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%14.2%
1 years$54,007$53,526$53,056$52,598$52,151$51,245
2 years$26,736$26,238$25,755$25,288$24,834$23,924
3 years$17,647$17,147$16,666$16,202$15,756$14,870
4 years$13,103$12,605$12,128$11,673$11,237$10,383
5 years$10,378$9,882$9,412$8,966$8,542$7,722
6 years$8,561$8,070$7,606$7,170$6,759$5,973
7 years$7,265$6,777$6,321$5,895$5,497$4,746
8 years$6,292$5,809$5,361$4,945$4,560$3,844
9 years$5,537$5,058$4,617$4,212$3,840$3,159
10 years$4,932$4,458$4,025$3,631$3,272$2,624
11 years$4,438$3,969$3,544$3,160$2,814$2,199
12 years$4,027$3,562$3,145$2,772$2,439$1,856
13 years$3,679$3,219$2,810$2,447$2,127$1,575
14 years$3,381$2,926$2,525$2,172$1,864$1,343
15 years$3,123$2,673$2,279$1,937$1,641$1,150
16 years$2,897$2,453$2,067$1,735$1,451$988
17 years$2,699$2,259$1,881$1,558$1,286$850
18 years$2,522$2,087$1,717$1,404$1,144$734
19 years$2,365$1,934$1,572$1,269$1,019$635
20 years$2,223$1,797$1,442$1,149$911$550
21 years$2,095$1,674$1,327$1,043$815$477
22 years$1,978$1,563$1,223$948$730$414
23 years$1,872$1,462$1,129$864$656$360
24 years$1,775$1,370$1,044$788$589$314
25 years$1,686$1,285$967$719$530$273
26 years$1,604$1,208$897$658$478$238
27 years$1,528$1,137$833$602$431$208
28 years$1,458$1,071$774$552$389$181
29 years$1,392$1,011$720$506$351$158
30 years$1,331$954$671$464$317$138
31 years$1,274$902$626$426$287$121
32 years$1,221$854$584$392$259$105
33 years$1,171$808$545$360$235$92
34 years$1,124$766$509$332$212$81
35 years$1,080$727$476$305$192$70
36 years$1,039$690$445$281$174$62
37 years$999$655$417$259$158$54
38 years$962$623$390$239$143$47
39 years$927$592$366$220$130$41
40 years$894$563$343$203$118$36
41 years$863$536$321$187$107$32
42 years$833$511$302$173$97$28
43 years$804$487$283$160$88$24
44 years$777$464$266$147$80$21
45 years$751$442$249$136$73$19
46 years$727$422$234$126$66$16
47 years$703$403$220$116$60$14
48 years$681$384$207$107$54$12
49 years$659$367$194$99$49$11
50 years$639$351$183$92$45$10

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $654,000, adding $4,782 every year, while hoping to spend $50,675 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: 50/23/27 Blend
39$654,000$654,000$654,000$654,000
40$725,641$690,979$680,842$756,174
41$745,738$670,919$649,732$757,924
42$766,187$648,178$615,882$754,380
43$786,970$622,570$579,146$749,527
44$808,066$593,901$539,372$743,264
45$829,449$561,963$496,402$735,483
46$851,091$526,537$450,069$726,069
47$872,957$487,392$400,201$714,898
48$895,008$444,283$346,617$701,841
49$917,197$396,952$289,127$686,756
50$939,474$345,124$227,535$669,494
51$961,777$288,512$161,634$649,895
52$984,039$226,810$91,210$627,788
53$1,006,183$159,696$16,037$602,990
54$1,028,121$86,828$0$575,306
55$1,049,755$7,849$0$563,018
56$1,070,974$0$0$553,544
57$1,091,653$0$0$561,737
58$1,111,651$0$0$571,504
59$1,130,812$0$0$580,769
60$1,148,959$0$0$589,436
61$1,165,895$0$0$597,393
62$1,181,401$0$0$604,518
63$1,195,231$0$0$610,676
64$1,207,111$0$0$615,713
65$1,216,737$0$0$619,461
66$1,223,769$0$0$621,730
67$1,227,831$0$0$622,313
68$1,228,504$0$0$620,975
69$1,225,320$0$0$617,459
70$1,217,765$0$0$611,479
71$1,205,265$0$0$602,717
72$1,187,182$0$0$590,820
73$1,162,813$0$0$575,398
74$1,131,377$0$0$556,019
75$1,092,008$0$0$532,205
76$1,043,748$0$0$503,424
77$985,536$0$0$469,092
78$916,200$0$0$428,558
79$834,440$0$0$381,107
80$738,822$0$0$325,943
81$627,758$0$0$262,191
82$499,493$0$0$188,880
83$352,088$0$0$104,940
84$183,400$0$0$9,187
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