Can I retire at age 40 with 634,000?

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 $634,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.7%
1 years$52,355$51,889$51,434$50,990$50,556$48,977
2 years$25,918$25,436$24,968$24,514$24,074$22,497
3 years$17,107$16,622$16,156$15,707$15,274$13,749
4 years$12,703$12,219$11,757$11,316$10,893$9,432
5 years$10,060$9,580$9,124$8,692$8,281$6,887
6 years$8,300$7,823$7,374$6,951$6,552$5,227
7 years$7,042$6,570$6,128$5,715$5,329$4,071
8 years$6,100$5,631$5,197$4,794$4,421$3,231
9 years$5,367$4,903$4,476$4,083$3,723$2,599
10 years$4,781$4,322$3,902$3,520$3,172$2,113
11 years$4,302$3,848$3,435$3,063$2,728$1,732
12 years$3,904$3,453$3,049$2,687$2,364$1,429
13 years$3,566$3,121$2,724$2,372$2,062$1,184
14 years$3,278$2,837$2,447$2,106$1,807$986
15 years$3,027$2,591$2,210$1,878$1,591$824
16 years$2,809$2,378$2,003$1,681$1,406$690
17 years$2,616$2,190$1,823$1,511$1,247$579
18 years$2,445$2,023$1,664$1,362$1,109$487
19 years$2,292$1,875$1,524$1,230$988$410
20 years$2,155$1,743$1,398$1,114$883$346
21 years$2,031$1,623$1,286$1,011$790$292
22 years$1,918$1,515$1,185$919$708$247
23 years$1,815$1,417$1,094$837$636$209
24 years$1,721$1,328$1,012$764$571$177
25 years$1,635$1,246$937$697$514$150
26 years$1,555$1,171$869$638$463$127
27 years$1,481$1,102$807$584$417$108
28 years$1,413$1,038$751$535$377$91
29 years$1,350$980$698$490$340$78
30 years$1,291$925$651$450$307$66
31 years$1,235$875$607$413$278$56
32 years$1,184$828$566$380$251$47
33 years$1,135$784$528$349$227$40
34 years$1,090$743$494$321$206$34
35 years$1,047$705$462$296$187$29
36 years$1,007$669$432$273$169$25
37 years$969$635$404$251$153$21
38 years$933$604$378$231$139$18
39 years$899$574$355$213$126$15
40 years$867$546$332$197$114$13
41 years$836$520$312$182$104$11
42 years$807$495$292$168$94$9
43 years$780$472$274$155$85$8
44 years$753$450$257$143$77$7
45 years$728$429$242$132$70$6
46 years$704$409$227$122$64$5
47 years$682$390$213$113$58$4
48 years$660$373$200$104$53$3
49 years$639$356$188$96$48$3
50 years$619$340$177$89$43$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $634,000, adding $4,741 every year, while hoping to spend $24,868 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: 63/19/18 Blend
39$634,000$634,000$634,000$634,000
40$703,558$669,956$660,129$744,396
41$748,862$676,325$655,784$778,805
42$797,953$682,172$650,460$813,128
43$851,192$687,446$644,098$850,026
44$908,974$692,091$636,636$889,750
45$971,735$696,050$628,009$932,579
46$1,039,954$699,258$618,150$978,822
47$1,114,159$701,651$606,987$1,028,817
48$1,194,928$703,157$594,446$1,082,939
49$1,282,900$703,702$580,450$1,141,602
50$1,378,778$703,204$564,916$1,205,262
51$1,483,333$701,581$547,760$1,274,422
52$1,597,416$698,741$528,893$1,349,640
53$1,721,963$694,590$508,222$1,431,529
54$1,858,004$689,027$485,649$1,520,765
55$2,006,675$681,943$461,072$1,618,097
56$2,169,223$673,226$434,386$1,724,348
57$2,347,024$662,754$405,478$1,840,429
58$2,541,592$650,400$374,233$1,967,344
59$2,754,593$636,029$340,529$2,106,200
60$2,987,865$619,497$304,239$2,258,221
61$3,243,427$600,653$265,231$2,424,755
62$3,523,507$579,335$223,367$2,607,290
63$3,830,556$555,374$178,501$2,807,467
64$4,167,276$528,590$130,484$3,027,098
65$4,536,640$498,793$79,157$3,268,181
66$4,941,924$465,781$24,356$3,532,919
67$5,386,738$429,342$0$3,823,744
68$5,875,056$389,251$0$4,149,892
69$6,411,257$345,269$0$4,513,184
70$7,000,164$297,146$0$4,912,236
71$7,647,091$244,617$0$5,350,684
72$8,357,891$187,400$0$5,832,535
73$9,139,013$125,200$0$6,362,208
74$9,997,561$57,703$0$6,944,571
75$10,941,362$0$0$7,584,993
76$11,979,037$0$0$8,292,614
77$13,120,088$0$0$9,084,045
78$14,374,980$0$0$9,954,488
79$15,755,245$0$0$10,911,948
80$17,273,589$0$0$11,965,246
81$18,944,011$0$0$13,124,098
82$20,781,933$0$0$14,399,213
83$22,804,351$0$0$15,802,388
84$25,029,990$0$0$17,346,623
85$27,479,481$0$0$19,046,239
86$30,175,557$0$0$20,917,020
87$33,143,269$0$0$22,976,355
88$36,410,215$0$0$25,243,404
89$40,006,810$0$0$27,739,281
90$43,966,564$0$0$30,487,251
91$48,326,404$0$0$33,512,948
92$53,127,017$0$0$36,844,620
93$58,413,240$0$0$40,513,394
94$64,234,476$0$0$44,553,567
95$70,645,166$0$0$49,002,934
96$77,705,297$0$0$53,903,141
97$85,480,973$0$0$59,300,078
98$94,045,034$0$0$65,244,316
99$103,477,747$0$0$71,791,579
100$113,867,561$0$0$79,003,271