Can I retire at age 40 with 807,000?

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 $807,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.8%
1 years$66,641$66,048$65,469$64,903$64,351$62,316
2 years$32,991$32,376$31,781$31,203$30,643$28,612
3 years$21,775$21,158$20,564$19,992$19,441$17,477
4 years$16,169$15,554$14,966$14,403$13,866$11,983
5 years$12,806$12,194$11,614$11,063$10,541$8,745
6 years$10,564$9,957$9,386$8,847$8,340$6,633
7 years$8,964$8,362$7,800$7,274$6,783$5,164
8 years$7,764$7,168$6,615$6,102$5,627$4,096
9 years$6,832$6,241$5,697$5,197$4,739$3,293
10 years$6,086$5,501$4,967$4,480$4,038$2,676
11 years$5,476$4,897$4,373$3,899$3,473$2,191
12 years$4,969$4,396$3,881$3,420$3,009$1,806
13 years$4,539$3,972$3,467$3,019$2,624$1,497
14 years$4,172$3,611$3,115$2,680$2,300$1,245
15 years$3,854$3,298$2,813$2,390$2,025$1,039
16 years$3,575$3,026$2,550$2,140$1,790$870
17 years$3,330$2,787$2,321$1,923$1,587$730
18 years$3,112$2,575$2,118$1,733$1,411$613
19 years$2,918$2,387$1,939$1,566$1,258$516
20 years$2,743$2,218$1,780$1,418$1,124$435
21 years$2,585$2,066$1,637$1,287$1,005$367
22 years$2,441$1,929$1,509$1,170$901$310
23 years$2,310$1,804$1,393$1,066$809$262
24 years$2,191$1,690$1,288$972$727$222
25 years$2,081$1,586$1,193$888$654$188
26 years$1,979$1,491$1,107$812$589$159
27 years$1,885$1,403$1,028$743$531$135
28 years$1,799$1,322$955$681$479$114
29 years$1,718$1,247$889$624$433$97
30 years$1,643$1,178$828$573$391$82
31 years$1,572$1,113$772$526$354$70
32 years$1,507$1,053$720$484$320$59
33 years$1,445$998$673$445$290$50
34 years$1,387$945$628$409$262$42
35 years$1,333$897$588$377$237$36
36 years$1,282$851$550$347$215$31
37 years$1,233$808$514$320$195$26
38 years$1,188$768$482$295$177$22
39 years$1,144$731$451$272$160$19
40 years$1,103$695$423$251$145$16
41 years$1,064$662$397$231$132$13
42 years$1,027$630$372$213$120$11
43 years$992$600$349$197$109$10
44 years$959$572$328$182$99$8
45 years$927$546$308$168$90$7
46 years$897$521$289$155$81$6
47 years$868$497$272$143$74$5
48 years$840$474$255$132$67$4
49 years$813$453$240$122$61$4
50 years$788$433$225$113$55$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $807,000, adding $2,720 every year, while hoping to spend $46,791 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: 50/38/12 Blend
39$807,000$807,000$807,000$807,000
40$892,120$849,349$836,840$933,704
41$933,331$841,182$815,089$954,330
42$977,177$831,046$791,041$971,583
43$1,023,878$818,796$764,570$989,268
44$1,073,674$804,277$735,543$1,007,441
45$1,126,827$787,326$703,823$1,026,164
46$1,183,628$767,769$669,265$1,045,510
47$1,244,390$745,422$631,718$1,065,561
48$1,309,461$720,091$591,024$1,086,410
49$1,379,221$691,571$547,018$1,108,165
50$1,454,087$659,643$499,528$1,130,947
51$1,534,516$624,077$448,374$1,154,895
52$1,621,010$584,630$393,368$1,180,164
53$1,714,121$541,045$334,314$1,206,933
54$1,814,453$493,049$271,006$1,235,400
55$1,922,673$440,353$203,230$1,265,791
56$2,039,510$382,655$130,763$1,298,359
57$2,165,768$319,632$53,370$1,333,391
58$2,302,327$250,946$0$1,371,206
59$2,450,159$176,237$0$1,415,906
60$2,610,329$95,126$0$1,471,689
61$2,784,009$7,214$0$1,532,201
62$2,972,489$0$0$1,597,983
63$3,177,186$0$0$1,706,404
64$3,399,659$0$0$1,827,594
65$3,641,624$0$0$1,959,479
66$3,904,968$0$0$2,103,100
67$4,191,768$0$0$2,259,598
68$4,504,309$0$0$2,430,231
69$4,845,106$0$0$2,616,383
70$5,216,928$0$0$2,819,579
71$5,622,820$0$0$3,041,495
72$6,066,137$0$0$3,283,977
73$6,550,571$0$0$3,549,058
74$7,080,185$0$0$3,838,976
75$7,659,457$0$0$4,156,195
76$8,293,313$0$0$4,503,429
77$8,987,178$0$0$4,883,664
78$9,747,028$0$0$5,300,191
79$10,579,443$0$0$5,756,633
80$11,491,667$0$0$6,256,980
81$12,491,682$0$0$6,805,628
82$13,588,276$0$0$7,407,417
83$14,791,129$0$0$8,067,678
84$16,110,904$0$0$8,792,283
85$17,559,346$0$0$9,587,702
86$19,149,390$0$0$10,461,061
87$20,895,286$0$0$11,420,207
88$22,812,733$0$0$12,473,787
89$24,919,023$0$0$13,631,328
90$27,233,204$0$0$14,903,322
91$29,776,264$0$0$16,301,329
92$32,571,323$0$0$17,838,087
93$35,643,850$0$0$19,527,625
94$39,021,909$0$0$21,385,403
95$42,736,414$0$0$23,428,452
96$46,821,429$0$0$25,675,537
97$51,314,481$0$0$28,147,331
98$56,256,918$0$0$30,866,615
99$61,694,297$0$0$33,858,486
100$67,676,812$0$0$37,150,598