Can I retire at age 40 with 514,000?

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 $514,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17%
1 years$42,446$42,068$41,699$41,339$40,987$39,819
2 years$21,013$20,621$20,242$19,874$19,518$18,350
3 years$13,869$13,476$13,098$12,734$12,383$11,252
4 years$10,298$9,906$9,532$9,174$8,832$7,746
5 years$8,156$7,767$7,397$7,046$6,714$5,677
6 years$6,729$6,342$5,978$5,635$5,312$4,325
7 years$5,709$5,326$4,968$4,633$4,320$3,382
8 years$4,945$4,566$4,213$3,886$3,584$2,695
9 years$4,351$3,975$3,629$3,310$3,018$2,178
10 years$3,876$3,504$3,164$2,854$2,572$1,778
11 years$3,488$3,119$2,785$2,483$2,212$1,464
12 years$3,165$2,800$2,472$2,178$1,917$1,213
13 years$2,891$2,530$2,208$1,923$1,671$1,011
14 years$2,657$2,300$1,984$1,707$1,465$845
15 years$2,454$2,101$1,791$1,522$1,290$710
16 years$2,277$1,928$1,624$1,363$1,140$597
17 years$2,121$1,775$1,478$1,225$1,011$504
18 years$1,982$1,640$1,349$1,104$899$426
19 years$1,858$1,520$1,235$997$801$361
20 years$1,747$1,413$1,134$903$716$306
21 years$1,646$1,316$1,043$820$640$260
22 years$1,555$1,228$961$745$574$221
23 years$1,472$1,149$887$679$515$188
24 years$1,395$1,076$821$619$463$160
25 years$1,325$1,010$760$565$417$136
26 years$1,261$949$705$517$375$116
27 years$1,201$893$655$473$338$99
28 years$1,146$842$608$434$305$84
29 years$1,094$794$566$398$276$72
30 years$1,046$750$527$365$249$62
31 years$1,002$709$492$335$225$52
32 years$960$671$459$308$204$45
33 years$920$635$428$283$184$38
34 years$884$602$400$261$167$33
35 years$849$571$374$240$151$28
36 years$816$542$350$221$137$24
37 years$786$515$328$204$124$20
38 years$756$489$307$188$113$17
39 years$729$465$287$173$102$15
40 years$703$443$269$160$93$13
41 years$678$421$253$147$84$11
42 years$654$401$237$136$76$9
43 years$632$382$222$125$69$8
44 years$611$364$209$116$63$7
45 years$590$348$196$107$57$6
46 years$571$332$184$99$52$5
47 years$553$316$173$91$47$4
48 years$535$302$163$84$43$4
49 years$518$288$153$78$39$3
50 years$502$276$144$72$35$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $514,000, adding $3,301 every year, while hoping to spend $24,778 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: 37/39/24 Blend
39$514,000$514,000$514,000$514,000
40$569,833$542,591$534,624$586,710
41$601,592$542,814$526,170$599,586
42$635,761$542,218$516,603$610,955
43$672,558$540,736$505,858$622,743
44$712,224$538,298$493,870$635,003
45$755,025$534,829$480,569$647,795
46$801,252$530,250$465,883$661,188
47$851,224$524,476$449,734$675,259
48$905,293$517,420$432,044$690,096
49$963,846$508,986$412,730$705,796
50$1,027,306$499,074$391,705$722,470
51$1,096,141$487,579$368,877$740,243
52$1,170,865$474,388$344,152$759,255
53$1,252,043$459,383$317,431$779,664
54$1,340,296$442,437$288,609$801,645
55$1,436,308$423,418$257,580$825,396
56$1,540,832$402,186$224,229$851,139
57$1,654,694$378,590$188,438$879,120
58$1,778,807$352,475$150,084$909,617
59$1,914,171$323,673$109,038$942,938
60$2,061,892$292,008$65,166$979,427
61$2,223,183$257,294$18,328$1,019,470
62$2,399,382$219,336$0$1,063,494
63$2,591,960$177,925$0$1,120,084
64$2,802,538$132,841$0$1,187,200
65$3,032,901$83,854$0$1,260,776
66$3,285,012$30,718$0$1,341,513
67$3,561,035$0$0$1,430,187
68$3,863,353$0$0$1,539,170
69$4,194,588$0$0$1,673,092
70$4,557,630$0$0$1,819,946
71$4,955,662$0$0$1,981,031
72$5,392,187$0$0$2,157,772
73$5,871,065$0$0$2,351,744
74$6,396,549$0$0$2,564,677
75$6,973,320$0$0$2,798,482
76$7,606,539$0$0$3,055,259
77$8,301,887$0$0$3,337,324
78$9,065,625$0$0$3,647,228
79$9,904,647$0$0$3,987,781
80$10,826,551$0$0$4,362,080
81$11,839,706$0$0$4,773,535
82$12,953,331$0$0$5,225,904
83$14,177,584$0$0$5,723,327
84$15,523,656$0$0$6,270,365
85$17,003,875$0$0$6,872,043
86$18,631,827$0$0$7,533,899
87$20,422,476$0$0$8,262,032
88$22,392,314$0$0$9,063,165
89$24,559,507$0$0$9,944,704
90$26,944,074$0$0$10,914,808
91$29,568,071$0$0$11,982,468
92$32,455,800$0$0$13,157,592
93$35,634,039$0$0$14,451,095
94$39,132,292$0$0$15,875,005
95$42,983,070$0$0$17,442,576
96$47,222,194$0$0$19,168,412
97$51,889,137$0$0$21,068,603
98$57,027,393$0$0$23,160,882
99$62,684,885$0$0$25,464,787
100$68,914,424$0$0$28,001,847