Can I retire at age 40 with 639,000?

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 $639,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.8%
1 years$52,768$52,298$51,839$51,392$50,955$50,570
2 years$26,123$25,636$25,165$24,708$24,264$23,876
3 years$17,242$16,754$16,283$15,830$15,394$15,015
4 years$12,803$12,316$11,850$11,405$10,979$10,612
5 years$10,140$9,656$9,196$8,760$8,346$7,992
6 years$8,365$7,885$7,432$7,005$6,604$6,263
7 years$7,098$6,621$6,176$5,760$5,371$5,043
8 years$6,148$5,676$5,238$4,832$4,456$4,142
9 years$5,410$4,942$4,511$4,115$3,752$3,452
10 years$4,819$4,356$3,933$3,548$3,197$2,910
11 years$4,336$3,878$3,463$3,087$2,750$2,475
12 years$3,934$3,481$3,073$2,708$2,383$2,121
13 years$3,594$3,145$2,745$2,391$2,078$1,829
14 years$3,303$2,859$2,467$2,122$1,821$1,584
15 years$3,051$2,612$2,227$1,893$1,604$1,379
16 years$2,831$2,396$2,019$1,695$1,417$1,204
17 years$2,637$2,207$1,837$1,523$1,257$1,054
18 years$2,464$2,039$1,677$1,372$1,117$926
19 years$2,310$1,890$1,536$1,240$996$815
20 years$2,172$1,756$1,409$1,123$890$718
21 years$2,047$1,636$1,296$1,019$796$634
22 years$1,933$1,527$1,195$927$714$561
23 years$1,829$1,428$1,103$844$641$497
24 years$1,735$1,338$1,020$770$576$441
25 years$1,647$1,256$945$703$518$391
26 years$1,567$1,180$876$643$467$347
27 years$1,493$1,111$814$588$421$309
28 years$1,424$1,047$756$539$380$275
29 years$1,360$987$704$494$343$245
30 years$1,301$932$656$454$310$218
31 years$1,245$882$611$417$280$194
32 years$1,193$834$570$383$253$173
33 years$1,144$790$533$352$229$154
34 years$1,099$749$498$324$208$138
35 years$1,055$710$465$298$188$123
36 years$1,015$674$435$275$170$110
37 years$977$640$407$253$154$98
38 years$940$608$381$233$140$87
39 years$906$578$357$215$127$78
40 years$874$550$335$198$115$70
41 years$843$524$314$183$104$62
42 years$814$499$295$169$95$56
43 years$786$475$276$156$86$50
44 years$759$453$260$144$78$44
45 years$734$432$244$133$71$40
46 years$710$412$229$123$64$35
47 years$687$393$215$113$58$32
48 years$665$376$202$105$53$28
49 years$644$359$190$97$48$25
50 years$624$343$179$90$44$23

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $639,000, adding $3,206 every year, while hoping to spend $43,559 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: 64/6/30 Blend
39$639,000$639,000$639,000$639,000
40$707,485$673,618$663,713$746,898
41$733,302$660,279$639,601$760,677
42$760,292$644,826$613,222$770,676
43$788,530$627,110$584,452$780,674
44$818,095$606,973$553,166$790,679
45$849,072$584,247$519,229$800,700
46$881,557$558,755$482,503$810,749
47$915,651$530,308$442,841$820,840
48$951,463$498,709$400,093$830,992
49$989,114$463,748$354,098$841,228
50$1,028,735$425,203$304,691$851,574
51$1,070,468$382,839$251,700$862,061
52$1,114,466$336,409$194,942$872,728
53$1,160,898$285,650$134,230$883,618
54$1,209,949$230,286$69,365$894,782
55$1,261,817$170,024$143$906,280
56$1,316,723$104,555$0$918,180
57$1,374,904$33,554$0$954,160
58$1,436,622$0$0$992,294
59$1,502,162$0$0$1,035,574
60$1,571,835$0$0$1,083,961
61$1,645,983$0$0$1,135,481
62$1,724,980$0$0$1,190,395
63$1,809,234$0$0$1,248,993
64$1,899,194$0$0$1,311,589
65$1,995,351$0$0$1,378,528
66$2,098,242$0$0$1,450,189
67$2,208,458$0$0$1,526,988
68$2,326,646$0$0$1,609,380
69$2,453,517$0$0$1,697,866
70$2,589,850$0$0$1,792,993
71$2,736,499$0$0$1,895,364
72$2,894,405$0$0$2,005,641
73$3,064,600$0$0$2,124,551
74$3,248,215$0$0$2,252,890
75$3,446,497$0$0$2,391,537
76$3,660,813$0$0$2,541,454
77$3,892,666$0$0$2,703,702
78$4,143,709$0$0$2,879,444
79$4,415,760$0$0$3,069,960
80$4,710,816$0$0$3,276,659
81$5,031,073$0$0$3,501,088
82$5,378,950$0$0$3,744,950
83$5,757,103$0$0$4,010,120
84$6,168,456$0$0$4,298,656
85$6,616,228$0$0$4,612,828
86$7,103,959$0$0$4,955,130
87$7,635,543$0$0$5,328,309
88$8,215,269$0$0$5,735,386
89$8,847,855$0$0$6,179,688
90$9,538,496$0$0$6,664,877
91$10,292,909$0$0$7,194,983
92$11,117,389$0$0$7,774,443
93$12,018,866$0$0$8,408,145
94$13,004,971$0$0$9,101,466
95$14,084,103$0$0$9,860,330
96$15,265,515$0$0$10,691,260
97$16,559,393$0$0$11,601,437
98$17,976,956$0$0$12,598,772
99$19,530,557$0$0$13,691,976
100$21,233,805$0$0$14,890,643