Can I retire at age 40 with 562,000?

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 $562,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.8%
1 years$46,409$45,996$45,593$45,199$44,815$43,928
2 years$22,975$22,547$22,132$21,730$21,340$20,451
3 years$15,164$14,735$14,321$13,923$13,539$12,674
4 years$11,260$10,832$10,422$10,031$9,656$8,823
5 years$8,918$8,492$8,088$7,704$7,341$6,541
6 years$7,357$6,934$6,536$6,161$5,808$5,044
7 years$6,243$5,824$5,432$5,066$4,724$3,994
8 years$5,407$4,992$4,607$4,249$3,919$3,224
9 years$4,758$4,346$3,968$3,620$3,300$2,639
10 years$4,238$3,831$3,459$3,120$2,812$2,185
11 years$3,814$3,411$3,045$2,715$2,418$1,824
12 years$3,460$3,061$2,703$2,382$2,096$1,533
13 years$3,161$2,766$2,415$2,103$1,827$1,296
14 years$2,905$2,515$2,170$1,867$1,602$1,101
15 years$2,684$2,297$1,959$1,665$1,410$938
16 years$2,490$2,108$1,776$1,491$1,247$803
17 years$2,319$1,941$1,616$1,339$1,105$688
18 years$2,167$1,794$1,475$1,207$983$591
19 years$2,032$1,662$1,350$1,091$876$509
20 years$1,910$1,545$1,239$988$782$439
21 years$1,800$1,439$1,140$896$700$379
22 years$1,700$1,343$1,051$815$628$328
23 years$1,609$1,256$970$742$563$284
24 years$1,526$1,177$897$677$506$246
25 years$1,449$1,104$831$618$456$213
26 years$1,378$1,038$771$565$410$185
27 years$1,313$977$716$517$370$160
28 years$1,253$921$665$474$334$139
29 years$1,196$868$619$435$302$121
30 years$1,144$820$577$399$272$105
31 years$1,095$775$538$366$246$91
32 years$1,049$734$502$337$223$79
33 years$1,006$695$468$310$202$69
34 years$966$658$438$285$183$60
35 years$928$625$409$262$165$52
36 years$893$593$383$242$150$46
37 years$859$563$358$223$136$40
38 years$827$535$335$205$123$34
39 years$797$509$314$189$112$30
40 years$768$484$295$174$101$26
41 years$741$461$276$161$92$23
42 years$716$439$259$149$83$20
43 years$691$418$243$137$76$17
44 years$668$399$228$127$69$15
45 years$646$380$214$117$62$13
46 years$624$363$201$108$57$11
47 years$604$346$189$100$51$10
48 years$585$330$178$92$47$9
49 years$566$315$167$85$42$8
50 years$549$301$157$79$39$7

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $562,000, adding $3,519 every year, while hoping to spend $29,702 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: 64/7/29 Blend
39$562,000$562,000$562,000$562,000
40$622,954$593,168$584,457$657,799
41$654,892$590,630$572,433$679,298
42$689,093$586,973$559,012$699,206
43$725,756$582,110$544,114$720,321
44$765,099$575,949$527,657$742,768
45$807,362$568,394$509,557$766,681
46$852,809$559,341$489,723$792,213
47$901,729$548,683$468,063$819,532
48$954,441$536,303$444,478$848,825
49$1,011,291$522,080$418,866$880,297
50$1,072,665$505,883$391,120$914,177
51$1,138,983$487,578$361,128$950,720
52$1,210,708$467,018$328,775$990,206
53$1,288,348$444,050$293,937$1,032,946
54$1,372,464$418,512$256,488$1,079,285
55$1,463,669$390,234$216,294$1,129,604
56$1,562,641$359,033$173,218$1,184,326
57$1,670,123$324,717$127,113$1,243,917
58$1,786,933$287,086$77,828$1,308,894
59$1,913,970$245,924$25,206$1,379,829
60$2,052,226$201,005$0$1,457,355
61$2,202,790$152,090$0$1,551,748
62$2,366,860$98,928$0$1,663,150
63$2,545,755$41,251$0$1,784,663
64$2,740,929$0$0$1,917,292
65$2,953,978$0$0$2,063,775
66$3,186,663$0$0$2,227,266
67$3,440,921$0$0$2,405,952
68$3,718,883$0$0$2,601,336
69$4,022,897$0$0$2,815,073
70$4,355,548$0$0$3,048,986
71$4,719,683$0$0$3,305,082
72$5,118,436$0$0$3,585,570
73$5,555,257$0$0$3,892,884
74$6,033,949$0$0$4,229,705
75$6,558,697$0$0$4,598,982
76$7,134,112$0$0$5,003,969
77$7,765,271$0$0$5,448,244
78$8,457,769$0$0$5,935,753
79$9,217,765$0$0$6,470,839
80$10,052,046$0$0$7,058,287
81$10,968,086$0$0$7,703,368
82$11,974,121$0$0$8,411,890
83$13,079,221$0$0$9,190,249
84$14,293,379$0$0$10,045,491
85$15,627,603$0$0$10,985,379
86$17,094,022$0$0$12,018,467
87$18,705,996$0$0$13,154,175
88$20,478,246$0$0$14,402,885
89$22,426,988$0$0$15,776,034
90$24,570,092$0$0$17,286,222
91$26,927,241$0$0$18,947,331
92$29,520,126$0$0$20,774,658
93$32,372,645$0$0$22,785,055
94$35,511,126$0$0$24,997,092
95$38,964,581$0$0$27,431,226
96$42,764,975$0$0$30,110,003
97$46,947,529$0$0$33,058,259
98$51,551,050$0$0$36,303,364
99$56,618,298$0$0$39,875,474
100$62,196,390$0$0$43,807,818