Can I retire at age 40 with 368,000?

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 $368,000?

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$30,389$30,118$29,854$29,597$29,345$29,197
2 years$15,044$14,764$14,492$14,229$13,974$13,824
3 years$9,930$9,648$9,378$9,117$8,866$8,719
4 years$7,373$7,093$6,824$6,568$6,323$6,181
5 years$5,840$5,561$5,296$5,045$4,807$4,670
6 years$4,817$4,541$4,280$4,034$3,803$3,671
7 years$4,088$3,813$3,557$3,317$3,093$2,966
8 years$3,541$3,269$3,016$2,783$2,566$2,444
9 years$3,115$2,846$2,598$2,370$2,161$2,044
10 years$2,775$2,509$2,265$2,043$1,841$1,729
11 years$2,497$2,233$1,994$1,778$1,584$1,476
12 years$2,266$2,004$1,770$1,560$1,372$1,270
13 years$2,070$1,811$1,581$1,377$1,197$1,099
14 years$1,902$1,647$1,421$1,222$1,049$956
15 years$1,757$1,504$1,283$1,090$924$835
16 years$1,630$1,380$1,163$976$816$732
17 years$1,519$1,271$1,058$877$724$644
18 years$1,419$1,174$966$790$644$568
19 years$1,330$1,088$884$714$574$502
20 years$1,251$1,011$812$647$512$444
21 years$1,179$942$746$587$458$394
22 years$1,113$879$688$534$411$350
23 years$1,054$823$635$486$369$312
24 years$999$771$588$443$332$278
25 years$949$723$544$405$298$248
26 years$903$680$505$370$269$221
27 years$860$640$469$339$242$197
28 years$820$603$436$310$219$176
29 years$783$569$405$285$197$158
30 years$749$537$378$261$178$141
31 years$717$508$352$240$161$126
32 years$687$480$328$221$146$113
33 years$659$455$307$203$132$101
34 years$633$431$287$187$120$91
35 years$608$409$268$172$108$82
36 years$584$388$251$158$98$73
37 years$562$369$235$146$89$66
38 years$542$350$220$134$81$59
39 years$522$333$206$124$73$53
40 years$503$317$193$114$66$47
41 years$485$302$181$105$60$43
42 years$469$287$170$97$55$38
43 years$452$274$159$90$50$34
44 years$437$261$149$83$45$31
45 years$423$249$140$77$41$28
46 years$409$237$132$71$37$25
47 years$396$227$124$65$34$22
48 years$383$216$116$60$31$20
49 years$371$207$109$56$28$18
50 years$359$197$103$52$25$16

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $368,000, adding $6,174 every year, while hoping to spend $22,585 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: 65/25/10 Blend
39$368,000$368,000$368,000$368,000
40$411,904$392,400$386,696$437,398
41$429,888$387,598$375,621$450,365
42$448,950$381,803$363,417$461,300
43$469,175$374,943$350,023$472,668
44$490,657$366,942$335,375$484,509
45$513,500$357,718$319,406$496,870
46$537,816$347,185$302,045$509,801
47$563,728$335,252$283,219$523,360
48$591,372$321,823$262,850$537,608
49$620,894$306,795$240,858$552,618
50$652,458$290,060$217,159$568,469
51$686,241$271,505$191,666$585,249
52$722,437$251,009$164,287$603,056
53$761,261$228,443$134,925$622,000
54$802,946$203,674$103,482$642,204
55$847,750$176,558$69,853$663,803
56$895,956$146,944$33,928$686,950
57$947,874$114,675$0$711,813
58$1,003,844$79,580$0$739,050
59$1,064,240$41,484$0$772,294
60$1,129,474$198$0$808,165
61$1,199,997$0$0$846,936
62$1,276,307$0$0$901,142
63$1,358,947$0$0$959,926
64$1,448,520$0$0$1,023,662
65$1,545,684$0$0$1,092,823
66$1,651,166$0$0$1,167,927
67$1,765,763$0$0$1,249,547
68$1,890,353$0$0$1,338,310
69$2,025,903$0$0$1,434,908
70$2,173,476$0$0$1,540,102
71$2,334,239$0$0$1,654,730
72$2,509,482$0$0$1,779,711
73$2,700,619$0$0$1,916,061
74$2,909,211$0$0$2,064,896
75$3,136,972$0$0$2,227,444
76$3,385,792$0$0$2,405,057
77$3,657,750$0$0$2,599,225
78$3,955,137$0$0$2,811,587
79$4,280,472$0$0$3,043,948
80$4,636,531$0$0$3,298,296
81$5,026,371$0$0$3,576,818
82$5,453,358$0$0$3,881,926
83$5,921,198$0$0$4,216,274
84$6,433,972$0$0$4,582,784
85$6,996,177$0$0$4,984,677
86$7,612,765$0$0$5,425,498
87$8,289,188$0$0$5,909,153
88$9,031,453$0$0$6,439,943
89$9,846,178$0$0$7,022,608
90$10,740,651$0$0$7,662,367
91$11,722,899$0$0$8,364,970
92$12,801,769$0$0$9,136,752
93$13,987,002$0$0$9,984,690
94$15,289,331$0$0$10,916,471
95$16,720,581$0$0$11,940,564
96$18,293,778$0$0$13,066,299
97$20,023,274$0$0$14,303,955
98$21,924,880$0$0$15,664,856
99$24,016,015$0$0$17,161,478
100$26,315,872$0$0$18,807,568