Can I retire at age 40 with 533,000?

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 $533,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.5%
1 years$44,015$43,623$43,240$42,867$42,502$42,058
2 years$21,789$21,384$20,990$20,609$20,239$19,792
3 years$14,382$13,974$13,582$13,204$12,841$12,404
4 years$10,679$10,273$9,884$9,513$9,158$8,736
5 years$8,458$8,054$7,671$7,307$6,962$6,555
6 years$6,977$6,577$6,199$5,843$5,509$5,118
7 years$5,920$5,523$5,151$4,804$4,480$4,105
8 years$5,128$4,734$4,369$4,030$3,717$3,358
9 years$4,512$4,122$3,763$3,433$3,130$2,787
10 years$4,020$3,633$3,281$2,959$2,667$2,339
11 years$3,617$3,235$2,888$2,575$2,294$1,981
12 years$3,282$2,903$2,563$2,259$1,988$1,691
13 years$2,998$2,624$2,290$1,994$1,733$1,451
14 years$2,755$2,385$2,058$1,770$1,519$1,251
15 years$2,545$2,179$1,858$1,579$1,338$1,084
16 years$2,361$1,999$1,684$1,414$1,182$942
17 years$2,199$1,841$1,533$1,270$1,048$821
18 years$2,056$1,701$1,399$1,145$932$717
19 years$1,927$1,576$1,281$1,034$831$628
20 years$1,811$1,465$1,175$937$742$551
21 years$1,707$1,365$1,081$850$664$484
22 years$1,612$1,274$996$773$595$426
23 years$1,526$1,191$920$704$534$375
24 years$1,447$1,116$851$642$480$331
25 years$1,374$1,047$788$586$432$292
26 years$1,307$984$731$536$389$258
27 years$1,245$926$679$491$351$228
28 years$1,188$873$631$450$317$202
29 years$1,135$824$587$412$286$179
30 years$1,085$778$547$378$258$158
31 years$1,039$735$510$348$234$140
32 years$995$696$476$319$211$124
33 years$955$659$444$294$191$110
34 years$916$624$415$270$173$98
35 years$880$592$388$249$157$87
36 years$847$562$363$229$142$77
37 years$815$534$340$211$129$68
38 years$784$507$318$195$117$61
39 years$756$483$298$179$106$54
40 years$729$459$279$165$96$48
41 years$703$437$262$153$87$42
42 years$679$416$246$141$79$38
43 years$655$397$231$130$72$33
44 years$633$378$216$120$65$30
45 years$612$360$203$111$59$26
46 years$592$344$191$102$54$23
47 years$573$328$179$95$49$21
48 years$555$313$169$87$44$18
49 years$537$299$158$81$40$16
50 years$520$286$149$75$37$15

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $533,000, adding $5,942 every year, while hoping to spend $41,390 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: 85/8/7 Blend
39$533,000$533,000$533,000$533,000
40$593,495$565,246$556,985$643,088
41$609,993$548,905$531,605$659,998
42$626,786$530,375$503,988$672,304
43$643,862$509,507$474,015$684,512
44$661,203$486,140$441,561$696,584
45$678,791$460,105$406,499$708,478
46$696,602$431,225$368,691$720,149
47$714,609$399,309$327,996$731,545
48$732,783$364,159$284,267$742,610
49$751,087$325,563$237,350$753,282
50$769,480$283,297$187,084$763,493
51$787,915$237,127$133,299$773,166
52$806,338$186,803$75,821$782,218
53$824,690$132,061$14,466$790,557
54$842,901$72,625$0$798,081
55$860,894$8,200$0$808,489
56$878,580$0$0$819,249
57$895,861$0$0$834,575
58$912,627$0$0$850,135
59$928,752$0$0$865,090
60$944,098$0$0$879,311
61$958,508$0$0$892,651
62$971,809$0$0$904,947
63$983,806$0$0$916,016
64$994,281$0$0$925,654
65$1,002,995$0$0$933,637
66$1,009,677$0$0$939,711
67$1,014,028$0$0$943,596
68$1,015,716$0$0$944,981
69$1,014,372$0$0$943,519
70$1,009,584$0$0$938,825
71$1,000,898$0$0$930,473
72$987,809$0$0$917,990
73$969,757$0$0$900,851
74$946,121$0$0$878,474
75$916,213$0$0$850,215
76$879,273$0$0$815,361
77$834,457$0$0$773,122
78$780,834$0$0$722,625
79$717,371$0$0$662,903
80$642,927$0$0$592,885
81$556,239$0$0$511,391
82$455,913$0$0$417,112
83$340,406$0$0$308,603
84$208,014$0$0$184,269
85$56,854$0$0$42,344
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