Can I retire at age 40 with 703,000?

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 $703,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.4%
1 years$58,053$57,536$57,031$56,539$56,058$55,496
2 years$28,739$28,204$27,685$27,182$26,694$26,128
3 years$18,969$18,432$17,914$17,416$16,936$16,383
4 years$14,085$13,549$13,037$12,547$12,079$11,544
5 years$11,155$10,623$10,117$9,637$9,182$8,666
6 years$9,203$8,674$8,176$7,707$7,266$6,770
7 years$7,809$7,285$6,794$6,336$5,909$5,433
8 years$6,764$6,244$5,762$5,316$4,902$4,447
9 years$5,951$5,437$4,963$4,528$4,128$3,693
10 years$5,302$4,792$4,327$3,903$3,517$3,102
11 years$4,771$4,266$3,809$3,397$3,025$2,629
12 years$4,328$3,829$3,381$2,979$2,621$2,244
13 years$3,954$3,460$3,020$2,630$2,286$1,927
14 years$3,634$3,145$2,714$2,335$2,004$1,663
15 years$3,357$2,873$2,450$2,082$1,764$1,441
16 years$3,115$2,636$2,221$1,864$1,559$1,253
17 years$2,901$2,428$2,021$1,675$1,383$1,093
18 years$2,711$2,244$1,845$1,510$1,229$956
19 years$2,542$2,079$1,689$1,364$1,096$838
20 years$2,389$1,932$1,550$1,236$979$735
21 years$2,252$1,800$1,426$1,121$876$647
22 years$2,127$1,680$1,314$1,020$785$569
23 years$2,013$1,571$1,214$928$705$502
24 years$1,908$1,472$1,122$847$633$443
25 years$1,812$1,382$1,039$773$570$391
26 years$1,724$1,298$964$707$513$346
27 years$1,643$1,222$895$647$463$306
28 years$1,567$1,151$832$593$418$271
29 years$1,497$1,086$774$544$377$240
30 years$1,431$1,026$721$499$341$213
31 years$1,370$970$673$458$308$189
32 years$1,313$918$627$421$279$167
33 years$1,259$869$586$387$252$148
34 years$1,209$824$547$356$228$132
35 years$1,161$781$512$328$207$117
36 years$1,117$741$479$302$187$104
37 years$1,074$704$448$278$170$92
38 years$1,035$669$420$257$154$82
39 years$997$636$393$237$140$73
40 years$961$605$369$218$127$65
41 years$927$576$346$201$115$58
42 years$895$549$324$186$104$51
43 years$864$523$304$172$95$45
44 years$835$499$286$158$86$40
45 years$807$475$268$146$78$36
46 years$781$454$252$135$71$32
47 years$756$433$237$125$64$28
48 years$732$413$222$115$58$25
49 years$708$395$209$107$53$22
50 years$686$377$196$99$48$20

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $703,000, adding $3,896 every year, while hoping to spend $21,283 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: 21/49/30 Blend
39$703,000$703,000$703,000$703,000
40$778,725$741,466$730,569$787,623
41$835,510$755,153$732,398$809,846
42$897,373$768,797$733,575$831,580
43$964,811$782,374$734,056$854,355
44$1,038,369$795,857$733,794$878,270
45$1,118,647$809,218$732,740$903,432
46$1,206,306$822,427$730,844$929,964
47$1,302,072$835,449$728,051$958,000
48$1,406,748$848,250$724,305$987,690
49$1,521,215$860,793$719,547$1,019,201
50$1,646,442$873,036$713,716$1,052,717
51$1,783,501$884,935$706,746$1,088,443
52$1,933,566$896,446$698,570$1,126,607
53$2,097,935$907,516$689,118$1,167,460
54$2,278,034$918,095$678,313$1,211,284
55$2,475,436$928,124$666,079$1,258,387
56$2,691,872$937,543$652,334$1,309,116
57$2,929,248$946,288$636,993$1,363,851
58$3,189,665$954,290$619,966$1,423,016
59$3,475,436$961,476$601,160$1,487,079
60$3,789,110$967,767$580,477$1,556,559
61$4,133,492$973,080$557,816$1,632,033
62$4,511,674$977,328$533,070$1,714,136
63$4,927,063$980,415$506,126$1,803,574
64$5,383,411$982,242$476,868$1,901,128
65$5,884,850$982,703$445,174$2,007,662
66$6,435,935$981,686$410,918$2,124,133
67$7,041,681$979,069$373,964$2,251,599
68$7,707,616$974,727$334,175$2,391,229
69$8,439,828$968,524$291,405$2,544,320
70$9,245,025$960,317$245,503$2,712,303
71$10,130,600$949,954$196,309$2,896,761
72$11,104,695$937,275$143,659$3,099,445
73$12,176,281$922,110$87,379$3,322,290
74$13,355,245$904,276$27,290$3,567,435
75$14,652,478$883,584$0$3,837,245
76$16,079,982$859,830$0$4,146,122
77$17,650,978$832,801$0$4,495,251
78$19,380,038$802,268$0$4,879,141
79$21,283,215$767,992$0$5,301,384
80$23,378,198$729,718$0$5,765,942
81$25,684,478$687,178$0$6,277,186
82$28,223,532$640,087$0$6,839,941
83$31,019,026$588,145$0$7,459,528
84$34,097,036$531,034$0$8,141,817
85$37,486,296$468,417$0$8,893,285
86$41,218,468$399,940$0$9,721,076
87$45,328,442$325,227$0$10,633,070
88$49,854,663$243,883$0$11,637,960
89$54,839,494$155,488$0$12,745,334
90$60,329,617$59,602$0$13,965,766
91$66,376,472$0$0$15,310,922
92$73,036,743$0$0$16,817,520
93$80,372,892$0$0$18,512,585
94$88,453,751$0$0$20,379,908
95$97,355,166$0$0$22,437,036
96$107,160,718$0$0$24,703,311
97$117,962,509$0$0$27,200,043
98$129,862,032$0$0$29,950,717
99$142,971,127$0$0$32,981,212
100$157,413,040$0$0$36,320,047