Can I retire at age 40 with 616,000?

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 $616,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.9%
1 years$50,869$50,416$49,974$49,542$49,121$48,729
2 years$25,183$24,714$24,259$23,818$23,391$22,996
3 years$16,622$16,151$15,697$15,261$14,840$14,455
4 years$12,342$11,872$11,424$10,994$10,584$10,211
5 years$9,775$9,308$8,865$8,445$8,046$7,686
6 years$8,064$7,601$7,164$6,753$6,366$6,020
7 years$6,842$6,383$5,954$5,552$5,178$4,845
8 years$5,927$5,471$5,049$4,658$4,295$3,976
9 years$5,215$4,764$4,349$3,967$3,617$3,312
10 years$4,646$4,199$3,791$3,420$3,082$2,790
11 years$4,180$3,738$3,338$2,976$2,651$2,372
12 years$3,793$3,355$2,962$2,611$2,297$2,032
13 years$3,465$3,032$2,647$2,305$2,003$1,750
14 years$3,184$2,756$2,378$2,046$1,756$1,515
15 years$2,942$2,518$2,147$1,825$1,546$1,318
16 years$2,729$2,310$1,947$1,634$1,366$1,150
17 years$2,542$2,127$1,771$1,468$1,212$1,006
18 years$2,376$1,966$1,617$1,323$1,077$883
19 years$2,227$1,822$1,480$1,195$960$777
20 years$2,094$1,693$1,359$1,083$858$684
21 years$1,973$1,577$1,250$983$767$604
22 years$1,863$1,472$1,152$893$688$534
23 years$1,764$1,377$1,063$814$618$472
24 years$1,672$1,290$983$742$555$418
25 years$1,588$1,211$911$678$499$371
26 years$1,511$1,138$845$620$450$329
27 years$1,439$1,071$784$567$406$293
28 years$1,373$1,009$729$520$366$260
29 years$1,311$952$679$477$330$231
30 years$1,254$899$632$437$299$206
31 years$1,200$850$589$402$270$183
32 years$1,150$804$550$369$244$163
33 years$1,103$761$513$339$221$145
34 years$1,059$722$480$312$200$130
35 years$1,017$685$448$288$181$116
36 years$978$650$420$265$164$103
37 years$941$617$393$244$149$92
38 years$907$586$368$225$135$82
39 years$873$558$345$207$122$73
40 years$842$531$323$191$111$65
41 years$812$505$303$176$101$58
42 years$784$481$284$163$91$52
43 years$757$458$267$150$83$46
44 years$732$437$250$139$75$41
45 years$708$417$235$128$68$37
46 years$684$397$221$118$62$33
47 years$662$379$207$109$56$30
48 years$641$362$195$101$51$26
49 years$621$346$183$93$46$24
50 years$601$330$172$86$42$21

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $616,000, adding $3,769 every year, while hoping to spend $35,534 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: 84/11/5 Blend
39$616,000$616,000$616,000$616,000
40$682,720$650,072$640,524$739,730
41$714,549$644,117$624,173$771,529
42$748,434$636,680$606,084$801,214
43$784,547$627,650$586,161$832,685
44$823,077$616,911$564,303$866,100
45$864,229$604,338$540,405$901,629
46$908,231$589,800$514,359$939,462
47$955,330$573,160$486,050$979,807
48$1,005,798$554,270$455,357$1,022,892
49$1,059,935$532,974$422,157$1,068,969
50$1,118,067$509,109$386,318$1,118,317
51$1,180,554$482,500$347,704$1,171,240
52$1,247,792$452,963$306,173$1,228,077
53$1,320,212$420,304$261,575$1,289,197
54$1,398,291$384,316$213,755$1,355,009
55$1,482,551$344,782$162,551$1,425,966
56$1,573,568$301,473$107,793$1,502,561
57$1,671,972$254,146$49,305$1,585,345
58$1,778,458$202,543$0$1,674,918
59$1,893,787$146,394$0$1,772,646
60$2,018,798$85,412$0$1,881,416
61$2,154,413$19,295$0$1,999,411
62$2,301,647$0$0$2,127,535
63$2,461,614$0$0$2,273,108
64$2,635,542$0$0$2,433,934
65$2,824,780$0$0$2,608,927
66$3,030,813$0$0$2,799,462
67$3,255,276$0$0$3,007,050
68$3,499,966$0$0$3,233,357
69$3,766,863$0$0$3,480,214
70$4,058,146$0$0$3,749,638
71$4,376,212$0$0$4,043,847
72$4,723,701$0$0$4,365,287
73$5,103,519$0$0$4,716,645
74$5,518,866$0$0$5,100,884
75$5,973,263$0$0$5,521,265
76$6,470,591$0$0$5,981,377
77$7,015,120$0$0$6,485,174
78$7,611,553$0$0$7,037,010
79$8,265,070$0$0$7,641,679
80$8,981,377$0$0$8,304,462
81$9,766,754$0$0$9,031,174
82$10,628,122$0$0$9,828,219
83$11,573,103$0$0$10,702,653
84$12,610,090$0$0$11,662,245
85$13,748,330$0$0$12,715,556
86$14,998,009$0$0$13,872,012
87$16,370,347$0$0$15,142,001
88$17,877,704$0$0$16,536,962
89$19,533,695$0$0$18,069,499
90$21,353,319$0$0$19,753,497
91$23,353,102$0$0$21,604,251
92$25,551,247$0$0$23,638,613
93$27,967,811$0$0$25,875,147
94$30,624,890$0$0$28,334,309
95$33,546,829$0$0$31,038,631
96$36,760,449$0$0$34,012,942
97$40,295,301$0$0$37,284,597
98$44,183,945$0$0$40,883,734
99$48,462,254$0$0$44,843,560
100$53,169,754$0$0$49,200,664