Can I retire at age 40 with 623,000?

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 $623,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.2%
1 years$51,447$50,988$50,541$50,105$49,679$48,816
2 years$25,469$24,994$24,535$24,089$23,657$22,790
3 years$16,810$16,334$15,876$15,434$15,009$14,165
4 years$12,482$12,007$11,553$11,119$10,704$9,891
5 years$9,886$9,414$8,966$8,541$8,137$7,356
6 years$8,156$7,687$7,246$6,830$6,439$5,690
7 years$6,920$6,456$6,021$5,615$5,236$4,521
8 years$5,994$5,534$5,106$4,711$4,344$3,662
9 years$5,274$4,818$4,398$4,012$3,658$3,009
10 years$4,698$4,247$3,834$3,459$3,117$2,500
11 years$4,228$3,781$3,376$3,010$2,681$2,095
12 years$3,836$3,393$2,996$2,640$2,323$1,768
13 years$3,504$3,067$2,677$2,331$2,026$1,501
14 years$3,221$2,787$2,405$2,069$1,776$1,280
15 years$2,975$2,546$2,171$1,845$1,564$1,095
16 years$2,760$2,336$1,969$1,652$1,382$941
17 years$2,571$2,152$1,791$1,485$1,225$810
18 years$2,403$1,988$1,635$1,338$1,089$699
19 years$2,252$1,843$1,497$1,209$971$605
20 years$2,117$1,712$1,374$1,095$867$524
21 years$1,995$1,595$1,264$994$776$454
22 years$1,885$1,489$1,165$903$696$395
23 years$1,784$1,392$1,075$823$625$343
24 years$1,691$1,305$995$750$561$299
25 years$1,606$1,224$921$685$505$260
26 years$1,528$1,151$854$627$455$227
27 years$1,456$1,083$793$574$410$198
28 years$1,389$1,020$738$526$370$173
29 years$1,326$963$686$482$334$151
30 years$1,268$909$639$442$302$132
31 years$1,214$859$596$406$273$115
32 years$1,163$813$556$373$247$100
33 years$1,116$770$519$343$224$88
34 years$1,071$730$485$316$202$77
35 years$1,029$692$454$291$183$67
36 years$989$657$424$268$166$59
37 years$952$624$397$247$151$51
38 years$917$593$372$227$136$45
39 years$883$564$348$210$124$39
40 years$852$537$327$193$112$34
41 years$822$511$306$178$102$30
42 years$793$486$287$165$92$26
43 years$766$463$270$152$84$23
44 years$740$442$253$140$76$20
45 years$716$421$238$130$69$18
46 years$692$402$223$120$63$15
47 years$670$384$210$111$57$14
48 years$648$366$197$102$52$12
49 years$628$350$185$94$47$10
50 years$608$334$174$87$43$9

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $623,000, adding $4,077 every year, while hoping to spend $23,670 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: 36/45/19 Blend
39$623,000$623,000$623,000$623,000
40$690,751$657,732$648,076$711,503
41$736,023$664,777$644,602$734,021
42$785,120$671,373$640,218$755,803
43$838,406$677,474$634,869$778,825
44$896,283$683,029$628,497$803,212
45$959,192$687,987$621,040$829,103
46$1,027,621$692,289$612,436$856,649
47$1,102,103$695,876$602,617$886,023
48$1,183,226$698,682$591,513$917,413
49$1,271,638$700,641$579,052$951,030
50$1,368,052$701,679$565,157$987,107
51$1,473,251$701,719$549,747$1,025,902
52$1,588,098$700,679$532,740$1,067,705
53$1,713,544$698,472$514,047$1,112,832
54$1,850,635$695,007$493,576$1,161,638
55$2,000,521$690,184$471,233$1,214,514
56$2,164,472$683,900$446,917$1,271,895
57$2,343,882$676,045$420,522$1,334,262
58$2,540,289$666,502$391,941$1,402,148
59$2,755,385$655,147$361,057$1,476,144
60$2,991,035$641,850$327,753$1,556,905
61$3,249,290$626,471$291,903$1,645,154
62$3,532,413$608,863$253,377$1,741,693
63$3,842,893$588,871$212,039$1,847,411
64$4,183,472$566,330$167,746$1,963,290
65$4,557,171$541,065$120,351$2,090,416
66$4,967,318$512,892$69,698$2,229,993
67$5,417,577$481,616$15,625$2,383,350
68$5,911,985$447,031$0$2,551,959
69$6,454,990$408,919$0$2,745,978
70$7,051,492$367,048$0$2,962,609
71$7,706,886$321,176$0$3,200,707
72$8,427,119$271,044$0$3,462,509
73$9,218,741$216,381$0$3,750,485
74$10,088,968$156,899$0$4,067,363
75$11,045,751$92,295$0$4,416,151
76$12,097,849$22,248$0$4,800,175
77$13,254,911$0$0$5,223,102
78$14,527,571$0$0$5,715,513
79$15,927,543$0$0$6,269,402
80$17,467,734$0$0$6,878,871
81$19,162,365$0$0$7,549,561
82$21,027,106$0$0$8,287,686
83$23,079,221$0$0$9,100,095
84$25,337,733$0$0$9,994,331
85$27,823,603$0$0$10,978,709
86$30,559,926$0$0$12,062,390
87$33,572,152$0$0$13,255,468
88$36,888,321$0$0$14,569,065
89$40,539,330$0$0$16,015,438
90$44,559,228$0$0$17,608,091
91$48,985,529$0$0$19,361,905
92$53,859,572$0$0$21,293,279
93$59,226,910$0$0$23,420,282
94$65,137,736$0$0$25,762,824
95$71,647,361$0$0$28,342,846
96$78,816,734$0$0$31,184,525
97$86,713,016$0$0$34,314,503
98$95,410,213$0$0$37,762,137
99$104,989,876$0$0$41,559,778
100$115,541,872$0$0$45,743,073