Can I retire at age 40 with 724,000?

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 $724,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.6%
1 years$59,787$59,255$58,735$58,228$57,733$55,729
2 years$29,598$29,046$28,512$27,994$27,492$25,493
3 years$19,536$18,982$18,449$17,936$17,442$15,512
4 years$14,506$13,954$13,426$12,922$12,440$10,593
5 years$11,489$10,940$10,419$9,925$9,456$7,698
6 years$9,478$8,933$8,420$7,937$7,483$5,814
7 years$8,042$7,502$6,997$6,526$6,085$4,506
8 years$6,966$6,431$5,934$5,474$5,048$3,557
9 years$6,129$5,599$5,111$4,663$4,251$2,846
10 years$5,460$4,935$4,456$4,019$3,622$2,300
11 years$4,913$4,394$3,923$3,498$3,115$1,874
12 years$4,458$3,944$3,482$3,068$2,700$1,537
13 years$4,073$3,564$3,111$2,709$2,354$1,266
14 years$3,743$3,239$2,795$2,405$2,064$1,048
15 years$3,457$2,959$2,523$2,145$1,817$870
16 years$3,208$2,715$2,288$1,920$1,606$724
17 years$2,988$2,500$2,082$1,725$1,424$604
18 years$2,792$2,311$1,900$1,555$1,266$504
19 years$2,618$2,141$1,740$1,405$1,128$422
20 years$2,461$1,990$1,597$1,272$1,008$354
21 years$2,319$1,853$1,469$1,155$902$297
22 years$2,190$1,730$1,354$1,050$809$249
23 years$2,073$1,618$1,250$956$726$209
24 years$1,965$1,516$1,156$872$652$176
25 years$1,867$1,423$1,071$796$587$148
26 years$1,776$1,337$993$728$529$124
27 years$1,692$1,258$922$667$477$105
28 years$1,614$1,186$857$611$430$88
29 years$1,541$1,119$798$560$388$74
30 years$1,474$1,057$743$514$351$62
31 years$1,411$999$693$472$317$53
32 years$1,352$945$646$434$287$44
33 years$1,297$895$603$399$260$37
34 years$1,245$848$564$367$235$31
35 years$1,196$805$527$338$213$27
36 years$1,150$764$493$311$193$22
37 years$1,106$725$462$287$175$19
38 years$1,065$689$432$264$159$16
39 years$1,027$655$405$244$144$13
40 years$990$624$380$225$130$11
41 years$955$594$356$207$118$10
42 years$922$565$334$191$107$8
43 years$890$539$313$177$97$7
44 years$860$513$294$163$88$6
45 years$832$490$276$151$80$5
46 years$804$467$259$139$73$4
47 years$778$446$244$129$66$3
48 years$753$425$229$119$60$3
49 years$730$406$215$110$55$2
50 years$707$388$202$101$50$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $724,000, adding $5,262 every year, while hoping to spend $31,791 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: 32/41/27 Blend
39$724,000$724,000$724,000$724,000
40$803,276$764,904$753,682$822,220
41$851,385$768,559$745,105$840,789
42$903,335$771,327$735,175$857,594
43$959,485$773,132$723,813$875,069
44$1,020,229$773,892$710,937$893,294
45$1,085,999$773,520$696,461$912,359
46$1,157,272$771,923$680,293$932,369
47$1,234,570$769,004$662,339$953,439
48$1,318,469$764,658$642,501$975,700
49$1,409,603$758,776$620,674$999,298
50$1,508,666$751,239$596,750$1,024,399
51$1,616,425$741,925$570,616$1,051,188
52$1,733,722$730,702$542,154$1,079,872
53$1,861,486$717,430$511,240$1,110,684
54$2,000,735$701,961$477,744$1,143,885
55$2,152,593$684,140$441,531$1,179,765
56$2,318,295$663,801$402,461$1,218,650
57$2,499,203$640,769$360,385$1,260,903
58$2,696,813$614,858$315,149$1,306,930
59$2,912,774$585,873$266,593$1,357,182
60$3,148,901$553,604$214,548$1,412,164
61$3,407,193$517,834$158,839$1,472,436
62$3,689,848$478,330$99,282$1,538,625
63$3,999,291$434,847$35,686$1,611,426
64$4,338,190$387,125$0$1,691,611
65$4,709,481$334,890$0$1,789,314
66$5,116,401$277,853$0$1,907,792
67$5,562,513$215,707$0$2,037,878
68$6,051,743$148,130$0$2,180,817
69$6,588,412$74,780$0$2,337,986
70$7,177,282$0$0$2,510,908
71$7,823,598$0$0$2,703,392
72$8,533,137$0$0$2,951,854
73$9,312,261$0$0$3,224,801
74$10,167,982$0$0$3,524,701
75$11,108,022$0$0$3,854,277
76$12,140,886$0$0$4,216,527
77$13,275,949$0$0$4,614,753
78$14,523,533$0$0$5,052,594
79$15,895,014$0$0$5,534,060
80$17,402,924$0$0$6,063,568
81$19,061,069$0$0$6,645,985
82$20,884,661$0$0$7,286,671
83$22,890,459$0$0$7,991,536
84$25,096,929$0$0$8,767,088
85$27,524,415$0$0$9,620,499
86$30,195,335$0$0$10,559,672
87$33,134,386$0$0$11,593,314
88$36,368,783$0$0$12,731,019
89$39,928,511$0$0$13,983,359
90$43,846,610$0$0$15,361,981
91$48,159,485$0$0$16,879,720
92$52,907,250$0$0$18,550,720
93$58,134,104$0$0$20,390,563
94$63,888,753$0$0$22,416,423
95$70,224,863$0$0$24,647,219
96$77,201,568$0$0$27,103,803
97$84,884,032$0$0$29,809,149
98$93,344,055$0$0$32,788,575
99$102,660,760$0$0$36,069,977
100$112,921,330$0$0$39,684,096