Can I retire at age 40 with 708,000?

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 $708,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.4%
1 years$58,466$57,945$57,437$56,941$56,457$55,430
2 years$28,944$28,405$27,882$27,376$26,884$25,854
3 years$19,104$18,563$18,042$17,540$17,056$16,054
4 years$14,185$13,646$13,130$12,636$12,165$11,198
5 years$11,235$10,698$10,189$9,706$9,248$8,319
6 years$9,268$8,736$8,234$7,762$7,317$6,429
7 years$7,864$7,336$6,843$6,382$5,951$5,102
8 years$6,812$6,289$5,803$5,353$4,937$4,128
9 years$5,994$5,475$4,998$4,560$4,158$3,388
10 years$5,339$4,826$4,358$3,931$3,542$2,811
11 years$4,805$4,297$3,836$3,421$3,047$2,353
12 years$4,359$3,856$3,405$3,001$2,640$1,983
13 years$3,983$3,485$3,042$2,649$2,302$1,681
14 years$3,660$3,168$2,733$2,351$2,018$1,431
15 years$3,381$2,894$2,468$2,097$1,777$1,224
16 years$3,137$2,655$2,237$1,878$1,570$1,049
17 years$2,922$2,445$2,036$1,687$1,392$902
18 years$2,730$2,259$1,858$1,520$1,238$778
19 years$2,560$2,094$1,701$1,374$1,104$672
20 years$2,406$1,946$1,561$1,244$986$581
21 years$2,268$1,813$1,436$1,129$882$503
22 years$2,142$1,692$1,324$1,027$791$436
23 years$2,027$1,582$1,222$935$710$379
24 years$1,922$1,483$1,130$853$638$329
25 years$1,825$1,391$1,047$779$574$286
26 years$1,736$1,308$971$712$517$249
27 years$1,654$1,231$902$652$466$217
28 years$1,578$1,160$838$597$421$189
29 years$1,507$1,094$780$548$380$165
30 years$1,441$1,033$727$503$343$144
31 years$1,380$977$677$462$310$125
32 years$1,322$924$632$424$281$109
33 years$1,268$875$590$390$254$95
34 years$1,217$829$551$359$230$83
35 years$1,169$787$515$330$208$73
36 years$1,124$747$482$304$189$63
37 years$1,082$709$451$280$171$55
38 years$1,042$674$423$258$155$48
39 years$1,004$641$396$238$141$42
40 years$968$610$371$220$128$37
41 years$934$580$348$203$116$32
42 years$901$553$326$187$105$28
43 years$871$527$306$173$95$25
44 years$841$502$288$160$87$22
45 years$813$479$270$147$79$19
46 years$787$457$254$136$71$16
47 years$761$436$238$126$65$14
48 years$737$416$224$116$59$13
49 years$714$397$210$107$53$11
50 years$691$380$198$99$49$10

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $708,000, adding $2,731 every year, while hoping to spend $27,085 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: 49/43/8 Blend
39$708,000$708,000$708,000$708,000
40$783,033$745,509$734,535$819,623
41$834,084$753,221$730,324$852,652
42$889,435$760,403$725,064$885,412
43$949,495$767,000$718,691$920,361
44$1,014,715$772,955$711,139$957,711
45$1,085,591$778,205$702,337$997,697
46$1,162,669$782,685$692,213$1,040,577
47$1,246,549$786,324$680,690$1,086,638
48$1,337,892$789,048$667,688$1,136,195
49$1,437,423$790,778$653,122$1,189,599
50$1,545,943$791,429$636,904$1,247,237
51$1,664,333$790,912$618,944$1,309,535
52$1,793,560$789,132$599,143$1,376,966
53$1,934,691$785,988$577,403$1,450,052
54$2,088,901$781,372$553,617$1,529,371
55$2,257,481$775,172$527,676$1,615,560
56$2,441,856$767,267$499,464$1,709,323
57$2,643,591$757,529$468,862$1,811,440
58$2,864,412$745,823$435,744$1,922,771
59$3,106,219$732,005$399,978$2,044,265
60$3,371,103$715,923$361,428$2,176,973
61$3,661,370$697,417$319,950$2,322,055
62$3,979,555$676,317$275,394$2,480,792
63$4,328,455$652,441$227,604$2,654,598
64$4,711,146$625,600$176,418$2,845,036
65$5,131,019$595,590$121,664$3,053,833
66$5,591,809$562,200$63,165$3,282,892
67$6,097,628$525,202$736$3,534,319
68$6,653,007$484,358$0$3,810,437
69$7,262,937$439,415$0$4,119,433
70$7,932,917$390,107$0$4,458,948
71$8,669,004$336,151$0$4,832,063
72$9,477,870$277,250$0$5,242,245
73$10,366,866$213,089$0$5,693,322
74$11,344,090$143,334$0$6,189,518
75$12,418,465$67,636$0$6,735,491
76$13,599,821$0$0$7,336,382
77$14,898,987$0$0$8,004,666
78$16,327,896$0$0$8,774,973
79$17,899,693$0$0$9,622,396
80$19,628,864$0$0$10,554,757
81$21,531,368$0$0$11,580,671
82$23,624,788$0$0$12,709,632
83$25,928,499$0$0$13,952,101
84$28,463,850$0$0$15,319,603
85$31,254,361$0$0$16,824,839
86$34,325,952$0$0$18,481,802
87$37,707,179$0$0$20,305,911
88$41,429,512$0$0$22,314,157
89$45,527,622$0$0$24,525,261
90$50,039,717$0$0$26,959,851
91$55,007,896$0$0$29,640,660
92$60,478,550$0$0$32,592,735
93$66,502,796$0$0$35,843,676
94$73,136,961$0$0$39,423,898
95$80,443,113$0$0$43,366,913
96$88,489,648$0$0$47,709,652
97$97,351,931$0$0$52,492,809
98$107,113,012$0$0$57,761,226
99$117,864,406$0$0$63,564,317
100$129,706,956$0$0$69,956,534