Can I retire at age 40 with 783,000?

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 $783,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12%
1 years$64,659$64,083$63,522$62,973$62,438$61,914
2 years$32,010$31,413$30,836$30,276$29,732$29,205
3 years$21,128$20,529$19,953$19,398$18,863$18,348
4 years$15,688$15,091$14,520$13,975$13,453$12,955
5 years$12,425$11,832$11,268$10,734$10,227$9,746
6 years$10,250$9,661$9,107$8,584$8,092$7,629
7 years$8,697$8,114$7,568$7,058$6,581$6,137
8 years$7,533$6,955$6,418$5,920$5,460$5,034
9 years$6,629$6,055$5,528$5,043$4,598$4,190
10 years$5,905$5,338$4,819$4,347$3,918$3,528
11 years$5,314$4,752$4,243$3,783$3,369$2,998
12 years$4,821$4,265$3,765$3,318$2,920$2,566
13 years$4,404$3,854$3,364$2,930$2,546$2,209
14 years$4,048$3,503$3,023$2,601$2,232$1,911
15 years$3,739$3,200$2,729$2,319$1,965$1,661
16 years$3,469$2,936$2,474$2,077$1,737$1,448
17 years$3,231$2,704$2,252$1,866$1,540$1,267
18 years$3,020$2,499$2,055$1,682$1,369$1,111
19 years$2,831$2,316$1,882$1,519$1,220$976
20 years$2,661$2,152$1,727$1,376$1,090$859
21 years$2,508$2,005$1,588$1,249$976$758
22 years$2,369$1,871$1,464$1,136$874$669
23 years$2,242$1,750$1,352$1,034$785$592
24 years$2,125$1,640$1,250$943$706$524
25 years$2,019$1,539$1,158$861$635$464
26 years$1,920$1,446$1,074$788$572$412
27 years$1,829$1,361$997$721$516$366
28 years$1,745$1,283$927$661$465$325
29 years$1,667$1,210$863$606$420$289
30 years$1,594$1,143$803$556$380$257
31 years$1,526$1,080$749$511$343$228
32 years$1,462$1,022$699$469$310$203
33 years$1,402$968$653$431$281$181
34 years$1,346$917$610$397$254$161
35 years$1,293$870$570$365$230$143
36 years$1,244$826$533$337$209$128
37 years$1,197$784$499$310$189$114
38 years$1,152$745$467$286$172$102
39 years$1,110$709$438$264$156$91
40 years$1,070$674$410$243$141$81
41 years$1,033$642$385$224$128$72
42 years$997$611$361$207$116$64
43 years$963$583$339$191$105$57
44 years$930$555$318$176$96$51
45 years$899$529$299$163$87$46
46 years$870$505$280$150$79$41
47 years$842$482$263$139$72$36
48 years$815$460$248$128$65$32
49 years$789$439$233$119$59$29
50 years$764$420$219$110$54$26

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $783,000, adding $3,965 every year, while hoping to spend $58,959 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: 52/21/27 Blend
39$783,000$783,000$783,000$783,000
40$866,956$825,457$813,320$905,297
41$892,653$803,172$777,835$910,048
42$918,996$777,820$739,184$908,916
43$945,987$749,187$697,201$906,508
44$973,629$717,048$651,708$902,726
45$1,001,922$681,166$602,523$897,466
46$1,030,864$641,288$549,453$890,619
47$1,060,450$597,150$492,297$882,068
48$1,090,673$548,468$430,847$871,688
49$1,121,524$494,945$364,883$859,347
50$1,152,990$436,267$294,176$844,905
51$1,185,052$372,102$218,489$828,212
52$1,217,691$302,098$137,571$809,110
53$1,250,879$225,885$51,164$787,428
54$1,284,585$143,070$0$762,988
55$1,318,772$53,239$0$747,423
56$1,353,396$0$0$745,203
57$1,388,405$0$0$751,618
58$1,423,739$0$0$770,480
59$1,459,329$0$0$789,445
60$1,495,095$0$0$808,467
61$1,530,948$0$0$827,491
62$1,566,784$0$0$846,457
63$1,602,484$0$0$865,297
64$1,637,917$0$0$883,932
65$1,672,931$0$0$902,275
66$1,707,356$0$0$920,226
67$1,741,003$0$0$937,675
68$1,773,655$0$0$954,496
69$1,805,073$0$0$970,550
70$1,834,986$0$0$985,681
71$1,863,093$0$0$999,714
72$1,889,056$0$0$1,012,452
73$1,912,499$0$0$1,023,680
74$1,933,003$0$0$1,033,153
75$1,950,099$0$0$1,040,602
76$1,963,266$0$0$1,045,725
77$1,971,926$0$0$1,048,190
78$1,975,433$0$0$1,047,623
79$1,973,074$0$0$1,043,613
80$1,964,052$0$0$1,035,701
81$1,947,486$0$0$1,023,380
82$1,922,398$0$0$1,006,086
83$1,887,703$0$0$983,196
84$1,842,200$0$0$954,017
85$1,784,558$0$0$917,784
86$1,713,301$0$0$873,649
87$1,626,797$0$0$820,672
88$1,523,241$0$0$757,817
89$1,400,633$0$0$683,933
90$1,256,762$0$0$597,750
91$1,089,184$0$0$497,865
92$895,197$0$0$382,725
93$671,813$0$0$250,614
94$415,731$0$0$99,636
95$123,303$0$0$0
96$0$0$0$0
97$0$0$0$0
98$0$0$0$0
99$0$0$0$0
100$0$0$0$0