Can I retire at age 40 with 834,000?

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 $834,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.9%
1 years$68,871$68,257$67,659$67,075$66,504$64,375
2 years$34,095$33,460$32,844$32,247$31,669$29,544
3 years$22,504$21,866$21,252$20,661$20,092$18,037
4 years$16,710$16,074$15,466$14,885$14,330$12,361
5 years$13,234$12,602$12,002$11,433$10,893$9,016
6 years$10,918$10,291$9,700$9,143$8,619$6,835
7 years$9,264$8,642$8,061$7,517$7,010$5,319
8 years$8,024$7,408$6,836$6,306$5,815$4,216
9 years$7,060$6,450$5,888$5,371$4,897$3,387
10 years$6,290$5,685$5,133$4,630$4,173$2,750
11 years$5,660$5,061$4,519$4,030$3,589$2,251
12 years$5,135$4,543$4,011$3,535$3,110$1,854
13 years$4,691$4,105$3,583$3,120$2,712$1,535
14 years$4,311$3,732$3,220$2,770$2,377$1,276
15 years$3,982$3,409$2,907$2,470$2,093$1,065
16 years$3,695$3,128$2,635$2,212$1,850$891
17 years$3,441$2,880$2,398$1,987$1,640$747
18 years$3,216$2,662$2,189$1,791$1,458$627
19 years$3,015$2,467$2,004$1,618$1,300$528
20 years$2,835$2,292$1,839$1,466$1,161$444
21 years$2,671$2,135$1,692$1,330$1,039$375
22 years$2,523$1,993$1,559$1,209$931$316
23 years$2,388$1,864$1,440$1,102$836$267
24 years$2,264$1,746$1,331$1,005$751$226
25 years$2,150$1,639$1,233$918$676$191
26 years$2,045$1,540$1,144$839$609$162
27 years$1,949$1,450$1,062$768$549$137
28 years$1,859$1,366$987$704$496$116
29 years$1,775$1,289$919$645$447$98
30 years$1,698$1,217$856$592$404$83
31 years$1,625$1,151$798$544$366$70
32 years$1,557$1,089$744$500$331$60
33 years$1,494$1,031$695$460$299$51
34 years$1,434$977$649$423$271$43
35 years$1,378$927$607$389$245$36
36 years$1,325$880$568$358$222$31
37 years$1,275$835$532$330$202$26
38 years$1,227$794$498$304$183$22
39 years$1,183$755$466$281$166$19
40 years$1,140$718$437$259$150$16
41 years$1,100$684$410$239$136$13
42 years$1,062$651$385$220$124$11
43 years$1,025$620$361$204$112$10
44 years$991$591$339$188$102$8
45 years$958$564$318$174$93$7
46 years$927$538$299$160$84$6
47 years$897$513$281$148$76$5
48 years$868$490$264$137$69$4
49 years$840$468$248$126$63$4
50 years$814$447$233$117$57$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $834,000, adding $5,944 every year, while hoping to spend $51,286 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: 73/14/13 Blend
39$834,000$834,000$834,000$834,000
40$925,199$880,997$868,070$989,773
41$965,002$869,598$842,583$1,021,895
42$1,007,145$855,922$814,522$1,050,166
43$1,051,814$839,802$783,749$1,079,750
44$1,099,210$821,064$750,116$1,110,765
45$1,149,555$799,521$713,470$1,143,339
46$1,203,088$774,976$673,650$1,177,617
47$1,260,075$747,221$630,489$1,213,757
48$1,320,803$716,036$583,811$1,251,937
49$1,385,591$681,188$533,434$1,292,353
50$1,454,784$642,429$479,167$1,335,221
51$1,528,762$599,498$420,810$1,380,783
52$1,607,942$552,120$358,153$1,429,305
53$1,692,781$500,002$290,980$1,481,082
54$1,783,779$442,837$219,062$1,536,443
55$1,881,487$380,298$142,163$1,595,749
56$1,986,508$312,042$60,035$1,659,403
57$2,099,503$237,704$0$1,727,848
58$2,221,201$156,899$0$1,805,409
59$2,352,400$69,224$0$1,897,935
60$2,493,977$0$0$1,997,734
61$2,646,896$0$0$2,109,481
62$2,812,217$0$0$2,241,850
63$2,991,103$0$0$2,385,113
64$3,184,836$0$0$2,540,298
65$3,394,821$0$0$2,708,537
66$3,622,607$0$0$2,891,073
67$3,869,894$0$0$3,089,276
68$4,138,555$0$0$3,304,650
69$4,430,648$0$0$3,538,851
70$4,748,438$0$0$3,793,699
71$5,094,417$0$0$4,071,200
72$5,471,328$0$0$4,373,557
73$5,882,188$0$0$4,703,199
74$6,330,319$0$0$5,062,795
75$6,819,376$0$0$5,455,286
76$7,353,382$0$0$5,883,909
77$7,936,768$0$0$6,352,224
78$8,574,409$0$0$6,864,154
79$9,271,675$0$0$7,424,017
80$10,034,475$0$0$8,036,568
81$10,869,320$0$0$8,707,041
82$11,783,376$0$0$9,441,200
83$12,784,535$0$0$10,245,394
84$13,881,489$0$0$11,126,613
85$15,083,810$0$0$12,092,556
86$16,402,039$0$0$13,151,703
87$17,847,788$0$0$14,313,393
88$19,433,844$0$0$15,587,912
89$21,174,294$0$0$16,986,590
90$23,084,653$0$0$18,521,908
91$25,182,012$0$0$20,207,613
92$27,485,197$0$0$22,058,849
93$30,014,947$0$0$24,092,298
94$32,794,110$0$0$26,326,337
95$35,847,852$0$0$28,781,211
96$39,203,902$0$0$31,479,225
97$42,892,805$0$0$34,444,949
98$46,948,215$0$0$37,705,455
99$51,407,207$0$0$41,290,567
100$56,310,630$0$0$45,233,144