Can I retire at age 40 with 418,000?

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 $418,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.3%
1 years$34,518$34,211$33,911$33,618$33,332$33,150
2 years$17,088$16,770$16,461$16,162$15,872$15,688
3 years$11,279$10,959$10,652$10,355$10,070$9,890
4 years$8,375$8,056$7,752$7,460$7,182$7,008
5 years$6,633$6,316$6,016$5,730$5,460$5,291
6 years$5,472$5,158$4,862$4,583$4,320$4,158
7 years$4,643$4,331$4,040$3,768$3,513$3,357
8 years$4,022$3,713$3,426$3,161$2,915$2,765
9 years$3,539$3,233$2,951$2,692$2,455$2,311
10 years$3,152$2,849$2,573$2,321$2,091$1,954
11 years$2,837$2,537$2,265$2,020$1,799$1,667
12 years$2,574$2,277$2,010$1,771$1,559$1,433
13 years$2,351$2,058$1,796$1,564$1,359$1,240
14 years$2,161$1,870$1,614$1,388$1,191$1,078
15 years$1,996$1,709$1,457$1,238$1,049$941
16 years$1,852$1,568$1,321$1,109$927$824
17 years$1,725$1,444$1,202$996$822$724
18 years$1,612$1,334$1,097$898$731$638
19 years$1,511$1,236$1,004$811$652$564
20 years$1,421$1,149$922$735$582$499
21 years$1,339$1,070$848$667$521$442
22 years$1,264$999$781$606$467$393
23 years$1,197$934$722$552$419$349
24 years$1,135$875$667$504$377$311
25 years$1,078$821$618$460$339$277
26 years$1,025$772$573$420$305$247
27 years$977$727$532$385$275$220
28 years$932$685$495$353$248$197
29 years$890$646$460$323$224$176
30 years$851$610$429$297$203$157
31 years$814$577$400$273$183$141
32 years$780$546$373$250$166$126
33 years$749$517$348$230$150$113
34 years$719$490$325$212$136$101
35 years$690$464$304$195$123$90
36 years$664$441$285$180$111$81
37 years$639$419$266$166$101$73
38 years$615$398$250$153$92$65
39 years$593$378$234$141$83$58
40 years$571$360$219$130$75$52
41 years$551$343$205$120$68$47
42 years$532$326$193$110$62$42
43 years$514$311$181$102$56$38
44 years$497$296$170$94$51$34
45 years$480$283$159$87$46$31
46 years$464$270$150$80$42$27
47 years$449$257$141$74$38$25
48 years$435$246$132$69$35$22
49 years$421$235$124$63$32$20
50 years$408$224$117$59$29$18

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $418,000, adding $2,527 every year, while hoping to spend $26,193 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: 56/33/11 Blend
39$418,000$418,000$418,000$418,000
40$463,243$441,089$434,610$487,776
41$482,624$434,833$421,300$498,404
42$503,105$427,393$406,666$506,871
43$524,769$418,682$390,637$515,473
44$547,709$408,611$373,137$524,225
45$572,025$397,083$354,087$533,149
46$597,828$383,996$333,405$542,268
47$625,237$369,243$311,005$551,608
48$654,385$352,709$286,797$561,201
49$685,415$334,275$260,688$571,085
50$718,485$313,812$232,578$581,300
51$753,767$291,186$202,367$591,896
52$791,452$266,254$169,946$602,928
53$831,745$238,866$135,205$614,458
54$874,875$208,862$98,026$626,559
55$921,090$176,074$58,287$639,312
56$970,663$140,324$15,862$652,811
57$1,023,896$101,425$0$667,160
58$1,081,116$59,177$0$685,930
59$1,142,685$13,372$0$708,015
60$1,209,000$0$0$731,718
61$1,280,497$0$0$770,379
62$1,357,654$0$0$817,369
63$1,440,997$0$0$868,157
64$1,531,104$0$0$923,099
65$1,628,611$0$0$982,586
66$1,734,215$0$0$1,047,050
67$1,848,685$0$0$1,116,961
68$1,972,865$0$0$1,192,842
69$2,107,683$0$0$1,275,265
70$2,254,160$0$0$1,364,858
71$2,413,420$0$0$1,462,314
72$2,586,699$0$0$1,568,395
73$2,775,356$0$0$1,683,940
74$2,980,887$0$0$1,809,871
75$3,204,940$0$0$1,947,203
76$3,449,326$0$0$2,097,054
77$3,716,040$0$0$2,260,653
78$4,007,278$0$0$2,439,355
79$4,325,457$0$0$2,634,651
80$4,673,237$0$0$2,848,181
81$5,053,548$0$0$3,081,752
82$5,469,615$0$0$3,337,353
83$5,924,991$0$0$3,617,175
84$6,423,585$0$0$3,923,631
85$6,969,704$0$0$4,259,377
86$7,568,092$0$0$4,627,338
87$8,223,970$0$0$5,030,737
88$8,943,092$0$0$5,473,121
89$9,731,793$0$0$5,958,401
90$10,597,052$0$0$6,490,880
91$11,546,554$0$0$7,075,300
92$12,588,767$0$0$7,716,886
93$13,733,016$0$0$8,421,390
94$14,989,574$0$0$9,195,151
95$16,369,759$0$0$10,045,151
96$17,886,037$0$0$10,979,083
97$19,552,142$0$0$12,005,419
98$21,383,204$0$0$13,133,495
99$23,395,892$0$0$14,373,596
100$25,608,569$0$0$15,737,053