Can I retire at age 40 with 526,000?

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 $526,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.1%
1 years$43,437$43,050$42,672$42,304$41,944$41,750
2 years$21,503$21,103$20,715$20,338$19,973$19,777
3 years$14,193$13,791$13,404$13,031$12,672$12,480
4 years$10,539$10,138$9,755$9,388$9,038$8,852
5 years$8,347$7,948$7,570$7,211$6,870$6,690
6 years$6,886$6,490$6,118$5,767$5,436$5,263
7 years$5,843$5,451$5,084$4,741$4,421$4,254
8 years$5,061$4,672$4,311$3,977$3,668$3,508
9 years$4,453$4,068$3,713$3,388$3,089$2,935
10 years$3,967$3,586$3,237$2,920$2,632$2,485
11 years$3,570$3,192$2,850$2,541$2,263$2,123
12 years$3,239$2,865$2,529$2,229$1,961$1,827
13 years$2,959$2,589$2,260$1,968$1,710$1,582
14 years$2,719$2,353$2,031$1,747$1,499$1,377
15 years$2,512$2,150$1,833$1,558$1,320$1,204
16 years$2,330$1,973$1,662$1,395$1,167$1,056
17 years$2,171$1,817$1,513$1,253$1,035$929
18 years$2,029$1,679$1,381$1,130$920$820
19 years$1,902$1,556$1,264$1,021$820$725
20 years$1,788$1,446$1,160$924$732$643
21 years$1,685$1,347$1,067$839$655$571
22 years$1,591$1,257$983$763$587$507
23 years$1,506$1,176$908$695$527$452
24 years$1,428$1,102$840$634$474$403
25 years$1,356$1,034$778$579$426$359
26 years$1,290$972$721$529$384$321
27 years$1,229$914$670$484$346$287
28 years$1,172$862$623$444$313$257
29 years$1,120$813$579$407$282$230
30 years$1,071$768$540$373$255$206
31 years$1,025$726$503$343$231$184
32 years$982$687$469$315$209$165
33 years$942$650$438$290$189$148
34 years$904$616$410$267$171$133
35 years$869$584$383$245$155$119
36 years$835$555$358$226$140$107
37 years$804$527$335$208$127$96
38 years$774$501$314$192$115$86
39 years$746$476$294$177$104$78
40 years$719$453$276$163$95$70
41 years$694$431$259$151$86$63
42 years$670$411$243$139$78$56
43 years$647$391$228$128$71$51
44 years$625$373$214$119$64$46
45 years$604$356$201$109$58$41
46 years$584$339$188$101$53$37
47 years$565$324$177$93$48$33
48 years$547$309$166$86$44$30
49 years$530$295$156$80$40$27
50 years$514$282$147$74$36$24

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $526,000, adding $3,457 every year, while hoping to spend $31,528 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: 59/36/5 Blend
39$526,000$526,000$526,000$526,000
40$583,218$555,340$547,187$616,908
41$609,161$549,006$531,972$633,547
42$636,693$541,305$515,191$647,757
43$665,943$532,137$496,758$662,446
44$697,053$521,395$476,583$677,664
45$730,176$508,967$454,572$693,461
46$765,482$494,734$430,627$709,899
47$803,154$478,570$404,647$727,044
48$843,397$460,340$376,524$744,973
49$886,431$439,905$346,145$763,770
50$932,501$417,114$313,394$783,532
51$981,873$391,809$278,150$804,366
52$1,034,839$363,824$240,284$826,394
53$1,091,722$332,980$199,663$849,749
54$1,152,875$299,093$156,148$874,585
55$1,218,683$261,963$109,594$901,071
56$1,289,572$221,383$59,849$929,396
57$1,366,010$177,132$6,755$959,774
58$1,448,508$128,977$0$992,440
59$1,537,631$76,673$0$1,030,323
60$1,633,998$19,958$0$1,071,612
61$1,738,290$0$0$1,116,287
62$1,851,254$0$0$1,181,141
63$1,973,714$0$0$1,260,053
64$2,106,574$0$0$1,345,704
65$2,250,830$0$0$1,438,742
66$2,407,575$0$0$1,539,877
67$2,578,014$0$0$1,649,890
68$2,763,471$0$0$1,769,643
69$2,965,404$0$0$1,900,081
70$3,185,415$0$0$2,042,247
71$3,425,270$0$0$2,197,287
72$3,686,911$0$0$2,366,464
73$3,972,476$0$0$2,551,165
74$4,284,317$0$0$2,752,921
75$4,625,026$0$0$2,973,414
76$4,997,453$0$0$3,214,498
77$5,404,740$0$0$3,478,214
78$5,850,343$0$0$3,766,806
79$6,338,068$0$0$4,082,751
80$6,872,107$0$0$4,428,772
81$7,457,076$0$0$4,807,868
82$8,098,059$0$0$5,223,344
83$8,800,653$0$0$5,678,838
84$9,571,025$0$0$6,178,358
85$10,415,964$0$0$6,726,318
86$11,342,951$0$0$7,327,580
87$12,360,225$0$0$7,987,499
88$13,476,860$0$0$8,711,973
89$14,702,852$0$0$9,507,500
90$16,049,213$0$0$10,381,239
91$17,528,072$0$0$11,341,075
92$19,152,794$0$0$12,395,693
93$20,938,098$0$0$13,554,664
94$22,900,202$0$0$14,828,531
95$25,056,973$0$0$16,228,907
96$27,428,094$0$0$17,768,590
97$30,035,253$0$0$19,461,677
98$32,902,340$0$0$21,323,701
99$36,055,680$0$0$23,371,774
100$39,524,276$0$0$25,624,752