Can I retire at age 40 with 837,000?

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 $837,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.5%
1 years$69,119$68,503$67,902$67,316$66,744$66,047
2 years$34,217$33,580$32,962$32,363$31,783$31,081
3 years$22,585$21,945$21,329$20,736$20,164$19,479
4 years$16,770$16,132$15,522$14,939$14,381$13,718
5 years$13,282$12,648$12,046$11,474$10,932$10,294
6 years$10,957$10,328$9,735$9,176$8,650$8,037
7 years$9,297$8,673$8,090$7,544$7,035$6,446
8 years$8,053$7,434$6,861$6,329$5,836$5,273
9 years$7,086$6,473$5,909$5,391$4,915$4,376
10 years$6,312$5,706$5,152$4,647$4,188$3,674
11 years$5,680$5,079$4,535$4,044$3,602$3,112
12 years$5,153$4,559$4,025$3,547$3,121$2,655
13 years$4,708$4,120$3,596$3,132$2,722$2,278
14 years$4,327$3,745$3,231$2,780$2,386$1,965
15 years$3,997$3,421$2,917$2,479$2,101$1,702
16 years$3,708$3,139$2,645$2,220$1,857$1,479
17 years$3,454$2,891$2,407$1,995$1,646$1,289
18 years$3,228$2,671$2,197$1,797$1,464$1,126
19 years$3,026$2,476$2,011$1,624$1,305$986
20 years$2,845$2,300$1,846$1,471$1,165$865
21 years$2,681$2,143$1,698$1,335$1,043$760
22 years$2,532$2,000$1,565$1,214$935$669
23 years$2,396$1,871$1,445$1,105$839$589
24 years$2,272$1,753$1,336$1,008$754$520
25 years$2,158$1,645$1,238$921$679$459
26 years$2,053$1,546$1,148$842$611$405
27 years$1,956$1,455$1,066$771$551$358
28 years$1,865$1,371$991$706$497$317
29 years$1,782$1,293$922$647$449$280
30 years$1,704$1,221$859$594$406$248
31 years$1,631$1,155$801$546$367$220
32 years$1,563$1,093$747$502$332$195
33 years$1,499$1,035$698$461$300$173
34 years$1,439$981$652$424$272$153
35 years$1,383$930$609$391$246$136
36 years$1,329$883$570$360$223$121
37 years$1,279$838$534$331$202$107
38 years$1,232$797$500$306$183$95
39 years$1,187$758$468$282$166$84
40 years$1,144$721$439$260$151$75
41 years$1,104$686$411$240$137$67
42 years$1,066$654$386$221$124$59
43 years$1,029$623$362$204$113$52
44 years$994$594$340$189$102$47
45 years$961$566$319$174$93$41
46 years$930$540$300$161$84$37
47 years$900$515$282$149$77$33
48 years$871$492$265$137$70$29
49 years$844$470$249$127$63$26
50 years$817$449$234$117$57$23

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $837,000, adding $6,137 every year, while hoping to spend $58,049 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: 56/31/13 Blend
39$837,000$837,000$837,000$837,000
40$928,704$884,343$871,370$977,289
41$961,668$865,912$838,797$992,483
42$996,049$844,633$803,187$1,002,145
43$1,031,930$820,304$764,378$1,011,316
44$1,069,401$792,713$722,199$1,019,959
45$1,108,559$761,634$676,471$1,028,037
46$1,149,508$726,830$627,009$1,035,513
47$1,192,362$688,049$573,618$1,042,349
48$1,237,243$645,024$516,095$1,048,506
49$1,284,285$597,474$454,227$1,053,947
50$1,333,633$545,100$387,794$1,058,634
51$1,385,441$487,588$316,563$1,062,531
52$1,439,881$424,605$240,293$1,065,601
53$1,497,137$355,799$158,731$1,067,812
54$1,557,411$280,799$71,614$1,069,131
55$1,620,921$199,212$0$1,069,528
56$1,687,906$110,624$0$1,071,940
57$1,758,625$14,597$0$1,084,177
58$1,833,361$0$0$1,096,318
59$1,912,425$0$0$1,138,868
60$1,996,153$0$0$1,189,236
61$2,084,914$0$0$1,242,670
62$2,179,111$0$0$1,299,415
63$2,279,184$0$0$1,359,744
64$2,385,616$0$0$1,423,951
65$2,498,934$0$0$1,492,362
66$2,619,714$0$0$1,565,330
67$2,748,590$0$0$1,643,244
68$2,886,253$0$0$1,726,530
69$3,033,463$0$0$1,815,655
70$3,191,052$0$0$1,911,131
71$3,359,932$0$0$2,013,520
72$3,541,106$0$0$2,123,437
73$3,735,670$0$0$2,241,558
74$3,944,832$0$0$2,368,626
75$4,169,913$0$0$2,505,456
76$4,412,369$0$0$2,652,941
77$4,673,794$0$0$2,812,067
78$4,955,942$0$0$2,983,911
79$5,260,741$0$0$3,169,661
80$5,590,306$0$0$3,370,622
81$5,946,966$0$0$3,588,227
82$6,333,278$0$0$3,824,053
83$6,752,056$0$0$4,079,832
84$7,206,391$0$0$4,357,471
85$7,699,686$0$0$4,659,066
86$8,235,681$0$0$4,986,924
87$8,818,493$0$0$5,343,581
88$9,452,649$0$0$5,731,829
89$10,143,130$0$0$6,154,739
90$10,895,420$0$0$6,615,691
91$11,715,551$0$0$7,118,405
92$12,610,162$0$0$7,666,975
93$13,586,561$0$0$8,265,908
94$14,652,793$0$0$8,920,165
95$15,817,714$0$0$9,635,206
96$17,091,072$0$0$10,417,045
97$18,483,602$0$0$11,272,301
98$20,007,120$0$0$12,208,264
99$21,674,640$0$0$13,232,961
100$23,500,491$0$0$14,355,229