Can I retire at age 40 with 654,000?

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 $654,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%20%
1 years$54,007$53,526$53,056$52,598$52,151$50,062
2 years$26,736$26,238$25,755$25,288$24,834$22,755
3 years$17,647$17,147$16,666$16,202$15,756$13,753
4 years$13,103$12,605$12,128$11,673$11,237$9,326
5 years$10,378$9,882$9,412$8,966$8,542$6,727
6 years$8,561$8,070$7,606$7,170$6,759$5,042
7 years$7,265$6,777$6,321$5,895$5,497$3,876
8 years$6,292$5,809$5,361$4,945$4,560$3,034
9 years$5,537$5,058$4,617$4,212$3,840$2,407
10 years$4,932$4,458$4,025$3,631$3,272$1,929
11 years$4,438$3,969$3,544$3,160$2,814$1,557
12 years$4,027$3,562$3,145$2,772$2,439$1,265
13 years$3,679$3,219$2,810$2,447$2,127$1,032
14 years$3,381$2,926$2,525$2,172$1,864$846
15 years$3,123$2,673$2,279$1,937$1,641$695
16 years$2,897$2,453$2,067$1,735$1,451$573
17 years$2,699$2,259$1,881$1,558$1,286$473
18 years$2,522$2,087$1,717$1,404$1,144$391
19 years$2,365$1,934$1,572$1,269$1,019$324
20 years$2,223$1,797$1,442$1,149$911$268
21 years$2,095$1,674$1,327$1,043$815$222
22 years$1,978$1,563$1,223$948$730$185
23 years$1,872$1,462$1,129$864$656$153
24 years$1,775$1,370$1,044$788$589$128
25 years$1,686$1,285$967$719$530$106
26 years$1,604$1,208$897$658$478$88
27 years$1,528$1,137$833$602$431$73
28 years$1,458$1,071$774$552$389$61
29 years$1,392$1,011$720$506$351$51
30 years$1,331$954$671$464$317$42
31 years$1,274$902$626$426$287$35
32 years$1,221$854$584$392$259$29
33 years$1,171$808$545$360$235$24
34 years$1,124$766$509$332$212$20
35 years$1,080$727$476$305$192$17
36 years$1,039$690$445$281$174$14
37 years$999$655$417$259$158$12
38 years$962$623$390$239$143$10
39 years$927$592$366$220$130$8
40 years$894$563$343$203$118$7
41 years$863$536$321$187$107$6
42 years$833$511$302$173$97$5
43 years$804$487$283$160$88$4
44 years$777$464$266$147$80$3
45 years$751$442$249$136$73$3
46 years$727$422$234$126$66$2
47 years$703$403$220$116$60$2
48 years$681$384$207$107$54$2
49 years$659$367$194$99$49$1
50 years$639$351$183$92$45$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $654,000, adding $3,698 every year, while hoping to spend $50,881 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: 65/30/5 Blend
39$654,000$654,000$654,000$654,000
40$724,522$689,860$679,723$770,884
41$744,287$669,527$648,357$781,812
42$764,362$646,491$614,235$787,320
43$784,725$620,568$577,210$791,981
44$805,351$591,560$537,131$795,706
45$826,210$559,259$493,838$798,399
46$847,265$523,445$447,163$799,958
47$868,477$483,884$396,934$800,271
48$889,799$440,331$342,968$799,219
49$911,176$392,525$285,075$796,670
50$932,548$340,191$223,057$792,486
51$953,846$283,039$156,708$786,513
52$974,991$220,760$85,810$778,589
53$995,893$153,031$10,138$768,535
54$1,016,454$79,509$0$756,161
55$1,036,560$0$0$745,026
56$1,056,084$0$0$732,017
57$1,074,884$0$0$744,713
58$1,092,801$0$0$756,752
59$1,109,656$0$0$768,006
60$1,125,250$0$0$778,330
61$1,139,360$0$0$787,565
62$1,151,739$0$0$795,533
63$1,162,110$0$0$802,033
64$1,170,164$0$0$806,845
65$1,175,560$0$0$809,723
66$1,177,917$0$0$810,393
67$1,176,811$0$0$808,550
68$1,171,772$0$0$803,857
69$1,162,280$0$0$795,941
70$1,147,756$0$0$784,384
71$1,127,559$0$0$768,727
72$1,100,978$0$0$748,460
73$1,067,225$0$0$723,018
74$1,025,428$0$0$691,774
75$974,623$0$0$654,036
76$913,740$0$0$609,037
77$841,599$0$0$555,929
78$756,890$0$0$493,775
79$658,169$0$0$421,537
80$543,837$0$0$338,069
81$412,126$0$0$242,103
82$261,085$0$0$132,239
83$88,556$0$0$6,931
84$0$0$0$0
85$0$0$0$0
86$0$0$0$0
87$0$0$0$0
88$0$0$0$0
89$0$0$0$0
90$0$0$0$0
91$0$0$0$0
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