Can I retire at age 40 with 520,000?

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 $520,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.2%
1 years$42,941$42,559$42,185$41,821$41,466$41,084
2 years$21,258$20,862$20,478$20,106$19,745$19,361
3 years$14,031$13,634$13,251$12,882$12,527$12,152
4 years$10,419$10,022$9,643$9,281$8,935$8,571
5 years$8,251$7,857$7,484$7,129$6,792$6,441
6 years$6,807$6,416$6,048$5,701$5,374$5,037
7 years$5,776$5,388$5,026$4,687$4,371$4,047
8 years$5,003$4,619$4,262$3,932$3,626$3,316
9 years$4,402$4,021$3,671$3,349$3,054$2,757
10 years$3,922$3,545$3,201$2,887$2,602$2,319
11 years$3,529$3,156$2,818$2,512$2,238$1,968
12 years$3,202$2,832$2,501$2,204$1,939$1,682
13 years$2,925$2,560$2,234$1,946$1,691$1,446
14 years$2,688$2,327$2,007$1,727$1,482$1,250
15 years$2,483$2,125$1,812$1,540$1,305$1,084
16 years$2,304$1,950$1,643$1,379$1,153$944
17 years$2,146$1,796$1,495$1,239$1,023$825
18 years$2,005$1,660$1,365$1,117$909$722
19 years$1,880$1,538$1,250$1,009$811$634
20 years$1,767$1,429$1,147$914$724$557
21 years$1,665$1,331$1,055$829$648$491
22 years$1,573$1,243$972$754$581$433
23 years$1,489$1,162$898$687$521$382
24 years$1,412$1,089$830$626$469$338
25 years$1,341$1,022$769$572$422$299
26 years$1,275$960$713$523$380$265
27 years$1,215$904$662$479$342$234
28 years$1,159$852$616$439$309$208
29 years$1,107$804$573$402$279$184
30 years$1,058$759$534$369$252$164
31 years$1,013$717$497$339$228$145
32 years$971$679$464$312$206$129
33 years$931$643$433$287$187$115
34 years$894$609$405$264$169$102
35 years$859$578$379$243$153$91
36 years$826$548$354$224$139$81
37 years$795$521$331$206$126$72
38 years$765$495$310$190$114$64
39 years$737$471$291$175$103$57
40 years$711$448$273$161$94$51
41 years$686$426$256$149$85$45
42 years$662$406$240$137$77$40
43 years$639$387$225$127$70$36
44 years$618$369$211$117$64$32
45 years$597$352$198$108$58$28
46 years$578$335$186$100$52$25
47 years$559$320$175$92$48$23
48 years$541$306$164$85$43$20
49 years$524$292$155$79$39$18
50 years$508$279$145$73$36$16

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $520,000, adding $5,356 every year, while hoping to spend $35,621 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: 58/23/19 Blend
39$520,000$520,000$520,000$520,000
40$578,565$551,005$542,945$608,927
41$599,678$540,103$523,233$619,256
42$621,751$527,474$501,667$626,174
43$644,843$512,995$478,147$632,916
44$669,021$496,535$452,569$639,474
45$694,355$477,959$424,823$645,837
46$720,922$457,121$394,797$651,997
47$748,804$433,868$362,371$657,947
48$778,091$408,038$327,420$663,682
49$808,883$379,458$289,815$669,198
50$841,286$347,948$249,421$674,491
51$875,415$313,316$206,095$679,563
52$911,398$275,359$159,689$684,416
53$949,372$233,862$110,050$689,057
54$989,487$188,601$57,015$693,496
55$1,031,907$139,334$418$697,746
56$1,076,810$85,811$0$701,826
57$1,124,393$27,764$0$717,922
58$1,174,868$0$0$734,785
59$1,228,469$0$0$761,288
60$1,285,451$0$0$796,956
61$1,346,093$0$0$834,939
62$1,410,701$0$0$875,433
63$1,479,608$0$0$918,649
64$1,553,183$0$0$964,823
65$1,631,825$0$0$1,014,209
66$1,715,976$0$0$1,067,088
67$1,806,118$0$0$1,123,767
68$1,902,780$0$0$1,184,585
69$2,006,544$0$0$1,249,912
70$2,118,047$0$0$1,320,153
71$2,237,988$0$0$1,395,756
72$2,367,136$0$0$1,477,210
73$2,506,334$0$0$1,565,053
74$2,656,510$0$0$1,659,877
75$2,818,682$0$0$1,762,332
76$2,993,968$0$0$1,873,132
77$3,183,599$0$0$1,993,060
78$3,388,925$0$0$2,122,981
79$3,611,434$0$0$2,263,843
80$3,852,759$0$0$2,416,688
81$4,114,698$0$0$2,582,665
82$4,399,226$0$0$2,763,034
83$4,708,518$0$0$2,959,185
84$5,044,966$0$0$3,172,644
85$5,411,202$0$0$3,405,093
86$5,810,120$0$0$3,658,379
87$6,244,908$0$0$3,934,539
88$6,719,072$0$0$4,235,811
89$7,236,472$0$0$4,564,662
90$7,801,357$0$0$4,923,805
91$8,418,403$0$0$5,316,227
92$9,092,759$0$0$5,745,217
93$9,830,093$0$0$6,214,396
94$10,636,646$0$0$6,727,752
95$11,519,289$0$0$7,289,673
96$12,485,591$0$0$7,904,995
97$13,543,882$0$0$8,579,040
98$14,703,338$0$0$9,317,672
99$15,974,066$0$0$10,127,347
100$17,367,193$0$0$11,015,175