Can I retire at age 40 with 705,000?

Use the below retirement simulation to view the chances of a successful retirement.
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 $705,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.5%
1 years$58,218$57,700$57,194$56,700$56,218$54,725
2 years$28,821$28,284$27,764$27,260$26,770$25,277
3 years$19,023$18,484$17,965$17,465$16,984$15,537
4 years$14,125$13,588$13,074$12,583$12,113$10,723
5 years$11,187$10,653$10,146$9,665$9,208$7,879
6 years$9,229$8,699$8,199$7,729$7,286$6,019
7 years$7,831$7,305$6,814$6,354$5,926$4,721
8 years$6,783$6,262$5,779$5,331$4,916$3,773
9 years$5,968$5,452$4,977$4,541$4,140$3,058
10 years$5,317$4,806$4,339$3,914$3,527$2,505
11 years$4,784$4,278$3,820$3,406$3,034$2,069
12 years$4,341$3,840$3,390$2,988$2,629$1,720
13 years$3,966$3,470$3,029$2,638$2,292$1,437
14 years$3,645$3,154$2,722$2,342$2,010$1,207
15 years$3,366$2,882$2,457$2,088$1,769$1,017
16 years$3,123$2,644$2,228$1,870$1,564$859
17 years$2,909$2,435$2,027$1,680$1,387$727
18 years$2,719$2,250$1,851$1,514$1,233$617
19 years$2,549$2,085$1,694$1,368$1,099$525
20 years$2,396$1,938$1,555$1,239$982$447
21 years$2,258$1,805$1,430$1,124$878$381
22 years$2,133$1,685$1,318$1,022$787$325
23 years$2,018$1,576$1,217$931$707$278
24 years$1,914$1,476$1,126$849$635$237
25 years$1,818$1,385$1,042$776$572$203
26 years$1,729$1,302$967$709$515$174
27 years$1,647$1,225$898$649$464$149
28 years$1,571$1,155$835$595$419$127
29 years$1,501$1,089$777$545$378$109
30 years$1,435$1,029$723$501$342$93
31 years$1,374$973$674$460$309$80
32 years$1,316$920$629$422$279$69
33 years$1,263$871$588$388$253$59
34 years$1,212$826$549$357$229$50
35 years$1,164$783$513$329$207$43
36 years$1,120$744$480$303$188$37
37 years$1,077$706$449$279$170$32
38 years$1,037$671$421$257$154$27
39 years$1,000$638$394$237$140$23
40 years$964$607$370$219$127$20
41 years$930$578$347$202$115$17
42 years$898$550$325$186$105$15
43 years$867$524$305$172$95$13
44 years$838$500$286$159$86$11
45 years$810$477$269$147$78$9
46 years$783$455$253$136$71$8
47 years$758$434$237$125$64$7
48 years$734$414$223$116$59$6
49 years$710$396$210$107$53$5
50 years$688$378$197$99$48$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $705,000, adding $2,859 every year, while hoping to spend $47,581 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: 41/46/13 Blend
39$705,000$705,000$705,000$705,000
40$779,859$742,494$731,567$808,726
41$808,779$728,250$705,448$815,092
42$839,054$711,714$676,860$817,060
43$870,772$692,723$645,670$818,149
44$904,028$671,104$611,737$818,300
45$938,927$646,676$574,918$817,454
46$975,579$619,245$535,060$815,547
47$1,014,109$588,608$492,004$812,515
48$1,054,647$554,549$445,586$808,291
49$1,097,338$516,839$395,631$802,808
50$1,142,341$475,238$341,958$795,997
51$1,189,826$429,491$284,380$787,785
52$1,239,979$379,327$222,698$778,101
53$1,293,005$324,462$156,706$766,873
54$1,349,126$264,595$86,190$754,026
55$1,408,584$199,408$10,925$739,487
56$1,471,646$128,565$0$723,183
57$1,538,601$51,712$0$714,665
58$1,609,765$0$0$706,481
59$1,685,487$0$0$713,037
60$1,766,145$0$0$747,952
61$1,852,156$0$0$785,237
62$1,943,974$0$0$825,097
63$2,042,099$0$0$867,755
64$2,147,078$0$0$913,457
65$2,259,510$0$0$962,473
66$2,380,054$0$0$1,015,096
67$2,509,430$0$0$1,071,653
68$2,648,431$0$0$1,132,498
69$2,797,925$0$0$1,198,023
70$2,958,868$0$0$1,268,657
71$3,132,307$0$0$1,344,871
72$3,319,393$0$0$1,427,184
73$3,521,391$0$0$1,516,164
74$3,739,690$0$0$1,612,438
75$3,975,818$0$0$1,716,693
76$4,231,454$0$0$1,829,685
77$4,508,443$0$0$1,952,245
78$4,808,814$0$0$2,085,289
79$5,134,799$0$0$2,229,822
80$5,488,852$0$0$2,386,949
81$5,873,673$0$0$2,557,889
82$6,292,233$0$0$2,743,980
83$6,747,798$0$0$2,946,695
84$7,243,963$0$0$3,167,657
85$7,784,686$0$0$3,408,649
86$8,374,321$0$0$3,671,636
87$9,017,660$0$0$3,958,780
88$9,719,978$0$0$4,272,461
89$10,487,082$0$0$4,615,298
90$11,325,364$0$0$4,990,177
91$12,241,861$0$0$5,400,273
92$13,244,323$0$0$5,849,083
93$14,341,280$0$0$6,340,459
94$15,542,127$0$0$6,878,640
95$16,857,208$0$0$7,468,297
96$18,297,916$0$0$8,114,571
97$19,876,796$0$0$8,823,128
98$21,607,665$0$0$9,600,205
99$23,505,741$0$0$10,452,673
100$25,587,785$0$0$11,388,099