Can I retire at age 40 with 501,000?

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 $501,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.6%
1 years$41,372$41,004$40,644$40,293$39,950$39,517
2 years$20,481$20,100$19,730$19,372$19,024$18,587
3 years$13,519$13,135$12,767$12,412$12,070$11,644
4 years$10,038$9,656$9,291$8,942$8,608$8,196
5 years$7,950$7,570$7,210$6,868$6,544$6,147
6 years$6,559$6,182$5,827$5,493$5,178$4,796
7 years$5,565$5,191$4,842$4,516$4,211$3,845
8 years$4,820$4,450$4,107$3,788$3,493$3,143
9 years$4,241$3,875$3,537$3,227$2,942$2,607
10 years$3,778$3,415$3,084$2,781$2,507$2,187
11 years$3,400$3,040$2,715$2,421$2,156$1,852
12 years$3,085$2,729$2,409$2,123$1,868$1,579
13 years$2,818$2,466$2,153$1,875$1,629$1,354
14 years$2,590$2,242$1,934$1,664$1,428$1,167
15 years$2,392$2,048$1,746$1,484$1,257$1,010
16 years$2,220$1,879$1,583$1,329$1,111$877
17 years$2,067$1,730$1,441$1,194$985$764
18 years$1,932$1,599$1,315$1,076$876$667
19 years$1,811$1,482$1,204$972$781$584
20 years$1,703$1,377$1,105$880$698$512
21 years$1,605$1,283$1,016$799$624$449
22 years$1,516$1,197$937$727$560$395
23 years$1,434$1,120$865$662$502$348
24 years$1,360$1,049$800$604$451$306
25 years$1,292$985$741$551$406$270
26 years$1,229$925$687$504$366$238
27 years$1,171$871$638$461$330$211
28 years$1,117$821$593$423$298$186
29 years$1,067$774$552$388$269$165
30 years$1,020$731$514$356$243$146
31 years$976$691$479$327$220$129
32 years$935$654$447$300$199$114
33 years$897$619$418$276$180$101
34 years$861$587$390$254$163$90
35 years$828$557$365$234$147$79
36 years$796$528$341$215$134$70
37 years$766$502$319$198$121$62
38 years$737$477$299$183$110$55
39 years$710$454$280$169$100$49
40 years$685$432$263$156$90$44
41 years$661$411$246$144$82$39
42 years$638$391$231$132$74$34
43 years$616$373$217$122$67$30
44 years$595$355$203$113$61$27
45 years$575$339$191$104$56$24
46 years$557$323$179$96$50$21
47 years$539$308$169$89$46$19
48 years$521$294$158$82$42$17
49 years$505$281$149$76$38$15
50 years$489$269$140$70$34$13

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $501,000, adding $5,488 every year, while hoping to spend $38,797 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: 70/5/25 Blend
39$501,000$501,000$501,000$501,000
40$557,763$531,210$523,444$592,900
41$573,375$515,959$499,700$601,868
42$589,279$498,661$473,860$606,659
43$605,464$479,175$445,813$610,986
44$621,917$457,349$415,443$614,800
45$638,621$433,028$382,628$618,048
46$655,556$406,042$347,242$620,675
47$672,700$376,216$309,153$622,619
48$690,027$343,361$268,221$623,815
49$707,506$307,282$224,302$624,191
50$725,100$267,768$177,245$623,670
51$742,771$224,599$126,893$622,168
52$760,471$177,542$73,081$619,596
53$778,147$126,349$15,638$615,855
54$795,739$70,762$0$610,838
55$813,180$10,505$0$616,613
56$830,393$0$0$626,117
57$847,291$0$0$638,101
58$863,777$0$0$650,329
59$879,741$0$0$662,141
60$895,061$0$0$673,439
61$909,599$0$0$684,118
62$923,203$0$0$694,059
63$935,700$0$0$703,130
64$946,900$0$0$711,181
65$956,588$0$0$718,047
66$964,527$0$0$723,546
67$970,452$0$0$727,471
68$974,070$0$0$729,596
69$975,052$0$0$729,667
70$973,036$0$0$727,403
71$967,617$0$0$722,493
72$958,349$0$0$714,590
73$944,735$0$0$703,310
74$926,224$0$0$688,229
75$902,207$0$0$668,875
76$872,007$0$0$644,726
77$834,877$0$0$615,203
78$789,988$0$0$579,668
79$736,424$0$0$537,412
80$673,171$0$0$487,653
81$599,107$0$0$429,524
82$512,993$0$0$362,068
83$413,458$0$0$284,226
84$298,987$0$0$194,830
85$167,905$0$0$92,585
86$18,364$0$0$0
87$0$0$0$0
88$0$0$0$0
89$0$0$0$0
90$0$0$0$0
91$0$0$0$0
92$0$0$0$0
93$0$0$0$0
94$0$0$0$0
95$0$0$0$0
96$0$0$0$0
97$0$0$0$0
98$0$0$0$0
99$0$0$0$0
100$0$0$0$0