Can I retire at age 40 with 646,000?

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 $646,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.4%
1 years$53,346$52,871$52,407$51,955$51,513$51,210
2 years$26,409$25,917$25,440$24,978$24,530$24,224
3 years$17,431$16,937$16,462$16,004$15,563$15,264
4 years$12,943$12,451$11,980$11,530$11,100$10,810
5 years$10,251$9,761$9,297$8,856$8,438$8,158
6 years$8,457$7,971$7,513$7,082$6,676$6,407
7 years$7,176$6,694$6,244$5,823$5,430$5,170
8 years$6,215$5,738$5,295$4,885$4,504$4,256
9 years$5,469$4,996$4,561$4,161$3,793$3,555
10 years$4,872$4,404$3,976$3,586$3,232$3,004
11 years$4,384$3,920$3,500$3,121$2,780$2,562
12 years$3,977$3,519$3,107$2,738$2,409$2,201
13 years$3,634$3,180$2,775$2,417$2,101$1,902
14 years$3,340$2,890$2,494$2,146$1,841$1,652
15 years$3,085$2,640$2,252$1,913$1,621$1,442
16 years$2,862$2,423$2,041$1,713$1,433$1,262
17 years$2,666$2,231$1,858$1,539$1,271$1,108
18 years$2,491$2,062$1,696$1,387$1,130$976
19 years$2,336$1,911$1,552$1,254$1,007$861
20 years$2,196$1,775$1,425$1,135$899$762
21 years$2,069$1,654$1,310$1,030$805$675
22 years$1,954$1,544$1,208$937$721$599
23 years$1,849$1,444$1,115$853$648$532
24 years$1,754$1,353$1,031$778$582$473
25 years$1,665$1,270$955$711$524$421
26 years$1,584$1,193$886$650$472$375
27 years$1,509$1,123$823$595$425$335
28 years$1,440$1,058$765$545$384$299
29 years$1,375$998$712$500$347$267
30 years$1,315$943$663$459$313$238
31 years$1,259$891$618$421$283$213
32 years$1,206$843$577$387$256$190
33 years$1,157$799$538$356$232$170
34 years$1,111$757$503$328$210$153
35 years$1,067$718$470$302$190$137
36 years$1,026$681$440$278$172$122
37 years$987$647$412$256$156$110
38 years$951$615$386$236$142$98
39 years$916$585$361$217$128$88
40 years$883$556$339$201$116$79
41 years$852$530$318$185$106$71
42 years$822$504$298$171$96$63
43 years$794$481$279$158$87$57
44 years$768$458$262$146$79$51
45 years$742$437$246$134$72$46
46 years$718$417$231$124$65$41
47 years$694$398$217$115$59$37
48 years$672$380$204$106$54$33
49 years$651$363$192$98$49$30
50 years$631$346$181$91$44$27

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $646,000, adding $6,698 every year, while hoping to spend $49,231 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: 63/23/14 Blend
39$646,000$646,000$646,000$646,000
40$718,801$684,563$674,550$761,246
41$739,737$665,725$644,766$771,683
42$761,159$644,314$612,334$776,829
43$783,064$620,152$577,114$781,248
44$805,447$593,051$538,958$784,869
45$828,303$562,810$497,714$787,618
46$851,622$529,220$453,219$789,415
47$875,393$492,057$405,307$790,174
48$899,601$451,086$353,803$789,803
49$924,228$406,057$298,523$788,203
50$949,252$356,707$239,277$785,267
51$974,648$302,757$175,864$780,881
52$1,000,384$243,914$108,078$774,924
53$1,026,424$179,867$35,699$767,264
54$1,052,726$110,288$0$757,759
55$1,079,242$34,829$0$752,465
56$1,105,915$0$0$751,106
57$1,132,682$0$0$760,071
58$1,159,468$0$0$777,839
59$1,186,191$0$0$795,537
60$1,212,757$0$0$813,099
61$1,239,057$0$0$830,449
62$1,264,972$0$0$847,502
63$1,290,366$0$0$864,165
64$1,315,085$0$0$880,328
65$1,338,959$0$0$895,873
66$1,361,794$0$0$910,665
67$1,383,376$0$0$924,552
68$1,403,463$0$0$937,368
69$1,421,787$0$0$948,925
70$1,438,048$0$0$959,012
71$1,451,912$0$0$967,397
72$1,463,006$0$0$973,820
73$1,470,916$0$0$977,992
74$1,475,182$0$0$979,593
75$1,475,291$0$0$978,265
76$1,470,675$0$0$973,612
77$1,460,702$0$0$965,194
78$1,444,673$0$0$952,525
79$1,421,811$0$0$935,064
80$1,391,255$0$0$912,210
81$1,352,051$0$0$883,302
82$1,303,143$0$0$847,603
83$1,243,363$0$0$804,300
84$1,171,414$0$0$752,493
85$1,085,865$0$0$691,186
86$985,132$0$0$619,277
87$867,463$0$0$535,546
88$730,919$0$0$438,648
89$573,359$0$0$327,094
90$392,416$0$0$199,237
91$185,476$0$0$53,261
92$0$0$0$0
93$0$0$0$0
94$0$0$0$0
95$0$0$0$0
96$0$0$0$0
97$0$0$0$0
98$0$0$0$0
99$0$0$0$0
100$0$0$0$0