Can I retire at age 40 with 820,000?

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 $820,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.9%
1 years$67,715$67,112$66,523$65,949$65,388$64,068
2 years$33,522$32,898$32,293$31,706$31,137$29,813
3 years$22,126$21,499$20,896$20,314$19,755$18,468
4 years$16,429$15,804$15,207$14,635$14,089$12,849
5 years$13,012$12,391$11,801$11,241$10,710$9,521
6 years$10,735$10,118$9,537$8,990$8,475$7,337
7 years$9,108$8,497$7,925$7,391$6,892$5,807
8 years$7,889$7,283$6,721$6,200$5,718$4,684
9 years$6,942$6,342$5,789$5,281$4,815$3,833
10 years$6,184$5,590$5,047$4,552$4,103$3,171
11 years$5,565$4,976$4,443$3,962$3,529$2,646
12 years$5,049$4,466$3,943$3,475$3,058$2,223
13 years$4,613$4,036$3,523$3,068$2,666$1,878
14 years$4,239$3,669$3,165$2,723$2,337$1,594
15 years$3,916$3,352$2,858$2,429$2,058$1,358
16 years$3,633$3,075$2,591$2,175$1,819$1,160
17 years$3,384$2,832$2,358$1,954$1,613$994
18 years$3,162$2,617$2,152$1,761$1,434$854
19 years$2,965$2,425$1,970$1,591$1,278$734
20 years$2,787$2,254$1,808$1,441$1,142$633
21 years$2,626$2,099$1,663$1,308$1,022$546
22 years$2,480$1,960$1,533$1,189$916$472
23 years$2,348$1,833$1,416$1,083$822$408
24 years$2,226$1,717$1,309$988$739$353
25 years$2,114$1,611$1,212$902$665$306
26 years$2,011$1,515$1,125$825$599$265
27 years$1,916$1,425$1,044$755$540$230
28 years$1,828$1,343$971$692$487$199
29 years$1,746$1,267$903$634$440$173
30 years$1,669$1,197$841$582$398$150
31 years$1,598$1,131$784$535$359$131
32 years$1,531$1,070$732$491$325$113
33 years$1,468$1,014$683$452$294$99
34 years$1,410$961$639$416$266$86
35 years$1,354$911$597$383$241$74
36 years$1,302$865$558$352$219$65
37 years$1,253$821$523$325$198$56
38 years$1,207$781$489$299$180$49
39 years$1,163$742$459$276$163$43
40 years$1,121$706$430$255$148$37
41 years$1,082$672$403$235$134$32
42 years$1,044$640$378$217$122$28
43 years$1,008$610$355$200$110$24
44 years$974$581$333$185$100$21
45 years$942$555$313$171$91$18
46 years$911$529$294$158$83$16
47 years$882$505$276$146$75$14
48 years$853$482$259$135$68$12
49 years$826$460$244$124$62$11
50 years$801$440$229$115$56$9

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $820,000, adding $5,223 every year, while hoping to spend $34,845 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: 72/5/23 Blend
39$820,000$820,000$820,000$820,000
40$909,028$865,568$852,858$968,936
41$964,674$870,906$844,353$1,014,896
42$1,024,828$875,337$834,397$1,060,588
43$1,089,913$878,781$822,902$1,109,778
44$1,160,394$881,152$809,779$1,162,809
45$1,236,782$882,357$794,935$1,220,061
46$1,319,640$882,298$778,271$1,281,950
47$1,409,586$880,874$759,686$1,348,938
48$1,507,300$877,972$739,071$1,421,533
49$1,613,529$873,478$716,315$1,500,296
50$1,729,097$867,266$691,300$1,585,846
51$1,854,909$859,206$663,902$1,678,864
52$1,991,962$849,159$633,995$1,780,104
53$2,141,351$836,977$601,442$1,890,395
54$2,304,283$822,503$566,105$2,010,655
55$2,482,087$805,573$527,837$2,141,893
56$2,676,224$786,010$486,483$2,285,224
57$2,888,303$763,628$441,885$2,441,876
58$3,120,096$738,232$393,874$2,613,206
59$3,373,553$709,613$342,276$2,800,708
60$3,650,822$677,551$286,909$3,006,032
61$3,954,267$641,812$227,581$3,230,997
62$4,286,492$602,150$164,095$3,477,608
63$4,650,364$558,305$96,242$3,748,077
64$5,049,040$510,001$23,805$4,044,843
65$5,485,998$456,947$0$4,370,598
66$5,965,067$398,835$0$4,741,435
67$6,490,465$335,339$0$5,154,586
68$7,066,839$266,117$0$5,607,870
69$7,699,304$190,805$0$6,105,328
70$8,393,498$109,019$0$6,651,410
71$9,155,628$20,354$0$7,251,022
72$9,992,535$0$0$7,909,568
73$10,911,752$0$0$8,637,160
74$11,921,578$0$0$9,437,746
75$13,031,157$0$0$10,317,459
76$14,250,561$0$0$11,284,290
77$15,590,885$0$0$12,347,043
78$17,064,356$0$0$13,515,417
79$18,684,442$0$0$14,800,097
80$20,465,981$0$0$16,212,858
81$22,425,323$0$0$17,766,670
82$24,580,480$0$0$19,475,823
83$26,951,298$0$0$21,356,065
84$29,559,642$0$0$23,424,742
85$32,429,606$0$0$25,700,971
86$35,587,736$0$0$28,205,813
87$39,063,279$0$0$30,962,474
88$42,888,464$0$0$33,996,524
89$47,098,801$0$0$37,336,137
90$51,733,417$0$0$41,012,358
91$56,835,426$0$0$45,059,393
92$62,452,333$0$0$49,514,935
93$68,636,486$0$0$54,420,516
94$75,445,563$0$0$59,821,900
95$82,943,123$0$0$65,769,516
96$91,199,201$0$0$72,318,931
97$100,290,970$0$0$79,531,376
98$110,303,466$0$0$87,474,321
99$121,330,396$0$0$96,222,115
100$133,475,015$0$0$105,856,684