Can I retire at age 40 with 492,000?

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 $492,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.3%
1 years$40,629$40,267$39,914$39,569$39,233$38,535
2 years$20,113$19,739$19,376$19,024$18,682$17,982
3 years$13,276$12,899$12,537$12,189$11,853$11,171
4 years$9,858$9,482$9,124$8,781$8,454$7,796
5 years$7,807$7,434$7,081$6,745$6,426$5,795
6 years$6,441$6,071$5,722$5,394$5,085$4,481
7 years$5,465$5,098$4,755$4,435$4,135$3,558
8 years$4,734$4,370$4,033$3,720$3,431$2,880
9 years$4,165$3,805$3,473$3,169$2,889$2,365
10 years$3,710$3,354$3,028$2,731$2,462$1,964
11 years$3,339$2,986$2,666$2,377$2,117$1,645
12 years$3,029$2,680$2,366$2,085$1,835$1,387
13 years$2,768$2,422$2,114$1,841$1,600$1,177
14 years$2,543$2,201$1,899$1,634$1,402$1,003
15 years$2,349$2,011$1,715$1,457$1,235$858
16 years$2,180$1,845$1,555$1,305$1,091$736
17 years$2,030$1,699$1,415$1,172$968$633
18 years$1,897$1,570$1,291$1,057$860$546
19 years$1,779$1,455$1,182$955$767$472
20 years$1,672$1,352$1,085$865$685$409
21 years$1,576$1,260$998$785$613$354
22 years$1,488$1,176$920$714$549$307
23 years$1,409$1,100$849$650$493$267
24 years$1,336$1,030$785$593$443$232
25 years$1,268$967$727$541$399$202
26 years$1,207$909$675$495$359$176
27 years$1,150$855$627$453$324$153
28 years$1,097$806$582$415$292$134
29 years$1,047$760$542$381$264$117
30 years$1,001$718$505$349$239$102
31 years$959$679$471$321$216$89
32 years$919$642$439$295$195$78
33 years$881$608$410$271$177$68
34 years$846$576$383$249$160$59
35 years$813$547$358$230$145$52
36 years$781$519$335$211$131$45
37 years$752$493$314$195$119$39
38 years$724$468$294$180$108$35
39 years$698$445$275$166$98$30
40 years$673$424$258$153$89$26
41 years$649$403$242$141$80$23
42 years$626$384$227$130$73$20
43 years$605$366$213$120$66$18
44 years$585$349$200$111$60$15
45 years$565$333$188$102$55$13
46 years$547$317$176$95$50$12
47 years$529$303$166$87$45$10
48 years$512$289$156$81$41$9
49 years$496$276$146$75$37$8
50 years$480$264$137$69$34$7

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $492,000, adding $4,916 every year, while hoping to spend $20,874 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: 43/47/10 Blend
39$492,000$492,000$492,000$492,000
40$547,255$521,179$513,553$568,999
41$580,865$524,507$508,547$587,965
42$617,204$527,298$502,674$606,003
43$656,528$529,505$495,883$625,073
44$699,118$531,075$488,119$645,279
45$745,285$531,955$479,328$666,735
46$795,369$532,085$469,450$689,567
47$849,744$531,405$458,425$713,916
48$908,823$529,849$446,187$739,938
49$973,059$527,348$432,670$767,808
50$1,042,950$523,827$417,804$797,717
51$1,119,046$519,209$401,515$829,880
52$1,201,949$513,410$383,726$864,534
53$1,292,324$506,344$364,357$901,943
54$1,390,902$497,916$343,324$942,398
55$1,498,488$488,028$320,540$986,222
56$1,615,968$476,576$295,912$1,033,776
57$1,744,317$463,448$269,345$1,085,455
58$1,884,609$448,528$240,740$1,141,702
59$2,038,025$431,692$209,990$1,203,004
60$2,205,867$412,808$176,988$1,269,903
61$2,389,567$391,738$141,619$1,342,996
62$2,590,704$368,334$103,765$1,422,947
63$2,811,015$342,442$63,300$1,510,490
64$3,052,414$313,896$20,096$1,606,438
65$3,317,007$282,525$0$1,711,689
66$3,607,117$248,143$0$1,830,014
67$3,925,298$210,558$0$1,962,206
68$4,274,367$169,564$0$2,107,353
69$4,657,425$124,945$0$2,266,817
70$5,077,888$76,472$0$2,442,103
71$5,539,518$23,905$0$2,634,877
72$6,046,460$0$0$2,846,976
73$6,603,280$0$0$3,097,505
74$7,215,009$0$0$3,386,386
75$7,887,188$0$0$3,703,880
76$8,625,920$0$0$4,052,879
77$9,437,931$0$0$4,436,569
78$10,330,631$0$0$4,858,460
79$11,312,183$0$0$5,322,418
80$12,391,579$0$0$5,832,704
81$13,578,728$0$0$6,394,013
82$14,884,548$0$0$7,011,516
83$16,321,067$0$0$7,690,912
84$17,901,536$0$0$8,438,479
85$19,640,559$0$0$9,261,136
86$21,554,223$0$0$10,166,504
87$23,660,256$0$0$11,162,983
88$25,978,192$0$0$12,259,826
89$28,529,551$0$0$13,467,232
90$31,338,049$0$0$14,796,436
91$34,429,815$0$0$16,259,818
92$37,833,644$0$0$17,871,021
93$41,581,260$0$0$19,645,076
94$45,707,624$0$0$21,598,548
95$50,251,257$0$0$23,749,689
96$55,254,606$0$0$26,118,612
97$60,764,445$0$0$28,727,477
98$66,832,314$0$0$31,600,708
99$73,515,008$0$0$34,765,213
100$80,875,110$0$0$38,250,646