Can I retire at age 40 with 797,000?

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 $797,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.1%
1 years$65,816$65,229$64,657$64,099$63,554$62,220
2 years$32,582$31,975$31,387$30,817$30,264$28,926
3 years$21,506$20,896$20,309$19,745$19,201$17,901
4 years$15,968$15,361$14,780$14,225$13,694$12,442
5 years$12,647$12,043$11,470$10,926$10,410$9,210
6 years$10,433$9,834$9,269$8,738$8,237$7,090
7 years$8,853$8,259$7,703$7,184$6,699$5,605
8 years$7,668$7,079$6,533$6,026$5,557$4,516
9 years$6,747$6,164$5,627$5,133$4,680$3,691
10 years$6,011$5,433$4,905$4,425$3,988$3,050
11 years$5,409$4,837$4,319$3,851$3,430$2,541
12 years$4,907$4,341$3,833$3,378$2,972$2,132
13 years$4,483$3,923$3,424$2,982$2,592$1,799
14 years$4,120$3,566$3,077$2,647$2,272$1,525
15 years$3,806$3,258$2,778$2,361$2,000$1,297
16 years$3,531$2,989$2,519$2,114$1,768$1,107
17 years$3,289$2,753$2,292$1,899$1,568$947
18 years$3,074$2,544$2,092$1,712$1,394$812
19 years$2,882$2,357$1,915$1,547$1,242$698
20 years$2,709$2,191$1,758$1,401$1,110$600
21 years$2,553$2,040$1,617$1,271$993$517
22 years$2,411$1,905$1,490$1,156$890$446
23 years$2,282$1,781$1,376$1,053$799$385
24 years$2,163$1,669$1,272$960$718$333
25 years$2,055$1,566$1,178$877$646$288
26 years$1,955$1,472$1,093$802$582$249
27 years$1,862$1,385$1,015$734$525$216
28 years$1,776$1,305$944$672$474$187
29 years$1,697$1,232$878$617$428$162
30 years$1,622$1,163$818$566$386$140
31 years$1,553$1,099$762$520$349$122
32 years$1,488$1,040$711$478$316$106
33 years$1,427$985$664$439$286$92
34 years$1,370$934$621$404$259$79
35 years$1,316$886$580$372$234$69
36 years$1,266$841$543$343$212$60
37 years$1,218$798$508$316$193$52
38 years$1,173$759$476$291$175$45
39 years$1,130$721$446$268$158$39
40 years$1,090$686$418$247$144$34
41 years$1,051$653$392$228$130$30
42 years$1,015$622$367$211$118$26
43 years$980$593$345$194$107$22
44 years$947$565$324$180$97$19
45 years$915$539$304$166$88$17
46 years$885$514$285$153$80$15
47 years$857$491$268$142$73$13
48 years$829$468$252$131$66$11
49 years$803$447$237$121$60$10
50 years$778$427$223$112$55$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $797,000, adding $5,085 every year, while hoping to spend $24,526 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: 52/43/5 Blend
39$797,000$797,000$797,000$797,000
40$883,539$841,298$828,945$928,226
41$947,565$856,426$830,619$974,201
42$1,017,299$871,474$831,527$1,021,058
43$1,093,298$886,411$831,618$1,071,415
44$1,176,174$901,205$830,837$1,125,605
45$1,266,602$915,822$829,128$1,183,997
46$1,365,323$930,224$826,431$1,246,996
47$1,473,153$944,372$822,684$1,315,048
48$1,590,992$958,224$817,821$1,388,646
49$1,719,829$971,733$811,774$1,468,333
50$1,860,754$984,850$804,471$1,554,708
51$2,014,966$997,524$795,836$1,648,431
52$2,183,788$1,009,697$785,792$1,750,229
53$2,368,673$1,021,311$774,254$1,860,906
54$2,571,224$1,032,301$761,138$1,981,346
55$2,793,204$1,042,600$746,352$2,112,524
56$3,036,558$1,052,134$729,802$2,255,517
57$3,303,425$1,060,827$711,388$2,411,511
58$3,596,162$1,068,595$691,007$2,581,814
59$3,917,366$1,075,351$668,551$2,767,869
60$4,269,895$1,081,002$643,906$2,971,267
61$4,656,902$1,085,448$616,954$3,193,762
62$5,081,854$1,088,583$587,570$3,437,289
63$5,548,575$1,090,295$555,625$3,703,979
64$6,061,275$1,090,465$520,984$3,996,187
65$6,624,592$1,088,966$483,505$4,316,504
66$7,243,638$1,085,663$443,040$4,667,792
67$7,924,042$1,080,413$399,434$5,053,205
68$8,672,006$1,073,064$352,527$5,476,219
69$9,494,363$1,063,457$302,149$5,940,670
70$10,398,641$1,051,420$248,124$6,450,784
71$11,393,136$1,036,772$190,269$7,011,226
72$12,486,984$1,019,323$128,392$7,627,134
73$13,690,255$998,868$62,292$8,304,177
74$15,014,042$975,194$0$9,048,605
75$16,470,568$948,072$0$9,867,747
76$18,073,300$917,261$0$10,772,336
77$19,837,077$882,507$0$11,767,433
78$21,778,248$843,540$0$12,862,285
79$23,914,829$800,073$0$14,067,087
80$26,266,671$751,806$0$15,393,079
81$28,855,645$698,417$0$16,852,649
82$31,705,852$639,571$0$18,459,456
83$34,843,848$574,910$0$20,228,558
84$38,298,896$504,056$0$22,176,551
85$42,103,240$426,611$0$24,321,735
86$46,292,409$342,154$0$26,684,278
87$50,905,555$250,239$0$29,286,415
88$55,985,818$150,398$0$32,152,656
89$61,580,737$42,132$0$35,310,018
90$67,742,695$0$0$38,788,283
91$74,529,415$0$0$42,655,805
92$82,004,505$0$0$46,937,676
93$90,238,057$0$0$51,654,124
94$99,307,308$0$0$56,849,407
95$109,297,368$0$0$62,572,295
96$120,302,027$0$0$68,876,531
97$132,424,636$0$0$75,821,339
98$145,779,083$0$0$83,471,978
99$160,490,868$0$0$91,900,363
100$176,698,288$0$0$101,185,743