Can I retire at age 40 with 675,000?

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 $675,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.5%
1 years$55,741$55,244$54,760$54,287$53,825$53,043
2 years$27,594$27,081$26,582$26,100$25,631$24,844
3 years$18,214$17,697$17,201$16,722$16,261$15,495
4 years$13,524$13,009$12,518$12,047$11,598$10,858
5 years$10,711$10,200$9,714$9,254$8,816$8,104
6 years$8,836$8,329$7,851$7,400$6,976$6,293
7 years$7,498$6,994$6,524$6,084$5,673$5,020
8 years$6,494$5,996$5,533$5,104$4,707$4,083
9 years$5,714$5,220$4,765$4,347$3,964$3,369
10 years$5,091$4,601$4,155$3,747$3,377$2,811
11 years$4,581$4,096$3,658$3,261$2,905$2,366
12 years$4,156$3,677$3,246$2,861$2,517$2,006
13 years$3,797$3,323$2,900$2,526$2,195$1,710
14 years$3,489$3,020$2,606$2,242$1,924$1,465
15 years$3,223$2,759$2,353$1,999$1,694$1,260
16 years$2,991$2,531$2,133$1,790$1,497$1,088
17 years$2,785$2,331$1,941$1,608$1,328$941
18 years$2,603$2,154$1,772$1,450$1,180$816
19 years$2,440$1,996$1,622$1,310$1,052$710
20 years$2,294$1,855$1,489$1,186$940$618
21 years$2,162$1,728$1,369$1,077$841$539
22 years$2,042$1,613$1,262$979$754$471
23 years$1,932$1,509$1,165$892$677$411
24 years$1,832$1,414$1,078$813$608$360
25 years$1,740$1,327$998$743$547$315
26 years$1,655$1,247$926$679$493$276
27 years$1,577$1,173$860$621$444$242
28 years$1,504$1,106$799$569$401$213
29 years$1,437$1,043$744$522$362$187
30 years$1,374$985$693$479$327$164
31 years$1,315$931$646$440$296$144
32 years$1,260$881$602$404$268$127
33 years$1,209$834$563$372$242$111
34 years$1,160$791$526$342$219$98
35 years$1,115$750$491$315$199$86
36 years$1,072$712$460$290$180$76
37 years$1,032$676$430$267$163$67
38 years$993$643$403$246$148$59
39 years$957$611$378$227$134$52
40 years$923$581$354$210$122$45
41 years$890$553$332$193$110$40
42 years$859$527$311$178$100$35
43 years$830$502$292$165$91$31
44 years$802$479$274$152$82$27
45 years$775$456$257$140$75$24
46 years$750$435$242$130$68$21
47 years$726$416$227$120$62$19
48 years$702$397$213$111$56$16
49 years$680$379$201$102$51$14
50 years$659$362$189$95$46$13

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $675,000, adding $4,048 every year, while hoping to spend $53,625 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: 60/30/10 Blend
39$675,000$675,000$675,000$675,000
40$748,026$712,251$701,788$790,939
41$767,268$690,094$668,241$798,074
42$786,675$665,055$631,774$799,400
43$806,208$636,935$592,230$799,526
44$825,821$605,525$549,450$798,340
45$845,462$570,603$503,264$795,720
46$865,072$531,935$453,496$791,535
47$884,584$489,274$399,962$785,644
48$903,920$442,357$342,470$777,894
49$922,996$390,909$280,819$768,122
50$941,714$334,636$214,799$756,149
51$959,966$273,230$144,191$741,783
52$977,628$206,364$68,767$724,818
53$994,564$133,694$0$705,030
54$1,010,620$54,855$0$683,427
55$1,025,624$0$0$666,410
56$1,039,384$0$0$656,459
57$1,051,685$0$0$663,623
58$1,062,289$0$0$669,634
59$1,070,929$0$0$674,315
60$1,077,310$0$0$677,470
61$1,081,101$0$0$678,880
62$1,081,938$0$0$678,300
63$1,079,412$0$0$675,463
64$1,073,074$0$0$670,067
65$1,062,420$0$0$661,780
66$1,046,897$0$0$650,234
67$1,025,888$0$0$635,021
68$998,711$0$0$615,687
69$964,609$0$0$591,732
70$922,745$0$0$562,601
71$872,194$0$0$527,680
72$811,929$0$0$486,289
73$740,817$0$0$437,677
74$657,602$0$0$381,012
75$560,898$0$0$315,377
76$449,171$0$0$239,755
77$320,726$0$0$153,025
78$173,691$0$0$53,945
79$5,996$0$0$0
80$0$0$0$0
81$0$0$0$0
82$0$0$0$0
83$0$0$0$0
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