Can I retire at age 40 with 685,000?

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 $685,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.7%
1 years$56,567$56,063$55,571$55,091$54,623$53,346
2 years$28,003$27,482$26,976$26,486$26,011$24,731
3 years$18,483$17,960$17,455$16,970$16,502$15,261
4 years$13,724$13,202$12,703$12,226$11,770$10,575
5 years$10,870$10,351$9,858$9,391$8,947$7,803
6 years$8,967$8,452$7,967$7,510$7,080$5,987
7 years$7,609$7,098$6,620$6,174$5,758$4,717
8 years$6,591$6,084$5,615$5,179$4,776$3,788
9 years$5,799$5,298$4,836$4,412$4,022$3,084
10 years$5,166$4,670$4,216$3,803$3,427$2,539
11 years$4,649$4,157$3,712$3,310$2,948$2,108
12 years$4,218$3,731$3,294$2,903$2,554$1,762
13 years$3,853$3,372$2,943$2,563$2,227$1,480
14 years$3,541$3,065$2,644$2,275$1,953$1,249
15 years$3,271$2,800$2,387$2,029$1,719$1,058
16 years$3,035$2,569$2,165$1,817$1,519$899
17 years$2,827$2,366$1,970$1,632$1,347$766
18 years$2,642$2,186$1,798$1,471$1,198$654
19 years$2,477$2,026$1,646$1,329$1,068$559
20 years$2,328$1,883$1,511$1,204$954$479
21 years$2,194$1,754$1,390$1,093$853$411
22 years$2,072$1,637$1,281$993$765$353
23 years$1,961$1,531$1,182$905$687$303
24 years$1,859$1,434$1,094$825$617$261
25 years$1,766$1,346$1,013$754$555$224
26 years$1,680$1,265$939$689$500$193
27 years$1,600$1,191$872$631$451$167
28 years$1,527$1,122$811$578$407$144
29 years$1,458$1,058$755$530$368$124
30 years$1,394$1,000$703$486$332$107
31 years$1,335$945$655$447$300$92
32 years$1,279$894$611$410$272$80
33 years$1,227$847$571$377$246$69
34 years$1,178$803$533$347$223$59
35 years$1,131$761$499$320$202$51
36 years$1,088$722$467$294$183$44
37 years$1,047$686$437$271$166$38
38 years$1,008$652$409$250$150$33
39 years$971$620$383$231$136$28
40 years$937$590$359$213$123$25
41 years$903$562$337$196$112$21
42 years$872$535$316$181$102$18
43 years$842$510$296$167$92$16
44 years$814$486$278$154$84$14
45 years$787$463$261$143$76$12
46 years$761$442$245$132$69$10
47 years$736$422$230$122$63$9
48 years$713$403$217$112$57$8
49 years$690$384$204$104$52$7
50 years$669$367$191$96$47$6

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $685,000, adding $6,473 every year, while hoping to spend $32,453 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: 49/39/12 Blend
39$685,000$685,000$685,000$685,000
40$761,547$725,242$714,624$796,063
41$804,695$726,249$704,035$821,474
42$851,156$726,218$692,002$845,137
43$901,235$725,063$678,445$870,106
44$955,264$722,695$663,276$896,515
45$1,013,611$719,016$646,406$924,511
46$1,076,677$713,926$627,738$954,259
47$1,144,907$707,317$607,176$985,940
48$1,218,785$699,073$584,614$1,019,758
49$1,298,848$689,074$559,945$1,055,939
50$1,385,683$677,191$533,056$1,094,734
51$1,479,937$663,288$503,828$1,136,421
52$1,582,322$647,221$472,138$1,181,312
53$1,693,620$628,837$437,856$1,229,750
54$1,814,693$607,973$400,848$1,282,117
55$1,946,487$584,459$360,972$1,338,837
56$2,090,046$558,114$318,081$1,400,381
57$2,246,515$528,747$272,021$1,467,271
58$2,417,158$496,153$222,632$1,540,086
59$2,603,363$460,120$169,745$1,619,467
60$2,806,660$420,420$113,186$1,706,127
61$3,028,733$376,815$52,771$1,800,853
62$3,271,435$329,050$0$1,904,519
63$3,536,807$276,858$0$2,019,592
64$3,827,094$219,957$0$2,152,953
65$4,144,771$158,048$0$2,299,052
66$4,492,561$90,816$0$2,459,230
67$4,873,464$17,928$0$2,634,971
68$5,290,784$0$0$2,827,914
69$5,748,156$0$0$3,066,036
70$6,249,589$0$0$3,335,607
71$6,799,494$0$0$3,631,315
72$7,402,732$0$0$3,955,783
73$8,064,655$0$0$4,311,899
74$8,791,160$0$0$4,702,847
75$9,588,742$0$0$5,132,133
76$10,464,554$0$0$5,603,618
77$11,426,479$0$0$6,121,557
78$12,483,199$0$0$6,690,636
79$13,644,277$0$0$7,316,019
80$14,920,251$0$0$8,003,393
81$16,322,728$0$0$8,759,025
82$17,864,497$0$0$9,589,820
83$19,559,647$0$0$10,503,382
84$21,423,701$0$0$11,508,094
85$23,473,761$0$0$12,613,186
86$25,728,670$0$0$13,828,834
87$28,209,188$0$0$15,166,243
88$30,938,189$0$0$16,637,766
89$33,940,875$0$0$18,257,007
90$37,245,016$0$0$20,038,959
91$40,881,207$0$0$22,000,143
92$44,883,162$0$0$24,158,759
93$49,288,026$0$0$26,534,865
94$54,136,731$0$0$29,150,558
95$59,474,374$0$0$32,030,190
96$65,350,652$0$0$35,200,592
97$71,820,322$0$0$38,691,329
98$78,943,721$0$0$42,534,980
99$86,787,335$0$0$46,767,444
100$95,424,426$0$0$51,428,277