Can I retire at age 40 with 858,000?

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 $858,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.6%
1 years$70,853$70,222$69,606$69,005$68,418$67,675
2 years$35,076$34,422$33,789$33,175$32,580$31,832
3 years$23,151$22,495$21,864$21,256$20,670$19,940
4 years$17,191$16,537$15,911$15,314$14,742$14,036
5 years$13,615$12,965$12,348$11,762$11,207$10,527
6 years$11,232$10,587$9,979$9,406$8,867$8,214
7 years$9,531$8,891$8,293$7,734$7,212$6,585
8 years$8,255$7,621$7,033$6,487$5,983$5,383
9 years$7,264$6,635$6,057$5,526$5,038$4,465
10 years$6,471$5,849$5,281$4,763$4,293$3,746
11 years$5,823$5,207$4,649$4,146$3,692$3,171
12 years$5,283$4,673$4,126$3,636$3,199$2,704
13 years$4,826$4,223$3,686$3,210$2,790$2,319
14 years$4,436$3,839$3,312$2,850$2,446$1,999
15 years$4,097$3,507$2,990$2,541$2,153$1,730
16 years$3,801$3,218$2,711$2,276$1,903$1,502
17 years$3,541$2,963$2,467$2,045$1,687$1,308
18 years$3,309$2,738$2,252$1,843$1,500$1,142
19 years$3,102$2,538$2,062$1,665$1,337$999
20 years$2,916$2,358$1,892$1,508$1,195$876
21 years$2,748$2,197$1,740$1,369$1,069$769
22 years$2,595$2,050$1,604$1,244$958$676
23 years$2,456$1,918$1,481$1,133$860$595
24 years$2,329$1,797$1,370$1,034$773$525
25 years$2,212$1,686$1,269$944$696$463
26 years$2,104$1,585$1,177$863$627$408
27 years$2,005$1,491$1,093$790$565$361
28 years$1,912$1,405$1,016$724$510$319
29 years$1,826$1,326$945$664$460$282
30 years$1,747$1,252$880$609$416$250
31 years$1,672$1,184$821$559$376$221
32 years$1,602$1,120$766$514$340$196
33 years$1,537$1,061$715$473$308$173
34 years$1,475$1,005$668$435$279$154
35 years$1,417$953$625$400$252$136
36 years$1,363$905$584$369$229$121
37 years$1,311$859$547$340$207$107
38 years$1,263$817$512$313$188$95
39 years$1,217$777$480$289$170$84
40 years$1,173$739$450$266$155$75
41 years$1,132$703$422$246$140$66
42 years$1,092$670$396$227$127$59
43 years$1,055$638$371$209$115$52
44 years$1,019$608$348$193$105$46
45 years$986$580$327$179$95$41
46 years$953$553$307$165$86$36
47 years$922$528$289$152$78$32
48 years$893$504$271$141$71$29
49 years$865$482$255$130$65$26
50 years$838$460$240$120$59$23

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $858,000, adding $2,731 every year, while hoping to spend $59,112 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: 71/21/8 Blend
39$858,000$858,000$858,000$858,000
40$948,333$902,859$889,560$1,014,194
41$982,168$884,204$856,466$1,039,433
42$1,017,474$862,655$820,281$1,059,486
43$1,054,336$838,005$780,841$1,079,812
44$1,092,851$810,040$737,972$1,100,422
45$1,133,120$778,530$691,492$1,121,331
46$1,175,254$743,233$641,213$1,142,556
47$1,219,372$703,894$586,935$1,164,118
48$1,265,603$660,240$528,453$1,186,042
49$1,314,088$611,985$465,550$1,208,358
50$1,364,980$558,828$398,000$1,231,098
51$1,418,444$500,446$325,569$1,254,303
52$1,474,659$436,502$248,010$1,278,019
53$1,533,822$366,638$165,066$1,302,299
54$1,596,145$290,476$76,468$1,327,204
55$1,661,860$207,618$0$1,352,806
56$1,731,219$117,640$0$1,380,727
57$1,804,498$20,100$0$1,416,583
58$1,881,998$0$0$1,453,972
59$1,964,046$0$0$1,512,793
60$2,051,000$0$0$1,580,075
61$2,143,252$0$0$1,651,478
62$2,241,231$0$0$1,727,336
63$2,345,403$0$0$1,808,016
64$2,456,281$0$0$1,893,916
65$2,574,425$0$0$1,985,475
66$2,700,450$0$0$2,083,172
67$2,835,027$0$0$2,187,531
68$2,978,894$0$0$2,299,130
69$3,132,858$0$0$2,418,599
70$3,297,805$0$0$2,546,630
71$3,474,706$0$0$2,683,981
72$3,664,629$0$0$2,831,487
73$3,868,741$0$0$2,990,061
74$4,088,328$0$0$3,160,708
75$4,324,800$0$0$3,344,529
76$4,579,705$0$0$3,542,734
77$4,854,744$0$0$3,756,654
78$5,151,786$0$0$3,987,749
79$5,472,885$0$0$4,237,625
80$5,820,298$0$0$4,508,047
81$6,196,507$0$0$4,800,956
82$6,604,238$0$0$5,118,482
83$7,046,493$0$0$5,462,974
84$7,526,569$0$0$5,837,009
85$8,048,095$0$0$6,243,425
86$8,615,061$0$0$6,685,344
87$9,231,859$0$0$7,166,199
88$9,903,320$0$0$7,689,768
89$10,634,758$0$0$8,260,208
90$11,432,024$0$0$8,882,095
91$12,301,556$0$0$9,560,463
92$13,250,439$0$0$10,300,856
93$14,286,473$0$0$11,109,373
94$15,418,244$0$0$11,992,731
95$16,655,203$0$0$12,958,322
96$18,007,759$0$0$14,014,288
97$19,487,367$0$0$15,169,589
98$21,106,643$0$0$16,434,096
99$22,879,481$0$0$17,818,674
100$24,821,176$0$0$19,335,291