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%19.1%
1 years$47,483$47,060$46,647$46,245$45,851$44,172
2 years$23,506$23,069$22,644$22,233$21,834$20,161
3 years$15,515$15,076$14,652$14,245$13,852$12,238
4 years$11,520$11,082$10,663$10,263$9,880$8,336
5 years$9,124$8,689$8,275$7,883$7,510$6,042
6 years$7,527$7,095$6,687$6,304$5,943$4,550
7 years$6,387$5,958$5,557$5,183$4,833$3,516
8 years$5,532$5,107$4,713$4,348$4,009$2,768
9 years$4,868$4,447$4,059$3,703$3,377$2,208
10 years$4,336$3,920$3,539$3,192$2,877$1,779
11 years$3,902$3,489$3,116$2,778$2,474$1,445
12 years$3,540$3,132$2,765$2,437$2,144$1,181
13 years$3,234$2,830$2,470$2,151$1,870$970
14 years$2,973$2,573$2,220$1,910$1,639$799
15 years$2,746$2,350$2,004$1,703$1,443$661
16 years$2,547$2,156$1,817$1,525$1,275$548
17 years$2,373$1,986$1,653$1,370$1,131$456
18 years$2,218$1,835$1,509$1,235$1,006$379
19 years$2,079$1,701$1,382$1,116$896$316
20 years$1,954$1,580$1,268$1,011$801$264
21 years$1,842$1,472$1,166$917$716$220
22 years$1,739$1,374$1,075$834$642$184
23 years$1,646$1,285$993$759$576$154
24 years$1,561$1,204$918$693$518$129
25 years$1,482$1,130$850$633$466$108
26 years$1,410$1,062$789$578$420$91
27 years$1,343$999$732$529$379$76
28 years$1,282$942$681$485$342$64
29 years$1,224$888$633$445$308$53
30 years$1,170$839$590$408$279$45
31 years$1,120$793$550$375$252$38
32 years$1,074$751$513$345$228$32
33 years$1,030$711$479$317$206$26
34 years$989$674$448$292$187$22
35 years$950$639$419$268$169$19
36 years$913$606$392$247$153$16
37 years$879$576$367$228$139$13
38 years$846$547$343$210$126$11
39 years$815$521$322$194$114$9
40 years$786$495$301$179$104$8
41 years$758$471$283$165$94$7
42 years$732$449$265$152$85$5
43 years$707$428$249$140$77$5
44 years$683$408$234$130$70$4
45 years$660$389$219$120$64$3
46 years$639$371$206$111$58$3
47 years$618$354$193$102$53$2
48 years$598$338$182$94$48$2
49 years$579$323$171$87$43$2
50 years$561$308$161$81$39$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $575,000, adding $3,617 every year, while hoping to spend $32,622 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: 42/40/18 Blend
39$575,000$575,000$575,000$575,000
40$637,381$606,906$597,993$660,652
41$667,684$601,935$583,317$672,494
42$699,985$595,627$567,055$681,847
43$734,453$587,882$549,121$691,291
44$771,273$578,594$529,422$700,851
45$810,649$567,651$507,864$710,555
46$852,803$554,934$484,345$720,440
47$897,981$540,317$458,762$730,545
48$946,449$523,668$431,006$740,918
49$998,503$504,843$400,960$751,616
50$1,054,466$483,696$368,507$762,703
51$1,114,691$460,066$333,522$774,253
52$1,179,568$433,788$295,873$786,353
53$1,249,524$404,684$255,426$799,100
54$1,325,030$372,568$212,037$812,608
55$1,406,601$337,242$165,558$827,006
56$1,494,805$298,497$115,835$842,438
57$1,590,264$256,113$62,704$859,071
58$1,693,664$209,856$5,998$877,093
59$1,805,759$159,480$0$896,717
60$1,927,377$104,724$0$928,654
61$2,059,429$45,315$0$964,613
62$2,202,917$0$0$1,003,783
63$2,358,943$0$0$1,054,926
64$2,528,721$0$0$1,132,344
65$2,713,586$0$0$1,216,708
66$2,915,005$0$0$1,308,697
67$3,134,595$0$0$1,409,056
68$3,374,133$0$0$1,518,609
69$3,635,579$0$0$1,638,260
70$3,921,087$0$0$1,769,005
71$4,233,030$0$0$1,911,941
72$4,574,018$0$0$2,068,274
73$4,946,927$0$0$2,239,336
74$5,354,923$0$0$2,426,588
75$5,801,492$0$0$2,631,644
76$6,290,473$0$0$2,856,278
77$6,826,092$0$0$3,102,445
78$7,413,006$0$0$3,372,298
79$8,056,340$0$0$3,668,209
80$8,761,741$0$0$3,992,788
81$9,535,429$0$0$4,348,913
82$10,384,252$0$0$4,739,752
83$11,315,756$0$0$5,168,794
84$12,338,250$0$0$5,639,885
85$13,460,891$0$0$6,157,260
86$14,693,761$0$0$6,725,582
87$16,047,969$0$0$7,349,993
88$17,535,753$0$0$8,036,153
89$19,170,595$0$0$8,790,300
90$20,967,345$0$0$9,619,305
91$22,942,366$0$0$10,530,740
92$25,113,685$0$0$11,532,944
93$27,501,160$0$0$12,635,107
94$30,126,674$0$0$13,847,353
95$33,014,332$0$0$15,180,838
96$36,190,695$0$0$16,647,851
97$39,685,028$0$0$18,261,935
98$43,529,574$0$0$20,038,009
99$47,759,859$0$0$21,992,513
100$52,415,026$0$0$24,143,562