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%13.8%
1 years$49,630$49,188$48,757$48,336$47,925$47,169
2 years$24,569$24,112$23,668$23,238$22,821$22,062
3 years$16,217$15,757$15,315$14,889$14,479$13,740
4 years$12,041$11,583$11,145$10,727$10,326$9,613
5 years$9,537$9,081$8,649$8,239$7,850$7,164
6 years$7,868$7,416$6,990$6,589$6,211$5,554
7 years$6,676$6,228$5,809$5,417$5,052$4,423
8 years$5,782$5,338$4,926$4,544$4,191$3,591
9 years$5,088$4,648$4,243$3,871$3,529$2,958
10 years$4,533$4,097$3,699$3,337$3,007$2,463
11 years$4,078$3,647$3,257$2,904$2,586$2,070
12 years$3,700$3,274$2,890$2,547$2,241$1,751
13 years$3,381$2,958$2,582$2,249$1,954$1,490
14 years$3,107$2,689$2,320$1,996$1,713$1,274
15 years$2,870$2,456$2,095$1,780$1,508$1,094
16 years$2,663$2,254$1,899$1,594$1,333$942
17 years$2,480$2,076$1,728$1,432$1,182$813
18 years$2,318$1,918$1,578$1,291$1,051$704
19 years$2,173$1,778$1,444$1,166$937$611
20 years$2,043$1,652$1,325$1,056$837$531
21 years$1,925$1,539$1,219$959$749$462
22 years$1,818$1,436$1,124$872$671$402
23 years$1,721$1,343$1,037$794$602$351
24 years$1,631$1,259$959$724$542$306
25 years$1,549$1,181$889$661$487$268
26 years$1,474$1,110$824$605$439$234
27 years$1,404$1,045$765$553$396$205
28 years$1,339$984$711$507$357$179
29 years$1,279$929$662$465$322$157
30 years$1,223$877$617$427$291$138
31 years$1,171$829$575$392$263$121
32 years$1,122$784$536$360$238$106
33 years$1,076$743$501$331$216$93
34 years$1,033$704$468$305$195$81
35 years$993$668$438$281$177$71
36 years$955$634$409$258$160$63
37 years$918$602$383$238$145$55
38 years$884$572$359$219$132$48
39 years$852$544$336$202$119$42
40 years$822$518$315$187$108$37
41 years$793$493$295$172$98$33
42 years$765$469$277$159$89$29
43 years$739$447$260$147$81$25
44 years$714$426$244$135$73$22
45 years$690$406$229$125$67$19
46 years$668$388$215$116$61$17
47 years$646$370$202$107$55$15
48 years$625$353$190$99$50$13
49 years$606$337$179$91$45$12
50 years$587$322$168$84$41$10

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $601,000, adding $5,973 every year, while hoping to spend $28,916 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: 57/21/22 Blend
39$601,000$601,000$601,000$601,000
40$668,463$636,610$627,295$702,288
41$705,880$637,038$617,543$726,467
42$746,144$636,517$606,495$749,206
43$789,516$634,971$594,077$773,361
44$836,280$632,318$580,212$799,077
45$886,750$628,472$564,819$826,513
46$941,272$623,340$547,814$855,846
47$1,000,223$616,825$529,107$887,272
48$1,064,019$608,823$508,605$921,010
49$1,133,119$599,225$486,213$957,300
50$1,208,025$587,914$461,829$996,409
51$1,289,290$574,769$435,347$1,038,635
52$1,377,522$559,657$406,656$1,084,305
53$1,473,391$542,442$375,641$1,133,783
54$1,577,632$522,977$342,180$1,187,472
55$1,691,056$501,108$306,148$1,245,818
56$1,814,553$476,672$267,413$1,309,315
57$1,949,103$449,495$225,838$1,378,508
58$2,095,786$419,394$181,277$1,454,003
59$2,255,788$386,177$133,582$1,536,470
60$2,430,417$349,638$82,596$1,626,648
61$2,621,111$309,561$28,154$1,725,356
62$2,829,454$265,719$0$1,833,500
63$3,057,188$217,870$0$1,959,111
64$3,306,235$165,759$0$2,103,777
65$3,578,706$109,116$0$2,262,149
66$3,876,929$47,658$0$2,435,627
67$4,203,467$0$0$2,625,754
68$4,561,141$0$0$2,838,603
69$4,953,058$0$0$3,083,950
70$5,382,642$0$0$3,352,930
71$5,853,661$0$0$3,647,909
72$6,370,266$0$0$3,971,496
73$6,937,031$0$0$4,326,561
74$7,558,991$0$0$4,716,267
75$8,241,693$0$0$5,144,097
76$8,991,250$0$0$5,613,889
77$9,814,392$0$0$6,129,870
78$10,718,534$0$0$6,696,697
79$11,711,846$0$0$7,319,501
80$12,803,326$0$0$8,003,932
81$14,002,889$0$0$8,756,217
82$15,321,456$0$0$9,583,216
83$16,771,061$0$0$10,492,486
84$18,364,960$0$0$11,492,352
85$20,117,759$0$0$12,591,987
86$22,045,550$0$0$13,801,500
87$24,166,063$0$0$15,132,024
88$26,498,833$0$0$16,595,828
89$29,065,381$0$0$18,206,432
90$31,889,423$0$0$19,978,728
91$34,997,087$0$0$21,929,129
92$38,417,164$0$0$24,075,717
93$42,181,375$0$0$26,438,416
94$46,324,674$0$0$29,039,180
95$50,885,575$0$0$31,902,200
96$55,906,515$0$0$35,054,129
97$61,434,255$0$0$38,524,340
98$67,520,321$0$0$42,345,195
99$74,221,488$0$0$46,552,355
100$81,600,318$0$0$51,185,116