Can I retire at age 40 with 548,000?

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 $548,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12%
1 years$45,253$44,850$44,457$44,073$43,698$43,332
2 years$22,403$21,985$21,581$21,189$20,809$20,440
3 years$14,787$14,368$13,964$13,576$13,202$12,841
4 years$10,980$10,562$10,162$9,781$9,416$9,067
5 years$8,696$8,281$7,887$7,513$7,158$6,821
6 years$7,174$6,762$6,373$6,008$5,664$5,340
7 years$6,087$5,678$5,296$4,939$4,606$4,295
8 years$5,272$4,867$4,492$4,144$3,821$3,523
9 years$4,639$4,238$3,869$3,529$3,218$2,933
10 years$4,133$3,736$3,373$3,042$2,742$2,469
11 years$3,719$3,326$2,969$2,648$2,358$2,098
12 years$3,374$2,985$2,635$2,322$2,043$1,796
13 years$3,083$2,697$2,354$2,050$1,782$1,546
14 years$2,833$2,452$2,115$1,820$1,562$1,338
15 years$2,617$2,240$1,910$1,623$1,375$1,162
16 years$2,428$2,055$1,732$1,453$1,216$1,014
17 years$2,261$1,893$1,576$1,306$1,078$886
18 years$2,113$1,749$1,438$1,177$958$777
19 years$1,981$1,621$1,317$1,063$854$683
20 years$1,862$1,506$1,209$963$763$601
21 years$1,755$1,403$1,112$874$683$530
22 years$1,658$1,310$1,025$795$612$468
23 years$1,569$1,225$946$724$549$414
24 years$1,488$1,148$875$660$494$367
25 years$1,413$1,077$810$603$444$325
26 years$1,344$1,012$752$551$400$288
27 years$1,280$953$698$505$361$256
28 years$1,221$898$649$462$326$227
29 years$1,167$847$604$424$294$202
30 years$1,115$800$562$389$266$180
31 years$1,068$756$524$357$240$160
32 years$1,023$715$489$328$217$142
33 years$981$677$457$302$197$127
34 years$942$642$427$278$178$113
35 years$905$609$399$256$161$100
36 years$870$578$373$236$146$89
37 years$837$549$349$217$132$80
38 years$806$522$327$200$120$71
39 years$777$496$306$184$109$63
40 years$749$472$287$170$99$56
41 years$723$449$269$157$90$50
42 years$698$428$253$145$81$45
43 years$674$408$237$134$74$40
44 years$651$389$223$123$67$36
45 years$629$371$209$114$61$32
46 years$609$354$196$105$55$28
47 years$589$337$184$97$50$25
48 years$570$322$173$90$46$23
49 years$552$308$163$83$41$20
50 years$535$294$153$77$38$18

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $548,000, adding $4,846 every year, while hoping to spend $37,884 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: 48/35/17 Blend
39$548,000$548,000$548,000$548,000
40$608,895$579,851$571,357$634,999
41$630,694$567,955$550,189$641,696
42$653,446$554,207$527,042$644,708
43$677,210$538,475$501,810$647,163
44$702,047$520,622$474,382$649,024
45$728,024$500,500$444,642$650,252
46$755,212$477,955$412,468$650,807
47$783,692$452,823$377,733$650,648
48$813,547$424,929$340,306$649,733
49$844,869$394,092$300,047$648,019
50$877,759$360,116$256,812$645,463
51$912,326$322,796$210,450$642,020
52$948,686$281,917$160,803$637,646
53$986,970$237,248$107,708$632,296
54$1,027,316$188,549$50,992$625,926
55$1,069,878$135,563$0$618,489
56$1,114,821$78,021$0$611,673
57$1,162,326$15,637$0$613,687
58$1,212,591$0$0$615,266
59$1,265,831$0$0$636,393
60$1,322,284$0$0$665,208
61$1,382,206$0$0$695,826
62$1,445,878$0$0$728,395
63$1,513,610$0$0$763,075
64$1,585,739$0$0$800,045
65$1,662,634$0$0$839,499
66$1,744,699$0$0$881,649
67$1,832,377$0$0$926,728
68$1,926,155$0$0$974,994
69$2,026,565$0$0$1,026,725
70$2,134,191$0$0$1,082,229
71$2,249,674$0$0$1,141,845
72$2,373,717$0$0$1,205,942
73$2,507,091$0$0$1,274,927
74$2,650,643$0$0$1,349,247
75$2,805,305$0$0$1,429,393
76$2,972,097$0$0$1,515,903
77$3,152,143$0$0$1,609,369
78$3,346,676$0$0$1,710,442
79$3,557,051$0$0$1,819,838
80$3,784,758$0$0$1,938,342
81$4,031,435$0$0$2,066,820
82$4,298,883$0$0$2,206,221
83$4,589,082$0$0$2,357,592
84$4,904,211$0$0$2,522,082
85$5,246,664$0$0$2,700,957
86$5,619,078$0$0$2,895,608
87$6,024,352$0$0$3,107,567
88$6,465,676$0$0$3,338,518
89$6,946,560$0$0$3,590,318
90$7,470,868$0$0$3,865,005
91$8,042,852$0$0$4,164,828
92$8,667,191$0$0$4,492,259
93$9,349,039$0$0$4,850,020
94$10,094,065$0$0$5,241,109
95$10,908,514$0$0$5,668,825
96$11,799,259$0$0$6,136,802
97$12,773,871$0$0$6,649,039
98$13,840,681$0$0$7,209,943
99$15,008,868$0$0$7,824,364
100$16,288,539$0$0$8,497,644