Can I retire at age 40 with 723,000?

Use the below retirement simulation to view the chances of a successful retirement.
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 $723,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.6%
1 years$59,705$59,173$58,654$58,148$57,653$56,100
2 years$29,557$29,006$28,473$27,956$27,454$25,900
3 years$19,509$18,956$18,424$17,911$17,418$15,912
4 years$14,486$13,935$13,408$12,904$12,423$10,977
5 years$11,473$10,925$10,405$9,912$9,443$8,061
6 years$9,465$8,921$8,409$7,926$7,472$6,155
7 years$8,031$7,492$6,988$6,517$6,077$4,825
8 years$6,956$6,422$5,926$5,467$5,041$3,854
9 years$6,121$5,591$5,104$4,656$4,246$3,121
10 years$5,453$4,929$4,450$4,014$3,617$2,555
11 years$4,906$4,388$3,918$3,493$3,111$2,109
12 years$4,452$3,938$3,477$3,064$2,696$1,752
13 years$4,067$3,559$3,106$2,705$2,351$1,463
14 years$3,738$3,235$2,791$2,401$2,061$1,228
15 years$3,452$2,955$2,520$2,142$1,815$1,033
16 years$3,203$2,711$2,285$1,918$1,604$873
17 years$2,983$2,497$2,079$1,723$1,422$738
18 years$2,788$2,307$1,898$1,553$1,264$626
19 years$2,614$2,138$1,737$1,403$1,127$532
20 years$2,457$1,987$1,594$1,271$1,007$453
21 years$2,316$1,851$1,467$1,153$901$385
22 years$2,187$1,728$1,352$1,049$807$329
23 years$2,070$1,616$1,248$955$725$280
24 years$1,963$1,514$1,154$871$651$240
25 years$1,864$1,421$1,069$795$586$205
26 years$1,773$1,335$992$727$528$175
27 years$1,689$1,257$921$666$476$150
28 years$1,611$1,184$856$610$430$128
29 years$1,539$1,117$796$559$388$110
30 years$1,472$1,055$742$513$350$94
31 years$1,409$997$692$471$317$80
32 years$1,350$944$645$433$287$69
33 years$1,295$894$603$398$259$59
34 years$1,243$847$563$367$235$51
35 years$1,194$803$526$337$213$43
36 years$1,148$763$492$311$193$37
37 years$1,105$724$461$286$175$32
38 years$1,064$688$432$264$158$27
39 years$1,025$655$404$243$144$23
40 years$988$623$379$224$130$20
41 years$954$593$355$207$118$17
42 years$920$565$333$191$107$15
43 years$889$538$313$176$97$13
44 years$859$513$294$163$88$11
45 years$830$489$276$150$80$9
46 years$803$466$259$139$73$8
47 years$777$445$243$128$66$7
48 years$752$425$229$119$60$6
49 years$729$406$215$110$55$5
50 years$706$388$202$101$50$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $723,000, adding $2,722 every year, while hoping to spend $59,338 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: 76/13/11 Blend
39$723,000$723,000$723,000$723,000
40$799,554$761,235$750,028$858,473
41$817,973$735,400$712,019$871,830
42$836,282$706,311$670,748$878,680
43$854,408$673,745$626,042$884,517
44$872,266$637,467$577,724$889,218
45$889,763$597,229$525,603$892,651
46$906,794$552,767$469,485$894,669
47$923,239$503,805$409,165$895,111
48$938,966$450,048$344,429$893,802
49$953,826$391,186$275,053$890,550
50$967,653$326,891$200,804$885,145
51$980,262$256,817$121,439$877,356
52$991,444$180,597$36,703$866,932
53$1,000,970$97,845$0$853,596
54$1,008,582$8,152$0$843,352
55$1,013,994$0$0$834,571
56$1,016,888$0$0$835,330
57$1,016,911$0$0$834,834
58$1,013,669$0$0$831,588
59$1,006,727$0$0$825,227
60$995,602$0$0$815,344
61$979,757$0$0$801,491
62$958,597$0$0$783,169
63$931,465$0$0$759,825
64$897,630$0$0$730,849
65$856,286$0$0$695,563
66$806,538$0$0$653,218
67$747,398$0$0$602,985
68$677,771$0$0$543,947
69$596,448$0$0$475,091
70$502,090$0$0$395,294
71$393,219$0$0$303,318
72$268,201$0$0$197,794
73$125,229$0$0$77,207
74$0$0$0$0
75$0$0$0$0
76$0$0$0$0
77$0$0$0$0
78$0$0$0$0
79$0$0$0$0
80$0$0$0$0
81$0$0$0$0
82$0$0$0$0
83$0$0$0$0
84$0$0$0$0
85$0$0$0$0
86$0$0$0$0
87$0$0$0$0
88$0$0$0$0
89$0$0$0$0
90$0$0$0$0
91$0$0$0$0
92$0$0$0$0
93$0$0$0$0
94$0$0$0$0
95$0$0$0$0
96$0$0$0$0
97$0$0$0$0
98$0$0$0$0
99$0$0$0$0
100$0$0$0$0