Can I retire at age 40 with 718,000?

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 $718,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.2%
1 years$59,292$58,764$58,248$57,745$57,254$56,965
2 years$29,352$28,806$28,276$27,762$27,264$26,972
3 years$19,374$18,825$18,296$17,788$17,297$17,012
4 years$14,386$13,838$13,315$12,815$12,337$12,060
5 years$11,393$10,849$10,333$9,843$9,378$9,111
6 years$9,399$8,859$8,351$7,872$7,421$7,163
7 years$7,975$7,440$6,939$6,472$6,035$5,787
8 years$6,908$6,377$5,885$5,429$5,007$4,769
9 years$6,078$5,553$5,069$4,624$4,216$3,988
10 years$5,415$4,894$4,419$3,986$3,592$3,374
11 years$4,872$4,357$3,891$3,469$3,090$2,881
12 years$4,421$3,911$3,453$3,043$2,677$2,478
13 years$4,039$3,534$3,085$2,686$2,335$2,144
14 years$3,712$3,213$2,772$2,385$2,047$1,865
15 years$3,429$2,935$2,503$2,127$1,802$1,629
16 years$3,181$2,693$2,269$1,904$1,593$1,429
17 years$2,963$2,480$2,065$1,711$1,412$1,256
18 years$2,769$2,291$1,885$1,542$1,256$1,108
19 years$2,596$2,124$1,725$1,393$1,119$979
20 years$2,440$1,973$1,583$1,262$1,000$867
21 years$2,300$1,838$1,456$1,145$895$769
22 years$2,172$1,716$1,342$1,041$802$683
23 years$2,056$1,605$1,239$948$720$608
24 years$1,949$1,504$1,146$865$647$542
25 years$1,851$1,411$1,062$790$582$483
26 years$1,761$1,326$985$722$524$431
27 years$1,678$1,248$914$661$473$385
28 years$1,600$1,176$850$606$427$344
29 years$1,528$1,109$791$555$385$308
30 years$1,462$1,048$737$510$348$275
31 years$1,399$990$687$468$315$247
32 years$1,341$937$641$430$285$221
33 years$1,286$888$598$396$258$198
34 years$1,234$841$559$364$233$177
35 years$1,186$798$523$335$211$159
36 years$1,140$757$489$309$191$143
37 years$1,097$719$458$284$173$128
38 years$1,057$684$429$262$157$115
39 years$1,018$650$402$242$143$103
40 years$982$618$376$223$129$93
41 years$947$589$353$206$117$83
42 years$914$561$331$190$106$75
43 years$883$534$311$175$97$67
44 years$853$509$292$162$88$60
45 years$825$486$274$149$80$54
46 years$798$463$257$138$72$49
47 years$772$442$242$128$66$44
48 years$747$422$227$118$60$39
49 years$724$403$213$109$54$35
50 years$701$385$201$101$49$32

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $718,000, adding $2,462 every year, while hoping to spend $49,327 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: 77/5/18 Blend
39$718,000$718,000$718,000$718,000
40$793,776$755,722$744,593$851,483
41$822,257$740,268$717,053$874,506
42$851,991$722,405$686,937$893,340
43$883,052$701,960$654,108$912,665
44$915,522$678,755$618,419$932,514
45$949,489$652,599$579,721$952,924
46$985,050$623,289$537,854$973,936
47$1,022,308$590,613$492,655$995,596
48$1,061,374$554,344$443,949$1,017,956
49$1,102,371$514,243$391,559$1,041,073
50$1,145,431$470,059$335,294$1,065,011
51$1,190,697$421,525$274,959$1,089,842
52$1,238,327$368,358$210,348$1,115,645
53$1,288,489$310,260$141,248$1,142,510
54$1,341,369$246,917$67,434$1,170,536
55$1,397,168$177,996$0$1,199,832
56$1,456,107$103,145$0$1,232,701
57$1,518,426$21,995$0$1,281,063
58$1,584,385$0$0$1,332,156
59$1,654,271$0$0$1,389,823
60$1,728,396$0$0$1,452,284
61$1,807,102$0$0$1,518,617
62$1,890,762$0$0$1,589,140
63$1,979,784$0$0$1,664,199
64$2,074,615$0$0$1,744,172
65$2,175,746$0$0$1,829,474
66$2,283,712$0$0$1,920,560
67$2,399,100$0$0$2,017,928
68$2,522,555$0$0$2,122,124
69$2,654,783$0$0$2,233,747
70$2,796,559$0$0$2,353,452
71$2,948,732$0$0$2,481,961
72$3,112,235$0$0$2,620,065
73$3,288,091$0$0$2,768,631
74$3,477,424$0$0$2,928,612
75$3,681,468$0$0$3,101,055
76$3,901,580$0$0$3,287,110
77$4,139,248$0$0$3,488,039
78$4,396,108$0$0$3,705,231
79$4,673,960$0$0$3,940,211
80$4,974,781$0$0$4,194,655
81$5,300,744$0$0$4,470,409
82$5,654,239$0$0$4,769,497
83$6,037,894$0$0$5,094,151
84$6,454,600$0$0$5,446,822
85$6,907,537$0$0$5,830,206
86$7,400,202$0$0$6,247,272
87$7,936,444$0$0$6,701,284
88$8,520,497$0$0$7,195,834
89$9,157,022$0$0$7,734,875
90$9,851,146$0$0$8,322,757
91$10,608,514$0$0$8,964,270
92$11,435,340$0$0$9,664,684
93$12,338,461$0$0$10,429,801
94$13,325,407$0$0$11,266,008
95$14,404,467$0$0$12,180,338
96$15,584,768$0$0$13,180,534
97$16,876,356$0$0$14,275,120
98$18,290,298$0$0$15,473,484
99$19,838,778$0$0$16,785,964
100$21,535,213$0$0$18,223,944