Can I retire at age 40 with 595,000?

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 $595,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.2%
1 years$49,135$48,697$48,270$47,853$47,446$46,057
2 years$24,324$23,871$23,432$23,006$22,593$21,205
3 years$16,055$15,600$15,162$14,740$14,334$12,990
4 years$11,921$11,468$11,034$10,620$10,223$8,934
5 years$9,442$8,991$8,563$8,157$7,772$6,540
6 years$7,789$7,342$6,920$6,523$6,149$4,977
7 years$6,609$6,165$5,751$5,363$5,001$3,888
8 years$5,725$5,285$4,877$4,499$4,149$3,095
9 years$5,037$4,602$4,201$3,832$3,494$2,497
10 years$4,487$4,056$3,662$3,303$2,977$2,037
11 years$4,038$3,611$3,224$2,875$2,560$1,675
12 years$3,663$3,241$2,861$2,522$2,219$1,386
13 years$3,347$2,929$2,556$2,226$1,935$1,153
14 years$3,076$2,662$2,297$1,976$1,696$963
15 years$2,841$2,432$2,074$1,762$1,493$807
16 years$2,636$2,231$1,880$1,578$1,320$679
17 years$2,455$2,055$1,711$1,418$1,170$572
18 years$2,295$1,899$1,562$1,278$1,041$483
19 years$2,151$1,760$1,430$1,155$927$408
20 years$2,022$1,635$1,312$1,046$828$346
21 years$1,906$1,523$1,207$949$741$293
22 years$1,800$1,422$1,112$863$664$249
23 years$1,703$1,330$1,027$786$596$211
24 years$1,615$1,246$950$717$536$180
25 years$1,534$1,169$880$655$482$153
26 years$1,459$1,099$816$599$435$130
27 years$1,390$1,034$758$548$392$111
28 years$1,326$975$704$502$354$94
29 years$1,267$919$655$460$319$80
30 years$1,211$868$611$422$288$68
31 years$1,159$821$569$388$261$58
32 years$1,111$777$531$357$236$50
33 years$1,066$735$496$328$213$42
34 years$1,023$697$463$302$193$36
35 years$983$661$433$278$175$31
36 years$945$628$405$256$159$26
37 years$909$596$379$236$144$22
38 years$876$566$355$217$130$19
39 years$844$539$333$200$118$16
40 years$813$512$312$185$107$14
41 years$785$488$292$170$97$12
42 years$758$465$274$157$88$10
43 years$732$443$257$145$80$9
44 years$707$422$242$134$73$7
45 years$683$402$227$124$66$6
46 years$661$384$213$114$60$5
47 years$640$366$200$106$54$5
48 years$619$350$188$98$49$4
49 years$600$334$177$90$45$3
50 years$581$319$166$83$41$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $595,000, adding $5,060 every year, while hoping to spend $41,289 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: 79/13/8 Blend
39$595,000$595,000$595,000$595,000
40$660,909$629,374$620,152$712,009
41$684,391$616,283$596,996$733,157
42$708,884$601,165$571,680$750,449
43$734,448$583,880$544,089$768,194
44$761,146$564,275$514,101$786,416
45$789,050$542,191$481,590$805,145
46$818,233$517,458$446,423$824,411
47$848,776$489,898$408,462$844,249
48$880,768$459,320$367,563$864,699
49$914,304$425,524$323,574$885,803
50$949,488$388,299$276,337$907,610
51$986,430$347,420$225,689$930,173
52$1,025,254$302,651$171,458$953,552
53$1,066,091$253,743$113,463$977,814
54$1,109,085$200,430$51,517$1,003,032
55$1,154,394$142,433$0$1,029,290
56$1,202,189$79,458$0$1,057,924
57$1,252,655$11,195$0$1,092,564
58$1,305,995$0$0$1,128,942
59$1,362,432$0$0$1,176,170
60$1,422,207$0$0$1,227,896
61$1,485,584$0$0$1,282,748
62$1,552,853$0$0$1,340,977
63$1,624,328$0$0$1,402,859
64$1,700,357$0$0$1,468,694
65$1,781,316$0$0$1,538,810
66$1,867,620$0$0$1,613,567
67$1,959,722$0$0$1,693,361
68$2,058,120$0$0$1,778,622
69$2,163,356$0$0$1,869,826
70$2,276,029$0$0$1,967,490
71$2,396,794$0$0$2,072,184
72$2,526,367$0$0$2,184,534
73$2,665,537$0$0$2,305,224
74$2,815,169$0$0$2,435,008
75$2,976,213$0$0$2,574,711
76$3,149,711$0$0$2,725,241
77$3,336,809$0$0$2,887,594
78$3,538,764$0$0$3,062,866
79$3,756,959$0$0$3,252,257
80$3,992,913$0$0$3,457,092
81$4,248,295$0$0$3,678,823
82$4,524,942$0$0$3,919,047
83$4,824,872$0$0$4,179,521
84$5,150,303$0$0$4,462,176
85$5,503,677$0$0$4,769,137
86$5,887,679$0$0$5,102,740
87$6,305,262$0$0$5,465,556
88$6,759,675$0$0$5,860,413
89$7,254,493$0$0$6,290,422
90$7,793,651$0$0$6,759,009
91$8,381,477$0$0$7,269,940
92$9,022,737$0$0$7,827,364
93$9,722,676$0$0$8,435,846
94$10,487,067$0$0$9,100,410
95$11,322,264$0$0$9,826,590
96$12,235,266$0$0$10,620,475
97$13,233,775$0$0$11,488,771
98$14,326,273$0$0$12,438,861
99$15,522,100$0$0$13,478,875
100$16,831,539$0$0$14,617,764