Can I retire at age 40 with 543,000?

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 $543,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.4%
1 years$44,840$44,441$44,051$43,671$43,300$41,830
2 years$22,198$21,785$21,384$20,996$20,619$19,153
3 years$14,652$14,237$13,837$13,452$13,081$11,665
4 years$10,879$10,465$10,070$9,691$9,330$7,974
5 years$8,616$8,205$7,815$7,444$7,092$5,801
6 years$7,108$6,700$6,315$5,953$5,612$4,386
7 years$6,032$5,627$5,248$4,894$4,564$3,403
8 years$5,224$4,823$4,451$4,106$3,786$2,689
9 years$4,597$4,199$3,833$3,497$3,189$2,154
10 years$4,095$3,702$3,342$3,015$2,717$1,744
11 years$3,685$3,295$2,942$2,624$2,337$1,423
12 years$3,343$2,958$2,611$2,301$2,025$1,168
13 years$3,054$2,673$2,333$2,032$1,766$964
14 years$2,807$2,430$2,096$1,803$1,548$798
15 years$2,593$2,219$1,893$1,608$1,363$664
16 years$2,406$2,036$1,716$1,440$1,204$553
17 years$2,241$1,875$1,561$1,294$1,068$462
18 years$2,094$1,733$1,425$1,166$950$387
19 years$1,963$1,606$1,305$1,054$846$324
20 years$1,845$1,492$1,198$954$756$272
21 years$1,739$1,390$1,101$866$677$228
22 years$1,643$1,298$1,015$787$606$192
23 years$1,555$1,214$937$717$544$162
24 years$1,474$1,137$867$654$489$136
25 years$1,400$1,067$803$597$440$115
26 years$1,332$1,003$745$546$397$97
27 years$1,269$944$691$500$358$81
28 years$1,210$889$643$458$323$69
29 years$1,156$839$598$420$291$58
30 years$1,105$792$557$386$263$49
31 years$1,058$749$519$354$238$41
32 years$1,014$709$485$325$215$35
33 years$972$671$453$299$195$29
34 years$934$636$423$275$176$25
35 years$897$603$395$253$160$21
36 years$862$573$370$233$145$18
37 years$830$544$346$215$131$15
38 years$799$517$324$198$119$13
39 years$770$492$304$183$108$11
40 years$742$468$285$169$98$9
41 years$716$445$267$156$89$8
42 years$691$424$250$144$81$6
43 years$668$404$235$133$73$5
44 years$645$385$221$122$66$5
45 years$624$367$207$113$60$4
46 years$603$350$194$104$55$3
47 years$584$334$183$96$50$3
48 years$565$319$172$89$45$2
49 years$547$305$161$82$41$2
50 years$530$291$152$76$37$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $543,000, adding $2,390 every year, while hoping to spend $26,088 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: 60/31/9 Blend
39$543,000$543,000$543,000$543,000
40$600,851$572,072$563,656$635,548
41$634,381$572,346$554,781$659,381
42$670,456$571,760$544,734$682,178
43$709,309$570,242$533,449$706,396
44$751,194$567,720$520,856$732,173
45$796,392$564,115$506,881$759,662
46$845,211$559,343$491,448$789,032
47$897,988$553,316$474,477$820,471
48$955,095$545,941$455,884$854,186
49$1,016,940$537,118$435,582$890,407
50$1,083,974$526,742$413,480$929,388
51$1,156,689$514,702$389,481$971,411
52$1,235,628$500,880$363,485$1,016,788
53$1,321,389$485,150$335,390$1,065,863
54$1,414,630$467,381$305,084$1,119,017
55$1,516,072$447,433$272,454$1,176,673
56$1,626,512$425,158$237,382$1,239,297
57$1,746,825$400,399$199,743$1,307,405
58$1,877,973$372,990$159,406$1,381,570
59$2,021,017$342,757$116,237$1,462,421
60$2,177,123$309,515$70,093$1,550,658
61$2,347,576$273,068$20,828$1,647,052
62$2,533,789$233,209$0$1,752,456
63$2,737,319$189,720$0$1,870,863
64$2,959,880$142,370$0$2,002,599
65$3,203,357$90,915$0$2,146,829
66$3,469,828$35,099$0$2,304,844
67$3,761,581$0$0$2,478,067
68$4,081,134$0$0$2,676,719
69$4,431,261$0$0$2,907,539
70$4,815,018$0$0$3,160,573
71$5,235,769$0$0$3,438,045
72$5,697,219$0$0$3,742,405
73$6,203,450$0$0$4,076,350
74$6,758,958$0$0$4,442,853
75$7,368,695$0$0$4,845,187
76$8,038,115$0$0$5,286,957
77$8,773,227$0$0$5,772,136
78$9,580,650$0$0$6,305,099
79$10,467,676$0$0$6,890,667
80$11,442,336$0$0$7,534,150
81$12,513,482$0$0$8,241,399
82$13,690,861$0$0$9,018,857
83$14,985,214$0$0$9,873,627
84$16,408,375$0$0$10,813,532
85$17,973,381$0$0$11,847,189
86$19,694,594$0$0$12,984,096
87$21,587,841$0$0$14,234,715
88$23,670,558$0$0$15,610,573
89$25,961,955$0$0$17,124,373
90$28,483,201$0$0$18,790,108
91$31,257,617$0$0$20,623,198
92$34,310,902$0$0$22,640,633
93$37,671,369$0$0$24,861,133
94$41,370,217$0$0$27,305,325
95$45,441,824$0$0$29,995,939
96$49,924,067$0$0$32,958,017
97$54,858,686$0$0$36,219,156
98$60,291,670$0$0$39,809,763
99$66,273,697$0$0$43,763,343
100$72,860,607$0$0$48,116,818