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%15.2%
1 years$34,766$34,456$34,154$33,859$33,571$32,853
2 years$17,211$16,890$16,580$16,278$15,986$15,266
3 years$11,360$11,038$10,728$10,430$10,142$9,443
4 years$8,435$8,114$7,807$7,514$7,234$6,560
5 years$6,681$6,362$6,059$5,771$5,499$4,853
6 years$5,511$5,195$4,896$4,616$4,351$3,734
7 years$4,676$4,362$4,069$3,795$3,539$2,950
8 years$4,051$3,739$3,451$3,183$2,936$2,376
9 years$3,564$3,256$2,972$2,711$2,472$1,941
10 years$3,175$2,870$2,591$2,337$2,106$1,602
11 years$2,857$2,555$2,281$2,034$1,812$1,334
12 years$2,592$2,293$2,025$1,784$1,570$1,119
13 years$2,368$2,072$1,809$1,575$1,369$943
14 years$2,176$1,884$1,625$1,398$1,200$799
15 years$2,010$1,721$1,467$1,247$1,057$679
16 years$1,865$1,579$1,330$1,117$934$579
17 years$1,737$1,454$1,211$1,003$828$495
18 years$1,624$1,344$1,105$904$736$424
19 years$1,522$1,245$1,012$817$656$364
20 years$1,431$1,157$928$740$586$313
21 years$1,348$1,078$854$672$525$270
22 years$1,274$1,006$787$611$470$232
23 years$1,205$941$727$556$422$200
24 years$1,143$882$672$507$379$173
25 years$1,085$827$623$463$341$150
26 years$1,033$778$577$423$307$129
27 years$984$732$536$388$277$112
28 years$938$690$498$355$250$97
29 years$896$651$464$326$226$84
30 years$857$614$432$299$204$73
31 years$820$581$403$275$185$63
32 years$786$550$376$252$167$55
33 years$754$520$351$232$151$47
34 years$724$493$328$213$137$41
35 years$695$468$306$196$124$36
36 years$669$444$287$181$112$31
37 years$643$422$268$167$102$27
38 years$620$401$251$154$92$23
39 years$597$381$235$142$84$20
40 years$576$363$221$131$76$17
41 years$555$345$207$121$69$15
42 years$536$329$194$111$62$13
43 years$518$313$182$103$57$11
44 years$500$299$171$95$51$10
45 years$484$285$161$88$47$9
46 years$468$272$151$81$42$7
47 years$453$259$142$75$39$6
48 years$438$247$133$69$35$6
49 years$424$236$125$64$32$5
50 years$411$226$118$59$29$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $421,000, adding $5,450 every year, while hoping to spend $24,513 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: 66/10/24 Blend
39$421,000$421,000$421,000$421,000
40$469,564$447,251$440,725$497,306
41$491,378$443,084$429,408$512,472
42$514,595$437,892$416,890$525,775
43$539,333$431,598$403,105$539,756
44$565,720$424,122$387,984$554,483
45$593,897$415,377$371,455$570,032
46$624,018$405,274$353,442$586,486
47$656,252$393,717$333,867$603,940
48$690,784$380,603$312,646$622,496
49$727,817$365,826$289,693$642,270
50$767,576$349,273$264,918$663,389
51$810,303$330,822$238,228$685,997
52$856,268$310,346$209,523$710,251
53$905,766$287,712$178,700$736,325
54$959,121$262,777$145,654$764,414
55$1,016,689$235,390$110,270$794,733
56$1,078,860$205,393$72,433$827,522
57$1,146,064$172,618$32,020$863,043
58$1,218,774$136,887$0$901,592
59$1,297,508$98,014$0$946,338
60$1,382,837$55,800$0$1,003,730
61$1,475,389$10,037$0$1,065,996
62$1,575,854$0$0$1,133,613
63$1,684,990$0$0$1,211,456
64$1,803,632$0$0$1,297,304
65$1,932,700$0$0$1,390,720
66$2,073,203$0$0$1,492,439
67$2,226,253$0$0$1,603,269
68$2,393,074$0$0$1,724,100
69$2,575,013$0$0$1,855,910
70$2,773,552$0$0$1,999,778
71$2,990,322$0$0$2,156,888
72$3,227,120$0$0$2,328,548
73$3,485,922$0$0$2,516,194
74$3,768,906$0$0$2,721,409
75$4,078,467$0$0$2,945,936
76$4,417,246$0$0$3,191,694
77$4,788,147$0$0$3,460,794
78$5,194,372$0$0$3,755,565
79$5,639,442$0$0$4,078,568
80$6,127,241$0$0$4,432,626
81$6,662,040$0$0$4,820,845
82$7,248,549$0$0$5,246,650
83$7,891,952$0$0$5,713,811
84$8,597,959$0$0$6,226,480
85$9,372,861$0$0$6,789,232
86$10,223,588$0$0$7,407,105
87$11,157,771$0$0$8,085,651
88$12,183,820$0$0$8,830,984
89$13,310,996$0$0$9,649,839
90$14,549,504$0$0$10,549,638
91$15,910,584$0$0$11,538,554
92$17,406,620$0$0$12,625,596
93$19,051,257$0$0$13,820,683
94$20,859,526$0$0$15,134,750
95$22,847,987$0$0$16,579,837
96$25,034,885$0$0$18,169,217
97$27,440,324$0$0$19,917,507
98$30,086,452$0$0$21,840,817
99$32,997,672$0$0$23,956,893
100$36,200,872$0$0$26,285,291