Can I retire at age 40 with 561,000?

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 $561,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.3%
1 years$46,327$45,914$45,512$45,119$44,735$43,760
2 years$22,934$22,507$22,093$21,692$21,302$20,325
3 years$15,138$14,709$14,296$13,898$13,515$12,566
4 years$11,240$10,812$10,404$10,013$9,639$8,725
5 years$8,902$8,477$8,074$7,691$7,327$6,452
6 years$7,344$6,922$6,525$6,150$5,798$4,961
7 years$6,232$5,813$5,422$5,057$4,715$3,918
8 years$5,398$4,983$4,598$4,242$3,912$3,153
9 years$4,749$4,339$3,961$3,613$3,294$2,574
10 years$4,231$3,824$3,453$3,115$2,807$2,124
11 years$3,807$3,404$3,040$2,711$2,414$1,768
12 years$3,454$3,056$2,698$2,378$2,092$1,481
13 years$3,156$2,761$2,410$2,099$1,824$1,248
14 years$2,900$2,510$2,166$1,863$1,599$1,056
15 years$2,679$2,293$1,955$1,662$1,408$897
16 years$2,485$2,104$1,773$1,488$1,244$765
17 years$2,315$1,938$1,613$1,337$1,103$653
18 years$2,164$1,790$1,473$1,205$981$559
19 years$2,028$1,659$1,348$1,089$874$480
20 years$1,907$1,542$1,237$986$781$412
21 years$1,797$1,436$1,138$895$699$355
22 years$1,697$1,341$1,049$814$627$305
23 years$1,606$1,254$968$741$562$263
24 years$1,523$1,175$896$676$505$227
25 years$1,446$1,102$830$617$455$196
26 years$1,376$1,036$769$564$410$169
27 years$1,311$975$714$517$369$146
28 years$1,250$919$664$473$333$127
29 years$1,194$867$618$434$301$110
30 years$1,142$819$576$398$272$95
31 years$1,093$774$537$366$246$82
32 years$1,047$732$501$336$222$71
33 years$1,005$693$468$309$201$62
34 years$964$657$437$284$182$53
35 years$927$623$408$262$165$46
36 years$891$592$382$241$150$40
37 years$857$562$358$222$136$35
38 years$826$534$335$205$123$30
39 years$795$508$314$189$111$26
40 years$767$483$294$174$101$23
41 years$740$460$276$161$92$20
42 years$714$438$259$148$83$17
43 years$690$417$243$137$76$15
44 years$667$398$228$126$69$13
45 years$644$379$214$117$62$11
46 years$623$362$201$108$56$10
47 years$603$345$189$100$51$8
48 years$584$330$177$92$47$7
49 years$565$315$167$85$42$6
50 years$548$301$157$79$38$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $561,000, adding $2,964 every year, while hoping to spend $28,299 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: 77/11/12 Blend
39$561,000$561,000$561,000$561,000
40$621,279$591,546$582,851$667,455
41$654,540$590,422$572,266$697,153
42$690,245$588,295$560,379$725,813
43$728,613$585,084$547,115$756,441
44$769,886$580,707$532,397$789,221
45$814,327$575,075$516,146$824,357
46$862,228$568,093$498,276$862,076
47$913,907$559,662$478,700$902,624
48$969,715$549,675$457,326$946,277
49$1,030,037$538,020$434,058$993,335
50$1,095,296$524,578$408,794$1,044,133
51$1,165,958$509,224$381,430$1,099,037
52$1,242,534$491,825$351,857$1,158,453
53$1,325,586$472,238$319,958$1,222,828
54$1,415,734$450,316$285,615$1,292,654
55$1,513,658$425,900$248,701$1,368,476
56$1,620,106$398,824$209,087$1,450,892
57$1,735,900$368,910$166,636$1,540,565
58$1,861,949$335,973$121,205$1,638,224
59$1,999,247$299,815$72,644$1,744,674
60$2,148,892$260,228$20,800$1,860,802
61$2,312,091$216,991$0$1,987,587
62$2,490,173$169,872$0$2,130,530
63$2,684,600$118,625$0$2,289,530
64$2,896,982$62,991$0$2,463,257
65$3,129,091$2,695$0$2,653,184
66$3,382,879$0$0$2,860,932
67$3,660,494$0$0$3,095,861
68$3,964,301$0$0$3,353,332
69$4,296,905$0$0$3,635,228
70$4,661,175$0$0$3,943,983
71$5,060,269$0$0$4,282,277
72$5,497,666$0$0$4,653,062
73$5,977,196$0$0$5,059,586
74$6,503,079$0$0$5,505,432
75$7,079,964$0$0$5,994,542
76$7,712,968$0$0$6,531,259
77$8,407,730$0$0$7,120,367
78$9,170,461$0$0$7,767,136
79$10,008,003$0$0$8,477,371
80$10,927,891$0$0$9,257,466
81$11,938,429$0$0$10,114,467
82$13,048,763$0$0$11,056,133
83$14,268,968$0$0$12,091,013
84$15,610,145$0$0$13,228,527
85$17,084,523$0$0$14,479,050
86$18,705,574$0$0$15,854,015
87$20,488,144$0$0$17,366,017
88$22,448,586$0$0$19,028,932
89$24,604,918$0$0$20,858,048
90$26,976,993$0$0$22,870,213
91$29,586,684$0$0$25,083,984
92$32,458,093$0$0$27,519,811
93$35,617,772$0$0$30,200,227
94$39,094,981$0$0$33,150,057
95$42,921,957$0$0$36,396,656
96$47,134,222$0$0$39,970,164
97$51,770,916$0$0$43,903,794
98$56,875,167$0$0$48,234,139
99$62,494,496$0$0$53,001,523
100$68,681,264$0$0$58,250,376