Can I retire at age 40 with 806,000?

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 $806,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.9%
1 years$66,559$65,966$65,387$64,823$64,272$62,465
2 years$32,950$32,336$31,741$31,165$30,606$28,799
3 years$21,748$21,132$20,539$19,968$19,417$17,668
4 years$16,149$15,534$14,947$14,386$13,849$12,169
5 years$12,790$12,179$11,599$11,049$10,528$8,923
6 years$10,551$9,945$9,374$8,836$8,330$6,802
7 years$8,953$8,352$7,790$7,265$6,775$5,323
8 years$7,755$7,159$6,606$6,094$5,620$4,244
9 years$6,823$6,233$5,690$5,191$4,733$3,431
10 years$6,079$5,494$4,961$4,475$4,033$2,803
11 years$5,470$4,891$4,367$3,894$3,468$2,309
12 years$4,963$4,390$3,876$3,416$3,006$1,915
13 years$4,534$3,967$3,463$3,016$2,621$1,596
14 years$4,167$3,606$3,111$2,677$2,297$1,336
15 years$3,849$3,294$2,809$2,387$2,023$1,123
16 years$3,571$3,023$2,547$2,138$1,788$946
17 years$3,326$2,784$2,318$1,921$1,585$799
18 years$3,108$2,572$2,116$1,731$1,409$676
19 years$2,914$2,384$1,937$1,564$1,256$573
20 years$2,739$2,215$1,778$1,417$1,122$486
21 years$2,581$2,063$1,635$1,286$1,004$413
22 years$2,438$1,926$1,507$1,169$900$351
23 years$2,307$1,801$1,391$1,065$808$299
24 years$2,188$1,688$1,287$971$726$255
25 years$2,078$1,584$1,192$887$654$217
26 years$1,977$1,489$1,105$811$589$185
27 years$1,883$1,401$1,026$742$531$158
28 years$1,796$1,320$954$680$479$135
29 years$1,716$1,245$888$624$432$115
30 years$1,641$1,176$827$572$391$98
31 years$1,571$1,112$771$526$353$84
32 years$1,505$1,052$719$483$320$72
33 years$1,443$996$672$444$289$61
34 years$1,386$944$628$409$262$52
35 years$1,331$896$587$376$237$45
36 years$1,280$850$549$346$215$38
37 years$1,232$807$514$319$195$33
38 years$1,186$767$481$294$177$28
39 years$1,143$730$451$271$160$24
40 years$1,102$694$423$250$145$21
41 years$1,063$661$396$231$132$18
42 years$1,026$629$372$213$120$15
43 years$991$600$349$197$108$13
44 years$958$572$327$182$98$11
45 years$926$545$307$168$89$9
46 years$895$520$289$155$81$8
47 years$866$496$271$143$74$7
48 years$839$474$255$132$67$6
49 years$812$452$240$122$61$5
50 years$787$432$225$113$55$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $806,000, adding $4,358 every year, while hoping to spend $41,298 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: 45/50/5 Blend
39$806,000$806,000$806,000$806,000
40$892,707$849,989$837,496$931,467
41$939,823$847,698$821,612$956,299
42$990,360$843,910$803,811$978,554
43$1,044,624$838,509$783,986$1,001,709
44$1,102,950$831,371$762,024$1,025,860
45$1,165,707$822,364$737,807$1,051,115
46$1,233,297$811,348$711,213$1,077,594
47$1,306,166$798,177$682,110$1,105,434
48$1,384,800$782,692$650,366$1,134,787
49$1,469,735$764,730$615,839$1,165,824
50$1,561,559$744,113$578,381$1,198,739
51$1,660,920$720,656$537,838$1,233,746
52$1,768,528$694,162$494,050$1,271,086
53$1,885,165$664,424$446,848$1,311,029
54$2,011,691$631,219$396,057$1,353,878
55$2,149,051$594,317$341,492$1,399,969
56$2,298,286$553,469$282,963$1,449,680
57$2,460,538$508,416$220,269$1,503,429
58$2,637,066$458,882$153,202$1,561,687
59$2,829,255$404,576$81,543$1,624,976
60$3,038,628$345,189$5,064$1,693,879
61$3,266,863$280,398$0$1,769,043
62$3,515,804$209,858$0$1,855,277
63$3,787,481$133,207$0$1,949,853
64$4,084,132$50,062$0$2,053,408
65$4,408,216$0$0$2,166,950
66$4,762,443$0$0$2,313,599
67$5,149,796$0$0$2,504,172
68$5,573,558$0$0$2,712,753
69$6,037,347$0$0$2,941,134
70$6,545,144$0$0$3,191,288
71$7,101,333$0$0$3,465,387
72$7,710,744$0$0$3,765,825
73$8,378,695$0$0$4,095,237
74$9,111,043$0$0$4,456,525
75$9,914,239$0$0$4,852,888
76$10,795,387$0$0$5,287,847
77$11,762,314$0$0$5,765,280
78$12,823,641$0$0$6,289,461
79$13,988,862$0$0$6,865,096
80$15,268,438$0$0$7,497,370
81$16,673,891$0$0$8,191,996
82$18,217,914$0$0$8,955,265
83$19,914,492$0$0$9,794,109
84$21,779,028$0$0$10,716,166
85$23,828,495$0$0$11,729,848
86$26,081,590$0$0$12,844,427
87$28,558,911$0$0$14,070,114
88$31,283,155$0$0$15,418,160
89$34,279,326$0$0$16,900,964
90$37,574,973$0$0$18,532,183
91$41,200,449$0$0$20,326,868
92$45,189,198$0$0$22,301,599
93$49,578,068$0$0$24,474,646
94$54,407,658$0$0$26,866,140
95$59,722,706$0$0$29,498,261
96$65,572,500$0$0$32,395,450
97$72,011,352$0$0$35,584,635
98$79,099,107$0$0$39,095,490
99$86,901,705$0$0$42,960,711
100$95,491,803$0$0$47,216,325