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%13.8%
1 years$59,622$59,091$58,573$58,067$57,573$56,666
2 years$29,516$28,966$28,433$27,917$27,416$26,504
3 years$19,482$18,930$18,398$17,887$17,394$16,506
4 years$14,466$13,915$13,389$12,886$12,405$11,548
5 years$11,457$10,910$10,391$9,898$9,430$8,607
6 years$9,452$8,909$8,397$7,915$7,462$6,672
7 years$8,020$7,481$6,978$6,508$6,069$5,314
8 years$6,947$6,413$5,918$5,459$5,034$4,314
9 years$6,112$5,584$5,097$4,650$4,240$3,553
10 years$5,445$4,922$4,444$4,008$3,612$2,959
11 years$4,900$4,382$3,912$3,488$3,107$2,486
12 years$4,445$3,933$3,472$3,060$2,692$2,104
13 years$4,061$3,554$3,102$2,701$2,348$1,790
14 years$3,732$3,230$2,787$2,398$2,058$1,531
15 years$3,448$2,951$2,516$2,139$1,812$1,314
16 years$3,199$2,708$2,282$1,915$1,601$1,131
17 years$2,979$2,494$2,076$1,720$1,420$977
18 years$2,784$2,304$1,895$1,551$1,263$846
19 years$2,610$2,135$1,735$1,401$1,125$734
20 years$2,454$1,984$1,592$1,269$1,005$637
21 years$2,312$1,848$1,465$1,152$900$555
22 years$2,184$1,725$1,350$1,047$806$483
23 years$2,067$1,614$1,246$954$724$421
24 years$1,960$1,512$1,153$870$651$368
25 years$1,861$1,419$1,068$794$585$321
26 years$1,771$1,334$990$726$527$281
27 years$1,687$1,255$919$665$475$246
28 years$1,609$1,183$855$609$429$215
29 years$1,537$1,116$795$559$387$189
30 years$1,470$1,054$741$513$350$165
31 years$1,407$996$691$471$316$145
32 years$1,348$942$644$433$286$127
33 years$1,293$892$602$398$259$111
34 years$1,241$846$562$366$235$98
35 years$1,193$802$526$337$212$86
36 years$1,147$761$492$310$192$75
37 years$1,103$723$460$286$174$66
38 years$1,062$687$431$264$158$58
39 years$1,024$654$404$243$143$51
40 years$987$622$378$224$130$45
41 years$952$592$355$207$118$39
42 years$919$564$333$191$107$34
43 years$888$537$312$176$97$30
44 years$858$512$293$163$88$27
45 years$829$488$275$150$80$23
46 years$802$466$259$139$73$21
47 years$776$444$243$128$66$18
48 years$751$424$228$118$60$16
49 years$728$405$215$109$54$14
50 years$705$387$202$101$49$12

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $722,000, adding $2,283 every year, while hoping to spend $51,421 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: 46/25/29 Blend
39$722,000$722,000$722,000$722,000
40$797,999$759,733$748,542$827,949
41$824,683$742,248$718,907$831,939
42$852,366$722,183$686,555$831,132
43$881,095$699,358$651,342$829,278
44$910,920$673,580$613,115$826,306
45$941,896$644,648$571,717$822,143
46$974,081$612,346$526,981$816,714
47$1,007,535$576,450$478,733$809,937
48$1,042,327$536,719$426,793$801,730
49$1,078,525$492,900$370,973$792,005
50$1,116,208$444,724$311,073$780,672
51$1,155,455$391,910$246,888$767,637
52$1,196,356$334,158$178,203$752,801
53$1,239,005$271,152$104,793$736,062
54$1,283,503$202,558$26,424$717,314
55$1,329,961$128,024$0$696,447
56$1,378,497$47,178$0$691,050
57$1,429,240$0$0$693,178
58$1,482,327$0$0$705,715
59$1,537,910$0$0$732,451
60$1,596,150$0$0$760,489
61$1,657,224$0$0$789,917
62$1,721,322$0$0$820,830
63$1,788,654$0$0$853,332
64$1,859,443$0$0$887,535
65$1,933,936$0$0$923,563
66$2,012,399$0$0$961,548
67$2,095,124$0$0$1,001,638
68$2,182,426$0$0$1,043,990
69$2,274,652$0$0$1,088,778
70$2,372,177$0$0$1,136,190
71$2,475,414$0$0$1,186,434
72$2,584,811$0$0$1,239,735
73$2,700,859$0$0$1,296,339
74$2,824,094$0$0$1,356,517
75$2,955,103$0$0$1,420,564
76$3,094,529$0$0$1,488,802
77$3,243,073$0$0$1,561,586
78$3,401,504$0$0$1,639,302
79$3,570,667$0$0$1,722,377
80$3,751,483$0$0$1,811,275
81$3,944,966$0$0$1,906,507
82$4,152,226$0$0$2,008,633
83$4,374,479$0$0$2,118,267
84$4,613,062$0$0$2,236,083
85$4,869,441$0$0$2,362,822
86$5,145,225$0$0$2,499,296
87$5,442,180$0$0$2,646,398
88$5,762,247$0$0$2,805,107
89$6,107,558$0$0$2,976,502
90$6,480,453$0$0$3,161,764
91$6,883,506$0$0$3,362,196
92$7,319,546$0$0$3,579,226
93$7,791,679$0$0$3,814,427
94$8,303,325$0$0$4,069,528
95$8,858,241$0$0$4,346,429
96$9,460,559$0$0$4,647,220
97$10,114,826$0$0$4,974,202
98$10,826,040$0$0$5,329,905
99$11,599,703$0$0$5,717,112
100$12,441,865$0$0$6,138,886