Can I retire at age 40 with 674,000?

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 $674,000?

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$55,658$55,163$54,679$54,207$53,746$51,593
2 years$27,554$27,040$26,543$26,061$25,593$23,451
3 years$18,187$17,671$17,175$16,697$16,237$14,174
4 years$13,504$12,990$12,499$12,030$11,581$9,611
5 years$10,695$10,184$9,700$9,240$8,803$6,933
6 years$8,823$8,316$7,839$7,389$6,966$5,196
7 years$7,487$6,984$6,514$6,075$5,665$3,995
8 years$6,485$5,987$5,525$5,096$4,700$3,127
9 years$5,706$5,212$4,758$4,341$3,958$2,481
10 years$5,083$4,595$4,148$3,742$3,372$1,988
11 years$4,574$4,090$3,652$3,257$2,900$1,605
12 years$4,150$3,671$3,241$2,856$2,513$1,303
13 years$3,791$3,318$2,896$2,522$2,192$1,064
14 years$3,484$3,016$2,602$2,239$1,921$872
15 years$3,218$2,755$2,349$1,996$1,692$716
16 years$2,986$2,528$2,130$1,788$1,495$590
17 years$2,781$2,328$1,938$1,606$1,326$487
18 years$2,599$2,151$1,769$1,447$1,179$403
19 years$2,437$1,993$1,620$1,308$1,051$333
20 years$2,291$1,852$1,486$1,185$938$276
21 years$2,159$1,725$1,367$1,075$840$229
22 years$2,039$1,611$1,260$977$753$190
23 years$1,930$1,506$1,163$890$676$158
24 years$1,830$1,411$1,076$812$607$131
25 years$1,738$1,325$997$741$546$109
26 years$1,653$1,245$924$678$492$91
27 years$1,575$1,172$858$621$444$76
28 years$1,502$1,104$798$569$400$63
29 years$1,435$1,041$743$521$362$52
30 years$1,372$984$692$479$327$44
31 years$1,313$930$645$439$295$36
32 years$1,258$880$602$404$267$30
33 years$1,207$833$562$371$242$25
34 years$1,159$790$525$342$219$21
35 years$1,113$749$491$315$198$17
36 years$1,070$711$459$290$180$15
37 years$1,030$675$430$267$163$12
38 years$992$642$402$246$148$10
39 years$956$610$377$227$134$8
40 years$921$581$353$209$121$7
41 years$889$553$331$193$110$6
42 years$858$526$311$178$100$5
43 years$829$501$292$164$91$4
44 years$801$478$274$152$82$3
45 years$774$456$257$140$75$3
46 years$749$435$241$130$68$2
47 years$725$415$227$120$62$2
48 years$701$396$213$111$56$2
49 years$679$378$200$102$51$1
50 years$658$361$188$94$46$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $674,000, adding $6,908 every year, while hoping to spend $46,445 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: 78/7/15 Blend
39$674,000$674,000$674,000$674,000
40$749,874$714,152$703,705$805,466
41$776,944$699,728$677,862$828,646
42$805,218$683,041$649,596$847,479
43$834,771$663,930$618,778$866,842
44$865,682$642,227$585,272$886,770
45$898,037$617,752$548,934$907,301
46$931,931$590,316$509,617$928,480
47$967,464$559,717$467,165$950,354
48$1,004,746$525,744$421,416$972,979
49$1,043,897$488,173$372,200$996,413
50$1,085,046$446,765$319,341$1,020,724
51$1,128,335$401,270$262,653$1,045,985
52$1,173,916$351,424$201,943$1,072,280
53$1,221,957$296,945$137,010$1,099,701
54$1,272,640$237,539$67,643$1,128,349
55$1,326,163$172,892$0$1,158,338
56$1,382,743$102,675$0$1,190,817
57$1,442,614$26,538$0$1,236,523
58$1,506,036$0$0$1,284,814
59$1,573,289$0$0$1,340,208
60$1,644,682$0$0$1,401,192
61$1,720,551$0$0$1,466,012
62$1,801,264$0$0$1,534,983
63$1,887,224$0$0$1,608,452
64$1,978,873$0$0$1,686,797
65$2,076,692$0$0$1,770,432
66$2,181,213$0$0$1,859,814
67$2,293,015$0$0$1,955,439
68$2,412,734$0$0$2,057,855
69$2,541,067$0$0$2,167,661
70$2,678,782$0$0$2,285,514
71$2,826,717$0$0$2,412,135
72$2,985,794$0$0$2,548,317
73$3,157,025$0$0$2,694,929
74$3,341,523$0$0$2,852,927
75$3,540,508$0$0$3,023,357
76$3,755,321$0$0$3,207,374
77$3,987,436$0$0$3,406,244
78$4,238,472$0$0$3,621,357
79$4,510,210$0$0$3,854,243
80$4,804,606$0$0$4,106,584
81$5,123,814$0$0$4,380,229
82$5,470,198$0$0$4,677,212
83$5,846,362$0$0$4,999,767
84$6,255,168$0$0$5,350,356
85$6,699,765$0$0$5,731,685
86$7,183,618$0$0$6,146,730
87$7,710,539$0$0$6,598,767
88$8,284,723$0$0$7,091,403
89$8,910,787$0$0$7,628,603
90$9,593,811$0$0$8,214,735
91$10,339,389$0$0$8,854,604
92$11,153,677$0$0$9,553,502
93$12,043,451$0$0$10,317,254
94$13,016,174$0$0$11,152,271
95$14,080,059$0$0$12,065,613
96$15,244,152$0$0$13,065,054
97$16,518,413$0$0$14,159,153
98$17,913,808$0$0$15,357,337
99$19,442,414$0$0$16,669,986
100$21,117,532$0$0$18,108,529