Can I retire at age 40 with 601,000?

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 $601,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.4%
1 years$49,630$49,188$48,757$48,336$47,925$47,053
2 years$24,569$24,112$23,668$23,238$22,821$21,946
3 years$16,217$15,757$15,315$14,889$14,479$13,628
4 years$12,041$11,583$11,145$10,727$10,326$9,506
5 years$9,537$9,081$8,649$8,239$7,850$7,062
6 years$7,868$7,416$6,990$6,589$6,211$5,457
7 years$6,676$6,228$5,809$5,417$5,052$4,331
8 years$5,782$5,338$4,926$4,544$4,191$3,504
9 years$5,088$4,648$4,243$3,871$3,529$2,876
10 years$4,533$4,097$3,699$3,337$3,007$2,386
11 years$4,078$3,647$3,257$2,904$2,586$1,997
12 years$3,700$3,274$2,890$2,547$2,241$1,684
13 years$3,381$2,958$2,582$2,249$1,954$1,427
14 years$3,107$2,689$2,320$1,996$1,713$1,215
15 years$2,870$2,456$2,095$1,780$1,508$1,039
16 years$2,663$2,254$1,899$1,594$1,333$891
17 years$2,480$2,076$1,728$1,432$1,182$766
18 years$2,318$1,918$1,578$1,291$1,051$660
19 years$2,173$1,778$1,444$1,166$937$570
20 years$2,043$1,652$1,325$1,056$837$493
21 years$1,925$1,539$1,219$959$749$427
22 years$1,818$1,436$1,124$872$671$370
23 years$1,721$1,343$1,037$794$602$322
24 years$1,631$1,259$959$724$542$279
25 years$1,549$1,181$889$661$487$243
26 years$1,474$1,110$824$605$439$211
27 years$1,404$1,045$765$553$396$184
28 years$1,339$984$711$507$357$160
29 years$1,279$929$662$465$322$140
30 years$1,223$877$617$427$291$122
31 years$1,171$829$575$392$263$106
32 years$1,122$784$536$360$238$93
33 years$1,076$743$501$331$216$81
34 years$1,033$704$468$305$195$71
35 years$993$668$438$281$177$62
36 years$955$634$409$258$160$54
37 years$918$602$383$238$145$47
38 years$884$572$359$219$132$41
39 years$852$544$336$202$119$36
40 years$822$518$315$187$108$31
41 years$793$493$295$172$98$27
42 years$765$469$277$159$89$24
43 years$739$447$260$147$81$21
44 years$714$426$244$135$73$18
45 years$690$406$229$125$67$16
46 years$668$388$215$116$61$14
47 years$646$370$202$107$55$12
48 years$625$353$190$99$50$11
49 years$606$337$179$91$45$9
50 years$587$322$168$84$41$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $601,000, adding $3,879 every year, while hoping to spend $45,076 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: 49/40/11 Blend
39$601,000$601,000$601,000$601,000
40$666,303$634,450$625,135$696,781
41$686,306$617,578$598,116$701,238
42$706,837$598,368$568,682$701,028
43$727,905$576,658$536,703$699,774
44$749,515$552,277$502,046$697,390
45$771,670$525,044$464,569$693,787
46$794,375$494,766$424,127$688,870
47$817,632$461,240$380,565$682,538
48$841,441$424,251$333,725$674,682
49$865,801$383,573$283,438$665,189
50$890,710$338,965$229,531$653,935
51$916,163$290,175$171,820$640,792
52$942,152$236,934$110,117$625,622
53$968,666$178,958$44,221$608,277
54$995,694$115,951$0$588,602
55$1,023,217$47,595$0$569,495
56$1,051,215$0$0$553,453
57$1,079,663$0$0$546,758
58$1,108,532$0$0$561,205
59$1,137,786$0$0$575,824
60$1,167,383$0$0$590,592
61$1,197,276$0$0$605,480
62$1,227,408$0$0$620,459
63$1,257,717$0$0$635,492
64$1,288,128$0$0$650,539
65$1,318,558$0$0$665,552
66$1,348,912$0$0$680,479
67$1,379,081$0$0$695,261
68$1,408,944$0$0$709,830
69$1,438,363$0$0$724,110
70$1,467,182$0$0$738,015
71$1,495,227$0$0$751,451
72$1,522,301$0$0$764,308
73$1,548,187$0$0$776,468
74$1,572,636$0$0$787,795
75$1,595,376$0$0$798,140
76$1,616,098$0$0$807,335
77$1,634,461$0$0$815,193
78$1,650,082$0$0$821,505
79$1,662,538$0$0$826,042
80$1,671,355$0$0$828,544
81$1,676,007$0$0$828,727
82$1,675,909$0$0$826,271
83$1,670,414$0$0$820,825
84$1,658,801$0$0$811,998
85$1,640,270$0$0$799,354
86$1,613,936$0$0$782,414
87$1,578,816$0$0$760,644
88$1,533,822$0$0$733,454
89$1,477,748$0$0$700,189
90$1,409,260$0$0$660,128
91$1,326,882$0$0$612,468
92$1,228,977$0$0$556,325
93$1,113,739$0$0$490,719
94$979,169$0$0$414,567
95$823,054$0$0$326,672
96$642,952$0$0$225,712
97$436,163$0$0$110,223
98$199,701$0$0$0
99$0$0$0$0
100$0$0$0$0