Can I retire at age 40 with 588,000?

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 $588,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.4%
1 years$48,556$48,124$47,702$47,290$46,888$45,662
2 years$24,038$23,590$23,156$22,736$22,328$21,101
3 years$15,866$15,416$14,984$14,567$14,166$12,976
4 years$11,781$11,333$10,904$10,495$10,103$8,960
5 years$9,331$8,885$8,462$8,061$7,680$6,587
6 years$7,697$7,255$6,839$6,446$6,077$5,035
7 years$6,531$6,093$5,683$5,300$4,942$3,951
8 years$5,657$5,223$4,820$4,446$4,100$3,160
9 years$4,978$4,547$4,151$3,787$3,453$2,562
10 years$4,434$4,008$3,619$3,264$2,942$2,100
11 years$3,990$3,568$3,186$2,841$2,530$1,736
12 years$3,620$3,203$2,828$2,492$2,193$1,444
13 years$3,308$2,894$2,526$2,200$1,912$1,208
14 years$3,040$2,631$2,270$1,953$1,676$1,014
15 years$2,808$2,403$2,049$1,742$1,476$855
16 years$2,605$2,205$1,858$1,559$1,304$723
17 years$2,426$2,031$1,691$1,401$1,156$613
18 years$2,268$1,877$1,543$1,263$1,028$521
19 years$2,126$1,739$1,413$1,141$917$443
20 years$1,998$1,616$1,297$1,033$819$377
21 years$1,883$1,505$1,193$938$733$322
22 years$1,779$1,405$1,099$853$657$275
23 years$1,683$1,314$1,015$777$589$235
24 years$1,596$1,231$939$708$530$201
25 years$1,516$1,156$869$647$477$172
26 years$1,442$1,086$806$591$429$147
27 years$1,374$1,022$749$541$387$126
28 years$1,311$963$696$496$349$108
29 years$1,252$909$648$455$315$93
30 years$1,197$858$603$417$285$80
31 years$1,146$811$563$383$258$68
32 years$1,098$768$525$352$233$59
33 years$1,053$727$490$324$211$50
34 years$1,011$689$458$298$191$43
35 years$971$653$428$274$173$37
36 years$934$620$400$253$157$32
37 years$899$589$375$233$142$27
38 years$865$560$351$215$129$23
39 years$834$532$329$198$117$20
40 years$804$506$308$183$106$17
41 years$776$482$289$168$96$15
42 years$749$459$271$155$87$13
43 years$723$437$254$143$79$11
44 years$699$417$239$132$72$9
45 years$675$398$224$122$65$8
46 years$653$379$211$113$59$7
47 years$632$362$198$104$54$6
48 years$612$346$186$96$49$5
49 years$593$330$175$89$44$4
50 years$574$315$164$82$40$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $588,000, adding $6,766 every year, while hoping to spend $28,514 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: 69/11/20 Blend
39$588,000$588,000$588,000$588,000
40$654,955$623,791$614,677$696,472
41$691,422$624,018$604,930$725,290
42$730,653$623,301$593,901$752,836
43$772,899$621,562$581,517$782,281
44$818,438$618,722$567,700$813,808
45$867,573$614,694$552,373$847,622
46$920,637$609,386$535,449$883,950
47$977,999$602,702$516,843$923,042
48$1,040,060$594,540$496,463$965,172
49$1,107,264$584,790$474,212$1,010,646
50$1,180,098$573,338$449,991$1,059,801
51$1,259,097$560,061$423,696$1,113,008
52$1,344,852$544,831$395,216$1,170,677
53$1,438,009$527,510$364,438$1,233,262
54$1,539,282$507,953$331,242$1,301,264
55$1,649,454$486,008$295,504$1,375,235
56$1,769,388$461,513$257,094$1,455,787
57$1,900,034$434,296$215,875$1,543,593
58$2,042,437$404,175$171,706$1,639,396
59$2,197,745$370,959$124,438$1,744,020
60$2,367,224$334,446$73,916$1,858,370
61$2,552,268$294,420$19,979$1,983,449
62$2,754,409$250,656$0$2,120,360
63$2,975,335$202,915$0$2,278,343
64$3,216,905$150,944$0$2,455,796
65$3,481,166$94,476$0$2,649,976
66$3,770,368$33,229$0$2,862,563
67$4,086,995$0$0$3,095,409
68$4,433,777$0$0$3,354,560
69$4,813,722$0$0$3,642,934
70$5,230,145$0$0$3,959,028
71$5,686,694$0$0$4,305,615
72$6,187,388$0$0$4,685,752
73$6,736,652$0$0$5,102,803
74$7,339,364$0$0$5,560,475
75$8,000,893$0$0$6,062,851
76$8,727,154$0$0$6,614,428
77$9,524,664$0$0$7,220,161
78$10,400,602$0$0$7,885,507
79$11,362,875$0$0$8,616,479
80$12,420,194$0$0$9,419,699
81$13,582,156$0$0$10,302,464
82$14,859,334$0$0$11,272,813
83$16,263,375$0$0$12,339,601
84$17,807,114$0$0$13,512,587
85$19,504,687$0$0$14,802,518
86$21,371,672$0$0$16,221,240
87$23,425,230$0$0$17,781,800
88$25,684,272$0$0$19,498,577
89$28,169,630$0$0$21,387,410
90$30,904,261$0$0$23,465,753
91$33,913,455$0$0$25,752,838
92$37,225,081$0$0$28,269,852
93$40,869,846$0$0$31,040,145
94$44,881,582$0$0$34,089,440
95$49,297,571$0$0$37,446,085
96$54,158,889$0$0$41,141,312
97$59,510,801$0$0$45,209,537
98$65,403,180$0$0$49,688,684
99$71,890,983$0$0$54,620,538
100$79,034,768$0$0$60,051,145