Can I retire at age 40 with 560,000?

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 $560,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.2%
1 years$46,244$45,832$45,430$45,038$44,655$43,174
2 years$22,893$22,467$22,054$21,653$21,264$19,786
3 years$15,111$14,682$14,270$13,873$13,491$12,063
4 years$11,220$10,793$10,385$9,995$9,622$8,254
5 years$8,886$8,462$8,059$7,677$7,314$6,011
6 years$7,331$6,910$6,513$6,139$5,788$4,550
7 years$6,220$5,803$5,412$5,048$4,707$3,534
8 years$5,388$4,974$4,590$4,234$3,905$2,796
9 years$4,741$4,331$3,953$3,607$3,288$2,243
10 years$4,223$3,817$3,447$3,109$2,802$1,818
11 years$3,800$3,398$3,034$2,706$2,410$1,485
12 years$3,448$3,050$2,693$2,373$2,088$1,221
13 years$3,150$2,757$2,406$2,095$1,821$1,009
14 years$2,895$2,506$2,162$1,860$1,596$837
15 years$2,674$2,289$1,952$1,659$1,405$696
16 years$2,481$2,100$1,770$1,485$1,242$581
17 years$2,311$1,934$1,610$1,334$1,101$486
18 years$2,160$1,787$1,470$1,203$979$408
19 years$2,025$1,656$1,346$1,087$873$342
20 years$1,903$1,539$1,235$984$780$287
21 years$1,794$1,434$1,136$893$698$242
22 years$1,694$1,338$1,047$812$625$204
23 years$1,603$1,252$967$740$561$172
24 years$1,520$1,173$894$675$505$145
25 years$1,444$1,101$828$616$454$122
26 years$1,373$1,034$768$563$409$103
27 years$1,308$973$713$516$369$87
28 years$1,248$917$663$472$333$73
29 years$1,192$865$617$433$300$62
30 years$1,140$817$575$398$271$52
31 years$1,091$773$536$365$245$44
32 years$1,046$731$500$336$222$37
33 years$1,003$692$467$309$201$32
34 years$963$656$436$284$182$27
35 years$925$622$408$261$165$23
36 years$889$591$381$241$149$19
37 years$856$561$357$222$135$16
38 years$824$533$334$204$123$14
39 years$794$507$313$188$111$12
40 years$766$482$294$174$101$10
41 years$739$459$275$160$92$8
42 years$713$437$258$148$83$7
43 years$689$417$242$137$75$6
44 years$665$397$227$126$68$5
45 years$643$379$214$117$62$4
46 years$622$361$201$108$56$4
47 years$602$345$188$99$51$3
48 years$583$329$177$92$47$3
49 years$564$314$166$85$42$2
50 years$547$300$156$78$38$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $560,000, adding $2,520 every year, while hoping to spend $42,519 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: 63/8/29 Blend
39$560,000$560,000$560,000$560,000
40$619,719$590,039$581,359$653,802
41$637,691$573,711$555,595$660,913
42$656,070$555,158$527,543$663,820
43$674,855$534,226$497,080$666,089
44$694,039$510,752$464,081$667,665
45$713,616$484,564$428,413$668,491
46$733,576$455,479$389,936$668,501
47$753,908$423,305$348,507$667,629
48$774,598$387,838$303,973$665,803
49$795,627$348,862$256,176$662,945
50$816,975$306,151$204,952$658,971
51$838,617$259,462$150,128$653,793
52$860,522$208,543$91,524$647,315
53$882,658$153,124$28,953$639,435
54$904,984$92,922$0$630,042
55$927,455$27,637$0$630,723
56$950,017$0$0$639,967
57$972,612$0$0$652,527
58$995,171$0$0$667,473
59$1,017,617$0$0$682,318
60$1,039,861$0$0$697,000
61$1,061,806$0$0$711,450
62$1,083,339$0$0$725,589
63$1,104,335$0$0$739,330
64$1,124,653$0$0$752,574
65$1,144,135$0$0$765,211
66$1,162,605$0$0$777,117
67$1,179,865$0$0$788,154
68$1,195,693$0$0$798,167
69$1,209,844$0$0$806,984
70$1,222,042$0$0$814,414
71$1,231,981$0$0$820,244
72$1,239,320$0$0$824,234
73$1,243,681$0$0$826,122
74$1,244,642$0$0$825,614
75$1,241,736$0$0$822,384
76$1,234,442$0$0$816,070
77$1,222,185$0$0$806,270
78$1,204,325$0$0$792,540
79$1,180,155$0$0$774,387
80$1,148,888$0$0$751,264
81$1,109,655$0$0$722,565
82$1,061,493$0$0$687,622
83$1,003,336$0$0$645,692
84$934,005$0$0$595,955
85$852,194$0$0$537,504
86$756,461$0$0$469,335
87$645,209$0$0$390,338
88$516,674$0$0$299,287
89$368,907$0$0$194,826
90$199,753$0$0$75,459
91$6,832$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