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%17.6%
1 years$61,191$60,646$60,114$59,595$59,088$57,266
2 years$30,293$29,728$29,182$28,652$28,137$26,317
3 years$19,994$19,428$18,882$18,357$17,851$16,091
4 years$14,846$14,282$13,742$13,225$12,732$11,044
5 years$11,758$11,197$10,664$10,158$9,679$8,068
6 years$9,700$9,143$8,618$8,124$7,658$6,126
7 years$8,231$7,678$7,162$6,679$6,228$4,775
8 years$7,129$6,582$6,074$5,603$5,167$3,792
9 years$6,273$5,731$5,231$4,772$4,351$3,052
10 years$5,588$5,051$4,561$4,114$3,708$2,483
11 years$5,029$4,497$4,015$3,580$3,189$2,036
12 years$4,562$4,036$3,563$3,140$2,763$1,681
13 years$4,168$3,647$3,184$2,772$2,410$1,394
14 years$3,831$3,315$2,861$2,461$2,112$1,162
15 years$3,538$3,029$2,583$2,195$1,860$971
16 years$3,283$2,779$2,342$1,965$1,644$814
17 years$3,058$2,559$2,131$1,766$1,457$684
18 years$2,858$2,365$1,945$1,591$1,296$576
19 years$2,679$2,192$1,781$1,438$1,155$485
20 years$2,518$2,037$1,634$1,302$1,032$410
21 years$2,373$1,897$1,503$1,182$923$346
22 years$2,242$1,771$1,385$1,075$828$293
23 years$2,121$1,656$1,279$979$743$248
24 years$2,011$1,552$1,183$893$668$210
25 years$1,910$1,456$1,096$815$601$178
26 years$1,817$1,369$1,016$745$541$151
27 years$1,731$1,288$944$682$488$128
28 years$1,652$1,214$877$625$440$109
29 years$1,577$1,145$816$573$398$92
30 years$1,508$1,081$760$526$359$78
31 years$1,444$1,022$709$483$325$67
32 years$1,384$967$661$444$294$57
33 years$1,327$916$618$408$266$48
34 years$1,274$868$577$376$241$41
35 years$1,224$823$539$346$218$35
36 years$1,177$782$505$319$198$30
37 years$1,132$742$472$293$179$25
38 years$1,090$705$442$270$162$21
39 years$1,051$671$414$249$147$18
40 years$1,013$638$388$230$134$15
41 years$977$608$364$212$121$13
42 years$943$579$342$196$110$11
43 years$911$551$321$181$100$9
44 years$880$525$301$167$91$8
45 years$851$501$283$154$82$7
46 years$823$478$265$142$75$6
47 years$797$456$249$132$68$5
48 years$771$435$234$122$62$4
49 years$747$416$220$112$56$4
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 $4,754 every year, while hoping to spend $53,262 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: 63/13/24 Blend
39$741,000$741,000$741,000$741,000
40$821,486$782,213$770,727$867,780
41$848,607$763,871$739,876$881,300
42$876,709$742,845$706,207$889,732
43$905,837$718,948$669,568$897,752
44$936,036$691,980$629,802$905,327
45$967,356$661,732$586,745$912,421
46$999,851$627,980$540,225$918,997
47$1,033,575$590,490$490,062$925,020
48$1,068,588$549,013$436,068$930,448
49$1,104,955$503,286$378,047$935,244
50$1,142,744$453,030$315,795$939,365
51$1,182,027$397,952$249,097$942,768
52$1,222,883$337,741$177,731$945,412
53$1,265,395$272,069$101,463$947,251
54$1,309,654$200,588$20,051$948,240
55$1,355,755$122,934$0$948,334
56$1,403,803$38,718$0$964,601
57$1,453,910$0$0$986,471
58$1,506,195$0$0$1,016,336
59$1,560,789$0$0$1,053,313
60$1,617,831$0$0$1,091,962
61$1,677,474$0$0$1,132,386
62$1,739,882$0$0$1,174,698
63$1,805,231$0$0$1,219,020
64$1,873,713$0$0$1,265,485
65$1,945,538$0$0$1,314,237
66$2,020,932$0$0$1,365,430
67$2,100,139$0$0$1,419,236
68$2,183,428$0$0$1,475,837
69$2,271,087$0$0$1,535,435
70$2,363,434$0$0$1,598,247
71$2,460,813$0$0$1,664,511
72$2,563,597$0$0$1,734,487
73$2,672,197$0$0$1,808,456
74$2,787,058$0$0$1,886,726
75$2,908,666$0$0$1,969,636
76$3,037,555$0$0$2,057,552
77$3,174,306$0$0$2,150,876
78$3,319,552$0$0$2,250,048
79$3,473,990$0$0$2,355,548
80$3,638,380$0$0$2,467,904
81$3,813,553$0$0$2,587,691
82$4,000,423$0$0$2,715,540
83$4,199,986$0$0$2,852,142
84$4,413,338$0$0$2,998,256
85$4,641,678$0$0$3,154,712
86$4,886,321$0$0$3,322,421
87$5,148,710$0$0$3,502,384
88$5,430,429$0$0$3,695,697
89$5,733,214$0$0$3,903,564
90$6,058,972$0$0$4,127,307
91$6,409,799$0$0$4,368,377
92$6,787,994$0$0$4,628,369
93$7,196,083$0$0$4,909,035
94$7,636,842$0$0$5,212,298
95$8,113,321$0$0$5,540,275
96$8,628,874$0$0$5,895,289
97$9,187,184$0$0$6,279,897
98$9,792,304$0$0$6,696,908
99$10,448,689$0$0$7,149,413
100$11,161,240$0$0$7,640,810