Can I retire at age 40 with 822,000?

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 $822,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.1%
1 years$67,880$67,275$66,685$66,110$65,547$64,435
2 years$33,604$32,978$32,372$31,783$31,213$30,096
3 years$22,180$21,552$20,947$20,364$19,803$18,715
4 years$16,469$15,843$15,244$14,671$14,124$13,074
5 years$13,044$12,421$11,830$11,269$10,737$9,729
6 years$10,761$10,143$9,560$9,012$8,495$7,530
7 years$9,131$8,518$7,945$7,409$6,909$5,986
8 years$7,909$7,301$6,738$6,215$5,732$4,852
9 years$6,959$6,357$5,803$5,294$4,827$3,989
10 years$6,199$5,603$5,059$4,564$4,113$3,316
11 years$5,578$4,988$4,454$3,972$3,537$2,781
12 years$5,061$4,477$3,953$3,484$3,065$2,348
13 years$4,624$4,046$3,532$3,076$2,673$1,994
14 years$4,249$3,678$3,173$2,730$2,343$1,702
15 years$3,925$3,360$2,865$2,435$2,063$1,458
16 years$3,642$3,083$2,598$2,180$1,823$1,253
17 years$3,392$2,839$2,364$1,959$1,617$1,080
18 years$3,170$2,623$2,158$1,765$1,437$932
19 years$2,972$2,431$1,975$1,595$1,281$807
20 years$2,794$2,259$1,813$1,445$1,144$700
21 years$2,633$2,104$1,667$1,311$1,024$607
22 years$2,487$1,964$1,537$1,192$918$528
23 years$2,353$1,837$1,419$1,086$824$459
24 years$2,231$1,721$1,312$990$741$400
25 years$2,119$1,615$1,215$904$666$349
26 years$2,016$1,518$1,127$827$600$304
27 years$1,921$1,429$1,047$757$541$266
28 years$1,832$1,346$973$693$488$232
29 years$1,750$1,270$906$636$441$203
30 years$1,673$1,200$843$584$398$177
31 years$1,602$1,134$786$536$360$155
32 years$1,535$1,073$734$493$326$135
33 years$1,472$1,016$685$453$295$118
34 years$1,413$963$640$417$267$104
35 years$1,358$913$598$384$242$91
36 years$1,306$867$560$353$219$79
37 years$1,256$823$524$326$199$70
38 years$1,210$783$491$300$180$61
39 years$1,166$744$460$277$163$53
40 years$1,124$708$431$255$148$47
41 years$1,084$674$404$235$134$41
42 years$1,047$642$379$217$122$36
43 years$1,011$612$356$201$111$31
44 years$977$583$334$185$100$27
45 years$944$556$313$171$91$24
46 years$913$530$294$158$83$21
47 years$884$506$277$146$75$18
48 years$855$483$260$135$68$16
49 years$828$461$244$125$62$14
50 years$803$441$230$115$56$12

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $822,000, adding $5,983 every year, while hoping to spend $41,841 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: 74/21/5 Blend
39$822,000$822,000$822,000$822,000
40$912,015$868,449$855,708$978,720
41$960,523$866,485$839,856$1,021,457
42$1,012,575$863,022$822,071$1,062,346
43$1,068,490$857,943$802,243$1,105,927
44$1,128,617$851,122$780,258$1,152,451
45$1,193,337$842,429$755,998$1,202,195
46$1,263,072$831,722$729,338$1,255,464
47$1,338,281$818,853$700,148$1,312,596
48$1,419,473$803,664$668,290$1,373,962
49$1,507,205$785,988$633,622$1,439,972
50$1,602,087$765,649$595,996$1,511,079
51$1,704,794$742,460$555,256$1,587,783
52$1,816,064$716,222$511,239$1,670,635
53$1,936,712$686,726$463,774$1,760,243
54$2,067,631$653,750$412,685$1,857,278
55$2,209,805$617,060$357,786$1,962,482
56$2,364,317$576,407$298,883$2,076,673
57$2,532,355$531,528$235,774$2,200,753
58$2,715,230$482,148$168,247$2,335,718
59$2,914,382$427,972$96,082$2,482,666
60$3,131,397$368,691$19,048$2,642,812
61$3,368,019$303,976$0$2,817,494
62$3,626,170$233,484$0$3,011,557
63$3,907,962$156,847$0$3,224,567
64$4,215,722$73,681$0$3,457,318
65$4,552,013$0$0$3,711,810
66$4,919,652$0$0$3,994,041
67$5,321,746$0$0$4,321,379
68$5,761,713$0$0$4,679,584
69$6,243,317$0$0$5,071,724
70$6,770,702$0$0$5,501,180
71$7,348,434$0$0$5,971,672
72$7,981,538$0$0$6,487,300
73$8,675,551$0$0$7,052,577
74$9,436,571$0$0$7,672,475
75$10,271,312$0$0$8,352,470
76$11,187,171$0$0$9,098,592
77$12,192,296$0$0$9,917,485
78$13,295,660$0$0$10,816,466
79$14,507,150$0$0$11,803,596
80$15,837,654$0$0$12,887,755
81$17,299,170$0$0$14,078,725
82$18,904,911$0$0$15,387,280
83$20,669,437$0$0$16,825,293
84$22,608,785$0$0$18,405,841
85$24,740,626$0$0$20,143,332
86$27,084,425$0$0$22,053,640
87$29,661,630$0$0$24,154,255
88$32,495,869$0$0$26,464,442
89$35,613,177$0$0$29,005,433
90$39,042,235$0$0$31,800,615
91$42,814,648$0$0$34,875,760
92$46,965,236$0$0$38,259,261
93$51,532,363$0$0$41,982,403
94$56,558,303$0$0$46,079,658
95$62,089,632$0$0$50,589,008
96$68,177,671$0$0$55,552,301
97$74,878,970$0$0$61,015,652
98$82,255,838$0$0$67,029,870
99$90,376,931$0$0$73,650,943
100$99,317,902$0$0$80,940,563