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%17.5%
1 years$43,437$43,050$42,672$42,304$41,944$40,666
2 years$21,503$21,103$20,715$20,338$19,973$18,697
3 years$14,193$13,791$13,404$13,031$12,672$11,437
4 years$10,539$10,138$9,755$9,388$9,038$7,854
5 years$8,347$7,948$7,570$7,211$6,870$5,741
6 years$6,886$6,490$6,118$5,767$5,436$4,362
7 years$5,843$5,451$5,084$4,741$4,421$3,402
8 years$5,061$4,672$4,311$3,977$3,668$2,703
9 years$4,453$4,068$3,713$3,388$3,089$2,177
10 years$3,967$3,586$3,237$2,920$2,632$1,772
11 years$3,570$3,192$2,850$2,541$2,263$1,454
12 years$3,239$2,865$2,529$2,229$1,961$1,201
13 years$2,959$2,589$2,260$1,968$1,710$997
14 years$2,719$2,353$2,031$1,747$1,499$831
15 years$2,512$2,150$1,833$1,558$1,320$695
16 years$2,330$1,973$1,662$1,395$1,167$583
17 years$2,171$1,817$1,513$1,253$1,035$490
18 years$2,029$1,679$1,381$1,130$920$413
19 years$1,902$1,556$1,264$1,021$820$349
20 years$1,788$1,446$1,160$924$732$295
21 years$1,685$1,347$1,067$839$655$249
22 years$1,591$1,257$983$763$587$211
23 years$1,506$1,176$908$695$527$179
24 years$1,428$1,102$840$634$474$152
25 years$1,356$1,034$778$579$426$129
26 years$1,290$972$721$529$384$109
27 years$1,229$914$670$484$346$93
28 years$1,172$862$623$444$313$79
29 years$1,120$813$579$407$282$67
30 years$1,071$768$540$373$255$57
31 years$1,025$726$503$343$231$48
32 years$982$687$469$315$209$41
33 years$942$650$438$290$189$35
34 years$904$616$410$267$171$30
35 years$869$584$383$245$155$25
36 years$835$555$358$226$140$21
37 years$804$527$335$208$127$18
38 years$774$501$314$192$115$16
39 years$746$476$294$177$104$13
40 years$719$453$276$163$95$11
41 years$694$431$259$151$86$10
42 years$670$411$243$139$78$8
43 years$647$391$228$128$71$7
44 years$625$373$214$119$64$6
45 years$604$356$201$109$58$5
46 years$584$339$188$101$53$4
47 years$565$324$177$93$48$4
48 years$547$309$166$86$44$3
49 years$530$295$156$80$40$3
50 years$514$282$147$74$36$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $526,000, adding $2,486 every year, while hoping to spend $36,283 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: 51/24/25 Blend
39$526,000$526,000$526,000$526,000
40$582,216$554,338$546,185$607,713
41$602,998$542,896$525,878$614,235
42$624,682$529,677$503,674$617,445
43$647,325$514,556$479,472$620,201
44$670,983$497,400$453,165$622,475
45$695,719$478,069$424,642$624,237
46$721,602$456,414$393,787$625,459
47$748,705$432,278$360,479$626,111
48$777,108$405,494$324,589$626,164
49$806,897$375,887$285,987$625,587
50$838,166$343,271$244,533$624,351
51$871,016$307,449$200,083$622,427
52$905,560$268,214$152,485$619,785
53$941,916$225,346$101,582$616,396
54$980,216$178,612$47,210$612,235
55$1,020,603$127,769$0$607,275
56$1,063,232$72,557$0$604,377
57$1,108,273$12,704$0$614,262
58$1,155,911$0$0$624,353
59$1,206,347$0$0$648,442
60$1,259,803$0$0$677,555
61$1,316,519$0$0$708,470
62$1,376,759$0$0$741,336
63$1,440,811$0$0$776,313
64$1,508,991$0$0$813,577
65$1,581,643$0$0$853,322
66$1,659,146$0$0$895,759
67$1,741,913$0$0$941,120
68$1,830,399$0$0$989,658
69$1,925,102$0$0$1,041,652
70$2,026,566$0$0$1,097,408
71$2,135,390$0$0$1,157,260
72$2,252,231$0$0$1,221,576
73$2,377,809$0$0$1,290,761
74$2,512,915$0$0$1,365,256
75$2,658,418$0$0$1,445,550
76$2,815,272$0$0$1,532,176
77$2,984,524$0$0$1,625,722
78$3,167,326$0$0$1,726,834
79$3,364,943$0$0$1,836,220
80$3,578,765$0$0$1,954,662
81$3,810,320$0$0$2,083,015
82$4,061,290$0$0$2,222,224
83$4,333,522$0$0$2,373,324
84$4,629,047$0$0$2,537,456
85$4,950,102$0$0$2,715,874
86$5,299,144$0$0$2,909,958
87$5,678,879$0$0$3,121,226
88$6,092,282$0$0$3,351,349
89$6,542,629$0$0$3,602,165
90$7,033,522$0$0$3,875,696
91$7,568,928$0$0$4,174,171
92$8,153,212$0$0$4,500,039
93$8,791,178$0$0$4,855,999
94$9,488,118$0$0$5,245,020
95$10,249,852$0$0$5,670,374
96$11,082,793$0$0$6,135,661
97$11,993,998$0$0$6,644,844
98$12,991,240$0$0$7,202,290
99$14,083,078$0$0$7,812,804
100$15,278,935$0$0$8,481,681