Can I retire at age 40 with 515,000?

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 $515,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.3%
1 years$42,528$42,149$41,780$41,419$41,067$40,842
2 years$21,054$20,661$20,281$19,913$19,556$19,329
3 years$13,896$13,502$13,123$12,758$12,407$12,185
4 years$10,318$9,926$9,551$9,192$8,849$8,634
5 years$8,172$7,782$7,412$7,060$6,727$6,519
6 years$6,742$6,355$5,990$5,646$5,323$5,123
7 years$5,721$5,337$4,977$4,642$4,329$4,136
8 years$4,955$4,574$4,221$3,894$3,591$3,406
9 years$4,360$3,983$3,636$3,317$3,024$2,847
10 years$3,884$3,511$3,170$2,859$2,577$2,407
11 years$3,495$3,125$2,791$2,488$2,216$2,054
12 years$3,171$2,805$2,477$2,183$1,920$1,766
13 years$2,897$2,535$2,213$1,927$1,675$1,527
14 years$2,662$2,304$1,988$1,710$1,468$1,328
15 years$2,459$2,105$1,795$1,525$1,293$1,159
16 years$2,282$1,931$1,627$1,366$1,142$1,015
17 years$2,125$1,779$1,481$1,227$1,013$892
18 years$1,986$1,644$1,352$1,106$901$786
19 years$1,862$1,523$1,238$999$803$694
20 years$1,750$1,415$1,136$905$717$615
21 years$1,649$1,318$1,045$821$642$545
22 years$1,558$1,231$963$747$575$484
23 years$1,474$1,151$889$680$516$430
24 years$1,398$1,078$822$620$464$383
25 years$1,328$1,012$762$567$418$341
26 years$1,263$951$706$518$376$304
27 years$1,203$895$656$474$339$271
28 years$1,148$844$610$434$306$242
29 years$1,096$796$567$398$276$217
30 years$1,048$752$528$366$250$194
31 years$1,004$710$493$336$226$173
32 years$962$672$460$309$204$155
33 years$922$637$429$284$185$139
34 years$885$603$401$261$167$124
35 years$851$572$375$240$152$111
36 years$818$543$351$221$137$100
37 years$787$516$328$204$124$90
38 years$758$490$307$188$113$80
39 years$730$466$288$173$102$72
40 years$704$444$270$160$93$65
41 years$679$422$253$148$84$58
42 years$656$402$237$136$76$52
43 years$633$383$223$126$69$47
44 years$612$365$209$116$63$42
45 years$592$348$196$107$57$38
46 years$572$332$184$99$52$34
47 years$554$317$173$91$47$30
48 years$536$303$163$85$43$27
49 years$519$289$153$78$39$24
50 years$503$276$144$72$35$22

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $515,000, adding $5,386 every year, while hoping to spend $43,816 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: 72/11/17 Blend
39$515,000$515,000$515,000$515,000
40$573,086$545,791$537,808$611,708
41$584,921$525,915$509,205$618,190
42$596,494$503,596$478,175$619,470
43$607,733$478,669$444,590$619,738
44$618,556$450,958$408,319$618,888
45$628,872$420,278$369,220$616,799
46$638,577$386,431$327,149$613,342
47$647,557$349,212$281,953$608,377
48$655,684$308,399$233,475$601,748
49$662,815$263,763$181,548$593,287
50$668,792$215,057$126,000$582,809
51$673,437$162,023$66,649$570,111
52$676,554$104,388$3,308$554,974
53$677,922$41,863$0$537,155
54$677,300$0$0$528,053
55$674,417$0$0$520,243
56$668,972$0$0$515,455
57$660,634$0$0$508,356
58$649,033$0$0$498,653
59$633,760$0$0$486,021
60$614,364$0$0$470,101
61$590,341$0$0$450,494
62$561,138$0$0$426,759
63$526,139$0$0$398,408
64$484,666$0$0$364,901
65$435,964$0$0$325,640
66$379,205$0$0$279,966
67$313,466$0$0$227,148
68$237,734$0$0$166,380
69$150,884$0$0$96,769
70$51,675$0$0$17,330
71$0$0$0$0
72$0$0$0$0
73$0$0$0$0
74$0$0$0$0
75$0$0$0$0
76$0$0$0$0
77$0$0$0$0
78$0$0$0$0
79$0$0$0$0
80$0$0$0$0
81$0$0$0$0
82$0$0$0$0
83$0$0$0$0
84$0$0$0$0
85$0$0$0$0
86$0$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