Can I retire at age 40 with 741,000?

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 $741,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18%
1 years$61,191$60,646$60,114$59,595$59,088$57,174
2 years$30,293$29,728$29,182$28,652$28,137$26,227
3 years$19,994$19,428$18,882$18,357$17,851$16,004
4 years$14,846$14,282$13,742$13,225$12,732$10,962
5 years$11,758$11,197$10,664$10,158$9,679$7,992
6 years$9,700$9,143$8,618$8,124$7,658$6,055
7 years$8,231$7,678$7,162$6,679$6,228$4,709
8 years$7,129$6,582$6,074$5,603$5,167$3,730
9 years$6,273$5,731$5,231$4,772$4,351$2,996
10 years$5,588$5,051$4,561$4,114$3,708$2,431
11 years$5,029$4,497$4,015$3,580$3,189$1,988
12 years$4,562$4,036$3,563$3,140$2,763$1,637
13 years$4,168$3,647$3,184$2,772$2,410$1,354
14 years$3,831$3,315$2,861$2,461$2,112$1,125
15 years$3,538$3,029$2,583$2,195$1,860$938
16 years$3,283$2,779$2,342$1,965$1,644$784
17 years$3,058$2,559$2,131$1,766$1,457$657
18 years$2,858$2,365$1,945$1,591$1,296$551
19 years$2,679$2,192$1,781$1,438$1,155$463
20 years$2,518$2,037$1,634$1,302$1,032$390
21 years$2,373$1,897$1,503$1,182$923$329
22 years$2,242$1,771$1,385$1,075$828$277
23 years$2,121$1,656$1,279$979$743$234
24 years$2,011$1,552$1,183$893$668$197
25 years$1,910$1,456$1,096$815$601$167
26 years$1,817$1,369$1,016$745$541$141
27 years$1,731$1,288$944$682$488$119
28 years$1,652$1,214$877$625$440$101
29 years$1,577$1,145$816$573$398$85
30 years$1,508$1,081$760$526$359$72
31 years$1,444$1,022$709$483$325$61
32 years$1,384$967$661$444$294$52
33 years$1,327$916$618$408$266$44
34 years$1,274$868$577$376$241$37
35 years$1,224$823$539$346$218$31
36 years$1,177$782$505$319$198$27
37 years$1,132$742$472$293$179$23
38 years$1,090$705$442$270$162$19
39 years$1,051$671$414$249$147$16
40 years$1,013$638$388$230$134$14
41 years$977$608$364$212$121$12
42 years$943$579$342$196$110$10
43 years$911$551$321$181$100$8
44 years$880$525$301$167$91$7
45 years$851$501$283$154$82$6
46 years$823$478$265$142$75$5
47 years$797$456$249$132$68$4
48 years$771$435$234$122$62$4
49 years$747$416$220$112$56$3
50 years$723$397$207$104$51$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $741,000, adding $3,649 every year, while hoping to spend $36,557 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: 65/7/28 Blend
39$741,000$741,000$741,000$741,000
40$820,346$781,073$769,587$867,373
41$865,125$780,449$756,472$898,982
42$913,246$778,570$741,692$929,133
43$965,012$775,334$725,154$961,290
44$1,020,754$770,636$706,757$995,652
45$1,080,837$764,364$686,400$1,032,445
46$1,145,661$756,397$663,973$1,071,913
47$1,215,667$746,609$639,365$1,114,332
48$1,291,338$734,865$612,456$1,160,002
49$1,373,205$721,024$583,124$1,209,259
50$1,461,852$704,934$551,238$1,262,473
51$1,557,921$686,436$516,665$1,320,052
52$1,662,118$665,361$479,263$1,382,450
53$1,775,220$641,529$438,884$1,450,167
54$1,898,081$614,753$395,376$1,523,756
55$2,031,640$584,831$348,575$1,603,829
56$2,176,931$551,551$298,316$1,691,063
57$2,335,090$514,689$244,422$1,786,204
58$2,507,369$474,009$186,710$1,890,079
59$2,695,145$429,259$124,989$2,003,600
60$2,899,933$380,176$59,059$2,127,776
61$3,123,400$326,478$0$2,263,720
62$3,367,383$267,872$0$2,416,039
63$3,633,902$204,043$0$2,601,765
64$3,925,181$134,663$0$2,804,805
65$4,243,671$59,383$0$3,026,886
66$4,592,068$0$0$3,269,912
67$4,973,340$0$0$3,537,688
68$5,390,759$0$0$3,835,907
69$5,847,923$0$0$4,162,570
70$6,348,798$0$0$4,520,519
71$6,897,751$0$0$4,912,879
72$7,499,590$0$0$5,343,095
73$8,159,612$0$0$5,814,960
74$8,883,651$0$0$6,332,651
75$9,678,133$0$0$6,900,771
76$10,550,134$0$0$7,524,388
77$11,507,452$0$0$8,209,085
78$12,558,674$0$0$8,961,014
79$13,713,261$0$0$9,786,950
80$14,981,634$0$0$10,694,356
81$16,375,274$0$0$11,691,455
82$17,906,829$0$0$12,787,306
83$19,590,234$0$0$13,991,889
84$21,440,838$0$0$15,316,198
85$23,475,554$0$0$16,772,346
86$25,713,015$0$0$18,373,679
87$28,173,751$0$0$20,134,900
88$30,880,378$0$0$22,072,210
89$33,857,819$0$0$24,203,457
90$37,133,529$0$0$26,548,308
91$40,737,761$0$0$29,128,431
92$44,703,848$0$0$31,967,700
93$49,068,517$0$0$35,092,422
94$53,872,236$0$0$38,531,582
95$59,159,594$0$0$42,317,118
96$64,979,723$0$0$46,484,222
97$71,386,760$0$0$51,071,668
98$78,440,356$0$0$56,122,185
99$86,206,242$0$0$61,682,853
100$94,756,845$0$0$67,805,549