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%19.2%
1 years$66,559$65,966$65,387$64,823$64,272$61,893
2 years$32,950$32,336$31,741$31,165$30,606$28,236
3 years$21,748$21,132$20,539$19,968$19,417$17,131
4 years$16,149$15,534$14,947$14,386$13,849$11,663
5 years$12,790$12,179$11,599$11,049$10,528$8,449
6 years$10,551$9,945$9,374$8,836$8,330$6,360
7 years$8,953$8,352$7,790$7,265$6,775$4,912
8 years$7,755$7,159$6,606$6,094$5,620$3,864
9 years$6,823$6,233$5,690$5,191$4,733$3,080
10 years$6,079$5,494$4,961$4,475$4,033$2,480
11 years$5,470$4,891$4,367$3,894$3,468$2,013
12 years$4,963$4,390$3,876$3,416$3,006$1,644
13 years$4,534$3,967$3,463$3,016$2,621$1,349
14 years$4,167$3,606$3,111$2,677$2,297$1,111
15 years$3,849$3,294$2,809$2,387$2,023$919
16 years$3,571$3,023$2,547$2,138$1,788$761
17 years$3,326$2,784$2,318$1,921$1,585$632
18 years$3,108$2,572$2,116$1,731$1,409$526
19 years$2,914$2,384$1,937$1,564$1,256$438
20 years$2,739$2,215$1,778$1,417$1,122$365
21 years$2,581$2,063$1,635$1,286$1,004$305
22 years$2,438$1,926$1,507$1,169$900$255
23 years$2,307$1,801$1,391$1,065$808$213
24 years$2,188$1,688$1,287$971$726$178
25 years$2,078$1,584$1,192$887$654$149
26 years$1,977$1,489$1,105$811$589$125
27 years$1,883$1,401$1,026$742$531$105
28 years$1,796$1,320$954$680$479$88
29 years$1,716$1,245$888$624$432$73
30 years$1,641$1,176$827$572$391$62
31 years$1,571$1,112$771$526$353$52
32 years$1,505$1,052$719$483$320$43
33 years$1,443$996$672$444$289$36
34 years$1,386$944$628$409$262$30
35 years$1,331$896$587$376$237$25
36 years$1,280$850$549$346$215$21
37 years$1,232$807$514$319$195$18
38 years$1,186$767$481$294$177$15
39 years$1,143$730$451$271$160$13
40 years$1,102$694$423$250$145$11
41 years$1,063$661$396$231$132$9
42 years$1,026$629$372$213$120$7
43 years$991$600$349$197$108$6
44 years$958$572$327$182$98$5
45 years$926$545$307$168$89$4
46 years$895$520$289$155$81$4
47 years$866$496$271$143$74$3
48 years$839$474$255$132$67$3
49 years$812$452$240$122$61$2
50 years$787$432$225$113$55$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $806,000, adding $3,457 every year, while hoping to spend $20,919 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: 31/47/22 Blend
39$806,000$806,000$806,000$806,000
40$891,778$849,060$836,567$913,250
41$960,482$868,406$842,334$949,172
42$1,035,492$887,999$847,594$985,696
43$1,117,430$907,829$852,306$1,024,581
44$1,206,980$927,885$856,430$1,066,045
45$1,304,895$948,154$859,923$1,110,330
46$1,412,003$968,622$862,740$1,157,701
47$1,529,217$989,275$864,832$1,208,453
48$1,657,543$1,010,095$866,149$1,262,908
49$1,798,087$1,031,064$866,640$1,321,425
50$1,952,068$1,052,162$866,248$1,384,397
51$2,120,828$1,073,367$864,916$1,452,258
52$2,305,845$1,094,655$862,584$1,525,488
53$2,508,748$1,116,000$859,187$1,604,616
54$2,731,330$1,137,374$854,660$1,690,226
55$2,975,566$1,158,746$848,931$1,782,962
56$3,243,632$1,180,082$841,929$1,883,533
57$3,537,924$1,201,348$833,575$1,992,723
58$3,861,082$1,222,504$823,790$2,111,398
59$4,216,014$1,243,509$812,489$2,240,510
60$4,605,925$1,264,318$799,584$2,381,112
61$5,034,342$1,284,882$784,983$2,534,366
62$5,505,154$1,305,151$768,589$2,701,551
63$6,022,645$1,325,068$750,301$2,884,081
64$6,591,532$1,344,573$730,014$3,083,514
65$7,217,015$1,363,604$707,616$3,301,571
66$7,904,821$1,382,091$682,992$3,540,147
67$8,661,261$1,399,962$656,021$3,801,335
68$9,493,288$1,417,138$626,575$4,087,442
69$10,408,561$1,433,536$594,524$4,401,016
70$11,415,522$1,449,067$559,728$4,744,863
71$12,523,469$1,463,635$522,043$5,122,081
72$13,742,649$1,477,140$481,317$5,536,086
73$15,084,352$1,489,472$437,394$5,990,645
74$16,561,017$1,500,517$390,108$6,489,915
75$18,186,351$1,510,153$339,286$7,038,478
76$19,975,456$1,518,247$284,750$7,641,388
77$21,944,974$1,524,663$226,310$8,304,219
78$24,113,241$1,529,252$163,772$9,033,118
79$26,500,463$1,531,856$96,930$9,834,864
80$29,128,903$1,532,310$25,570$10,716,932
81$32,023,094$1,530,436$0$11,687,564
82$35,210,069$1,526,047$0$12,767,725
83$38,719,614$1,518,941$0$13,962,739
84$42,584,554$1,508,908$0$15,277,707
85$46,841,057$1,495,723$0$16,724,873
86$51,528,979$1,479,148$0$18,317,735
87$56,692,238$1,458,929$0$20,071,171
88$62,379,229$1,434,800$0$22,001,582
89$68,643,282$1,406,477$0$24,127,045
90$75,543,162$1,373,659$0$26,467,488
91$83,143,624$1,336,028$0$29,044,875
92$91,516,028$1,293,248$0$31,883,417
93$100,739,008$1,244,962$0$35,009,801
94$110,899,214$1,190,793$0$38,453,442
95$122,092,134$1,130,341$0$42,246,763
96$134,422,989$1,063,185$0$46,425,501
97$148,007,731$988,878$0$51,029,047
98$162,974,135$906,949$0$56,100,818
99$179,463,005$816,898$0$61,688,669
100$197,629,504$718,198$0$67,845,346