Can I retire at age 40 with 853,000?

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 $853,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.2%
1 years$70,440$69,813$69,200$68,603$68,019$67,393
2 years$34,871$34,222$33,592$32,982$32,390$31,759
3 years$23,017$22,364$21,737$21,132$20,550$19,934
4 years$17,090$16,440$15,819$15,224$14,656$14,060
5 years$13,536$12,889$12,276$11,694$11,141$10,566
6 years$11,167$10,525$9,921$9,352$8,816$8,263
7 years$9,475$8,839$8,244$7,688$7,170$6,639
8 years$8,207$7,577$6,992$6,450$5,948$5,439
9 years$7,221$6,597$6,022$5,494$5,009$4,523
10 years$6,433$5,815$5,250$4,736$4,268$3,803
11 years$5,789$5,177$4,622$4,121$3,671$3,227
12 years$5,252$4,646$4,102$3,615$3,181$2,759
13 years$4,798$4,199$3,665$3,192$2,774$2,372
14 years$4,410$3,817$3,293$2,833$2,431$2,050
15 years$4,073$3,487$2,973$2,527$2,141$1,779
16 years$3,779$3,199$2,696$2,262$1,892$1,549
17 years$3,520$2,946$2,453$2,033$1,678$1,353
18 years$3,290$2,722$2,239$1,832$1,492$1,185
19 years$3,084$2,523$2,050$1,655$1,330$1,039
20 years$2,899$2,344$1,881$1,499$1,188$914
21 years$2,732$2,184$1,730$1,361$1,063$805
22 years$2,580$2,038$1,595$1,237$953$710
23 years$2,442$1,907$1,472$1,127$855$627
24 years$2,315$1,786$1,362$1,028$769$554
25 years$2,199$1,676$1,261$938$692$490
26 years$2,092$1,575$1,170$858$623$434
27 years$1,993$1,483$1,086$785$562$385
28 years$1,901$1,397$1,010$720$507$341
29 years$1,816$1,318$940$660$458$303
30 years$1,736$1,245$875$606$414$269
31 years$1,662$1,177$816$556$374$239
32 years$1,593$1,113$761$511$338$212
33 years$1,528$1,054$711$470$306$188
34 years$1,466$999$664$432$277$167
35 years$1,409$948$621$398$251$149
36 years$1,355$900$581$367$227$132
37 years$1,304$854$544$338$206$118
38 years$1,255$812$509$311$187$105
39 years$1,210$772$477$287$169$93
40 years$1,166$735$447$265$154$83
41 years$1,125$699$419$244$139$74
42 years$1,086$666$393$225$127$66
43 years$1,049$635$369$208$115$59
44 years$1,013$605$346$192$104$52
45 years$980$577$325$177$95$47
46 years$948$550$306$164$86$41
47 years$917$525$287$151$78$37
48 years$888$501$270$140$71$33
49 years$860$479$254$129$64$29
50 years$833$457$238$120$58$26

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $853,000, adding $7,000 every year, while hoping to spend $25,725 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: 46/40/14 Blend
39$853,000$853,000$853,000$853,000
40$947,227$902,018$888,796$986,740
41$1,016,472$918,845$891,199$1,031,714
42$1,091,919$935,635$892,821$1,077,301
43$1,174,172$952,359$893,608$1,126,191
44$1,263,898$968,984$893,504$1,178,701
45$1,361,829$985,478$892,450$1,235,180
46$1,468,773$1,001,804$890,384$1,296,013
47$1,585,619$1,017,923$887,243$1,361,625
48$1,713,344$1,033,793$882,958$1,432,485
49$1,853,026$1,049,370$877,458$1,509,109
50$2,005,850$1,064,605$870,669$1,592,068
51$2,173,123$1,079,447$862,512$1,681,990
52$2,356,282$1,093,841$852,907$1,779,571
53$2,556,911$1,107,726$841,767$1,885,575
54$2,776,753$1,121,042$829,003$2,000,846
55$3,017,728$1,133,719$814,521$2,126,317
56$3,281,952$1,145,687$798,223$2,263,016
57$3,571,753$1,156,868$780,006$2,412,076
58$3,889,698$1,167,181$759,763$2,574,748
59$4,238,613$1,176,539$737,380$2,752,411
60$4,621,611$1,184,848$712,741$2,946,589
61$5,042,120$1,192,010$685,723$3,158,960
62$5,503,917$1,197,920$656,196$3,391,376
63$6,011,165$1,202,466$624,026$3,645,881
64$6,568,445$1,205,529$589,073$3,924,727
65$7,180,809$1,206,982$551,189$4,230,400
66$7,853,819$1,206,691$510,222$4,565,642
67$8,593,604$1,204,515$466,009$4,933,476
68$9,406,916$1,200,300$418,385$5,337,239
69$10,301,193$1,193,887$367,173$5,780,607
70$11,284,632$1,185,105$312,191$6,267,638
71$12,366,263$1,173,773$253,247$6,802,806
72$13,556,034$1,159,700$190,143$7,391,045
73$14,864,907$1,142,682$122,670$8,037,795
74$16,304,958$1,122,505$50,610$8,749,059
75$17,889,495$1,098,939$0$9,531,453
76$19,633,181$1,071,744$0$10,396,201
77$21,552,169$1,040,663$0$11,355,745
78$23,664,261$1,005,426$0$12,411,428
79$25,989,070$965,747$0$13,573,071
80$28,548,207$921,321$0$14,851,502
81$31,365,487$871,828$0$16,258,658
82$34,467,148$816,929$0$17,807,697
83$37,882,104$756,265$0$19,513,126
84$41,642,213$689,457$0$21,390,934
85$45,782,581$616,103$0$23,458,750
86$50,341,893$535,780$0$25,736,005
87$55,362,773$448,040$0$28,244,118
88$60,892,192$352,410$0$31,006,701
89$66,981,907$248,391$0$34,049,781
90$73,688,953$135,453$0$37,402,048
91$81,076,178$13,041$0$41,095,126
92$89,212,833$0$0$45,163,874
93$98,175,235$0$0$49,699,287
94$108,047,476$0$0$54,701,590
95$118,922,225$0$0$60,212,018
96$130,901,596$0$0$66,282,332
97$144,098,116$0$0$72,969,571
98$158,635,784$0$0$80,336,592
99$174,651,244$0$0$88,452,658
100$192,295,071$0$0$97,394,098