Can I retire at age 40 with 386,000?

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 $386,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.2%
1 years$31,876$31,592$31,315$31,044$30,780$30,370
2 years$15,780$15,486$15,201$14,925$14,657$14,245
3 years$10,415$10,120$9,836$9,563$9,299$8,897
4 years$7,734$7,440$7,158$6,889$6,632$6,244
5 years$6,125$5,833$5,555$5,292$5,042$4,668
6 years$5,053$4,763$4,489$4,232$3,989$3,631
7 years$4,288$4,000$3,731$3,479$3,244$2,901
8 years$3,714$3,429$3,164$2,919$2,692$2,363
9 years$3,268$2,985$2,725$2,486$2,267$1,953
10 years$2,911$2,631$2,376$2,143$1,931$1,633
11 years$2,619$2,342$2,092$1,865$1,661$1,377
12 years$2,377$2,102$1,856$1,636$1,439$1,170
13 years$2,171$1,900$1,658$1,444$1,255$999
14 years$1,995$1,727$1,490$1,282$1,100$858
15 years$1,843$1,578$1,345$1,143$969$739
16 years$1,710$1,448$1,220$1,024$856$639
17 years$1,593$1,333$1,110$920$759$554
18 years$1,489$1,232$1,013$829$675$482
19 years$1,396$1,142$928$749$602$420
20 years$1,312$1,061$851$678$537$367
21 years$1,236$988$783$616$481$320
22 years$1,168$922$722$560$431$280
23 years$1,105$863$666$510$387$246
24 years$1,048$808$616$465$348$216
25 years$995$759$571$425$313$189
26 years$947$713$529$388$282$166
27 years$902$671$492$355$254$146
28 years$860$632$457$326$229$129
29 years$822$596$425$299$207$113
30 years$786$563$396$274$187$100
31 years$752$532$369$252$169$88
32 years$721$504$345$231$153$77
33 years$691$477$322$213$138$68
34 years$664$452$301$196$125$60
35 years$638$429$281$180$114$53
36 years$613$407$263$166$103$47
37 years$590$387$246$153$93$41
38 years$568$367$230$141$85$36
39 years$547$349$216$130$77$32
40 years$528$332$202$120$70$28
41 years$509$316$190$111$63$25
42 years$491$301$178$102$57$22
43 years$475$287$167$94$52$19
44 years$459$274$157$87$47$17
45 years$443$261$147$80$43$15
46 years$429$249$138$74$39$13
47 years$415$238$130$69$35$12
48 years$402$227$122$63$32$10
49 years$389$217$115$59$29$9
50 years$377$207$108$54$26$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $386,000, adding $6,200 every year, while hoping to spend $24,848 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: 68/13/19 Blend
39$386,000$386,000$386,000$386,000
40$431,767$411,309$405,326$458,706
41$449,369$405,025$392,467$471,210
42$467,934$397,601$378,343$481,404
43$487,534$388,953$362,888$491,948
44$508,246$378,996$346,029$502,873
45$530,157$367,637$327,691$514,217
46$553,360$354,778$307,796$526,022
47$577,958$340,317$286,261$538,334
48$604,061$324,144$263,003$551,204
49$631,792$306,144$237,930$564,692
50$661,285$286,195$210,950$578,861
51$692,684$264,167$181,966$593,786
52$726,151$239,924$150,875$609,546
53$761,860$213,322$117,570$626,234
54$800,003$184,208$81,942$643,950
55$840,790$152,421$43,874$662,806
56$884,452$117,791$3,246$682,930
57$931,242$80,138$0$704,460
58$981,436$39,272$0$735,686
59$1,035,338$0$0$769,879
60$1,093,284$0$0$807,318
61$1,155,638$0$0$853,668
62$1,222,805$0$0$903,611
63$1,295,225$0$0$957,479
64$1,373,384$0$0$1,015,636
65$1,457,815$0$0$1,078,480
66$1,549,106$0$0$1,146,450
67$1,647,900$0$0$1,220,029
68$1,754,906$0$0$1,299,747
69$1,870,902$0$0$1,386,188
70$1,996,746$0$0$1,479,993
71$2,133,378$0$0$1,581,866
72$2,281,835$0$0$1,692,585
73$2,443,257$0$0$1,813,002
74$2,618,897$0$0$1,944,056
75$2,810,134$0$0$2,086,781
76$3,018,487$0$0$2,242,314
77$3,245,627$0$0$2,411,905
78$3,493,391$0$0$2,596,932
79$3,763,804$0$0$2,798,911
80$4,059,092$0$0$3,019,510
81$4,381,708$0$0$3,260,566
82$4,734,352$0$0$3,524,101
83$5,119,995$0$0$3,812,342
84$5,541,910$0$0$4,127,740
85$6,003,700$0$0$4,472,995
86$6,509,333$0$0$4,851,080
87$7,063,178$0$0$5,265,266
88$7,670,047$0$0$5,719,160
89$8,335,239$0$0$6,216,732
90$9,064,590$0$0$6,762,353
91$9,864,529$0$0$7,360,841
92$10,742,134$0$0$8,017,500
93$11,705,206$0$0$8,738,171
94$12,762,333$0$0$9,529,293
95$13,922,977$0$0$10,397,953
96$15,197,562$0$0$11,351,962
97$16,597,570$0$0$12,399,923
98$18,135,649$0$0$13,551,312
99$19,825,733$0$0$14,816,571
100$21,683,174$0$0$16,207,202