Can I retire at age 40 with 825,000?

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 $825,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.3%
1 years$68,128$67,521$66,929$66,351$65,787$63,834
2 years$33,727$33,098$32,490$31,899$31,327$29,376
3 years$22,261$21,630$21,023$20,438$19,875$17,987
4 years$16,529$15,900$15,299$14,725$14,175$12,364
5 years$13,091$12,466$11,873$11,310$10,776$9,047
6 years$10,800$10,180$9,595$9,045$8,526$6,881
7 years$9,164$8,549$7,974$7,436$6,934$5,373
8 years$7,938$7,328$6,762$6,238$5,753$4,274
9 years$6,984$6,380$5,824$5,313$4,845$3,447
10 years$6,222$5,624$5,078$4,580$4,128$2,809
11 years$5,599$5,007$4,470$3,986$3,550$2,308
12 years$5,080$4,494$3,967$3,496$3,076$1,909
13 years$4,641$4,061$3,545$3,087$2,683$1,587
14 years$4,265$3,691$3,185$2,740$2,352$1,325
15 years$3,940$3,372$2,875$2,444$2,071$1,110
16 years$3,655$3,094$2,607$2,188$1,830$932
17 years$3,404$2,849$2,372$1,966$1,623$785
18 years$3,182$2,633$2,166$1,772$1,443$662
19 years$2,983$2,440$1,982$1,601$1,286$560
20 years$2,804$2,267$1,819$1,450$1,149$474
21 years$2,642$2,112$1,674$1,316$1,028$401
22 years$2,496$1,972$1,542$1,196$921$340
23 years$2,362$1,844$1,424$1,090$827$289
24 years$2,239$1,728$1,317$994$743$245
25 years$2,127$1,621$1,220$908$669$208
26 years$2,023$1,524$1,131$830$603$177
27 years$1,928$1,434$1,051$760$543$151
28 years$1,839$1,351$977$696$490$128
29 years$1,756$1,275$909$638$443$109
30 years$1,679$1,204$847$586$400$93
31 years$1,608$1,138$789$538$362$79
32 years$1,540$1,077$736$494$327$67
33 years$1,477$1,020$688$455$296$57
34 years$1,418$967$642$418$268$49
35 years$1,363$917$601$385$243$42
36 years$1,310$870$562$355$220$35
37 years$1,261$826$526$327$199$30
38 years$1,214$785$492$301$181$26
39 years$1,170$747$461$278$164$22
40 years$1,128$711$432$256$149$19
41 years$1,088$676$406$236$135$16
42 years$1,050$644$380$218$122$14
43 years$1,014$614$357$201$111$12
44 years$980$585$335$186$101$10
45 years$948$558$315$172$92$8
46 years$917$532$295$159$83$7
47 years$887$508$278$147$75$6
48 years$859$485$261$135$69$5
49 years$831$463$245$125$62$4
50 years$805$442$231$116$57$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $825,000, adding $6,427 every year, while hoping to spend $21,152 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: 62/32/6 Blend
39$825,000$825,000$825,000$825,000
40$915,779$872,054$859,267$971,175
41$986,683$892,280$865,547$1,029,156
42$1,064,111$912,787$871,328$1,089,357
43$1,148,704$933,568$876,572$1,154,515
44$1,241,172$954,612$881,237$1,225,107
45$1,342,293$975,910$885,280$1,301,660
46$1,452,927$997,449$888,657$1,384,754
47$1,574,017$1,019,216$891,318$1,475,026
48$1,706,604$1,041,195$893,215$1,573,180
49$1,851,834$1,063,370$894,294$1,679,989
50$2,010,970$1,085,724$894,501$1,796,306
51$2,185,400$1,108,235$893,778$1,923,072
52$2,376,655$1,130,883$892,064$2,061,319
53$2,586,421$1,153,643$889,296$2,212,189
54$2,816,554$1,176,491$885,406$2,376,937
55$3,069,100$1,199,396$880,324$2,556,946
56$3,346,312$1,222,330$873,978$2,753,742
57$3,650,670$1,245,258$866,291$2,969,003
58$3,984,908$1,268,146$857,182$3,204,580
59$4,352,038$1,290,954$846,566$3,462,513
60$4,755,376$1,313,641$834,356$3,745,048
61$5,198,576$1,336,161$820,459$4,054,661
62$5,685,665$1,358,467$804,778$4,394,082
63$6,221,077$1,380,506$787,213$4,766,315
64$6,809,698$1,402,222$767,656$5,174,675
65$7,456,912$1,423,556$745,997$5,622,813
66$8,168,649$1,444,443$722,120$6,114,752
67$8,951,445$1,464,813$695,904$6,654,926
68$9,812,497$1,484,595$667,222$7,248,222
69$10,759,740$1,503,707$635,942$7,900,024
70$11,801,911$1,522,067$601,924$8,616,268
71$12,948,642$1,539,583$565,024$9,403,493
72$14,210,541$1,556,161$525,090$10,268,907
73$15,599,300$1,571,697$481,964$11,220,453
74$17,127,799$1,586,081$435,481$12,266,886
75$18,810,233$1,599,197$385,468$13,417,853
76$20,662,240$1,610,921$331,745$14,683,987
77$22,701,053$1,621,121$274,122$16,077,006
78$24,945,660$1,629,655$212,405$17,609,824
79$27,416,983$1,636,373$146,386$19,296,673
80$30,138,077$1,641,118$75,852$21,153,239
81$33,134,347$1,643,718$579$23,196,808
82$36,433,785$1,643,995$0$25,446,431
83$40,067,237$1,641,757$0$27,928,210
84$44,068,693$1,636,801$0$30,660,551
85$48,475,608$1,628,913$0$33,668,935
86$53,329,253$1,617,863$0$36,981,482
87$58,675,108$1,603,409$0$40,629,186
88$64,563,287$1,585,294$0$44,646,201
89$71,049,016$1,563,246$0$49,070,167
90$78,193,147$1,536,977$0$53,942,564
91$86,062,739$1,506,180$0$59,309,108
92$94,731,687$1,470,532$0$65,220,177
93$104,281,420$1,429,689$0$71,731,291
94$114,801,670$1,383,288$0$78,903,638
95$126,391,316$1,330,946$0$86,804,648
96$139,159,323$1,272,255$0$95,508,631
97$153,225,763$1,206,784$0$105,097,482
98$168,722,955$1,134,080$0$115,661,454
99$185,796,707$1,053,661$0$127,300,007
100$204,607,697$965,017$0$140,122,754