,073,792$896,446$1,674,736
49$2,000,985$1,056,087$856,157$1,744,976
50$2,132,550$1,035,300$812,302$1,820,598
51$2,275,249$1,011,209$764,694$1,902,151
52$2,430,148$983,581$713,134$1,990,246
53$2,598,414$952,168$657,416$2,085,560
54$2,781,337$916,709$597,324$2,188,838
55$2,980,331$876,925$532,631$2,300,908
56$3,196,954$832,524$463,104$2,422,686
57$3,432,920$783,195$388,495$2,555,182
58$3,690,116$728,609$308,548$2,699,517
59$3,970,618$668,421$222,994$2,856,927
60$4,276,711$602,263$131,554$3,028,781
61$4,610,909$529,748$33,935$3,216,593
62$4,975,982$450,466$0$3,422,035
63$5,374,977$363,983$0$3,655,950
64$5,811,250$269,844$0$3,916,609
65$6,288,495$167,564$0$4,201,963
66$6,810,782$56,635$0$4,514,553
67$7,382,588$0$0$4,857,181
68$8,008,848$0$0$5,252,503
69$8,694,993$0$0$5,704,829
70$9,447,007$0$0$6,200,665
71$10,271,477$0$0$6,744,365
72$11,175,660$0$0$7,340,726
73$12,167,550$0$0$7,995,032
74$13,255,950$0$0$8,713,102
75$14,450,556$0$0$9,501,347
76$15,762,052$0$0$10,366,827
77$17,202,202$0$0$11,317,320
78$18,783,969$0$0$12,361,396
79$20,521,631$0$0$13,508,493
80$22,430,918$0$0$14,769,011
81$24,529,159$0$0$16,154,405
82$26,835,444$0$0$17,677,297
83$29,370,807$0$0$19,351,590
84$32,158,418$0$0$21,192,604
85$35,223,807$0$0$23,217,217
86$38,595,100$0$0$25,444,024
87$42,303,287$0$0$27,893,513
88$46,382,510$0$0$30,588,257
89$50,870,389$0$0$33,553,127
90$55,808,374$0$0$36,815,527
91$61,242,132$0$0$40,405,652
92$67,221,986$0$0$44,356,770
93$73,803,378$0$0$48,705,539
94$81,047,402$0$0$53,492,350
95$89,021,374$0$0$58,761,710
96$97,799,465$0$0$64,562,658
97$107,463,405$0$0$70,949,232
98$118,103,252$0$0$77,980,973
99$129,818,239$0$0$85,723,492
100$142,717,711$0$0$94,249,084