Can I retire at age 40 with 840,000?

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 $840,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.8%
1 years$69,366$68,749$68,146$67,557$66,983$66,477
2 years$34,340$33,700$33,080$32,479$31,897$31,387
3 years$22,666$22,023$21,405$20,810$20,236$19,738
4 years$16,830$16,190$15,578$14,992$14,433$13,950
5 years$13,329$12,693$12,089$11,516$10,972$10,506
6 years$10,996$10,365$9,770$9,209$8,681$8,233
7 years$9,331$8,704$8,119$7,571$7,060$6,630
8 years$8,082$7,461$6,885$6,351$5,857$5,444
9 years$7,111$6,496$5,930$5,410$4,933$4,537
10 years$6,335$5,726$5,170$4,663$4,203$3,825
11 years$5,700$5,098$4,552$4,059$3,615$3,254
12 years$5,172$4,575$4,039$3,560$3,132$2,788
13 years$4,725$4,135$3,609$3,143$2,731$2,404
14 years$4,342$3,758$3,243$2,790$2,394$2,083
15 years$4,011$3,433$2,928$2,488$2,108$1,812
16 years$3,722$3,150$2,654$2,228$1,863$1,582
17 years$3,466$2,901$2,415$2,002$1,652$1,386
18 years$3,240$2,681$2,205$1,804$1,469$1,217
19 years$3,037$2,484$2,019$1,630$1,309$1,071
20 years$2,855$2,309$1,853$1,476$1,169$944
21 years$2,690$2,150$1,704$1,340$1,047$834
22 years$2,541$2,007$1,570$1,218$938$738
23 years$2,405$1,877$1,450$1,109$842$653
24 years$2,280$1,759$1,341$1,012$757$579
25 years$2,166$1,651$1,242$924$681$514
26 years$2,060$1,551$1,152$845$613$457
27 years$1,963$1,460$1,070$773$553$406
28 years$1,872$1,376$994$709$499$361
29 years$1,788$1,298$925$650$451$322
30 years$1,710$1,226$862$596$407$286
31 years$1,637$1,159$804$548$368$255
32 years$1,568$1,096$750$503$333$227
33 years$1,504$1,038$700$463$301$203
34 years$1,444$984$654$426$273$181
35 years$1,387$933$612$392$247$161
36 years$1,334$886$572$361$224$144
37 years$1,284$841$535$333$203$129
38 years$1,236$800$501$307$184$115
39 years$1,191$760$470$283$167$103
40 years$1,148$723$440$261$151$92
41 years$1,108$689$413$241$137$82
42 years$1,069$656$387$222$125$73
43 years$1,033$625$363$205$113$65
44 years$998$596$341$189$103$58
45 years$965$568$320$175$93$52
46 years$933$542$301$161$85$47
47 years$903$517$283$149$77$42
48 years$874$494$266$138$70$37
49 years$847$471$250$127$63$33
50 years$820$450$235$118$58$30

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $840,000, adding $4,981 every year, while hoping to spend $41,991 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: 60/18/22 Blend
39$840,000$840,000$840,000$840,000
40$930,818$886,298$873,278$980,967
41$981,083$885,048$857,855$1,014,315
42$1,035,068$882,330$840,507$1,045,661
43$1,093,108$878,027$821,127$1,078,931
44$1,155,571$872,016$799,600$1,114,317
45$1,222,860$864,166$775,808$1,152,036
46$1,295,419$854,337$749,625$1,192,327
47$1,373,736$842,384$720,922$1,235,454
48$1,458,346$828,150$689,561$1,281,711
49$1,549,837$811,470$655,402$1,331,424
50$1,648,857$792,168$618,295$1,384,954
51$1,756,117$770,061$578,084$1,442,701
52$1,872,398$744,951$534,607$1,505,108
53$1,998,560$716,631$487,694$1,572,666
54$2,135,549$684,882$437,167$1,645,918
55$2,284,405$649,470$382,841$1,725,466
56$2,446,271$610,151$324,523$1,811,976
57$2,622,406$566,664$262,011$1,906,185
58$2,814,196$518,735$195,092$2,008,910
59$3,023,163$466,073$123,548$2,121,053
60$3,250,986$408,371$47,147$2,243,614
61$3,499,510$345,304$0$2,377,696
62$3,770,767$276,531$0$2,532,593
63$4,066,992$201,688$0$2,713,921
64$4,390,648$120,393$0$2,912,154
65$4,744,444$32,243$0$3,129,009
66$5,131,366$0$0$3,366,378
67$5,554,697$0$0$3,638,863
68$6,018,056$0$0$3,944,168
69$6,525,427$0$0$4,278,540
70$7,081,195$0$0$4,644,877
71$7,690,192$0$0$5,046,374
72$8,357,738$0$0$5,486,547
73$9,089,693$0$0$5,969,268
74$9,892,511$0$0$6,498,805
75$10,773,300$0$0$7,079,856
76$11,739,889$0$0$7,717,596
77$12,800,904$0$0$8,417,727
78$13,965,843$0$0$9,186,529
79$15,245,173$0$0$10,030,919
80$16,650,421$0$0$10,958,520
81$18,194,287$0$0$11,977,726
82$19,890,761$0$0$13,097,786
83$21,755,256$0$0$14,328,889
84$23,804,752$0$0$15,682,262
85$26,057,957$0$0$17,170,272
86$28,535,479$0$0$18,806,543
87$31,260,027$0$0$20,606,089
88$34,256,617$0$0$22,585,449
89$37,552,814$0$0$24,762,845
90$41,178,986$0$0$27,158,358
91$45,168,595$0$0$29,794,108
92$49,558,509$0$0$32,694,471
93$54,389,350$0$0$35,886,304
94$59,705,876$0$0$39,399,199
95$65,557,406$0$0$43,265,763
96$71,998,280$0$0$47,521,924
97$79,088,374$0$0$52,207,269
98$86,893,666$0$0$57,365,420
99$95,486,853$0$0$63,044,443
100$104,948,042$0$0$69,297,299