Can I retire at age 40 with 653,000?

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 $653,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13%
1 years$53,924$53,444$52,975$52,518$52,071$51,420
2 years$26,695$26,198$25,716$25,249$24,796$24,141
3 years$17,620$17,121$16,640$16,177$15,731$15,093
4 years$13,083$12,585$12,110$11,655$11,220$10,603
5 years$10,362$9,867$9,398$8,952$8,529$7,935
6 years$8,548$8,057$7,595$7,159$6,749$6,178
7 years$7,253$6,766$6,311$5,886$5,489$4,942
8 years$6,283$5,800$5,352$4,937$4,553$4,031
9 years$5,528$5,050$4,610$4,206$3,835$3,336
10 years$4,925$4,451$4,019$3,625$3,267$2,792
11 years$4,431$3,963$3,538$3,155$2,810$2,357
12 years$4,021$3,557$3,140$2,767$2,435$2,005
13 years$3,673$3,214$2,806$2,443$2,123$1,715
14 years$3,376$2,922$2,521$2,169$1,861$1,474
15 years$3,118$2,669$2,276$1,934$1,639$1,272
16 years$2,893$2,449$2,063$1,732$1,448$1,102
17 years$2,695$2,255$1,878$1,556$1,284$957
18 years$2,518$2,084$1,714$1,402$1,142$833
19 years$2,361$1,931$1,569$1,267$1,018$727
20 years$2,219$1,795$1,440$1,148$909$635
21 years$2,091$1,672$1,325$1,042$814$556
22 years$1,975$1,560$1,221$947$729$487
23 years$1,869$1,459$1,127$862$655$428
24 years$1,773$1,367$1,042$787$588$376
25 years$1,684$1,283$966$718$529$330
26 years$1,602$1,206$896$657$477$291
27 years$1,526$1,135$832$601$430$256
28 years$1,455$1,070$773$551$388$226
29 years$1,390$1,009$719$505$350$199
30 years$1,329$953$670$464$317$175
31 years$1,272$901$625$426$286$155
32 years$1,219$852$583$391$259$137
33 years$1,169$807$544$360$234$121
34 years$1,123$765$508$331$212$106
35 years$1,079$726$475$305$192$94
36 years$1,037$689$445$281$174$83
37 years$998$654$416$259$158$73
38 years$961$622$390$238$143$65
39 years$926$591$365$220$130$57
40 years$893$562$342$203$118$51
41 years$861$535$321$187$107$45
42 years$831$510$301$173$97$40
43 years$803$486$283$159$88$35
44 years$776$463$265$147$80$31
45 years$750$442$249$136$72$27
46 years$725$421$234$126$66$24
47 years$702$402$220$116$60$21
48 years$680$384$206$107$54$19
49 years$658$366$194$99$49$17
50 years$638$350$182$92$45$15

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $653,000, adding $3,298 every year, while hoping to spend $34,760 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: 77/5/18 Blend
39$653,000$653,000$653,000$653,000
40$723,008$688,399$678,277$775,492
41$759,770$685,146$664,015$807,377
42$799,118$680,569$648,110$837,667
43$841,276$674,566$630,471$869,949
44$886,496$667,029$611,001$904,410
45$935,049$657,844$589,600$941,257
46$987,236$646,890$566,164$980,721
47$1,043,386$634,039$540,582$1,023,051
48$1,103,859$619,155$512,740$1,068,527
49$1,169,054$602,095$482,517$1,117,456
50$1,239,405$582,705$449,789$1,170,176
51$1,315,391$560,825$414,424$1,227,062
52$1,397,540$536,284$376,286$1,288,524
53$1,486,430$508,902$335,232$1,355,020
54$1,582,695$478,488$291,112$1,427,049
55$1,687,037$444,841$243,771$1,505,167
56$1,800,222$407,746$193,045$1,589,984
57$1,923,098$366,978$138,765$1,682,174
58$2,056,593$322,299$80,753$1,782,481
59$2,201,731$273,458$18,824$1,891,726
60$2,359,637$220,186$0$2,010,813
61$2,531,549$162,205$0$2,149,820
62$2,718,831$99,216$0$2,305,217
63$2,922,980$30,906$0$2,474,642
64$3,145,648$0$0$2,659,477
65$3,388,650$0$0$2,863,613
66$3,653,986$0$0$3,088,390
67$3,943,857$0$0$3,333,974
68$4,260,685$0$0$3,602,420
69$4,607,138$0$0$3,895,992
70$4,986,153$0$0$4,217,181
71$5,400,964$0$0$4,568,731
72$5,855,132$0$0$4,953,663
73$6,352,577$0$0$5,375,304
74$6,897,619$0$0$5,837,318
75$7,495,014$0$0$6,343,740
76$8,149,998$0$0$6,899,014
77$8,868,342$0$0$7,508,035
78$9,656,398$0$0$8,176,193
79$10,521,166$0$0$8,909,427
80$11,470,355$0$0$9,714,278
81$12,512,456$0$0$10,597,951
82$13,656,822$0$0$11,568,382
83$14,913,760$0$0$12,634,314
84$16,294,619$0$0$13,805,379
85$17,811,904$0$0$15,092,187
86$19,479,393$0$0$16,506,428
87$21,312,262$0$0$18,060,978
88$23,327,232$0$0$19,770,025
89$25,542,724$0$0$21,649,201
90$27,979,033$0$0$23,715,725
91$30,658,522$0$0$25,988,571
92$33,605,825$0$0$28,488,644
93$36,848,087$0$0$31,238,975
94$40,415,216$0$0$34,264,942
95$44,340,164$0$0$37,594,504
96$48,659,238$0$0$41,258,469
97$53,412,443$0$0$45,290,782
98$58,643,860$0$0$49,728,846
99$64,402,056$0$0$54,613,873
100$70,740,549$0$0$59,991,271