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%19.1%
1 years$65,816$65,229$64,657$64,099$63,554$61,226
2 years$32,582$31,975$31,387$30,817$30,264$27,944
3 years$21,506$20,896$20,309$19,745$19,201$16,963
4 years$15,968$15,361$14,780$14,225$13,694$11,554
5 years$12,647$12,043$11,470$10,926$10,410$8,375
6 years$10,433$9,834$9,269$8,738$8,237$6,307
7 years$8,853$8,259$7,703$7,184$6,699$4,874
8 years$7,668$7,079$6,533$6,026$5,557$3,836
9 years$6,747$6,164$5,627$5,133$4,680$3,060
10 years$6,011$5,433$4,905$4,425$3,988$2,466
11 years$5,409$4,837$4,319$3,851$3,430$2,003
12 years$4,907$4,341$3,833$3,378$2,972$1,636
13 years$4,483$3,923$3,424$2,982$2,592$1,344
14 years$4,120$3,566$3,077$2,647$2,272$1,108
15 years$3,806$3,258$2,778$2,361$2,000$916
16 years$3,531$2,989$2,519$2,114$1,768$760
17 years$3,289$2,753$2,292$1,899$1,568$631
18 years$3,074$2,544$2,092$1,712$1,394$526
19 years$2,882$2,357$1,915$1,547$1,242$438
20 years$2,709$2,191$1,758$1,401$1,110$366
21 years$2,553$2,040$1,617$1,271$993$306
22 years$2,411$1,905$1,490$1,156$890$255
23 years$2,282$1,781$1,376$1,053$799$214
24 years$2,163$1,669$1,272$960$718$179
25 years$2,055$1,566$1,178$877$646$150
26 years$1,955$1,472$1,093$802$582$126
27 years$1,862$1,385$1,015$734$525$105
28 years$1,776$1,305$944$672$474$88
29 years$1,697$1,232$878$617$428$74
30 years$1,622$1,163$818$566$386$62
31 years$1,553$1,099$762$520$349$52
32 years$1,488$1,040$711$478$316$44
33 years$1,427$985$664$439$286$37
34 years$1,370$934$621$404$259$31
35 years$1,316$886$580$372$234$26
36 years$1,266$841$543$343$212$22
37 years$1,218$798$508$316$193$18
38 years$1,173$759$476$291$175$15
39 years$1,130$721$446$268$158$13
40 years$1,090$686$418$247$144$11
41 years$1,051$653$392$228$130$9
42 years$1,015$622$367$211$118$8
43 years$980$593$345$194$107$6
44 years$947$565$324$180$97$5
45 years$915$539$304$166$88$4
46 years$885$514$285$153$80$4
47 years$857$491$268$142$73$3
48 years$829$468$252$131$66$3
49 years$803$447$237$121$60$2
50 years$778$427$223$112$55$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $797,000, adding $5,252 every year, while hoping to spend $26,290 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: 53/27/20 Blend
39$797,000$797,000$797,000$797,000
40$883,711$841,470$829,117$925,448
41$945,878$854,730$828,920$967,942
42$1,013,504$867,758$827,835$1,010,971
43$1,087,119$880,516$825,805$1,057,227
44$1,167,305$892,962$822,770$1,107,028
45$1,254,703$905,050$818,666$1,160,720
46$1,350,018$916,733$813,427$1,218,690
47$1,454,027$927,959$806,983$1,281,361
48$1,567,583$938,675$799,262$1,349,202
49$1,691,627$948,820$790,188$1,422,730
50$1,827,194$958,334$779,681$1,502,516
51$1,975,424$967,148$767,657$1,589,189
52$2,137,572$975,194$754,028$1,683,443
53$2,315,020$982,394$738,703$1,786,047
54$2,509,290$988,668$721,587$1,897,846
55$2,722,056$993,931$702,579$2,019,773
56$2,955,163$998,092$681,573$2,152,859
57$3,210,645$1,001,054$658,461$2,298,241
58$3,490,739$1,002,713$633,128$2,457,174
59$3,797,909$1,002,961$605,452$2,631,040
60$4,134,871$1,001,682$575,310$2,821,367
61$4,504,615$998,751$542,570$3,029,839
62$4,910,434$994,038$507,094$3,258,316
63$5,355,957$987,404$468,740$3,508,846
64$5,845,179$978,702$427,358$3,783,692
65$6,382,505$967,775$382,792$4,085,348
66$6,972,782$954,458$334,877$4,416,567
67$7,621,355$938,576$283,444$4,780,385
68$8,334,108$919,941$228,315$5,180,149
69$9,117,527$898,358$169,303$5,619,552
70$9,978,755$873,617$106,215$6,102,668
71$10,925,661$845,499$38,847$6,633,990
72$11,966,919$813,768$0$7,218,472
73$13,112,080$778,178$0$7,868,629
74$14,371,670$738,466$0$8,592,743
75$15,757,286$694,357$0$9,389,207
76$17,281,706$645,557$0$10,265,403
77$18,959,008$591,758$0$11,229,464
78$20,804,703$532,630$0$12,290,357
79$22,835,884$467,830$0$13,457,967
80$25,071,382$396,991$0$14,743,188
81$27,531,947$319,728$0$16,158,030
82$30,240,443$235,632$0$17,715,731
83$33,222,063$144,273$0$19,430,884
84$36,504,566$45,196$0$21,319,571
85$40,118,542$0$0$23,399,522
86$44,097,694$0$0$25,708,723
87$48,479,162$0$0$28,266,284
88$53,303,870$0$0$31,082,677
89$58,616,914$0$0$34,184,238
90$64,467,983$0$0$37,599,989
91$70,911,833$0$0$41,361,910
92$78,008,802$0$0$45,505,238
93$85,825,377$0$0$50,068,804
94$94,434,822$0$0$55,095,398
95$103,917,872$0$0$60,632,171
96$114,363,489$0$0$66,731,082
97$125,869,708$0$0$73,449,387
98$138,544,557$0$0$80,850,178
99$152,507,079$0$0$89,002,982
100$167,888,455$0$0$97,984,413