Can I retire at age 40 with 421,000?

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 $421,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11%
1 years$34,766$34,456$34,154$33,859$33,571$33,430
2 years$17,211$16,890$16,580$16,278$15,986$15,843
3 years$11,360$11,038$10,728$10,430$10,142$10,003
4 years$8,435$8,114$7,807$7,514$7,234$7,098
5 years$6,681$6,362$6,059$5,771$5,499$5,368
6 years$5,511$5,195$4,896$4,616$4,351$4,225
7 years$4,676$4,362$4,069$3,795$3,539$3,417
8 years$4,051$3,739$3,451$3,183$2,936$2,819
9 years$3,564$3,256$2,972$2,711$2,472$2,360
10 years$3,175$2,870$2,591$2,337$2,106$1,999
11 years$2,857$2,555$2,281$2,034$1,812$1,709
12 years$2,592$2,293$2,025$1,784$1,570$1,472
13 years$2,368$2,072$1,809$1,575$1,369$1,275
14 years$2,176$1,884$1,625$1,398$1,200$1,111
15 years$2,010$1,721$1,467$1,247$1,057$972
16 years$1,865$1,579$1,330$1,117$934$853
17 years$1,737$1,454$1,211$1,003$828$751
18 years$1,624$1,344$1,105$904$736$663
19 years$1,522$1,245$1,012$817$656$587
20 years$1,431$1,157$928$740$586$521
21 years$1,348$1,078$854$672$525$463
22 years$1,274$1,006$787$611$470$412
23 years$1,205$941$727$556$422$367
24 years$1,143$882$672$507$379$327
25 years$1,085$827$623$463$341$292
26 years$1,033$778$577$423$307$261
27 years$984$732$536$388$277$234
28 years$938$690$498$355$250$209
29 years$896$651$464$326$226$187
30 years$857$614$432$299$204$168
31 years$820$581$403$275$185$151
32 years$786$550$376$252$167$135
33 years$754$520$351$232$151$121
34 years$724$493$328$213$137$109
35 years$695$468$306$196$124$98
36 years$669$444$287$181$112$88
37 years$643$422$268$167$102$79
38 years$620$401$251$154$92$71
39 years$597$381$235$142$84$64
40 years$576$363$221$131$76$57
41 years$555$345$207$121$69$52
42 years$536$329$194$111$62$46
43 years$518$313$182$103$57$42
44 years$500$299$171$95$51$38
45 years$484$285$161$88$47$34
46 years$468$272$151$81$42$30
47 years$453$259$142$75$39$27
48 years$438$247$133$69$35$25
49 years$424$236$125$64$32$22
50 years$411$226$118$59$29$20

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $421,000, adding $5,737 every year, while hoping to spend $25,152 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: 21/49/30 Blend
39$421,000$421,000$421,000$421,000
40$469,860$447,547$441,021$475,189
41$491,024$442,715$429,034$475,699
42$513,504$436,803$415,802$473,807
43$537,407$429,733$401,257$471,243
44$562,852$421,419$385,328$467,969
45$589,966$411,772$367,941$463,946
46$618,892$400,698$349,016$459,133
47$649,784$388,098$328,473$453,491
48$682,812$373,864$306,227$446,977
49$718,161$357,886$282,188$439,549
50$756,036$340,044$256,263$431,165
51$796,659$320,214$228,355$421,782
52$840,276$298,262$198,363$411,357
53$887,157$274,049$166,181$399,848
54$937,596$247,427$131,697$387,213
55$991,918$218,239$94,797$373,410
56$1,050,480$186,319$55,359$358,400
57$1,113,673$151,492$13,257$342,144
58$1,181,927$113,575$0$324,606
59$1,255,715$72,371$0$315,891
60$1,335,555$27,675$0$311,018
61$1,422,020$0$0$305,760
62$1,515,737$0$0$311,321
63$1,617,396$0$0$333,605
64$1,727,757$0$0$357,862
65$1,847,654$0$0$384,287
66$1,978,006$0$0$413,089
67$2,119,823$0$0$444,501
68$2,274,218$0$0$478,780
69$2,442,413$0$0$516,207
70$2,625,755$0$0$557,092
71$2,825,726$0$0$601,777
72$3,043,957$0$0$650,637
73$3,282,242$0$0$704,086
74$3,542,559$0$0$762,581
75$3,827,081$0$0$826,622
76$4,138,206$0$0$896,763
77$4,478,568$0$0$973,611
78$4,851,074$0$0$1,057,837
79$5,258,919$0$0$1,150,180
80$5,705,625$0$0$1,251,451
81$6,195,069$0$0$1,362,546
82$6,731,522$0$0$1,484,452
83$7,319,686$0$0$1,618,255
84$7,964,742$0$0$1,765,150
85$8,672,395$0$0$1,926,456
86$9,448,929$0$0$2,103,626
87$10,301,266$0$0$2,298,258
88$11,237,030$0$0$2,512,114
89$12,264,621$0$0$2,747,136
90$13,393,291$0$0$3,005,461
91$14,633,232$0$0$3,289,447
92$15,995,672$0$0$3,601,688
93$17,492,982$0$0$3,945,045
94$19,138,788$0$0$4,322,667
95$20,948,104$0$0$4,738,026
96$22,937,472$0$0$5,194,948
97$25,125,113$0$0$5,697,644
98$27,531,107$0$0$6,250,760
99$30,177,573$0$0$6,859,410
100$33,088,886$0$0$7,529,231