Can I retire at age 40 with 740,000?

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 $740,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.1%
1 years$61,109$60,564$60,033$59,515$59,009$57,770
2 years$30,252$29,688$29,142$28,613$28,099$26,857
3 years$19,967$19,402$18,857$18,333$17,827$16,621
4 years$14,826$14,262$13,723$13,208$12,715$11,553
5 years$11,743$11,182$10,650$10,145$9,665$8,551
6 years$9,687$9,131$8,607$8,113$7,648$6,583
7 years$8,220$7,668$7,152$6,670$6,220$5,204
8 years$7,120$6,573$6,066$5,595$5,160$4,193
9 years$6,265$5,723$5,224$4,766$4,345$3,427
10 years$5,581$5,044$4,555$4,108$3,703$2,831
11 years$5,022$4,491$4,010$3,575$3,184$2,359
12 years$4,556$4,031$3,559$3,136$2,759$1,980
13 years$4,163$3,643$3,179$2,769$2,406$1,670
14 years$3,826$3,311$2,857$2,458$2,109$1,416
15 years$3,534$3,025$2,579$2,192$1,857$1,204
16 years$3,278$2,775$2,338$1,963$1,641$1,028
17 years$3,054$2,556$2,128$1,763$1,455$879
18 years$2,854$2,362$1,942$1,589$1,294$754
19 years$2,675$2,189$1,778$1,436$1,153$648
20 years$2,515$2,034$1,632$1,301$1,030$557
21 years$2,370$1,894$1,501$1,180$922$480
22 years$2,238$1,768$1,383$1,073$826$414
23 years$2,119$1,654$1,277$977$742$358
24 years$2,009$1,550$1,181$891$667$309
25 years$1,908$1,454$1,094$814$600$267
26 years$1,815$1,367$1,015$744$540$231
27 years$1,729$1,286$942$681$487$200
28 years$1,649$1,212$876$624$440$173
29 years$1,575$1,143$815$572$397$150
30 years$1,506$1,080$759$525$359$130
31 years$1,442$1,021$708$483$324$113
32 years$1,382$966$661$443$293$98
33 years$1,325$915$617$408$266$85
34 years$1,272$867$576$375$240$74
35 years$1,222$822$539$345$218$64
36 years$1,175$780$504$318$197$56
37 years$1,131$741$472$293$179$48
38 years$1,089$704$442$270$162$42
39 years$1,049$670$414$249$147$36
40 years$1,012$637$388$230$133$32
41 years$976$607$364$212$121$27
42 years$942$578$341$196$110$24
43 years$910$551$320$181$100$21
44 years$879$525$301$167$90$18
45 years$850$500$282$154$82$16
46 years$822$477$265$142$75$14
47 years$796$456$249$131$68$12
48 years$770$435$234$121$61$10
49 years$746$415$220$112$56$9
50 years$722$397$207$104$51$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $740,000, adding $3,075 every year, while hoping to spend $38,976 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: 78/13/9 Blend
39$740,000$740,000$740,000$740,000
40$818,652$779,432$767,962$881,121
41$860,684$776,154$752,218$919,310
42$905,698$771,409$734,641$955,836
43$953,955$765,084$715,128$994,758
44$1,005,744$757,059$693,571$1,036,298
45$1,061,383$747,208$669,858$1,080,701
46$1,121,217$735,395$643,872$1,128,236
47$1,185,630$721,477$615,490$1,179,200
48$1,255,039$705,304$584,583$1,233,921
49$1,329,904$686,716$551,018$1,292,760
50$1,410,732$665,542$514,655$1,356,116
51$1,498,077$641,604$475,347$1,424,427
52$1,592,550$614,712$432,940$1,498,179
53$1,694,822$584,665$387,275$1,577,906
54$1,805,631$551,250$338,186$1,664,199
55$1,925,787$514,243$285,496$1,757,706
56$2,056,182$473,406$229,026$1,859,147
57$2,197,798$428,488$168,583$1,969,311
58$2,351,712$379,223$103,970$2,089,072
59$2,519,113$325,331$34,979$2,219,394
60$2,701,305$266,515$0$2,361,337
61$2,899,727$202,463$0$2,519,785
62$3,115,958$132,843$0$2,696,145
63$3,351,740$57,306$0$2,888,502
64$3,608,987$0$0$3,098,453
65$3,889,807$0$0$3,331,262
66$4,196,520$0$0$3,594,515
67$4,531,683$0$0$3,882,209
68$4,898,105$0$0$4,196,760
69$5,298,886$0$0$4,540,831
70$5,737,432$0$0$4,917,351
71$6,217,499$0$0$5,329,546
72$6,743,221$0$0$5,780,971
73$7,319,150$0$0$6,275,536
74$7,950,300$0$0$6,817,552
75$8,642,191$0$0$7,411,764
76$9,400,906$0$0$8,063,398
77$10,233,141$0$0$8,778,211
78$11,146,276$0$0$9,562,545
79$12,148,434$0$0$10,423,382
80$13,248,567$0$0$11,368,417
81$14,456,536$0$0$12,406,123
82$15,783,200$0$0$13,545,836
83$17,240,526$0$0$14,797,841
84$18,841,693$0$0$16,173,465
85$20,601,222$0$0$17,685,190
86$22,535,110$0$0$19,346,764
87$24,660,980$0$0$21,173,336
88$26,998,248$0$0$23,181,594
89$29,568,306$0$0$25,389,925
90$32,394,721$0$0$27,818,586
91$35,503,460$0$0$30,489,895
92$38,923,131$0$0$33,428,443
93$42,685,256$0$0$36,661,322
94$46,824,564$0$0$40,218,386
95$51,379,322$0$0$44,132,524
96$56,391,694$0$0$48,439,979
97$61,908,134$0$0$53,180,681
98$67,979,834$0$0$58,398,629
99$74,663,194$0$0$64,142,303
100$82,020,364$0$0$70,465,123