Can I retire at age 40 with 823,000?

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 $823,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.5%
1 years$67,963$67,357$66,767$66,190$65,627$64,145
2 years$33,645$33,018$32,411$31,822$31,251$29,766
3 years$22,207$21,578$20,972$20,389$19,827$18,385
4 years$16,489$15,862$15,262$14,689$14,141$12,753
5 years$13,060$12,436$11,844$11,283$10,750$9,420
6 years$10,774$10,155$9,572$9,023$8,506$7,236
7 years$9,142$8,528$7,954$7,418$6,917$5,707
8 years$7,918$7,310$6,746$6,223$5,739$4,588
9 years$6,967$6,365$5,810$5,300$4,833$3,741
10 years$6,207$5,610$5,065$4,569$4,118$3,083
11 years$5,585$4,994$4,460$3,976$3,541$2,563
12 years$5,067$4,483$3,958$3,488$3,069$2,145
13 years$4,629$4,051$3,536$3,079$2,676$1,805
14 years$4,255$3,682$3,177$2,733$2,346$1,525
15 years$3,930$3,364$2,868$2,438$2,066$1,294
16 years$3,646$3,086$2,601$2,183$1,826$1,101
17 years$3,396$2,842$2,367$1,961$1,619$939
18 years$3,174$2,626$2,160$1,767$1,439$803
19 years$2,976$2,434$1,978$1,597$1,283$688
20 years$2,797$2,262$1,815$1,446$1,146$590
21 years$2,636$2,107$1,669$1,313$1,025$507
22 years$2,490$1,967$1,539$1,194$919$436
23 years$2,356$1,839$1,421$1,087$825$375
24 years$2,234$1,723$1,314$991$742$323
25 years$2,122$1,617$1,217$905$667$279
26 years$2,018$1,520$1,129$828$601$240
27 years$1,923$1,431$1,048$758$542$207
28 years$1,834$1,348$974$694$489$179
29 years$1,752$1,272$907$637$442$155
30 years$1,675$1,201$845$584$399$134
31 years$1,604$1,135$787$537$361$115
32 years$1,537$1,074$735$493$326$100
33 years$1,474$1,017$686$454$295$86
34 years$1,415$964$641$417$267$75
35 years$1,359$915$599$384$242$65
36 years$1,307$868$560$354$219$56
37 years$1,258$824$525$326$199$48
38 years$1,211$783$491$300$180$42
39 years$1,167$745$460$277$163$36
40 years$1,125$709$431$256$148$31
41 years$1,085$675$405$236$135$27
42 years$1,048$643$379$218$122$23
43 years$1,012$612$356$201$111$20
44 years$978$584$334$185$101$18
45 years$945$557$314$171$91$15
46 years$914$531$295$158$83$13
47 years$885$507$277$146$75$11
48 years$856$484$260$135$68$10
49 years$829$462$245$125$62$9
50 years$804$441$230$115$56$7

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $823,000, adding $6,679 every year, while hoping to spend $44,138 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: 57/24/19 Blend
39$823,000$823,000$823,000$823,000
40$913,835$870,216$857,460$960,952
41$960,084$865,895$839,222$989,440
42$1,009,571$859,882$818,894$1,015,132
43$1,062,579$852,048$796,360$1,042,148
44$1,119,421$842,257$771,496$1,070,625
45$1,180,436$830,362$744,176$1,100,716
46$1,246,001$816,210$714,266$1,132,591
47$1,316,526$799,637$681,626$1,166,441
48$1,392,462$780,469$646,111$1,202,476
49$1,474,306$758,525$607,569$1,240,932
50$1,562,602$733,610$565,839$1,282,072
51$1,657,948$705,518$520,756$1,326,187
52$1,761,003$674,032$472,145$1,373,601
53$1,872,488$638,923$419,825$1,424,675
54$1,993,199$599,947$363,606$1,479,810
55$2,124,008$556,847$303,290$1,539,451
56$2,265,876$509,352$238,670$1,604,092
57$2,419,859$457,174$169,529$1,674,281
58$2,587,119$400,009$95,642$1,750,628
59$2,768,933$337,537$16,773$1,833,809
60$2,966,706$269,419$0$1,924,572
61$3,181,986$195,296$0$2,037,413
62$3,416,473$114,790$0$2,164,105
63$3,672,041$27,503$0$2,302,321
64$3,950,750$0$0$2,453,249
65$4,254,868$0$0$2,635,891
66$4,586,892$0$0$2,843,291
67$4,949,571$0$0$3,069,910
68$5,345,930$0$0$3,317,646
69$5,779,299$0$0$3,588,592
70$6,253,347$0$0$3,885,050
71$6,772,111$0$0$4,209,554
72$7,340,039$0$0$4,564,897
73$7,962,026$0$0$4,954,153
74$8,643,464$0$0$5,380,708
75$9,390,293$0$0$5,848,290
76$10,209,052$0$0$6,361,006
77$11,106,944$0$0$6,923,379
78$12,091,903$0$0$7,540,391
79$13,172,667$0$0$8,217,530
80$14,358,863$0$0$8,960,839
81$15,661,091$0$0$9,776,977
82$17,091,032$0$0$10,673,278
83$18,661,551$0$0$11,657,822
84$20,386,821$0$0$12,739,509
85$22,282,455$0$0$13,928,145
86$24,365,653$0$0$15,234,532
87$26,655,364$0$0$16,670,570
88$29,172,465$0$0$18,249,371
89$31,939,956$0$0$19,985,379
90$34,983,175$0$0$21,894,510
91$38,330,041$0$0$23,994,296
92$42,011,313$0$0$26,304,056
93$46,060,880$0$0$28,845,076
94$50,516,082$0$0$31,640,807
95$55,418,059$0$0$34,717,088
96$60,812,143$0$0$38,102,392
97$66,748,278$0$0$41,828,087
98$73,281,498$0$0$45,928,740
99$80,472,441$0$0$50,442,436
100$88,387,921$0$0$55,411,142