Can I retire at age 40 with 747,000?

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 $747,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.3%
1 years$61,687$61,137$60,601$60,078$59,567$58,269
2 years$30,538$29,969$29,418$28,884$28,365$27,064
3 years$20,156$19,585$19,035$18,506$17,996$16,732
4 years$14,967$14,397$13,853$13,333$12,835$11,618
5 years$11,854$11,288$10,750$10,241$9,757$8,591
6 years$9,779$9,217$8,688$8,190$7,720$6,606
7 years$8,298$7,741$7,220$6,733$6,279$5,217
8 years$7,187$6,635$6,123$5,648$5,209$4,198
9 years$6,324$5,777$5,274$4,811$4,387$3,427
10 years$5,634$5,092$4,598$4,147$3,738$2,828
11 years$5,069$4,533$4,048$3,609$3,214$2,354
12 years$4,599$4,069$3,592$3,166$2,786$1,972
13 years$4,202$3,677$3,209$2,795$2,429$1,662
14 years$3,862$3,342$2,884$2,481$2,129$1,406
15 years$3,567$3,053$2,604$2,213$1,875$1,195
16 years$3,309$2,801$2,361$1,981$1,657$1,018
17 years$3,082$2,580$2,148$1,780$1,469$870
18 years$2,881$2,384$1,961$1,604$1,306$745
19 years$2,701$2,209$1,795$1,450$1,164$639
20 years$2,539$2,053$1,647$1,313$1,040$549
21 years$2,392$1,912$1,515$1,191$931$472
22 years$2,260$1,785$1,397$1,083$834$407
23 years$2,139$1,670$1,289$987$749$351
24 years$2,028$1,564$1,193$900$673$302
25 years$1,926$1,468$1,105$822$606$261
26 years$1,832$1,380$1,024$751$546$226
27 years$1,745$1,298$951$688$492$195
28 years$1,665$1,224$884$630$444$169
29 years$1,590$1,154$823$578$401$146
30 years$1,521$1,090$767$530$362$126
31 years$1,456$1,030$715$487$327$109
32 years$1,395$975$667$448$296$95
33 years$1,338$923$623$412$268$82
34 years$1,284$875$582$379$243$71
35 years$1,234$830$544$349$220$62
36 years$1,186$788$509$321$199$53
37 years$1,142$748$476$296$180$46
38 years$1,099$711$446$273$164$40
39 years$1,059$676$418$251$148$35
40 years$1,021$643$392$232$135$30
41 years$985$612$367$214$122$26
42 years$951$583$344$197$111$23
43 years$919$556$323$182$101$20
44 years$888$530$303$168$91$17
45 years$858$505$285$155$83$15
46 years$830$482$268$144$75$13
47 years$803$460$251$133$68$11
48 years$777$439$236$123$62$10
49 years$753$419$222$113$56$8
50 years$729$400$209$105$51$7

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $747,000, adding $4,597 every year, while hoping to spend $42,530 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: 69/25/6 Blend
39$747,000$747,000$747,000$747,000
40$827,936$788,345$776,766$884,055
41$867,134$781,722$757,536$915,163
42$908,904$773,349$736,237$943,528
43$953,465$763,096$712,753$973,391
44$1,001,055$750,824$686,967$1,004,888
45$1,051,934$736,386$658,752$1,038,172
46$1,106,389$719,627$627,978$1,073,412
47$1,164,734$700,382$594,508$1,110,795
48$1,227,313$678,477$558,201$1,150,528
49$1,294,505$653,728$518,906$1,192,842
50$1,366,723$625,939$476,468$1,237,990
51$1,444,423$594,904$430,724$1,286,256
52$1,528,104$560,405$381,503$1,337,950
53$1,618,316$522,210$328,629$1,393,420
54$1,715,662$480,076$271,916$1,453,048
55$1,820,803$433,744$211,169$1,517,259
56$1,934,469$382,941$146,187$1,586,522
57$2,057,459$327,379$76,758$1,661,356
58$2,190,652$266,753$2,662$1,742,338
59$2,335,016$200,741$0$1,830,104
60$2,491,614$129,004$0$1,930,251
61$2,661,616$51,182$0$2,039,166
62$2,846,307$0$0$2,157,558
63$3,047,103$0$0$2,295,503
64$3,265,560$0$0$2,460,938
65$3,503,390$0$0$2,641,082
66$3,762,479$0$0$2,837,369
67$4,044,899$0$0$3,051,374
68$4,352,934$0$0$3,284,833
69$4,689,095$0$0$3,539,654
70$5,056,147$0$0$3,817,939
71$5,457,136$0$0$4,122,003
72$5,895,410$0$0$4,454,392
73$6,374,661$0$0$4,817,911
74$6,898,949$0$0$5,215,648
75$7,472,748$0$0$5,651,003
76$8,100,984$0$0$6,127,720
77$8,789,078$0$0$6,649,922
78$9,543,005$0$0$7,222,150
79$10,369,341$0$0$7,849,404
80$11,275,332$0$0$8,537,191
81$12,268,956$0$0$9,291,578
82$13,359,001$0$0$10,119,245
83$14,555,147$0$0$11,027,553
84$15,868,056$0$0$12,024,606
85$17,309,473$0$0$13,119,334
86$18,892,335$0$0$14,321,574
87$20,630,893$0$0$15,642,160
88$22,540,848$0$0$17,093,029
89$24,639,495$0$0$18,687,330
90$26,945,887$0$0$20,439,552
91$29,481,016$0$0$22,365,652
92$32,268,008$0$0$24,483,214
93$35,332,341$0$0$26,811,610
94$38,702,084$0$0$29,372,183
95$42,408,166$0$0$32,188,446
96$46,484,660$0$0$35,286,307
97$50,969,109$0$0$38,694,312
98$55,902,876$0$0$42,443,910
99$61,331,537$0$0$46,569,755
100$67,305,309$0$0$51,110,027