Can I retire at age 40 with 702,000?

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 $702,000?

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$57,971$57,454$56,950$56,459$55,978$54,670
2 years$28,698$28,164$27,646$27,144$26,656$25,345
3 years$18,942$18,405$17,889$17,391$16,912$15,639
4 years$14,065$13,530$13,018$12,529$12,062$10,838
5 years$11,140$10,608$10,103$9,624$9,169$7,997
6 years$9,190$8,662$8,165$7,696$7,255$6,136
7 years$7,798$7,274$6,785$6,327$5,900$4,834
8 years$6,754$6,235$5,754$5,308$4,895$3,882
9 years$5,943$5,429$4,956$4,521$4,122$3,161
10 years$5,294$4,785$4,321$3,897$3,512$2,602
11 years$4,764$4,260$3,804$3,392$3,021$2,160
12 years$4,322$3,824$3,376$2,975$2,618$1,805
13 years$3,949$3,456$3,016$2,627$2,283$1,517
14 years$3,629$3,141$2,710$2,332$2,001$1,280
15 years$3,352$2,869$2,447$2,079$1,762$1,085
16 years$3,110$2,633$2,218$1,862$1,557$922
17 years$2,897$2,424$2,019$1,673$1,381$785
18 years$2,707$2,240$1,843$1,508$1,228$670
19 years$2,538$2,076$1,687$1,362$1,094$573
20 years$2,386$1,929$1,548$1,234$977$491
21 years$2,248$1,797$1,424$1,120$875$421
22 years$2,124$1,678$1,312$1,018$784$362
23 years$2,010$1,569$1,212$927$704$311
24 years$1,906$1,470$1,121$846$633$267
25 years$1,810$1,380$1,038$772$569$230
26 years$1,722$1,297$963$706$513$198
27 years$1,640$1,220$894$646$462$171
28 years$1,565$1,150$831$592$417$147
29 years$1,494$1,085$773$543$377$127
30 years$1,429$1,024$720$498$340$109
31 years$1,368$968$672$458$308$94
32 years$1,311$916$627$421$278$81
33 years$1,257$868$585$387$252$70
34 years$1,207$822$547$356$228$61
35 years$1,160$780$511$328$207$52
36 years$1,115$740$478$302$187$45
37 years$1,073$703$447$278$170$39
38 years$1,033$668$419$256$154$34
39 years$995$635$393$236$139$29
40 years$960$605$368$218$126$25
41 years$926$576$345$201$115$22
42 years$894$548$324$186$104$19
43 years$863$522$304$171$94$16
44 years$834$498$285$158$86$14
45 years$806$475$268$146$78$12
46 years$780$453$251$135$71$10
47 years$755$432$236$125$64$9
48 years$731$413$222$115$58$8
49 years$707$394$209$106$53$7
50 years$685$376$196$98$48$6

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $702,000, adding $2,453 every year, while hoping to spend $34,271 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: 53/19/28 Blend
39$702,000$702,000$702,000$702,000
40$776,134$738,928$728,047$811,083
41$818,836$738,672$715,973$835,315
42$864,744$737,254$702,345$857,986
43$914,151$734,582$687,076$881,977
44$967,375$730,557$670,074$907,429
45$1,024,767$725,074$651,241$934,499
46$1,086,712$718,022$630,477$963,359
47$1,153,635$709,283$607,676$994,204
48$1,226,000$698,733$582,728$1,027,248
49$1,304,320$686,238$555,517$1,062,730
50$1,389,156$671,659$525,922$1,100,917
51$1,481,127$654,847$493,817$1,142,103
52$1,580,913$635,645$459,071$1,186,616
53$1,689,261$613,887$421,545$1,234,819
54$1,806,994$589,396$381,095$1,287,117
55$1,935,017$561,986$337,571$1,343,957
56$2,074,325$531,460$290,816$1,405,836
57$2,226,014$497,609$240,666$1,473,305
58$2,391,288$460,213$186,949$1,546,974
59$2,571,474$419,038$129,487$1,627,520
60$2,768,032$373,838$68,092$1,715,693
61$2,982,568$324,353$2,570$1,812,322
62$3,216,851$270,307$0$1,918,327
63$3,472,828$211,410$0$2,054,848
64$3,752,641$147,355$0$2,205,017
65$4,058,652$77,817$0$2,369,378
66$4,393,458$2,453$0$2,549,380
67$4,759,921$0$0$2,746,622
68$5,161,189$0$0$2,979,404
69$5,600,734$0$0$3,235,021
70$6,082,375$0$0$3,515,189
71$6,610,319$0$0$3,822,366
72$7,189,202$0$0$4,159,257
73$7,824,127$0$0$4,528,842
74$8,520,715$0$0$4,934,402
75$9,285,158$0$0$5,379,553
76$10,124,278$0$0$5,868,278
77$11,045,587$0$0$6,404,964
78$12,057,362$0$0$6,994,442
79$13,168,719$0$0$7,642,036
80$14,389,702$0$0$8,353,610
81$15,731,375$0$0$9,135,626
82$17,205,927$0$0$9,995,201
83$18,826,787$0$0$10,940,177
84$20,608,749$0$0$11,979,192
85$22,568,113$0$0$13,121,765
86$24,722,835$0$0$14,378,383
87$27,092,702$0$0$15,760,598
88$29,699,512$0$0$17,281,142
89$32,567,282$0$0$18,954,039
90$35,722,475$0$0$20,794,744
91$39,194,247$0$0$22,820,283
92$43,014,724$0$0$25,049,419
93$47,219,305$0$0$27,502,823
94$51,846,990$0$0$30,203,272
95$56,940,755$0$0$33,175,864
96$62,547,954$0$0$36,448,255
97$68,720,764$0$0$40,050,916
98$75,516,677$0$0$44,017,423
99$82,999,044$0$0$48,384,776
100$91,237,673$0$0$53,193,743