Can I retire at age 40 with 722,000?

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 $722,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.1%
1 years$59,622$59,091$58,573$58,067$57,573$56,830
2 years$29,516$28,966$28,433$27,917$27,416$26,668
3 years$19,482$18,930$18,398$17,887$17,394$16,665
4 years$14,466$13,915$13,389$12,886$12,405$11,701
5 years$11,457$10,910$10,391$9,898$9,430$8,752
6 years$9,452$8,909$8,397$7,915$7,462$6,811
7 years$8,020$7,481$6,978$6,508$6,069$5,445
8 years$6,947$6,413$5,918$5,459$5,034$4,438
9 years$6,112$5,584$5,097$4,650$4,240$3,671
10 years$5,445$4,922$4,444$4,008$3,612$3,070
11 years$4,900$4,382$3,912$3,488$3,107$2,591
12 years$4,445$3,933$3,472$3,060$2,692$2,202
13 years$4,061$3,554$3,102$2,701$2,348$1,883
14 years$3,732$3,230$2,787$2,398$2,058$1,617
15 years$3,448$2,951$2,516$2,139$1,812$1,395
16 years$3,199$2,708$2,282$1,915$1,601$1,207
17 years$2,979$2,494$2,076$1,720$1,420$1,048
18 years$2,784$2,304$1,895$1,551$1,263$911
19 years$2,610$2,135$1,735$1,401$1,125$795
20 years$2,454$1,984$1,592$1,269$1,005$694
21 years$2,312$1,848$1,465$1,152$900$607
22 years$2,184$1,725$1,350$1,047$806$532
23 years$2,067$1,614$1,246$954$724$466
24 years$1,960$1,512$1,153$870$651$409
25 years$1,861$1,419$1,068$794$585$360
26 years$1,771$1,334$990$726$527$316
27 years$1,687$1,255$919$665$475$278
28 years$1,609$1,183$855$609$429$245
29 years$1,537$1,116$795$559$387$216
30 years$1,470$1,054$741$513$350$190
31 years$1,407$996$691$471$316$168
32 years$1,348$942$644$433$286$148
33 years$1,293$892$602$398$259$130
34 years$1,241$846$562$366$235$115
35 years$1,193$802$526$337$212$102
36 years$1,147$761$492$310$192$90
37 years$1,103$723$460$286$174$79
38 years$1,062$687$431$264$158$70
39 years$1,024$654$404$243$143$62
40 years$987$622$378$224$130$55
41 years$952$592$355$207$118$48
42 years$919$564$333$191$107$43
43 years$888$537$312$176$97$38
44 years$858$512$293$163$88$33
45 years$829$488$275$150$80$29
46 years$802$466$259$139$73$26
47 years$776$444$243$128$66$23
48 years$751$424$228$118$60$20
49 years$728$405$215$109$54$18
50 years$705$387$202$101$49$16

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $722,000, adding $4,206 every year, while hoping to spend $47,877 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: 63/23/14 Blend
39$722,000$722,000$722,000$722,000
40$799,982$761,716$750,525$847,421
41$830,640$748,100$724,727$866,121
42$862,820$732,211$696,460$880,668
43$896,627$713,889$665,591$895,385
44$932,175$692,962$631,981$910,289
45$969,588$669,248$595,483$925,402
46$1,009,000$642,556$555,946$940,750
47$1,050,559$612,681$513,211$956,361
48$1,094,424$579,411$467,111$972,273
49$1,140,769$542,516$417,474$988,525
50$1,189,785$501,757$364,117$1,005,165
51$1,241,679$456,879$306,851$1,022,250
52$1,296,679$407,614$245,479$1,039,844
53$1,355,031$353,679$179,793$1,058,019
54$1,417,008$294,772$109,579$1,076,862
55$1,482,904$230,578$34,612$1,096,469
56$1,553,045$160,760$0$1,116,950
57$1,627,785$84,967$0$1,145,212
58$1,707,513$2,824$0$1,180,575
59$1,792,654$0$0$1,218,064
60$1,883,675$0$0$1,279,685
61$1,981,088$0$0$1,346,430
62$2,085,454$0$0$1,417,975
63$2,197,387$0$0$1,494,744
64$2,317,562$0$0$1,577,207
65$2,446,721$0$0$1,665,875
66$2,585,676$0$0$1,761,314
67$2,735,321$0$0$1,864,140
68$2,896,635$0$0$1,975,035
69$3,070,696$0$0$2,094,746
70$3,258,687$0$0$2,224,091
71$3,461,908$0$0$2,363,974
72$3,681,790$0$0$2,515,385
73$3,919,903$0$0$2,679,414
74$4,177,974$0$0$2,857,259
75$4,457,903$0$0$3,050,237
76$4,761,779$0$0$3,259,798
77$5,091,899$0$0$3,487,535
78$5,450,791$0$0$3,735,200
79$5,841,234$0$0$4,004,724
80$6,266,288$0$0$4,298,228
81$6,729,319$0$0$4,618,047
82$7,234,031$0$0$4,966,752
83$7,784,500$0$0$5,347,171
84$8,385,215$0$0$5,762,418
85$9,041,113$0$0$6,215,920
86$9,757,632$0$0$6,711,450
87$10,540,757$0$0$7,253,162
88$11,397,078$0$0$7,845,628
89$12,333,850$0$0$8,493,884
90$13,359,063$0$0$9,203,474
91$14,481,512$0$0$9,980,504
92$15,710,887$0$0$10,831,696
93$17,057,853$0$0$11,764,455
94$18,534,161$0$0$12,786,935
95$20,152,748$0$0$13,908,117
96$21,927,867$0$0$15,137,893
97$23,875,214$0$0$16,487,156
98$26,012,077$0$0$17,967,909
99$28,357,500$0$0$19,593,368
100$30,932,460$0$0$21,378,096