Can I retire at age 40 with 788,000?

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 $788,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.9%
1 years$65,072$64,493$63,927$63,375$62,836$61,317
2 years$32,214$31,614$31,033$30,469$29,922$28,401
3 years$21,263$20,660$20,080$19,522$18,984$17,508
4 years$15,788$15,187$14,613$14,064$13,539$12,120
5 years$12,504$11,907$11,340$10,803$10,292$8,934
6 years$10,316$9,723$9,165$8,639$8,144$6,847
7 years$8,753$8,165$7,616$7,103$6,623$5,389
8 years$7,582$6,999$6,459$5,958$5,495$4,322
9 years$6,671$6,094$5,563$5,075$4,627$3,515
10 years$5,943$5,372$4,850$4,375$3,943$2,890
11 years$5,348$4,782$4,270$3,807$3,391$2,396
12 years$4,852$4,292$3,789$3,340$2,938$2,000
13 years$4,433$3,879$3,386$2,948$2,562$1,678
14 years$4,074$3,526$3,042$2,617$2,246$1,415
15 years$3,763$3,221$2,746$2,334$1,978$1,197
16 years$3,491$2,955$2,490$2,090$1,748$1,015
17 years$3,252$2,721$2,266$1,878$1,550$864
18 years$3,039$2,515$2,068$1,692$1,378$736
19 years$2,849$2,331$1,894$1,529$1,228$629
20 years$2,678$2,166$1,738$1,385$1,097$538
21 years$2,524$2,017$1,598$1,257$982$461
22 years$2,384$1,883$1,473$1,143$880$395
23 years$2,256$1,761$1,360$1,041$790$339
24 years$2,139$1,650$1,258$949$710$291
25 years$2,032$1,549$1,165$867$639$250
26 years$1,933$1,455$1,081$793$576$215
27 years$1,841$1,370$1,003$726$519$185
28 years$1,756$1,291$933$665$468$159
29 years$1,677$1,218$868$610$423$137
30 years$1,604$1,150$809$559$382$118
31 years$1,535$1,087$754$514$345$102
32 years$1,471$1,029$703$472$312$88
33 years$1,411$974$657$434$283$75
34 years$1,355$923$614$400$256$65
35 years$1,302$876$574$368$232$56
36 years$1,252$831$537$339$210$48
37 years$1,204$789$502$312$190$42
38 years$1,160$750$470$288$173$36
39 years$1,117$713$441$265$157$31
40 years$1,077$679$413$245$142$27
41 years$1,039$646$387$226$129$23
42 years$1,003$615$363$208$117$20
43 years$969$586$341$192$106$17
44 years$936$559$320$178$96$15
45 years$905$533$300$164$87$13
46 years$875$508$282$151$79$11
47 years$847$485$265$140$72$9
48 years$820$463$249$129$65$8
49 years$794$442$234$119$59$7
50 years$769$422$220$110$54$6

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $788,000, adding $3,132 every year, while hoping to spend $38,747 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: 52/36/12 Blend
39$788,000$788,000$788,000$788,000
40$871,607$829,843$817,629$914,008
41$919,284$829,278$803,793$942,721
42$970,526$827,388$788,195$969,533
43$1,025,655$824,065$770,734$997,804
44$1,085,025$819,198$751,308$1,027,682
45$1,149,026$812,667$729,805$1,059,330
46$1,218,085$804,346$706,111$1,092,933
47$1,292,671$794,101$680,108$1,128,693
48$1,373,301$781,789$651,669$1,166,838
49$1,460,542$767,261$620,664$1,207,619
50$1,555,017$750,356$586,956$1,251,317
51$1,657,411$730,906$550,401$1,298,243
52$1,768,479$708,733$510,852$1,348,743
53$1,889,049$683,646$468,151$1,403,201
54$2,020,034$655,446$422,135$1,462,045
55$2,162,435$623,920$372,634$1,525,747
56$2,317,356$588,845$319,471$1,594,834
57$2,486,012$549,984$262,458$1,669,888
58$2,669,737$507,085$201,402$1,751,557
59$2,870,002$459,884$136,101$1,840,558
60$3,088,424$408,101$66,343$1,937,685
61$3,326,785$351,439$0$2,043,821
62$3,587,044$289,586$0$2,160,979
63$3,871,358$222,212$0$2,298,336
64$4,182,103$148,967$0$2,448,619
65$4,521,894$69,482$0$2,613,185
66$4,893,610$0$0$2,793,539
67$5,300,421$0$0$2,997,929
68$5,745,818$0$0$3,251,917
69$6,233,645$0$0$3,530,181
70$6,768,136$0$0$3,835,144
71$7,353,953$0$0$4,169,478
72$7,996,230$0$0$4,536,122
73$8,700,623$0$0$4,938,318
74$9,473,361$0$0$5,379,632
75$10,321,304$0$0$5,863,994
76$11,252,010$0$0$6,395,734
77$12,273,803$0$0$6,979,620
78$13,395,852$0$0$7,620,906
79$14,628,259$0$0$8,325,377
80$15,982,151$0$0$9,099,410
81$17,469,787$0$0$9,950,027
82$19,104,673$0$0$10,884,964
83$20,901,685$0$0$11,912,747
84$22,877,214$0$0$13,042,764
85$25,049,320$0$0$14,285,364
86$27,437,898$0$0$15,651,944
87$30,064,867$0$0$17,155,064
88$32,954,378$0$0$18,808,560
89$36,133,041$0$0$20,627,679
90$39,630,173$0$0$22,629,219
91$43,478,077$0$0$24,831,687
92$47,712,344$0$0$27,255,478
93$52,372,191$0$0$29,923,060
94$57,500,827$0$0$32,859,192
95$63,145,865$0$0$36,091,155
96$69,359,765$0$0$39,649,009
97$76,200,333$0$0$43,565,875
98$83,731,263$0$0$47,878,251
99$92,022,742$0$0$52,626,352
100$101,152,104$0$0$57,854,491