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%13.2%
1 years$52,768$52,298$51,839$51,392$50,955$50,276
2 years$26,123$25,636$25,165$24,708$24,264$23,582
3 years$17,242$16,754$16,283$15,830$15,394$14,729
4 years$12,803$12,316$11,850$11,405$10,979$10,336
5 years$10,140$9,656$9,196$8,760$8,346$7,728
6 years$8,365$7,885$7,432$7,005$6,604$6,010
7 years$7,098$6,621$6,176$5,760$5,371$4,802
8 years$6,148$5,676$5,238$4,832$4,456$3,912
9 years$5,410$4,942$4,511$4,115$3,752$3,234
10 years$4,819$4,356$3,933$3,548$3,197$2,703
11 years$4,336$3,878$3,463$3,087$2,750$2,280
12 years$3,934$3,481$3,073$2,708$2,383$1,936
13 years$3,594$3,145$2,745$2,391$2,078$1,654
14 years$3,303$2,859$2,467$2,122$1,821$1,420
15 years$3,051$2,612$2,227$1,893$1,604$1,224
16 years$2,831$2,396$2,019$1,695$1,417$1,058
17 years$2,637$2,207$1,837$1,523$1,257$918
18 years$2,464$2,039$1,677$1,372$1,117$798
19 years$2,310$1,890$1,536$1,240$996$695
20 years$2,172$1,756$1,409$1,123$890$607
21 years$2,047$1,636$1,296$1,019$796$530
22 years$1,933$1,527$1,195$927$714$464
23 years$1,829$1,428$1,103$844$641$407
24 years$1,735$1,338$1,020$770$576$357
25 years$1,647$1,256$945$703$518$313
26 years$1,567$1,180$876$643$467$275
27 years$1,493$1,111$814$588$421$242
28 years$1,424$1,047$756$539$380$213
29 years$1,360$987$704$494$343$187
30 years$1,301$932$656$454$310$165
31 years$1,245$882$611$417$280$145
32 years$1,193$834$570$383$253$128
33 years$1,144$790$533$352$229$113
34 years$1,099$749$498$324$208$99
35 years$1,055$710$465$298$188$88
36 years$1,015$674$435$275$170$77
37 years$977$640$407$253$154$68
38 years$940$608$381$233$140$60
39 years$906$578$357$215$127$53
40 years$874$550$335$198$115$47
41 years$843$524$314$183$104$41
42 years$814$499$295$169$95$37
43 years$786$475$276$156$86$32
44 years$759$453$260$144$78$28
45 years$734$432$244$133$71$25
46 years$710$412$229$123$64$22
47 years$687$393$215$113$58$20
48 years$665$376$202$105$53$17
49 years$644$359$190$97$48$15
50 years$624$343$179$90$44$14

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $639,000, adding $4,086 every year, while hoping to spend $39,402 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: 41/35/24 Blend
39$639,000$639,000$639,000$639,000
40$708,393$674,526$664,621$732,288
41$738,725$665,654$644,963$740,952
42$770,831$655,027$623,325$746,277
43$804,850$642,517$599,600$751,261
44$840,933$627,989$573,675$755,894
45$879,248$611,300$545,433$760,170
46$919,975$592,298$514,749$764,084
47$963,315$570,823$481,495$767,637
48$1,009,485$546,705$445,537$770,830
49$1,058,723$519,764$406,733$773,670
50$1,111,291$489,811$364,937$776,171
51$1,167,475$456,644$319,995$778,348
52$1,227,590$420,051$271,747$780,227
53$1,291,978$379,808$220,025$781,839
54$1,361,018$335,677$164,654$783,224
55$1,435,124$287,407$105,451$784,432
56$1,514,750$234,733$42,227$785,524
57$1,600,395$177,376$0$786,573
58$1,692,606$115,038$0$794,131
59$1,791,986$47,409$0$813,798
60$1,899,195$0$0$834,925
61$2,014,958$0$0$867,665
62$2,140,073$0$0$922,849
63$2,275,418$0$0$982,612
64$2,421,955$0$0$1,047,388
65$2,580,743$0$0$1,117,654
66$2,752,949$0$0$1,193,936
67$2,939,851$0$0$1,276,811
68$3,142,860$0$0$1,366,913
69$3,363,525$0$0$1,464,941
70$3,603,551$0$0$1,571,664
71$3,864,813$0$0$1,687,928
72$4,149,375$0$0$1,814,664
73$4,459,509$0$0$1,952,895
74$4,797,714$0$0$2,103,749
75$5,166,740$0$0$2,268,469
76$5,569,617$0$0$2,448,418
77$6,009,677$0$0$2,645,103
78$6,490,590$0$0$2,860,178
79$7,016,395$0$0$3,095,467
80$7,591,541$0$0$3,352,977
81$8,220,926$0$0$3,634,919
82$8,909,942$0$0$3,943,727
83$9,664,527$0$0$4,282,082
84$10,491,223$0$0$4,652,936
85$11,397,229$0$0$5,059,541
86$12,390,480$0$0$5,505,478
87$13,479,710$0$0$5,994,691
88$14,674,542$0$0$6,531,525
89$15,985,573$0$0$7,120,765
90$17,424,478$0$0$7,767,683
91$19,004,115$0$0$8,478,086
92$20,738,649$0$0$9,258,370
93$22,643,682$0$0$10,115,582
94$24,736,405$0$0$11,057,484
95$27,035,751$0$0$12,092,629
96$29,562,583$0$0$13,230,438
97$32,339,880$0$0$14,481,291
98$35,392,962$0$0$15,856,623
99$38,749,723$0$0$17,369,034
100$42,440,893$0$0$19,032,404