Can I retire at age 40 with 794,000?

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 $794,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.7%
1 years$65,568$64,984$64,414$63,858$63,315$61,584
2 years$32,459$31,855$31,269$30,701$30,150$28,419
3 years$21,425$20,817$20,233$19,670$19,128$17,451
4 years$15,908$15,303$14,724$14,171$13,642$12,032
5 years$12,599$11,998$11,427$10,885$10,371$8,832
6 years$10,394$9,797$9,235$8,705$8,206$6,740
7 years$8,820$8,228$7,674$7,157$6,674$5,280
8 years$7,639$7,053$6,508$6,004$5,536$4,215
9 years$6,722$6,141$5,605$5,114$4,663$3,412
10 years$5,988$5,413$4,887$4,408$3,973$2,791
11 years$5,388$4,818$4,302$3,836$3,417$2,302
12 years$4,889$4,325$3,818$3,365$2,961$1,911
13 years$4,466$3,908$3,411$2,971$2,582$1,596
14 years$4,105$3,553$3,065$2,637$2,263$1,337
15 years$3,791$3,245$2,767$2,352$1,993$1,125
16 years$3,518$2,978$2,509$2,106$1,761$949
17 years$3,276$2,742$2,283$1,892$1,562$803
18 years$3,062$2,534$2,084$1,705$1,389$680
19 years$2,871$2,348$1,908$1,541$1,238$578
20 years$2,699$2,182$1,751$1,395$1,105$491
21 years$2,543$2,033$1,611$1,266$989$418
22 years$2,402$1,897$1,484$1,151$887$356
23 years$2,273$1,775$1,371$1,049$796$304
24 years$2,155$1,663$1,268$956$715$259
25 years$2,047$1,560$1,174$873$644$221
26 years$1,947$1,467$1,089$799$580$189
27 years$1,855$1,380$1,011$731$523$161
28 years$1,770$1,301$940$670$472$138
29 years$1,690$1,227$875$614$426$118
30 years$1,616$1,159$815$564$385$101
31 years$1,547$1,095$760$518$348$86
32 years$1,483$1,036$709$476$315$74
33 years$1,422$981$662$438$285$63
34 years$1,365$930$618$403$258$54
35 years$1,312$882$578$371$234$46
36 years$1,261$837$541$341$212$40
37 years$1,213$795$506$314$192$34
38 years$1,168$756$474$290$174$29
39 years$1,126$719$444$267$158$25
40 years$1,086$684$416$247$143$21
41 years$1,047$651$390$227$130$18
42 years$1,011$620$366$210$118$16
43 years$976$591$344$194$107$13
44 years$943$563$322$179$97$12
45 years$912$537$303$165$88$10
46 years$882$512$284$153$80$8
47 years$854$489$267$141$73$7
48 years$826$467$251$130$66$6
49 years$800$446$236$120$60$5
50 years$775$426$222$111$54$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $794,000, adding $5,112 every year, while hoping to spend $56,607 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: 29/49/22 Blend
39$794,000$794,000$794,000$794,000
40$880,261$838,179$825,872$899,603
41$909,818$819,020$793,309$895,791
42$940,493$797,026$757,759$886,321
43$972,340$771,996$719,060$874,953
44$1,005,416$743,722$677,046$861,561
45$1,039,784$711,980$631,543$846,009
46$1,075,510$676,535$582,367$828,157
47$1,112,664$637,137$529,329$807,856
48$1,151,323$593,524$472,228$784,949
49$1,191,567$545,416$410,857$759,273
50$1,233,486$492,520$344,999$730,654
51$1,277,171$434,523$274,427$698,911
52$1,322,726$371,098$198,903$663,854
53$1,370,258$301,896$118,181$625,283
54$1,419,887$226,551$32,002$582,988
55$1,471,737$144,675$0$536,750
56$1,525,948$55,857$0$500,414
57$1,582,668$0$0$468,595
58$1,642,056$0$0$455,336
59$1,704,288$0$0$473,037
60$1,769,552$0$0$491,638
61$1,838,053$0$0$511,202
62$1,910,013$0$0$531,799
63$1,985,674$0$0$553,502
64$2,065,298$0$0$576,395
65$2,149,173$0$0$600,565
66$2,237,609$0$0$626,110
67$2,330,947$0$0$653,136
68$2,429,555$0$0$681,758
69$2,533,838$0$0$712,102
70$2,644,237$0$0$744,307
71$2,761,233$0$0$778,523
72$2,885,351$0$0$814,916
73$3,017,168$0$0$853,666
74$3,157,312$0$0$894,970
75$3,306,471$0$0$939,046
76$3,465,398$0$0$986,130
77$3,634,918$0$0$1,036,483
78$3,815,934$0$0$1,090,390
79$4,009,438$0$0$1,148,163
80$4,216,513$0$0$1,210,145
81$4,438,351$0$0$1,276,713
82$4,676,256$0$0$1,348,280
83$4,931,662$0$0$1,425,298
84$5,206,139$0$0$1,508,266
85$5,501,414$0$0$1,597,732
86$5,819,380$0$0$1,694,294
87$6,162,119$0$0$1,798,615
88$6,531,915$0$0$1,911,418
89$6,931,281$0$0$2,033,502
90$7,362,975$0$0$2,165,742
91$7,830,030$0$0$2,309,103
92$8,335,780$0$0$2,464,644
93$8,883,889$0$0$2,633,531
94$9,478,388$0$0$2,817,045
95$10,123,708$0$0$3,016,597
96$10,824,725$0$0$3,233,737
97$11,586,800$0$0$3,470,174
98$12,415,832$0$0$3,727,785
99$13,318,312$0$0$4,008,637
100$14,301,381$0$0$4,315,006