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%16.1%
1 years$65,816$65,229$64,657$64,099$63,554$61,967
2 years$32,582$31,975$31,387$30,817$30,264$28,675
3 years$21,506$20,896$20,309$19,745$19,201$17,660
4 years$15,968$15,361$14,780$14,225$13,694$12,213
5 years$12,647$12,043$11,470$10,926$10,410$8,993
6 years$10,433$9,834$9,269$8,738$8,237$6,885
7 years$8,853$8,259$7,703$7,184$6,699$5,412
8 years$7,668$7,079$6,533$6,026$5,557$4,336
9 years$6,747$6,164$5,627$5,133$4,680$3,522
10 years$6,011$5,433$4,905$4,425$3,988$2,892
11 years$5,409$4,837$4,319$3,851$3,430$2,395
12 years$4,907$4,341$3,833$3,378$2,972$1,996
13 years$4,483$3,923$3,424$2,982$2,592$1,673
14 years$4,120$3,566$3,077$2,647$2,272$1,408
15 years$3,806$3,258$2,778$2,361$2,000$1,190
16 years$3,531$2,989$2,519$2,114$1,768$1,008
17 years$3,289$2,753$2,292$1,899$1,568$856
18 years$3,074$2,544$2,092$1,712$1,394$729
19 years$2,882$2,357$1,915$1,547$1,242$621
20 years$2,709$2,191$1,758$1,401$1,110$531
21 years$2,553$2,040$1,617$1,271$993$454
22 years$2,411$1,905$1,490$1,156$890$388
23 years$2,282$1,781$1,376$1,053$799$333
24 years$2,163$1,669$1,272$960$718$285
25 years$2,055$1,566$1,178$877$646$245
26 years$1,955$1,472$1,093$802$582$210
27 years$1,862$1,385$1,015$734$525$180
28 years$1,776$1,305$944$672$474$155
29 years$1,697$1,232$878$617$428$133
30 years$1,622$1,163$818$566$386$115
31 years$1,553$1,099$762$520$349$99
32 years$1,488$1,040$711$478$316$85
33 years$1,427$985$664$439$286$73
34 years$1,370$934$621$404$259$63
35 years$1,316$886$580$372$234$54
36 years$1,266$841$543$343$212$46
37 years$1,218$798$508$316$193$40
38 years$1,173$759$476$291$175$34
39 years$1,130$721$446$268$158$30
40 years$1,090$686$418$247$144$26
41 years$1,051$653$392$228$130$22
42 years$1,015$622$367$211$118$19
43 years$980$593$345$194$107$16
44 years$947$565$324$180$97$14
45 years$915$539$304$166$88$12
46 years$885$514$285$153$80$10
47 years$857$491$268$142$73$9
48 years$829$468$252$131$66$8
49 years$803$447$237$121$60$7
50 years$778$427$223$112$55$6

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $797,000, adding $6,960 every year, while hoping to spend $21,000 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: 80/15/5 Blend
39$797,000$797,000$797,000$797,000
40$885,473$843,232$830,879$955,601
41$953,448$862,207$836,369$1,021,472
42$1,027,652$881,407$841,340$1,090,232
43$1,108,698$900,823$845,751$1,165,032
44$1,197,263$920,440$849,561$1,246,462
45$1,294,089$940,247$852,727$1,335,174
46$1,399,994$960,227$855,201$1,431,884
47$1,515,880$980,365$856,937$1,537,381
48$1,642,738$1,000,641$857,883$1,652,536
49$1,781,662$1,021,036$857,986$1,778,305
50$1,933,853$1,041,529$857,190$1,915,742
51$2,100,638$1,062,096$855,438$2,066,009
52$2,283,475$1,082,710$852,667$2,230,385
53$2,483,971$1,103,345$848,813$2,410,280
54$2,703,897$1,123,969$843,809$2,607,246
55$2,945,201$1,144,551$837,584$2,822,993
56$3,210,033$1,165,055$830,064$3,059,404
57$3,500,756$1,185,443$821,171$3,318,556
58$3,819,977$1,205,674$810,824$3,602,735
59$4,170,566$1,225,703$798,938$3,914,460
60$4,555,686$1,245,484$785,424$4,256,506
61$4,978,818$1,264,966$770,189$4,631,933
62$5,443,802$1,284,093$753,134$5,044,110
63$5,954,864$1,302,807$734,158$5,496,748
64$6,516,661$1,321,047$713,154$5,993,940
65$7,134,326$1,338,743$690,010$6,540,192
66$7,813,511$1,355,825$664,609$7,140,471
67$8,560,444$1,372,216$636,828$7,800,249
68$9,381,989$1,387,833$606,541$8,525,558
69$10,285,704$1,402,590$573,613$9,323,041
70$11,279,922$1,416,392$537,904$10,200,022
71$12,373,819$1,429,141$499,270$11,164,568
72$13,577,509$1,440,730$457,556$12,225,571
73$14,902,135$1,451,046$412,604$13,392,829
74$16,359,974$1,459,968$364,248$14,677,137
75$17,964,554$1,467,369$312,313$16,090,393
76$19,730,781$1,473,112$256,617$17,645,707
77$21,675,079$1,477,053$196,972$19,357,527
78$23,815,546$1,479,037$133,179$21,241,773
79$26,172,123$1,478,902$65,032$23,315,989
80$28,766,783$1,476,472$0$25,599,509
81$31,623,740$1,471,564$0$28,114,049
82$34,769,673$1,463,982$0$30,886,405
83$38,233,981$1,453,518$0$33,938,990
84$42,049,059$1,439,953$0$37,300,329
85$46,250,604$1,423,051$0$41,001,856
86$50,877,952$1,402,567$0$45,078,210
87$55,974,447$1,378,237$0$49,567,563
88$61,587,854$1,349,784$0$54,511,979
89$67,770,805$1,316,913$0$59,957,814
90$74,581,298$1,279,312$0$65,956,150
91$82,083,244$1,236,652$0$72,563,278
92$90,347,070$1,188,584$0$79,841,233
93$99,450,383$1,134,737$0$87,858,375
94$109,478,704$1,074,720$0$96,690,036
95$120,526,271$1,008,121$0$106,419,234
96$132,696,934$934,502$0$117,137,452
97$146,105,129$853,400$0$128,945,507
98$160,876,963$764,328$0$141,954,496
99$177,151,401$666,768$0$156,286,850
100$195,081,579$560,174$0$172,077,487