Can I retire at age 40 with 633,000?

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 $633,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.3%
1 years$52,273$51,807$51,353$50,909$50,476$49,991
2 years$25,877$25,396$24,928$24,476$24,036$23,547
3 years$17,080$16,596$16,130$15,682$15,250$14,772
4 years$12,683$12,200$11,739$11,298$10,876$10,414
5 years$10,045$9,565$9,110$8,678$8,268$7,822
6 years$8,287$7,811$7,362$6,940$6,542$6,114
7 years$7,031$6,559$6,118$5,706$5,320$4,909
8 years$6,090$5,622$5,188$4,786$4,414$4,020
9 years$5,359$4,895$4,469$4,077$3,717$3,341
10 years$4,774$4,315$3,896$3,514$3,167$2,808
11 years$4,296$3,841$3,430$3,058$2,724$2,381
12 years$3,897$3,448$3,044$2,683$2,360$2,034
13 years$3,561$3,116$2,720$2,368$2,058$1,748
14 years$3,272$2,832$2,444$2,102$1,804$1,509
15 years$3,023$2,587$2,206$1,875$1,589$1,309
16 years$2,804$2,374$2,000$1,679$1,404$1,139
17 years$2,612$2,186$1,820$1,508$1,245$994
18 years$2,441$2,020$1,662$1,359$1,107$870
19 years$2,289$1,872$1,521$1,228$987$763
20 years$2,151$1,740$1,396$1,112$881$670
21 years$2,027$1,621$1,284$1,010$789$590
22 years$1,915$1,513$1,183$918$707$520
23 years$1,812$1,415$1,093$836$635$458
24 years$1,718$1,326$1,011$763$570$405
25 years$1,632$1,244$936$696$513$358
26 years$1,552$1,169$868$637$462$317
27 years$1,479$1,100$806$583$417$280
28 years$1,411$1,037$749$534$376$249
29 years$1,348$978$697$490$340$220
30 years$1,289$924$650$449$307$195
31 years$1,233$873$606$413$277$173
32 years$1,182$826$565$379$251$154
33 years$1,134$782$528$349$227$137
34 years$1,088$742$493$321$206$121
35 years$1,046$703$461$295$186$108
36 years$1,005$668$431$272$169$96
37 years$967$634$403$251$153$85
38 years$932$603$378$231$139$76
39 years$898$573$354$213$126$67
40 years$865$545$332$197$114$60
41 years$835$519$311$181$103$53
42 years$806$494$292$167$94$47
43 years$778$471$274$154$85$42
44 years$752$449$257$143$77$38
45 years$727$428$241$132$70$33
46 years$703$408$227$122$64$30
47 years$680$390$213$112$58$26
48 years$659$372$200$104$53$24
49 years$638$355$188$96$48$21
50 years$618$339$177$89$43$19

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $633,000, adding $4,384 every year, while hoping to spend $42,310 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: 60/19/21 Blend
39$633,000$633,000$633,000$633,000
40$702,088$668,539$658,728$740,083
41$728,684$656,280$635,777$754,086
42$756,574$642,002$610,640$764,335
43$785,846$625,562$583,199$774,571
44$816,595$606,807$553,329$784,798
45$848,924$585,578$520,902$795,026
46$882,946$561,702$485,783$805,265
47$918,782$535,001$447,832$815,530
48$956,565$505,283$406,902$825,838
49$996,440$472,347$362,839$836,212
50$1,038,565$435,980$315,482$846,680
51$1,083,112$395,957$264,664$857,273
52$1,130,269$352,038$210,210$868,031
53$1,180,241$303,973$151,937$879,001
54$1,233,254$251,496$89,654$890,235
55$1,289,551$194,325$23,163$901,798
56$1,349,401$132,163$0$913,762
57$1,413,099$64,697$0$936,922
58$1,480,964$0$0$966,899
59$1,553,349$0$0$1,000,420
60$1,630,639$0$0$1,050,684
61$1,713,256$0$0$1,104,445
62$1,801,664$0$0$1,162,007
63$1,896,369$0$0$1,223,704
64$1,997,929$0$0$1,289,905
65$2,106,953$0$0$1,361,012
66$2,224,114$0$0$1,437,467
67$2,350,145$0$0$1,519,755
68$2,485,856$0$0$1,608,411
69$2,632,133$0$0$1,704,020
70$2,789,951$0$0$1,807,224
71$2,960,380$0$0$1,918,731
72$3,144,598$0$0$2,039,318
73$3,343,897$0$0$2,169,838
74$3,559,699$0$0$2,311,230
75$3,793,567$0$0$2,464,526
76$4,047,219$0$0$2,630,862
77$4,322,544$0$0$2,811,484
78$4,621,622$0$0$3,007,767
79$4,946,738$0$0$3,221,220
80$5,300,408$0$0$3,453,506
81$5,685,399$0$0$3,706,451
82$6,104,756$0$0$3,982,069
83$6,561,830$0$0$4,282,573
84$7,060,309$0$0$4,610,400
85$7,604,252$0$0$4,968,232
86$8,198,126$0$0$5,359,021
87$8,846,850$0$0$5,786,017
88$9,555,838$0$0$6,252,799
89$10,331,051$0$0$6,763,306
90$11,179,052$0$0$7,321,876
91$12,107,067$0$0$7,933,283
92$13,123,055$0$0$8,602,789
93$14,235,776$0$0$9,336,184
94$15,454,882$0$0$10,139,847
95$16,790,999$0$0$11,020,801
96$18,255,830$0$0$11,986,783
97$19,862,267$0$0$13,046,314
98$21,624,508$0$0$14,208,779
99$23,558,190$0$0$15,484,516
100$25,680,539$0$0$16,884,910