Can I retire at age 40 with 696,000?

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 $696,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.9%
1 years$57,475$56,963$56,464$55,976$55,500$54,603
2 years$28,453$27,923$27,410$26,912$26,429$25,527
3 years$18,780$18,248$17,736$17,243$16,767$15,890
4 years$13,945$13,414$12,907$12,422$11,959$11,112
5 years$11,044$10,517$10,016$9,541$9,091$8,277
6 years$9,111$8,588$8,095$7,630$7,193$6,413
7 years$7,731$7,212$6,727$6,273$5,850$5,104
8 years$6,696$6,182$5,705$5,263$4,853$4,141
9 years$5,892$5,383$4,914$4,483$4,087$3,409
10 years$5,249$4,745$4,284$3,864$3,482$2,837
11 years$4,723$4,224$3,771$3,363$2,995$2,383
12 years$4,285$3,791$3,347$2,950$2,595$2,015
13 years$3,915$3,426$2,990$2,604$2,263$1,713
14 years$3,598$3,114$2,687$2,312$1,984$1,464
15 years$3,324$2,845$2,426$2,062$1,747$1,256
16 years$3,084$2,610$2,199$1,846$1,544$1,081
17 years$2,872$2,404$2,001$1,659$1,369$933
18 years$2,684$2,221$1,827$1,495$1,217$807
19 years$2,516$2,059$1,673$1,351$1,085$699
20 years$2,365$1,913$1,535$1,223$969$607
21 years$2,229$1,782$1,412$1,110$867$528
22 years$2,105$1,663$1,301$1,009$777$459
23 years$1,993$1,556$1,201$919$698$400
24 years$1,889$1,458$1,111$838$627$349
25 years$1,794$1,368$1,029$766$564$305
26 years$1,707$1,286$954$700$508$266
27 years$1,626$1,210$886$641$458$233
28 years$1,551$1,140$824$587$414$204
29 years$1,482$1,075$767$538$373$178
30 years$1,417$1,016$714$494$337$156
31 years$1,356$960$666$454$305$137
32 years$1,300$908$621$417$276$120
33 years$1,246$860$580$384$250$105
34 years$1,197$815$542$353$226$92
35 years$1,150$773$507$325$205$81
36 years$1,105$734$474$299$186$71
37 years$1,064$697$444$276$168$62
38 years$1,024$663$415$254$152$54
39 years$987$630$389$234$138$48
40 years$952$599$365$216$125$42
41 years$918$571$342$199$114$37
42 years$886$543$321$184$103$32
43 years$856$518$301$170$94$28
44 years$827$494$283$157$85$25
45 years$799$471$265$145$77$22
46 years$773$449$249$134$70$19
47 years$748$428$234$124$64$17
48 years$724$409$220$114$58$15
49 years$701$391$207$106$52$13
50 years$680$373$194$98$48$11

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $696,000, adding $2,156 every year, while hoping to spend $24,432 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: 49/36/15 Blend
39$696,000$696,000$696,000$696,000
40$769,216$732,328$721,540$803,613
41$821,680$742,217$719,716$837,444
42$878,678$751,771$717,012$871,470
43$940,644$760,949$713,373$907,893
44$1,008,059$769,705$708,741$946,948
45$1,081,452$777,991$703,055$988,892
46$1,161,404$785,757$696,251$1,034,010
47$1,248,556$792,947$688,263$1,082,616
48$1,343,610$799,503$679,022$1,135,058
49$1,447,342$805,363$668,453$1,191,720
50$1,560,606$810,460$656,481$1,253,025
51$1,684,340$814,725$643,025$1,319,442
52$1,819,578$818,082$628,002$1,391,488
53$1,967,458$820,452$611,324$1,469,734
54$2,129,235$821,750$592,899$1,554,810
55$2,306,287$821,886$572,631$1,647,413
56$2,500,134$820,764$550,421$1,748,312
57$2,712,450$818,284$526,162$1,858,356
58$2,945,078$814,337$499,746$1,978,482
59$3,200,045$808,809$471,057$2,109,725
60$3,479,589$801,580$439,976$2,253,229
61$3,786,170$792,520$406,378$2,410,253
62$4,122,499$781,494$370,132$2,582,192
63$4,491,564$768,356$331,101$2,770,582
64$4,896,653$752,955$289,142$2,977,119
65$5,341,389$735,128$244,107$3,203,675
66$5,829,766$714,704$195,839$3,452,318
67$6,366,179$691,501$144,176$3,725,328
68$6,955,471$665,328$88,949$4,025,222
69$7,602,980$635,979$29,980$4,354,776
70$8,314,583$603,242$0$4,717,056
71$9,096,757$566,887$0$5,120,716
72$9,956,637$526,675$0$5,569,677
73$10,902,082$482,350$0$6,063,284
74$11,941,754$433,645$0$6,606,111
75$13,085,194$380,274$0$7,203,203
76$14,342,914$321,938$0$7,860,122
77$15,726,497$258,318$0$8,583,004
78$17,248,704$189,081$0$9,378,613
79$18,923,597$113,871$0$10,254,407
80$20,766,668$32,314$0$11,218,610
81$22,794,987$0$0$12,280,291
82$25,027,364$0$0$13,471,626
83$27,484,522$0$0$14,797,099
84$30,189,299$0$0$16,256,239
85$33,166,855$0$0$17,862,630
86$36,444,917$0$0$19,631,244
87$40,054,035$0$0$21,578,574
88$44,027,872$0$0$23,722,798
89$48,403,524$0$0$26,083,944
90$53,221,863$0$0$28,684,082
91$58,527,930$0$0$31,547,530
92$64,371,356$0$0$34,701,087
93$70,806,828$0$0$38,174,282
94$77,894,610$0$0$41,999,653
95$85,701,110$0$0$46,213,057
96$94,299,501$0$0$50,854,006
97$103,770,421$0$0$55,966,039
98$114,202,723$0$0$61,597,134
99$125,694,324$0$0$67,800,162
100$138,353,120$0$0$74,633,383