Can I retire at age 40 with 795,000?

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 $795,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.8%
1 years$65,650$65,066$64,495$63,938$63,394$60,903
2 years$32,500$31,895$31,308$30,740$30,188$27,708
3 years$21,452$20,844$20,259$19,695$19,152$16,763
4 years$15,928$15,322$14,743$14,189$13,660$11,378
5 years$12,615$12,013$11,441$10,899$10,384$8,216
6 years$10,407$9,809$9,246$8,716$8,216$6,164
7 years$8,831$8,238$7,684$7,166$6,682$4,745
8 years$7,649$7,061$6,516$6,011$5,543$3,719
9 years$6,730$6,148$5,613$5,120$4,668$2,953
10 years$5,996$5,419$4,893$4,414$3,978$2,369
11 years$5,395$4,825$4,308$3,841$3,421$1,916
12 years$4,895$4,330$3,823$3,369$2,965$1,558
13 years$4,472$3,913$3,416$2,975$2,585$1,273
14 years$4,110$3,557$3,069$2,640$2,266$1,045
15 years$3,796$3,249$2,771$2,355$1,995$860
16 years$3,522$2,981$2,512$2,108$1,763$709
17 years$3,281$2,746$2,286$1,894$1,564$586
18 years$3,066$2,537$2,087$1,707$1,390$486
19 years$2,874$2,351$1,910$1,543$1,239$403
20 years$2,702$2,185$1,753$1,397$1,107$334
21 years$2,546$2,035$1,613$1,268$990$278
22 years$2,405$1,900$1,486$1,153$888$231
23 years$2,276$1,777$1,372$1,050$797$192
24 years$2,158$1,665$1,269$958$716$160
25 years$2,050$1,562$1,176$875$645$133
26 years$1,950$1,468$1,090$800$581$111
27 years$1,857$1,382$1,012$732$523$93
28 years$1,772$1,302$941$671$472$77
29 years$1,692$1,228$876$615$427$64
30 years$1,618$1,160$816$564$385$54
31 years$1,549$1,097$761$518$348$45
32 years$1,484$1,038$710$476$315$37
33 years$1,424$983$663$438$285$31
34 years$1,367$931$619$403$258$26
35 years$1,313$883$579$371$234$22
36 years$1,263$838$541$342$212$18
37 years$1,215$796$507$315$192$15
38 years$1,170$757$475$290$174$13
39 years$1,127$720$445$268$158$11
40 years$1,087$685$417$247$143$9
41 years$1,049$652$391$228$130$7
42 years$1,012$621$367$210$118$6
43 years$978$591$344$194$107$5
44 years$945$564$323$179$97$4
45 years$913$538$303$165$88$4
46 years$883$513$285$153$80$3
47 years$855$489$268$141$73$2
48 years$827$467$251$130$66$2
49 years$801$446$236$121$60$2
50 years$776$426$222$111$54$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $795,000, adding $5,577 every year, while hoping to spend $27,611 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: 28/48/24 Blend
39$795,000$795,000$795,000$795,000
40$881,843$839,708$827,385$899,790
41$942,413$851,475$825,725$926,105
42$1,008,236$862,894$823,083$951,565
43$1,079,818$873,918$819,399$978,347
44$1,157,717$884,498$814,606$1,006,581
45$1,242,546$894,580$808,637$1,036,413
46$1,334,980$904,109$801,421$1,068,005
47$1,435,761$913,024$792,882$1,101,538
48$1,545,708$921,261$782,943$1,137,212
49$1,665,719$928,752$771,520$1,175,251
50$1,796,786$935,424$758,529$1,215,901
51$1,939,998$941,200$743,880$1,259,439
52$2,096,555$945,996$727,478$1,306,169
53$2,267,780$949,726$709,225$1,356,431
54$2,455,127$952,297$689,017$1,410,602
55$2,660,199$953,608$666,748$1,469,098
56$2,884,759$953,555$642,304$1,532,385
57$3,130,751$952,026$615,568$1,600,975
58$3,400,315$948,901$586,416$1,675,439
59$3,695,805$944,056$554,720$1,756,408
60$4,019,819$937,357$520,344$1,844,583
61$4,375,214$928,660$483,149$1,940,739
62$4,765,138$917,817$442,987$2,045,736
63$5,193,060$904,668$399,705$2,160,526
64$5,662,799$889,043$353,142$2,286,162
65$6,178,562$870,764$303,130$2,423,811
66$6,744,986$849,642$249,495$2,574,764
67$7,367,175$825,475$192,054$2,740,452
68$8,050,755$798,052$130,616$2,922,455
69$8,801,923$767,146$64,982$3,122,522
70$9,627,503$732,522$0$3,342,589
71$10,535,019$693,925$0$3,586,092
72$11,532,754$651,091$0$3,871,945
73$12,629,839$603,738$0$4,186,163
74$13,836,329$551,568$0$4,531,700
75$15,163,306$494,266$0$4,911,816
76$16,622,978$431,500$0$5,330,109
77$18,228,797$362,919$0$5,790,553
78$19,995,583$288,151$0$6,297,535
79$21,939,666$206,803$0$6,855,893
80$24,079,038$118,463$0$7,470,971
81$26,433,525$22,692$0$8,148,666
82$29,024,969$0$0$8,895,484
83$31,877,440$0$0$9,761,375
84$35,017,459$0$0$10,727,905
85$38,474,247$0$0$11,792,104
86$42,280,007$0$0$12,963,904
87$46,470,217$0$0$14,254,252
88$51,083,975$0$0$15,675,208
89$56,164,360$0$0$17,240,063
90$61,758,845$0$0$18,963,462
91$67,919,736$0$0$20,861,542
92$74,704,676$0$0$22,952,086
93$82,177,179$0$0$25,254,690
94$90,407,235$0$0$27,790,946
95$99,471,968$0$0$30,584,650
96$109,456,365$0$0$33,662,020
97$120,454,075$0$0$37,051,950
98$132,568,297$0$0$40,786,281
99$145,912,747$0$0$44,900,096
100$160,612,740$0$0$49,432,060