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%12.4%
1 years$67,963$67,357$66,767$66,190$65,627$64,969
2 years$33,645$33,018$32,411$31,822$31,251$30,588
3 years$22,207$21,578$20,972$20,389$19,827$19,180
4 years$16,489$15,862$15,262$14,689$14,141$13,514
5 years$13,060$12,436$11,844$11,283$10,750$10,146
6 years$10,774$10,155$9,572$9,023$8,506$7,925
7 years$9,142$8,528$7,954$7,418$6,917$6,361
8 years$7,918$7,310$6,746$6,223$5,739$5,206
9 years$6,967$6,365$5,810$5,300$4,833$4,323
10 years$6,207$5,610$5,065$4,569$4,118$3,631
11 years$5,585$4,994$4,460$3,976$3,541$3,078
12 years$5,067$4,483$3,958$3,488$3,069$2,627
13 years$4,629$4,051$3,536$3,079$2,676$2,256
14 years$4,255$3,682$3,177$2,733$2,346$1,947
15 years$3,930$3,364$2,868$2,438$2,066$1,687
16 years$3,646$3,086$2,601$2,183$1,826$1,467
17 years$3,396$2,842$2,367$1,961$1,619$1,280
18 years$3,174$2,626$2,160$1,767$1,439$1,119
19 years$2,976$2,434$1,978$1,597$1,283$980
20 years$2,797$2,262$1,815$1,446$1,146$861
21 years$2,636$2,107$1,669$1,313$1,025$757
22 years$2,490$1,967$1,539$1,194$919$666
23 years$2,356$1,839$1,421$1,087$825$588
24 years$2,234$1,723$1,314$991$742$519
25 years$2,122$1,617$1,217$905$667$458
26 years$2,018$1,520$1,129$828$601$405
27 years$1,923$1,431$1,048$758$542$358
28 years$1,834$1,348$974$694$489$317
29 years$1,752$1,272$907$637$442$281
30 years$1,675$1,201$845$584$399$249
31 years$1,604$1,135$787$537$361$221
32 years$1,537$1,074$735$493$326$196
33 years$1,474$1,017$686$454$295$174
34 years$1,415$964$641$417$267$154
35 years$1,359$915$599$384$242$137
36 years$1,307$868$560$354$219$122
37 years$1,258$824$525$326$199$108
38 years$1,211$783$491$300$180$96
39 years$1,167$745$460$277$163$85
40 years$1,125$709$431$256$148$76
41 years$1,085$675$405$236$135$67
42 years$1,048$643$379$218$122$60
43 years$1,012$612$356$201$111$53
44 years$978$584$334$185$101$47
45 years$945$557$314$171$91$42
46 years$914$531$295$158$83$37
47 years$885$507$277$146$75$33
48 years$856$484$260$135$68$30
49 years$829$462$245$125$62$26
50 years$804$441$230$115$56$23

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $823,000, adding $2,550 every year, while hoping to spend $34,253 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: 50/21/29 Blend
39$823,000$823,000$823,000$823,000
40$909,576$865,957$853,201$947,469
41$965,908$871,944$845,338$980,244
42$1,026,838$877,077$836,064$1,012,249
43$1,092,798$881,276$825,295$1,046,375
44$1,164,265$884,460$812,944$1,082,839
45$1,241,762$886,540$798,919$1,121,884
46$1,325,863$887,422$783,124$1,163,777
47$1,417,202$887,007$765,460$1,208,814
48$1,516,475$885,189$745,822$1,257,325
49$1,624,448$881,855$724,099$1,309,674
50$1,741,962$876,887$700,177$1,366,265
51$1,869,945$870,158$673,936$1,427,544
52$2,009,417$861,533$645,250$1,494,007
53$2,161,501$850,871$613,989$1,566,202
54$2,327,431$838,021$580,015$1,644,734
55$2,508,568$822,823$543,185$1,730,276
56$2,706,409$805,108$503,348$1,823,571
57$2,922,602$784,698$460,349$1,925,439
58$3,158,961$761,401$414,024$2,036,790
59$3,417,483$735,018$364,202$2,158,629
60$3,700,368$705,336$310,705$2,292,069
61$4,010,038$672,130$253,346$2,438,338
62$4,349,160$635,162$191,931$2,598,795
63$4,720,670$594,181$126,256$2,774,942
64$5,127,803$548,920$56,111$2,968,439
65$5,574,120$499,099$0$3,181,121
66$6,063,546$444,420$0$3,420,816
67$6,600,400$384,569$0$3,702,868
68$7,189,442$319,214$0$4,012,445
69$7,835,914$248,004$0$4,352,358
70$8,545,590$170,569$0$4,725,705
71$9,324,831$86,518$0$5,135,906
72$10,180,644$0$0$5,586,729
73$11,120,747$0$0$6,083,385
74$12,153,644$0$0$6,651,121
75$13,288,702$0$0$7,275,103
76$14,536,239$0$0$7,961,016
77$15,907,627$0$0$8,715,125
78$17,415,390$0$0$9,544,328
79$19,073,328$0$0$10,456,228
80$20,896,645$0$0$11,459,201
81$22,902,093$0$0$12,562,474
82$25,108,126$0$0$13,776,217
83$27,535,081$0$0$15,111,631
84$30,205,362$0$0$16,581,059
85$33,143,655$0$0$18,198,103
86$36,377,161$0$0$19,977,746
87$39,935,849$0$0$21,936,502
88$43,852,742$0$0$24,092,563
89$48,164,226$0$0$26,465,977
90$52,910,394$0$0$29,078,832
91$58,135,425$0$0$31,955,467
92$63,887,995$0$0$35,122,704
93$70,221,745$0$0$38,610,093
94$77,195,779$0$0$42,450,199
95$84,875,223$0$0$46,678,906
96$93,331,843$0$0$51,335,752
97$102,644,718$0$0$56,464,308
98$112,900,986$0$0$62,112,585
99$124,196,669$0$0$68,333,487
100$136,637,574$0$0$75,185,311