Can I retire at age 40 with 575,000?

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 $575,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.4%
1 years$47,483$47,060$46,647$46,245$45,851$45,581
2 years$23,506$23,069$22,644$22,233$21,834$21,562
3 years$15,515$15,076$14,652$14,245$13,852$13,586
4 years$11,520$11,082$10,663$10,263$9,880$9,621
5 years$9,124$8,689$8,275$7,883$7,510$7,261
6 years$7,527$7,095$6,687$6,304$5,943$5,703
7 years$6,387$5,958$5,557$5,183$4,833$4,602
8 years$5,532$5,107$4,713$4,348$4,009$3,788
9 years$4,868$4,447$4,059$3,703$3,377$3,164
10 years$4,336$3,920$3,539$3,192$2,877$2,674
11 years$3,902$3,489$3,116$2,778$2,474$2,280
12 years$3,540$3,132$2,765$2,437$2,144$1,959
13 years$3,234$2,830$2,470$2,151$1,870$1,693
14 years$2,973$2,573$2,220$1,910$1,639$1,471
15 years$2,746$2,350$2,004$1,703$1,443$1,283
16 years$2,547$2,156$1,817$1,525$1,275$1,123
17 years$2,373$1,986$1,653$1,370$1,131$987
18 years$2,218$1,835$1,509$1,235$1,006$869
19 years$2,079$1,701$1,382$1,116$896$767
20 years$1,954$1,580$1,268$1,011$801$678
21 years$1,842$1,472$1,166$917$716$601
22 years$1,739$1,374$1,075$834$642$533
23 years$1,646$1,285$993$759$576$473
24 years$1,561$1,204$918$693$518$421
25 years$1,482$1,130$850$633$466$375
26 years$1,410$1,062$789$578$420$334
27 years$1,343$999$732$529$379$298
28 years$1,282$942$681$485$342$266
29 years$1,224$888$633$445$308$237
30 years$1,170$839$590$408$279$212
31 years$1,120$793$550$375$252$190
32 years$1,074$751$513$345$228$170
33 years$1,030$711$479$317$206$152
34 years$989$674$448$292$187$136
35 years$950$639$419$268$169$122
36 years$913$606$392$247$153$109
37 years$879$576$367$228$139$98
38 years$846$547$343$210$126$87
39 years$815$521$322$194$114$78
40 years$786$495$301$179$104$70
41 years$758$471$283$165$94$63
42 years$732$449$265$152$85$56
43 years$707$428$249$140$77$51
44 years$683$408$234$130$70$45
45 years$660$389$219$120$64$41
46 years$639$371$206$111$58$36
47 years$618$354$193$102$53$33
48 years$598$338$182$94$48$29
49 years$579$323$171$87$43$26
50 years$561$308$161$81$39$24

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $575,000, adding $4,915 every year, while hoping to spend $26,675 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: 75/5/20 Blend
39$575,000$575,000$575,000$575,000
40$638,720$608,245$599,332$683,252
41$675,487$609,667$591,028$714,864
42$715,111$610,264$581,551$745,762
43$757,854$609,969$570,835$778,937
44$804,006$608,708$558,809$814,611
45$853,884$606,404$545,398$853,026
46$907,837$602,975$530,526$894,452
47$966,249$598,334$514,112$939,183
48$1,029,543$592,389$496,071$987,547
49$1,098,182$585,042$476,315$1,039,903
50$1,172,677$576,188$454,751$1,096,649
51$1,253,587$565,719$431,283$1,158,223
52$1,341,532$553,518$405,810$1,225,108
53$1,437,189$539,462$378,226$1,297,838
54$1,541,307$523,420$348,420$1,377,000
55$1,654,706$505,253$316,279$1,463,243
56$1,778,292$484,817$281,680$1,557,281
57$1,913,060$461,955$244,498$1,659,904
58$2,060,106$436,505$204,603$1,771,983
59$2,220,636$408,293$161,856$1,894,475
60$2,395,978$377,136$116,115$2,028,440
61$2,587,593$342,840$67,230$2,175,044
62$2,797,090$305,202$15,045$2,335,575
63$3,026,241$264,005$0$2,511,452
64$3,276,997$219,020$0$2,712,914
65$3,551,505$170,007$0$2,937,004
66$3,852,131$116,710$0$3,182,448
67$4,181,480$58,860$0$3,451,385
68$4,542,420$0$0$3,746,172
69$4,938,110$0$0$4,069,613
70$5,372,030$0$0$4,427,878
71$5,848,012$0$0$4,820,896
72$6,370,278$0$0$5,252,156
73$6,943,476$0$0$5,725,498
74$7,572,729$0$0$6,245,157
75$8,263,678$0$0$6,815,795
76$9,022,537$0$0$7,442,546
77$9,856,152$0$0$8,131,070
78$10,772,066$0$0$8,887,599
79$11,778,586$0$0$9,719,000
80$12,884,866$0$0$10,632,836
81$14,100,991$0$0$11,637,443
82$15,438,068$0$0$12,742,001
83$16,908,339$0$0$13,956,627
84$18,525,288$0$0$15,292,465
85$20,303,774$0$0$16,761,795
86$22,260,166$0$0$18,378,145
87$24,412,500$0$0$20,156,423
88$26,780,649$0$0$22,113,052
89$29,386,509$0$0$24,266,129
90$32,254,204$0$0$26,635,592
91$35,410,318$0$0$29,243,411
92$38,884,140$0$0$32,113,794
93$42,707,945$0$0$35,273,414
94$46,917,292$0$0$38,751,661
95$51,551,367$0$0$42,580,921
96$56,653,345$0$0$46,796,878
97$62,270,803$0$0$51,438,853
98$68,456,164$0$0$56,550,174
99$75,267,195$0$0$62,178,582
100$82,767,549$0$0$68,376,688