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%16.3%
1 years$70,440$69,813$69,200$68,603$68,019$66,268
2 years$34,871$34,222$33,592$32,982$32,390$30,637
3 years$23,017$22,364$21,737$21,132$20,550$18,850
4 years$17,090$16,440$15,819$15,224$14,656$13,023
5 years$13,536$12,889$12,276$11,694$11,141$9,579
6 years$11,167$10,525$9,921$9,352$8,816$7,326
7 years$9,475$8,839$8,244$7,688$7,170$5,752
8 years$8,207$7,577$6,992$6,450$5,948$4,603
9 years$7,221$6,597$6,022$5,494$5,009$3,734
10 years$6,433$5,815$5,250$4,736$4,268$3,063
11 years$5,789$5,177$4,622$4,121$3,671$2,533
12 years$5,252$4,646$4,102$3,615$3,181$2,108
13 years$4,798$4,199$3,665$3,192$2,774$1,765
14 years$4,410$3,817$3,293$2,833$2,431$1,483
15 years$4,073$3,487$2,973$2,527$2,141$1,251
16 years$3,779$3,199$2,696$2,262$1,892$1,059
17 years$3,520$2,946$2,453$2,033$1,678$898
18 years$3,290$2,722$2,239$1,832$1,492$763
19 years$3,084$2,523$2,050$1,655$1,330$650
20 years$2,899$2,344$1,881$1,499$1,188$554
21 years$2,732$2,184$1,730$1,361$1,063$473
22 years$2,580$2,038$1,595$1,237$953$404
23 years$2,442$1,907$1,472$1,127$855$346
24 years$2,315$1,786$1,362$1,028$769$296
25 years$2,199$1,676$1,261$938$692$254
26 years$2,092$1,575$1,170$858$623$217
27 years$1,993$1,483$1,086$785$562$186
28 years$1,901$1,397$1,010$720$507$160
29 years$1,816$1,318$940$660$458$137
30 years$1,736$1,245$875$606$414$118
31 years$1,662$1,177$816$556$374$101
32 years$1,593$1,113$761$511$338$87
33 years$1,528$1,054$711$470$306$75
34 years$1,466$999$664$432$277$64
35 years$1,409$948$621$398$251$55
36 years$1,355$900$581$367$227$47
37 years$1,304$854$544$338$206$41
38 years$1,255$812$509$311$187$35
39 years$1,210$772$477$287$169$30
40 years$1,166$735$447$265$154$26
41 years$1,125$699$419$244$139$22
42 years$1,086$666$393$225$127$19
43 years$1,049$635$369$208$115$16
44 years$1,013$605$346$192$104$14
45 years$980$577$325$177$95$12
46 years$948$550$306$164$86$10
47 years$917$525$287$151$78$9
48 years$888$501$270$140$71$8
49 years$860$479$254$129$64$7
50 years$833$457$238$120$58$6

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $853,000, adding $6,518 every year, while hoping to spend $34,467 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: 24/46/30 Blend
39$853,000$853,000$853,000$853,000
40$946,729$901,520$888,299$960,444
41$1,006,623$909,022$881,384$980,237
42$1,071,471$915,736$873,083$998,120
43$1,141,741$921,588$863,312$1,016,568
44$1,217,951$926,497$851,984$1,035,650
45$1,300,665$930,380$839,009$1,055,449
46$1,390,509$933,144$824,292$1,076,057
47$1,488,168$934,695$807,733$1,097,577
48$1,594,397$934,931$789,227$1,120,128
49$1,710,025$933,742$768,667$1,143,843
50$1,835,967$931,016$745,937$1,168,873
51$1,973,229$926,628$720,918$1,195,389
52$2,122,915$920,450$693,486$1,223,582
53$2,286,245$912,345$663,511$1,253,667
54$2,464,559$902,166$630,855$1,285,886
55$2,659,332$889,760$595,376$1,320,512
56$2,872,188$874,962$556,925$1,357,848
57$3,104,916$857,600$515,347$1,398,236
58$3,359,485$837,490$470,479$1,442,057
59$3,638,062$814,438$422,150$1,489,739
60$3,943,036$788,237$370,184$1,541,758
61$4,277,035$758,669$314,394$1,598,648
62$4,642,954$725,505$254,587$1,661,003
63$5,043,980$688,500$190,561$1,729,485
64$5,483,626$647,397$122,105$1,804,834
65$5,965,758$601,922$48,998$1,887,873
66$6,494,637$551,786$0$1,979,517
67$7,074,952$496,686$0$2,090,075
68$7,711,872$436,299$0$2,228,734
69$8,411,089$370,284$0$2,381,133
70$9,178,874$298,281$0$2,548,756
71$10,022,133$219,911$0$2,733,246
72$10,948,475$134,771$0$2,936,420
73$11,966,282$42,438$0$3,160,291
74$13,084,790$0$0$3,407,085
75$14,314,171$0$0$3,708,385
76$15,665,632$0$0$4,063,381
77$17,151,523$0$0$4,453,853
78$18,785,446$0$0$4,883,398
79$20,582,390$0$0$5,355,977
80$22,558,868$0$0$5,875,955
81$24,733,075$0$0$6,448,141
82$27,125,056$0$0$7,077,835
83$29,756,900$0$0$7,770,875
84$32,652,943$0$0$8,533,694
85$35,839,998$0$0$9,373,382
86$39,347,611$0$0$10,297,750
87$43,208,337$0$0$11,315,404
88$47,458,045$0$0$12,435,829
89$52,136,261$0$0$13,669,473
90$57,286,537$0$0$15,027,853
91$62,956,860$0$0$16,523,656
92$69,200,110$0$0$18,170,865
93$76,074,553$0$0$19,984,886
94$83,644,395$0$0$21,982,695
95$91,980,382$0$0$24,183,001
96$101,160,475$0$0$26,606,416
97$111,270,577$0$0$29,275,658
98$122,405,350$0$0$32,215,758
99$134,669,102$0$0$35,454,297
100$148,176,776$0$0$39,021,673