Can I retire at age 40 with 649,000?

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 $649,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.9%
1 years$53,594$53,116$52,651$52,196$51,752$50,096
2 years$26,532$26,037$25,559$25,094$24,644$22,990
3 years$17,512$17,016$16,538$16,078$15,635$14,036
4 years$13,003$12,508$12,035$11,583$11,151$9,619
5 years$10,299$9,807$9,340$8,897$8,477$7,016
6 years$8,496$8,008$7,548$7,115$6,707$5,319
7 years$7,209$6,725$6,273$5,850$5,455$4,139
8 years$6,244$5,765$5,320$4,907$4,525$3,281
9 years$5,494$5,019$4,582$4,180$3,811$2,636
10 years$4,895$4,424$3,994$3,603$3,247$2,140
11 years$4,404$3,939$3,517$3,136$2,793$1,752
12 years$3,996$3,535$3,121$2,750$2,420$1,443
13 years$3,651$3,195$2,788$2,428$2,110$1,195
14 years$3,355$2,904$2,505$2,156$1,850$993
15 years$3,099$2,653$2,262$1,922$1,629$829
16 years$2,875$2,434$2,051$1,721$1,440$693
17 years$2,678$2,241$1,866$1,547$1,276$581
18 years$2,503$2,071$1,704$1,394$1,135$488
19 years$2,346$1,920$1,560$1,259$1,012$411
20 years$2,206$1,784$1,431$1,141$904$346
21 years$2,079$1,661$1,317$1,035$809$292
22 years$1,963$1,551$1,213$941$725$246
23 years$1,858$1,451$1,120$857$651$208
24 years$1,762$1,359$1,036$782$585$176
25 years$1,673$1,275$960$714$526$149
26 years$1,592$1,199$890$653$474$126
27 years$1,516$1,128$826$598$427$106
28 years$1,446$1,063$768$547$386$90
29 years$1,382$1,003$715$502$348$76
30 years$1,321$947$666$461$315$65
31 years$1,265$895$621$423$284$55
32 years$1,212$847$579$389$257$46
33 years$1,162$802$541$358$233$39
34 years$1,116$760$505$329$211$33
35 years$1,072$721$472$303$191$28
36 years$1,031$685$442$279$173$24
37 years$992$650$414$257$157$20
38 years$955$618$387$237$142$17
39 years$920$588$363$218$129$15
40 years$887$559$340$201$117$12
41 years$856$532$319$186$106$10
42 years$826$507$299$172$96$9
43 years$798$483$281$158$87$8
44 years$771$460$264$146$79$6
45 years$745$439$247$135$72$5
46 years$721$419$232$125$65$5
47 years$698$400$218$115$59$4
48 years$675$381$205$106$54$3
49 years$654$364$193$98$49$3
50 years$634$348$181$91$44$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $649,000, adding $2,936 every year, while hoping to spend $46,366 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: 49/25/26 Blend
39$649,000$649,000$649,000$649,000
40$718,226$683,829$673,770$747,996
41$742,153$668,004$647,008$753,289
42$766,965$649,849$617,796$754,187
43$792,705$629,202$586,002$754,242
44$819,418$605,889$551,490$753,396
45$847,150$579,729$514,116$751,588
46$875,951$550,527$473,730$748,755
47$905,875$518,080$430,177$744,829
48$936,979$482,172$383,294$739,743
49$969,326$442,573$332,909$733,422
50$1,002,980$399,042$278,844$725,793
51$1,038,013$351,323$220,914$716,775
52$1,074,499$299,148$158,924$706,287
53$1,112,522$242,230$92,672$694,244
54$1,152,169$180,268$21,945$680,558
55$1,193,533$112,945$0$665,137
56$1,236,718$39,923$0$662,737
57$1,281,833$0$0$665,872
58$1,328,998$0$0$679,183
59$1,378,340$0$0$704,615
60$1,430,000$0$0$731,261
61$1,484,128$0$0$759,200
62$1,540,887$0$0$788,520
63$1,600,455$0$0$819,314
64$1,663,024$0$0$851,686
65$1,728,804$0$0$885,747
66$1,798,022$0$0$921,619
67$1,870,927$0$0$959,434
68$1,947,787$0$0$999,335
69$2,028,897$0$0$1,041,481
70$2,114,576$0$0$1,086,043
71$2,205,175$0$0$1,133,207
72$2,301,075$0$0$1,183,179
73$2,402,692$0$0$1,236,180
74$2,510,482$0$0$1,292,456
75$2,624,941$0$0$1,352,273
76$2,746,615$0$0$1,415,922
77$2,876,099$0$0$1,483,724
78$3,014,043$0$0$1,556,028
79$3,161,163$0$0$1,633,217
80$3,318,238$0$0$1,715,712
81$3,486,127$0$0$1,803,972
82$3,665,767$0$0$1,898,503
83$3,858,188$0$0$1,999,857
84$4,064,519$0$0$2,108,642
85$4,285,999$0$0$2,225,524
86$4,523,988$0$0$2,351,234
87$4,779,976$0$0$2,486,577
88$5,055,604$0$0$2,632,433
89$5,352,670$0$0$2,789,772
90$5,673,151$0$0$2,959,657
91$6,019,218$0$0$3,143,259
92$6,393,257$0$0$3,341,862
93$6,797,890$0$0$3,556,879
94$7,236,000$0$0$3,789,864
95$7,710,757$0$0$4,042,524
96$8,225,644$0$0$4,316,737
97$8,784,494$0$0$4,614,569
98$9,391,521$0$0$4,938,292
99$10,051,362$0$0$5,290,405
100$10,769,117$0$0$5,673,659