Can I retire at age 40 with 712,000?

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 $712,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.4%
1 years$58,796$58,273$57,762$57,263$56,776$56,442
2 years$29,107$28,565$28,040$27,530$27,036$26,699
3 years$19,212$18,668$18,143$17,639$17,153$16,823
4 years$14,265$13,723$13,204$12,708$12,234$11,914
5 years$11,298$10,759$10,247$9,761$9,300$8,991
6 years$9,321$8,785$8,281$7,806$7,359$7,061
7 years$7,909$7,378$6,881$6,418$5,984$5,699
8 years$6,850$6,324$5,836$5,384$4,965$4,690
9 years$6,028$5,506$5,027$4,586$4,181$3,918
10 years$5,370$4,854$4,382$3,953$3,562$3,311
11 years$4,832$4,321$3,858$3,440$3,064$2,823
12 years$4,384$3,878$3,424$3,017$2,655$2,426
13 years$4,005$3,505$3,059$2,664$2,315$2,096
14 years$3,681$3,186$2,749$2,365$2,030$1,821
15 years$3,400$2,910$2,482$2,109$1,787$1,589
16 years$3,154$2,670$2,250$1,888$1,579$1,391
17 years$2,938$2,459$2,047$1,697$1,400$1,222
18 years$2,746$2,272$1,869$1,529$1,245$1,076
19 years$2,574$2,106$1,711$1,382$1,110$949
20 years$2,420$1,957$1,570$1,251$991$840
21 years$2,280$1,823$1,444$1,136$887$744
22 years$2,154$1,701$1,331$1,033$795$660
23 years$2,038$1,591$1,229$940$714$586
24 years$1,933$1,491$1,137$858$642$521
25 years$1,836$1,399$1,053$783$577$464
26 years$1,746$1,315$976$716$520$414
27 years$1,664$1,238$907$656$469$369
28 years$1,587$1,166$843$601$423$329
29 years$1,516$1,100$784$551$382$294
30 years$1,449$1,039$731$505$345$263
31 years$1,387$982$681$464$312$235
32 years$1,329$929$636$427$282$210
33 years$1,275$880$593$392$255$188
34 years$1,224$834$554$361$231$168
35 years$1,176$791$518$332$209$151
36 years$1,131$751$485$306$190$135
37 years$1,088$713$454$282$172$121
38 years$1,048$678$425$260$156$108
39 years$1,010$645$398$240$141$97
40 years$973$613$373$221$128$87
41 years$939$584$350$204$116$78
42 years$906$556$328$188$106$70
43 years$875$530$308$174$96$63
44 years$846$505$289$160$87$56
45 years$818$481$272$148$79$50
46 years$791$459$255$137$72$45
47 years$765$438$240$126$65$41
48 years$741$418$225$117$59$36
49 years$718$400$212$108$54$33
50 years$695$382$199$100$49$29

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $712,000, adding $4,585 every year, while hoping to spend $32,845 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: 33/50/17 Blend
39$712,000$712,000$712,000$712,000
40$789,353$751,617$740,581$811,094
41$834,921$753,500$730,444$829,405
42$884,035$754,374$718,866$845,760
43$937,023$754,155$705,765$862,686
44$994,245$752,754$691,054$880,251
45$1,056,096$750,076$674,642$898,532
46$1,123,009$746,021$656,433$917,619
47$1,195,461$740,482$636,330$937,612
48$1,273,978$733,345$614,226$958,624
49$1,359,136$724,491$590,015$980,782
50$1,451,569$713,793$563,582$1,004,230
51$1,551,975$701,114$534,807$1,029,132
52$1,661,121$686,314$503,568$1,055,668
53$1,779,852$669,240$469,734$1,084,045
54$1,909,096$649,732$433,170$1,114,492
55$2,049,876$627,620$393,733$1,147,266
56$2,203,315$602,726$351,275$1,182,658
57$2,370,653$574,859$305,642$1,220,991
58$2,553,251$543,819$256,673$1,262,625
59$2,752,609$509,392$204,198$1,307,966
60$2,970,378$471,355$148,041$1,357,466
61$3,208,374$429,469$88,018$1,411,628
62$3,468,600$383,485$23,938$1,471,015
63$3,753,257$333,135$0$1,536,253
64$4,064,771$278,141$0$1,616,103
65$4,405,813$218,205$0$1,708,439
66$4,779,323$153,015$0$1,809,818
67$5,188,542$82,240$0$1,921,246
68$5,637,036$5,532$0$2,043,836
69$6,128,732$0$0$2,178,824
70$6,667,959$0$0$2,370,205
71$7,259,480$0$0$2,583,596
72$7,908,545$0$0$2,817,859
73$8,620,936$0$0$3,075,095
74$9,403,021$0$0$3,357,618
75$10,261,815$0$0$3,667,978
76$11,205,046$0$0$4,008,983
77$12,241,228$0$0$4,383,726
78$13,379,737$0$0$4,795,617
79$14,630,907$0$0$5,248,411
80$16,006,119$0$0$5,746,244
81$17,517,912$0$0$6,293,675
82$19,180,103$0$0$6,895,725
83$21,007,910$0$0$7,557,927
84$23,018,105$0$0$8,286,377
85$25,229,161$0$0$9,087,792
86$27,661,437$0$0$9,969,571
87$30,337,360$0$0$10,939,869
88$33,281,643$0$0$12,007,670
89$36,521,514$0$0$13,182,872
90$40,086,973$0$0$14,476,383
91$44,011,078$0$0$15,900,221
92$48,330,251$0$0$17,467,629
93$53,084,626$0$0$19,193,198
94$58,318,425$0$0$21,093,007
95$64,080,376$0$0$23,184,774
96$70,424,169$0$0$25,488,019
97$77,408,969$0$0$28,024,254
98$85,099,967$0$0$30,817,184
99$93,568,998$0$0$33,892,929
100$102,895,218$0$0$37,280,269