Can I retire at age 40 with 849,000?

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 $849,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.9%
1 years$70,110$69,485$68,876$68,281$67,700$65,272
2 years$34,708$34,061$33,435$32,827$32,238$29,818
3 years$22,909$22,259$21,635$21,033$20,453$18,118
4 years$17,010$16,363$15,744$15,153$14,587$12,354
5 years$13,472$12,829$12,218$11,639$11,089$8,963
6 years$11,114$10,476$9,874$9,308$8,774$6,758
7 years$9,431$8,797$8,206$7,652$7,136$5,228
8 years$8,168$7,541$6,959$6,419$5,920$4,120
9 years$7,187$6,566$5,994$5,468$4,985$3,290
10 years$6,403$5,787$5,225$4,713$4,248$2,655
11 years$5,761$5,152$4,600$4,102$3,653$2,159
12 years$5,227$4,624$4,083$3,598$3,166$1,767
13 years$4,776$4,179$3,648$3,177$2,761$1,453
14 years$4,389$3,799$3,277$2,820$2,420$1,199
15 years$4,054$3,470$2,959$2,515$2,131$993
16 years$3,761$3,184$2,683$2,252$1,883$825
17 years$3,503$2,932$2,441$2,023$1,670$686
18 years$3,274$2,709$2,229$1,823$1,485$572
19 years$3,070$2,511$2,040$1,647$1,323$478
20 years$2,885$2,333$1,872$1,492$1,182$399
21 years$2,719$2,174$1,722$1,354$1,058$334
22 years$2,568$2,029$1,587$1,231$948$280
23 years$2,431$1,898$1,466$1,121$851$235
24 years$2,305$1,778$1,355$1,023$765$197
25 years$2,189$1,668$1,255$934$688$165
26 years$2,082$1,568$1,164$854$620$138
27 years$1,984$1,476$1,081$782$559$116
28 years$1,892$1,391$1,005$716$504$98
29 years$1,807$1,312$935$657$455$82
30 years$1,728$1,239$871$603$412$69
31 years$1,654$1,171$812$554$372$58
32 years$1,585$1,108$758$509$337$49
33 years$1,520$1,049$708$468$305$41
34 years$1,460$995$661$430$276$34
35 years$1,402$943$618$396$250$29
36 years$1,348$895$578$365$226$24
37 years$1,298$850$541$336$205$20
38 years$1,249$808$507$310$186$17
39 years$1,204$769$475$286$169$14
40 years$1,161$731$445$264$153$12
41 years$1,120$696$417$243$139$10
42 years$1,081$663$391$224$126$9
43 years$1,044$632$367$207$114$7
44 years$1,009$602$345$191$104$6
45 years$975$574$324$177$94$5
46 years$943$548$304$163$86$4
47 years$913$523$286$151$78$4
48 years$884$499$268$139$71$3
49 years$856$476$252$129$64$3
50 years$829$455$237$119$58$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $849,000, adding $3,015 every year, while hoping to spend $50,556 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: 50/39/11 Blend
39$849,000$849,000$849,000$849,000
40$938,708$893,711$880,551$982,730
41$980,665$883,712$856,259$1,003,195
42$1,025,207$871,528$829,458$1,019,831
43$1,072,545$856,999$800,011$1,036,752
44$1,122,908$839,956$767,775$1,053,998
45$1,176,549$820,218$732,600$1,071,617
46$1,233,743$797,595$694,328$1,089,666
47$1,294,792$771,884$652,795$1,108,210
48$1,360,027$742,872$607,830$1,127,325
49$1,429,811$710,334$559,253$1,147,097
50$1,504,541$674,030$506,878$1,167,626
51$1,584,653$633,707$450,508$1,189,029
52$1,670,627$589,097$389,938$1,211,435
53$1,762,986$539,919$324,957$1,234,994
54$1,862,308$485,872$255,340$1,259,876
55$1,969,225$426,641$180,855$1,286,274
56$2,084,431$361,892$101,260$1,314,408
57$2,208,691$291,272$16,299$1,344,524
58$2,342,842$214,409$0$1,376,902
59$2,487,805$130,909$0$1,420,587
60$2,644,594$40,355$0$1,469,813
61$2,814,320$0$0$1,523,099
62$2,998,208$0$0$1,605,688
63$3,197,603$0$0$1,714,095
64$3,413,983$0$0$1,831,816
65$3,648,976$0$0$1,959,744
66$3,904,372$0$0$2,098,866
67$4,182,139$0$0$2,250,264
68$4,484,443$0$0$2,415,129
69$4,813,668$0$0$2,594,774
70$5,172,435$0$0$2,790,642
71$5,563,632$0$0$3,004,321
72$5,990,435$0$0$3,237,560
73$6,456,339$0$0$3,492,284
74$6,965,195$0$0$3,770,611
75$7,521,238$0$0$4,074,874
76$8,129,134$0$0$4,407,641
77$8,794,019$0$0$4,771,739
78$9,521,547$0$0$5,170,284
79$10,317,944$0$0$5,606,702
80$11,190,068$0$0$6,084,770
81$12,145,469$0$0$6,608,646
82$13,192,462$0$0$7,182,908
83$14,340,205$0$0$7,812,602
84$15,598,785$0$0$8,503,280
85$16,979,310$0$0$9,261,062
86$18,494,016$0$0$10,092,688
87$20,156,381$0$0$11,005,579
88$21,981,251$0$0$12,007,914
89$23,984,978$0$0$13,108,699
90$26,185,577$0$0$14,317,858
91$28,602,892$0$0$15,646,321
92$31,258,784$0$0$17,106,131
93$34,177,337$0$0$18,710,553
94$37,385,083$0$0$20,474,204
95$40,911,250$0$0$22,413,186
96$44,788,043$0$0$24,545,238
97$49,050,939$0$0$26,889,905
98$53,739,028$0$0$29,468,722
99$58,895,377$0$0$32,305,413
100$64,567,434$0$0$35,426,120