Can I retire at age 40 with 432,000?

Use the below retirement simulation to view the chances of a successful retirement.
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 $432,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.8%
1 years$35,674$35,356$35,046$34,744$34,448$34,046
2 years$17,660$17,332$17,013$16,704$16,404$15,999
3 years$11,657$11,326$11,008$10,702$10,407$10,012
4 years$8,655$8,326$8,011$7,710$7,423$7,041
5 years$6,855$6,528$6,217$5,922$5,643$5,275
6 years$5,655$5,330$5,024$4,736$4,465$4,111
7 years$4,799$4,476$4,175$3,894$3,631$3,292
8 years$4,156$3,837$3,541$3,266$3,012$2,688
9 years$3,657$3,341$3,050$2,782$2,537$2,227
10 years$3,258$2,945$2,659$2,398$2,161$1,866
11 years$2,932$2,622$2,341$2,087$1,859$1,578
12 years$2,660$2,353$2,077$1,831$1,611$1,344
13 years$2,430$2,126$1,856$1,616$1,405$1,151
14 years$2,233$1,933$1,668$1,435$1,231$991
15 years$2,063$1,766$1,506$1,280$1,084$856
16 years$1,914$1,620$1,365$1,146$958$742
17 years$1,783$1,492$1,242$1,029$850$646
18 years$1,666$1,379$1,134$928$755$563
19 years$1,562$1,278$1,038$838$673$492
20 years$1,468$1,187$953$759$601$431
21 years$1,384$1,106$876$689$538$377
22 years$1,307$1,032$808$627$482$331
23 years$1,237$966$746$571$433$291
24 years$1,173$905$690$520$389$256
25 years$1,114$849$639$475$350$226
26 years$1,059$798$592$435$316$199
27 years$1,009$751$550$398$284$175
28 years$963$708$511$364$257$155
29 years$920$668$476$334$232$137
30 years$879$630$443$307$209$121
31 years$842$596$413$282$189$107
32 years$807$564$386$259$171$94
33 years$774$534$360$238$155$83
34 years$743$506$336$219$140$74
35 years$714$480$315$202$127$65
36 years$686$456$294$186$115$58
37 years$660$433$275$171$104$51
38 years$636$411$258$158$95$45
39 years$613$391$242$145$86$40
40 years$591$372$226$134$78$36
41 years$570$354$212$124$71$31
42 years$550$337$199$114$64$28
43 years$531$321$187$105$58$25
44 years$513$306$175$97$53$22
45 years$496$292$165$90$48$19
46 years$480$279$155$83$44$17
47 years$464$266$145$77$40$15
48 years$450$254$137$71$36$13
49 years$435$242$128$66$33$12
50 years$422$232$121$61$30$11

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $432,000, adding $4,642 every year, while hoping to spend $25,267 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: 59/15/26 Blend
39$432,000$432,000$432,000$432,000
40$480,852$457,956$451,260$505,593
41$503,015$453,512$439,494$518,557
42$526,592$448,004$426,486$529,588
43$551,700$441,351$412,169$541,086
44$578,468$433,472$396,471$553,101
45$607,037$424,278$379,318$565,691
46$637,562$413,674$360,632$578,920
47$670,211$401,562$340,331$592,863
48$705,170$387,836$318,330$607,598
49$742,643$372,385$294,539$623,219
50$782,853$355,093$268,867$639,826
51$826,044$335,833$241,214$657,532
52$872,487$314,474$211,481$676,466
53$922,475$290,878$179,560$696,768
54$976,334$264,898$145,342$718,596
55$1,034,418$236,376$108,709$742,127
56$1,097,121$205,150$69,542$767,557
57$1,164,870$171,046$27,715$795,103
58$1,238,139$133,879$0$825,009
59$1,317,446$93,456$0$862,240
60$1,403,363$49,573$0$910,911
61$1,496,516$2,013$0$963,700
62$1,597,597$0$0$1,021,020
63$1,707,364$0$0$1,091,488
64$1,826,651$0$0$1,168,460
65$1,956,378$0$0$1,252,201
66$2,097,554$0$0$1,343,367
67$2,251,291$0$0$1,442,681
68$2,418,813$0$0$1,550,937
69$2,601,466$0$0$1,669,009
70$2,800,731$0$0$1,797,861
71$3,018,239$0$0$1,938,553
72$3,255,786$0$0$2,092,250
73$3,515,348$0$0$2,260,237
74$3,799,100$0$0$2,443,928
75$4,109,439$0$0$2,644,879
76$4,449,001$0$0$2,864,806
77$4,820,691$0$0$3,105,594
78$5,227,708$0$0$3,369,323
79$5,673,572$0$0$3,658,282
80$6,162,162$0$0$3,974,991
81$6,697,750$0$0$4,322,227
82$7,285,040$0$0$4,703,046
83$7,929,213$0$0$5,120,818
84$8,635,977$0$0$5,579,252
85$9,411,617$0$0$6,082,434
86$10,263,057$0$0$6,634,864
87$11,197,926$0$0$7,241,500
88$12,224,624$0$0$7,907,805
89$13,352,407$0$0$8,639,794
90$14,591,471$0$0$9,444,097
91$15,953,050$0$0$10,328,014
92$17,449,516$0$0$11,299,590
93$19,094,504$0$0$12,367,687
94$20,903,033$0$0$13,542,070
95$22,891,649$0$0$14,833,496
96$25,078,584$0$0$16,253,816
97$27,483,925$0$0$17,816,089
98$30,129,800$0$0$19,534,702
99$33,040,594$0$0$21,425,507
100$36,243,172$0$0$23,505,969