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%12.7%
1 years$68,045$67,439$66,848$66,271$65,707$64,967
2 years$33,686$33,058$32,450$31,861$31,289$30,544
3 years$22,234$21,604$20,998$20,414$19,851$19,124
4 years$16,509$15,881$15,281$14,707$14,158$13,455
5 years$13,075$12,451$11,859$11,296$10,763$10,085
6 years$10,787$10,167$9,583$9,034$8,516$7,865
7 years$9,153$8,538$7,964$7,427$6,926$6,302
8 years$7,928$7,319$6,754$6,230$5,746$5,149
9 years$6,976$6,373$5,817$5,307$4,839$4,268
10 years$6,214$5,617$5,072$4,575$4,123$3,579
11 years$5,592$5,001$4,465$3,981$3,546$3,027
12 years$5,073$4,488$3,963$3,492$3,073$2,580
13 years$4,635$4,056$3,540$3,083$2,679$2,211
14 years$4,260$3,687$3,181$2,737$2,349$1,904
15 years$3,935$3,368$2,872$2,441$2,068$1,647
16 years$3,651$3,090$2,604$2,185$1,828$1,429
17 years$3,400$2,846$2,369$1,964$1,621$1,244
18 years$3,178$2,630$2,163$1,770$1,441$1,085
19 years$2,979$2,437$1,980$1,599$1,284$949
20 years$2,801$2,265$1,817$1,448$1,147$831
21 years$2,639$2,110$1,671$1,314$1,027$729
22 years$2,493$1,969$1,541$1,195$920$641
23 years$2,359$1,842$1,422$1,088$826$564
24 years$2,237$1,726$1,315$993$742$496
25 years$2,124$1,619$1,218$906$668$437
26 years$2,021$1,522$1,130$829$602$386
27 years$1,925$1,432$1,049$759$543$340
28 years$1,837$1,350$975$695$490$301
29 years$1,754$1,273$908$637$442$266
30 years$1,677$1,202$846$585$399$235
31 years$1,606$1,137$788$537$361$208
32 years$1,539$1,076$735$494$327$184
33 years$1,476$1,019$687$454$296$163
34 years$1,417$965$642$418$268$144
35 years$1,361$916$600$385$242$128
36 years$1,309$869$561$354$220$113
37 years$1,259$825$525$326$199$100
38 years$1,213$784$492$301$180$89
39 years$1,168$746$461$277$164$79
40 years$1,127$710$432$256$148$70
41 years$1,087$676$405$236$135$62
42 years$1,049$643$380$218$122$55
43 years$1,013$613$357$201$111$49
44 years$979$584$335$186$101$43
45 years$946$557$314$171$91$38
46 years$915$532$295$158$83$34
47 years$886$507$277$146$75$30
48 years$857$484$261$135$68$27
49 years$830$462$245$125$62$24
50 years$805$442$230$116$56$21

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $824,000, adding $4,640 every year, while hoping to spend $36,705 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: 63/10/27 Blend
39$824,000$824,000$824,000$824,000
40$912,834$869,162$856,390$963,516
41$966,889$872,697$846,025$1,001,952
42$1,025,228$875,175$834,083$1,039,478
43$1,088,248$876,506$820,472$1,079,671
44$1,156,388$876,593$805,096$1,122,798
45$1,230,127$875,334$787,855$1,169,155
46$1,309,996$872,621$768,643$1,219,068
47$1,396,574$868,338$747,351$1,272,897
48$1,490,501$862,363$723,864$1,331,043
49$1,592,481$854,567$698,062$1,393,945
50$1,703,286$844,813$669,819$1,462,091
51$1,823,766$832,954$639,004$1,536,021
52$1,954,859$818,837$605,478$1,616,328
53$2,097,592$802,298$569,100$1,703,671
54$2,253,099$783,163$529,717$1,798,776
55$2,422,627$761,250$487,174$1,902,447
56$2,607,548$736,364$441,307$2,015,569
57$2,809,371$708,299$391,945$2,139,121
58$3,029,760$676,839$338,908$2,274,187
59$3,270,544$641,753$282,011$2,421,959
60$3,533,739$602,798$221,057$2,583,758
61$3,821,562$559,717$155,844$2,761,038
62$4,136,455$512,236$86,158$2,955,409
63$4,481,107$460,070$11,779$3,168,644
64$4,858,481$402,914$0$3,402,705
65$5,271,836$340,447$0$3,679,226
66$5,724,763$272,329$0$3,986,010
67$6,221,218$198,202$0$4,322,367
68$6,765,556$117,688$0$4,691,279
69$7,362,574$30,386$0$5,096,037
70$8,017,557$0$0$5,540,262
71$8,736,324$0$0$6,035,005
72$9,525,286$0$0$6,581,795
73$10,391,504$0$0$7,182,192
74$11,342,758$0$0$7,841,595
75$12,387,616$0$0$8,565,952
76$13,535,518$0$0$9,361,815
77$14,796,864$0$0$10,236,403
78$16,183,110$0$0$11,197,670
79$17,706,878$0$0$12,254,376
80$19,382,072$0$0$13,416,174
81$21,224,013$0$0$14,693,699
82$23,249,578$0$0$16,098,667
83$25,477,363$0$0$17,643,988
84$27,927,856$0$0$19,343,884
85$30,623,632$0$0$21,214,026
86$33,589,562$0$0$23,271,680
87$36,853,049$0$0$25,535,870
88$40,444,289$0$0$28,027,558
89$44,396,550$0$0$30,769,839
90$48,746,491$0$0$33,788,162
91$53,534,503$0$0$37,110,568
92$58,805,092$0$0$40,767,954
93$64,607,298$0$0$44,794,364
94$70,995,158$0$0$49,227,313
95$78,028,214$0$0$54,108,136
96$85,772,075$0$0$59,482,382
97$94,299,037$0$0$65,400,240
98$103,688,763$0$0$71,917,015
99$114,029,035$0$0$79,093,649
100$125,416,581$0$0$86,997,294