Can I retire at age 40 with 824,000?

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 $824,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.1%
1 years$68,045$67,439$66,848$66,271$65,707$64,066
2 years$33,686$33,058$32,450$31,861$31,289$29,647
3 years$22,234$21,604$20,998$20,414$19,851$18,258
4 years$16,509$15,881$15,281$14,707$14,158$12,627
5 years$13,075$12,451$11,859$11,296$10,763$9,297
6 years$10,787$10,167$9,583$9,034$8,516$7,118
7 years$9,153$8,538$7,964$7,427$6,926$5,596
8 years$7,928$7,319$6,754$6,230$5,746$4,483
9 years$6,976$6,373$5,817$5,307$4,839$3,641
10 years$6,214$5,617$5,072$4,575$4,123$2,990
11 years$5,592$5,001$4,465$3,981$3,546$2,476
12 years$5,073$4,488$3,963$3,492$3,073$2,064
13 years$4,635$4,056$3,540$3,083$2,679$1,730
14 years$4,260$3,687$3,181$2,737$2,349$1,456
15 years$3,935$3,368$2,872$2,441$2,068$1,230
16 years$3,651$3,090$2,604$2,185$1,828$1,042
17 years$3,400$2,846$2,369$1,964$1,621$885
18 years$3,178$2,630$2,163$1,770$1,441$754
19 years$2,979$2,437$1,980$1,599$1,284$643
20 years$2,801$2,265$1,817$1,448$1,147$549
21 years$2,639$2,110$1,671$1,314$1,027$469
22 years$2,493$1,969$1,541$1,195$920$402
23 years$2,359$1,842$1,422$1,088$826$344
24 years$2,237$1,726$1,315$993$742$295
25 years$2,124$1,619$1,218$906$668$253
26 years$2,021$1,522$1,130$829$602$217
27 years$1,925$1,432$1,049$759$543$187
28 years$1,837$1,350$975$695$490$160
29 years$1,754$1,273$908$637$442$138
30 years$1,677$1,202$846$585$399$118
31 years$1,606$1,137$788$537$361$102
32 years$1,539$1,076$735$494$327$88
33 years$1,476$1,019$687$454$296$75
34 years$1,417$965$642$418$268$65
35 years$1,361$916$600$385$242$56
36 years$1,309$869$561$354$220$48
37 years$1,259$825$525$326$199$41
38 years$1,213$784$492$301$180$36
39 years$1,168$746$461$277$164$31
40 years$1,127$710$432$256$148$26
41 years$1,087$676$405$236$135$23
42 years$1,049$643$380$218$122$20
43 years$1,013$613$357$201$111$17
44 years$979$584$335$186$101$15
45 years$946$557$314$171$91$12
46 years$915$532$295$158$83$11
47 years$886$507$277$146$75$9
48 years$857$484$261$135$68$8
49 years$830$462$245$125$62$7
50 years$805$442$230$116$56$6

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $824,000, adding $2,496 every year, while hoping to spend $31,476 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: 60/28/12 Blend
39$824,000$824,000$824,000$824,000
40$910,623$866,951$854,179$962,476
41$970,016$875,941$849,303$1,006,630
42$1,034,412$884,317$843,210$1,050,997
43$1,104,289$892,015$835,824$1,098,630
44$1,180,171$898,968$827,068$1,149,848
45$1,262,635$905,104$816,862$1,205,001
46$1,352,315$910,346$805,119$1,264,476
47$1,449,912$914,613$791,750$1,328,699
48$1,556,192$917,819$776,663$1,398,143
49$1,672,003$919,871$759,760$1,473,326
50$1,798,274$920,671$740,939$1,554,825
51$1,936,030$920,116$720,093$1,643,271
52$2,086,399$918,096$697,110$1,739,364
53$2,250,621$914,492$671,873$1,843,877
54$2,430,064$909,182$644,260$1,957,661
55$2,626,231$902,032$614,143$2,081,656
56$2,840,778$892,903$581,388$2,216,900
57$3,075,529$881,647$545,857$2,364,537
58$3,332,493$868,107$507,402$2,525,832
59$3,613,879$852,117$465,872$2,702,178
60$3,922,123$833,499$421,107$2,895,114
61$4,259,906$812,067$372,941$3,106,338
62$4,630,181$787,623$321,199$3,337,722
63$5,036,202$759,958$265,701$3,591,334
64$5,481,548$728,850$206,257$3,869,453
65$5,970,168$694,066$142,668$4,174,595
66$6,506,406$655,356$74,728$4,509,535
67$7,095,050$612,458$2,221$4,877,335
68$7,741,372$565,096$0$5,281,372
69$8,451,182$512,976$0$5,734,995
70$9,230,879$455,788$0$6,233,620
71$10,087,511$393,205$0$6,781,527
72$11,028,846$324,880$0$7,383,748
73$12,063,437$250,448$0$8,045,833
74$13,200,710$169,522$0$8,773,900
75$14,451,050$81,696$0$9,574,696
76$15,825,896$0$0$10,455,658
77$17,337,852$0$0$11,429,134
78$19,000,807$0$0$12,527,588
79$20,830,059$0$0$13,735,963
80$22,842,467$0$0$15,065,406
81$25,056,604$0$0$16,528,196
82$27,492,936$0$0$18,137,862
83$30,174,011$0$0$19,909,315
84$33,124,675$0$0$21,858,979
85$36,372,304$0$0$24,004,954
86$39,947,061$0$0$26,367,185
87$43,882,184$0$0$28,967,645
88$48,214,296$0$0$31,830,549
89$52,983,752$0$0$34,982,578
90$58,235,018$0$0$38,453,131
91$64,017,090$0$0$42,274,604
92$70,383,961$0$0$46,482,693
93$77,395,121$0$0$51,116,735
94$85,116,128$0$0$56,220,071
95$93,619,219$0$0$61,840,465
96$102,983,994$0$0$68,030,547
97$113,298,168$0$0$74,848,311
98$124,658,397$0$0$82,357,665
99$137,171,189$0$0$90,629,029
100$150,953,912$0$0$99,740,006