Can I retire at age 40 with 600,000?

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 $600,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.5%
1 years$49,547$49,106$48,676$48,255$47,845$46,019
2 years$24,528$24,072$23,629$23,200$22,783$20,965
3 years$16,190$15,731$15,289$14,864$14,455$12,702
4 years$12,021$11,564$11,127$10,709$10,309$8,635
5 years$9,521$9,066$8,635$8,225$7,837$6,245
6 years$7,855$7,403$6,978$6,578$6,201$4,693
7 years$6,665$6,217$5,799$5,408$5,043$3,618
8 years$5,773$5,329$4,918$4,537$4,184$2,841
9 years$5,079$4,640$4,236$3,864$3,523$2,261
10 years$4,525$4,090$3,693$3,331$3,002$1,817
11 years$4,072$3,641$3,251$2,899$2,582$1,472
12 years$3,694$3,268$2,885$2,543$2,237$1,200
13 years$3,375$2,953$2,578$2,245$1,951$982
14 years$3,102$2,685$2,316$1,993$1,710$808
15 years$2,865$2,452$2,091$1,777$1,506$666
16 years$2,658$2,250$1,896$1,591$1,331$551
17 years$2,476$2,072$1,725$1,430$1,180$456
18 years$2,314$1,915$1,575$1,289$1,049$379
19 years$2,169$1,775$1,442$1,164$935$315
20 years$2,039$1,649$1,323$1,054$835$262
21 years$1,922$1,536$1,217$957$748$218
22 years$1,815$1,434$1,122$870$670$182
23 years$1,718$1,341$1,036$792$601$152
24 years$1,629$1,256$958$723$541$127
25 years$1,547$1,179$887$660$486$106
26 years$1,472$1,108$823$604$438$88
27 years$1,402$1,043$764$552$395$74
28 years$1,337$983$710$506$356$62
29 years$1,277$927$661$464$322$51
30 years$1,221$876$616$426$291$43
31 years$1,169$828$574$391$263$36
32 years$1,120$783$536$360$238$30
33 years$1,075$742$500$331$215$25
34 years$1,032$703$467$304$195$21
35 years$991$667$437$280$177$18
36 years$953$633$409$258$160$15
37 years$917$601$382$238$145$12
38 years$883$571$358$219$131$10
39 years$851$543$336$202$119$9
40 years$820$517$315$186$108$7
41 years$791$492$295$172$98$6
42 years$764$468$277$159$89$5
43 years$738$446$260$146$81$4
44 years$713$425$244$135$73$4
45 years$689$406$229$125$67$3
46 years$667$387$215$115$60$2
47 years$645$369$202$107$55$2
48 years$624$353$190$98$50$2
49 years$605$337$178$91$45$1
50 years$586$322$168$84$41$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $600,000, adding $2,794 every year, while hoping to spend $50,785 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: 66/5/29 Blend
39$600,000$600,000$600,000$600,000
40$664,082$632,282$622,982$702,651
41$677,784$609,229$589,817$705,992
42$691,181$583,344$553,839$703,730
43$704,188$554,435$514,900$700,143
44$716,712$522,299$472,845$695,106
45$728,645$486,720$427,514$688,481
46$739,868$447,471$378,737$680,119
47$750,248$404,310$326,338$669,858
48$759,637$356,985$270,134$657,523
49$767,868$305,226$209,933$642,920
50$774,758$248,750$145,533$625,840
51$780,101$187,256$76,725$606,057
52$783,667$120,427$3,292$583,321
53$785,204$47,930$0$557,362
54$784,427$0$0$551,115
55$781,024$0$0$545,308
56$774,646$0$0$539,953
57$764,907$0$0$532,131
58$751,379$0$0$521,529
59$733,587$0$0$507,803
60$711,006$0$0$490,568
61$683,054$0$0$469,401
62$649,085$0$0$443,832
63$608,387$0$0$413,341
64$560,170$0$0$377,354
65$503,562$0$0$335,234
66$437,596$0$0$286,279
67$361,206$0$0$229,712
68$273,212$0$0$164,672
69$172,311$0$0$90,212
70$57,061$0$0$5,283
71$0$0$0$0
72$0$0$0$0
73$0$0$0$0
74$0$0$0$0
75$0$0$0$0
76$0$0$0$0
77$0$0$0$0
78$0$0$0$0
79$0$0$0$0
80$0$0$0$0
81$0$0$0$0
82$0$0$0$0
83$0$0$0$0
84$0$0$0$0
85$0$0$0$0
86$0$0$0$0
87$0$0$0$0
88$0$0$0$0
89$0$0$0$0
90$0$0$0$0
91$0$0$0$0
92$0$0$0$0
93$0$0$0$0
94$0$0$0$0
95$0$0$0$0
96$0$0$0$0
97$0$0$0$0
98$0$0$0$0
99$0$0$0$0
100$0$0$0$0