Can I retire at age 40 with 672,000?

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 $672,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.4%
1 years$55,493$54,999$54,517$54,046$53,586$53,049
2 years$27,472$26,960$26,464$25,984$25,517$24,976
3 years$18,133$17,619$17,124$16,648$16,189$15,661
4 years$13,464$12,952$12,462$11,994$11,546$11,035
5 years$10,663$10,154$9,671$9,212$8,777$8,284
6 years$8,797$8,292$7,816$7,367$6,945$6,471
7 years$7,464$6,963$6,495$6,057$5,648$5,194
8 years$6,465$5,969$5,508$5,081$4,686$4,250
9 years$5,689$5,197$4,744$4,328$3,946$3,530
10 years$5,068$4,581$4,136$3,731$3,362$2,965
11 years$4,560$4,078$3,641$3,247$2,892$2,513
12 years$4,138$3,660$3,232$2,848$2,506$2,145
13 years$3,780$3,308$2,887$2,514$2,185$1,842
14 years$3,474$3,007$2,594$2,232$1,916$1,590
15 years$3,209$2,747$2,342$1,990$1,687$1,378
16 years$2,977$2,520$2,124$1,782$1,491$1,198
17 years$2,773$2,321$1,932$1,601$1,322$1,045
18 years$2,592$2,145$1,764$1,443$1,175$914
19 years$2,430$1,988$1,615$1,304$1,047$801
20 years$2,284$1,847$1,482$1,181$936$703
21 years$2,152$1,720$1,363$1,072$837$618
22 years$2,033$1,606$1,256$975$750$544
23 years$1,924$1,502$1,160$888$674$480
24 years$1,824$1,407$1,073$809$606$423
25 years$1,733$1,321$994$739$545$374
26 years$1,648$1,241$922$676$491$331
27 years$1,570$1,168$856$619$442$293
28 years$1,498$1,101$796$567$399$259
29 years$1,431$1,038$740$520$361$229
30 years$1,368$981$690$477$326$203
31 years$1,309$927$643$438$295$180
32 years$1,255$877$600$403$266$160
33 years$1,203$831$560$370$241$142
34 years$1,155$787$523$341$218$126
35 years$1,110$747$489$314$198$112
36 years$1,067$709$458$289$179$99
37 years$1,027$673$428$266$162$88
38 years$989$640$401$245$147$78
39 years$953$608$376$226$133$70
40 years$919$579$352$209$121$62
41 years$886$551$330$192$110$55
42 years$856$525$310$178$100$49
43 years$826$500$291$164$90$43
44 years$798$477$273$151$82$39
45 years$772$454$256$140$75$34
46 years$747$434$241$129$68$31
47 years$722$414$226$119$61$27
48 years$699$395$212$110$56$24
49 years$677$377$200$102$51$21
50 years$656$360$188$94$46$19

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $672,000, adding $3,800 every year, while hoping to spend $20,065 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: 57/28/15 Blend
39$672,000$672,000$672,000$672,000
40$744,464$708,848$698,432$783,803
41$799,050$722,232$700,480$824,283
42$858,532$735,600$701,925$865,848
43$923,387$748,929$702,724$910,678
44$994,141$762,196$702,835$959,091
45$1,071,375$775,375$702,211$1,011,435
46$1,155,725$788,438$700,805$1,068,096
47$1,247,894$801,356$698,566$1,129,499
48$1,348,654$814,097$695,443$1,196,110
49$1,458,855$826,627$691,379$1,268,447
50$1,579,436$838,909$686,318$1,347,077
51$1,711,426$850,904$680,197$1,432,629
52$1,855,963$862,569$672,955$1,525,792
53$2,014,296$873,860$664,524$1,627,330
54$2,187,804$884,729$654,835$1,738,082
55$2,378,003$895,124$643,815$1,858,976
56$2,586,564$904,990$631,388$1,991,033
57$2,815,328$914,268$617,474$2,135,379
58$3,066,321$922,897$601,989$2,293,256
59$3,341,776$930,809$584,845$2,466,034
60$3,644,151$937,934$565,953$2,655,223
61$3,976,158$944,195$545,215$2,862,487
62$4,340,778$949,513$522,531$3,089,661
63$4,741,299$953,801$497,798$3,338,769
64$5,181,344$956,969$470,906$3,612,042
65$5,664,900$958,920$441,741$3,911,940
66$6,196,364$959,551$410,183$4,241,176
67$6,780,576$958,752$376,108$4,602,738
68$7,422,872$956,408$339,385$4,999,924
69$8,129,129$952,396$299,878$5,436,369
70$8,905,821$946,584$257,445$5,916,078
71$9,760,083$938,835$211,937$6,443,470
72$10,699,774$929,000$163,200$7,023,415
73$11,733,555$916,925$111,071$7,661,281
74$12,870,967$902,444$55,381$8,362,988
75$14,122,524$885,382$0$9,135,061
76$15,499,809$865,554$0$9,985,341
77$17,015,586$842,763$0$10,930,611
78$18,683,918$816,801$0$11,970,772
79$20,520,302$787,448$0$13,115,491
80$22,541,812$754,472$0$14,375,425
81$24,767,261$717,626$0$15,762,321
82$27,217,381$676,649$0$17,289,122
83$29,915,015$631,266$0$18,970,096
84$32,885,334$581,185$0$20,820,969
85$36,156,073$526,098$0$22,859,071
86$39,757,795$465,679$0$25,103,505
87$43,724,178$399,585$0$27,575,324
88$48,092,331$327,452$0$30,297,729
89$52,903,147$248,895$0$33,296,296
90$58,201,686$163,509$0$36,599,207
91$64,037,602$70,865$0$40,237,528
92$70,465,610$0$0$44,245,494
93$77,546,006$0$0$48,669,923
94$85,345,228$0$0$53,567,672
95$93,936,490$0$0$58,962,893
96$103,400,472$0$0$64,906,264
97$113,826,078$0$0$71,453,628
98$125,311,277$0$0$78,666,520
99$137,964,026$0$0$86,612,753
100$151,903,292$0$0$95,367,052