Can I retire at age 40 with 844,000?

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 $844,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.4%
1 years$69,697$69,076$68,470$67,879$67,302$66,627
2 years$34,503$33,861$33,238$32,634$32,048$31,368
3 years$22,774$22,128$21,507$20,909$20,333$19,669
4 years$16,910$16,267$15,652$15,064$14,502$13,859
5 years$13,393$12,753$12,146$11,570$11,024$10,405
6 years$11,049$10,414$9,816$9,253$8,723$8,128
7 years$9,375$8,746$8,157$7,607$7,094$6,523
8 years$8,120$7,497$6,918$6,382$5,885$5,338
9 years$7,145$6,527$5,958$5,436$4,956$4,433
10 years$6,365$5,753$5,195$4,686$4,223$3,724
11 years$5,728$5,122$4,573$4,078$3,632$3,156
12 years$5,197$4,597$4,059$3,577$3,147$2,694
13 years$4,748$4,154$3,626$3,158$2,744$2,314
14 years$4,363$3,776$3,258$2,803$2,406$1,997
15 years$4,030$3,450$2,942$2,500$2,118$1,730
16 years$3,739$3,165$2,667$2,238$1,872$1,505
17 years$3,483$2,915$2,427$2,011$1,660$1,312
18 years$3,255$2,693$2,215$1,813$1,476$1,148
19 years$3,051$2,496$2,028$1,638$1,316$1,006
20 years$2,868$2,320$1,861$1,483$1,175$883
21 years$2,703$2,161$1,712$1,346$1,052$776
22 years$2,553$2,017$1,578$1,224$943$683
23 years$2,416$1,886$1,457$1,115$846$603
24 years$2,291$1,767$1,347$1,017$760$532
25 years$2,176$1,659$1,248$929$684$470
26 years$2,070$1,559$1,157$849$616$415
27 years$1,972$1,467$1,075$777$556$368
28 years$1,881$1,382$999$712$501$325
29 years$1,797$1,304$930$653$453$288
30 years$1,718$1,232$866$599$409$255
31 years$1,645$1,164$807$550$370$226
32 years$1,576$1,102$753$506$335$201
33 years$1,511$1,043$703$465$303$178
34 years$1,451$989$657$428$274$158
35 years$1,394$938$614$394$248$140
36 years$1,340$890$575$363$225$125
37 years$1,290$845$538$334$204$111
38 years$1,242$803$504$308$185$98
39 years$1,197$764$472$284$168$87
40 years$1,154$727$442$262$152$78
41 years$1,113$692$415$242$138$69
42 years$1,075$659$389$223$125$61
43 years$1,038$628$365$206$114$55
44 years$1,003$599$343$190$103$49
45 years$969$571$322$176$94$43
46 years$938$544$302$162$85$38
47 years$907$520$284$150$77$34
48 years$878$496$267$138$70$30
49 years$851$474$251$128$64$27
50 years$824$452$236$118$58$24

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $844,000, adding $2,763 every year, while hoping to spend $55,670 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: 86/6/8 Blend
39$844,000$844,000$844,000$844,000
40$932,938$888,206$875,124$1,012,157
41$968,865$872,496$845,208$1,048,538
42$1,006,591$854,150$812,424$1,080,601
43$1,046,241$832,980$776,618$1,114,064
44$1,087,949$808,788$737,626$1,149,031
45$1,131,864$781,363$695,281$1,185,614
46$1,178,146$750,482$649,405$1,223,937
47$1,226,970$715,908$599,813$1,264,136
48$1,278,527$677,393$546,312$1,306,359
49$1,333,024$634,673$488,701$1,350,771
50$1,390,689$587,468$426,769$1,397,553
51$1,451,769$535,484$360,295$1,446,902
52$1,516,534$478,408$289,051$1,499,036
53$1,585,282$415,911$212,795$1,554,196
54$1,658,334$347,645$131,277$1,612,646
55$1,736,046$273,241$44,237$1,674,676
56$1,818,804$192,311$0$1,740,606
57$1,907,032$104,444$0$1,814,943
58$2,001,195$9,207$0$1,898,222
59$2,101,801$0$0$1,987,115
60$2,209,409$0$0$2,088,319
61$2,324,629$0$0$2,197,339
62$2,448,131$0$0$2,314,204
63$2,580,653$0$0$2,439,610
64$2,723,000$0$0$2,574,322
65$2,876,059$0$0$2,719,180
66$3,040,803$0$0$2,875,105
67$3,218,298$0$0$3,043,110
68$3,409,720$0$0$3,224,305
69$3,616,356$0$0$3,419,913
70$3,839,622$0$0$3,631,274
71$4,081,075$0$0$3,859,864
72$4,342,425$0$0$4,107,304
73$4,625,553$0$0$4,375,375
74$4,932,526$0$0$4,666,036
75$5,265,619$0$0$4,981,443
76$5,627,331$0$0$5,323,965
77$6,020,413$0$0$5,696,208
78$6,447,891$0$0$6,101,039
79$6,913,093$0$0$6,541,614
80$7,419,684$0$0$7,021,403
81$7,971,692$0$0$7,544,225
82$8,573,554$0$0$8,114,284
83$9,230,151$0$0$8,736,207
84$9,946,857$0$0$9,415,085
85$10,729,587$0$0$10,156,523
86$11,584,853$0$0$10,966,694
87$12,519,822$0$0$11,852,389
88$13,542,387$0$0$12,821,088
89$14,661,238$0$0$13,881,027
90$15,885,945$0$0$15,041,273
91$17,227,043$0$0$16,311,813
92$18,696,137$0$0$17,703,642
93$20,306,003$0$0$19,228,871
94$22,070,717$0$0$20,900,836
95$24,005,776$0$0$22,734,226
96$26,128,253$0$0$24,745,219
97$28,456,950$0$0$26,951,634
98$31,012,577$0$0$29,373,100
99$33,817,949$0$0$32,031,235
100$36,898,195$0$0$34,949,856