Can I retire at age 40 with 859,000?

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 $859,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%20%
1 years$70,935$70,304$69,687$69,085$68,498$65,754
2 years$35,117$34,463$33,829$33,214$32,618$29,888
3 years$23,178$22,522$21,889$21,281$20,694$18,064
4 years$17,211$16,556$15,930$15,331$14,759$12,249
5 years$13,631$12,980$12,362$11,776$11,220$8,836
6 years$11,245$10,599$9,991$9,417$8,878$6,622
7 years$9,542$8,901$8,302$7,743$7,220$5,091
8 years$8,265$7,630$7,041$6,495$5,990$3,985
9 years$7,272$6,643$6,064$5,532$5,044$3,161
10 years$6,478$5,856$5,287$4,769$4,298$2,533
11 years$5,829$5,213$4,655$4,150$3,696$2,045
12 years$5,289$4,679$4,131$3,640$3,203$1,661
13 years$4,832$4,228$3,691$3,214$2,793$1,356
14 years$4,441$3,843$3,316$2,853$2,449$1,111
15 years$4,102$3,511$2,994$2,544$2,156$913
16 years$3,806$3,221$2,714$2,278$1,905$752
17 years$3,545$2,967$2,470$2,047$1,689$621
18 years$3,313$2,741$2,255$1,845$1,502$513
19 years$3,106$2,541$2,064$1,667$1,339$425
20 years$2,919$2,361$1,894$1,510$1,196$352
21 years$2,751$2,199$1,742$1,370$1,070$292
22 years$2,598$2,053$1,606$1,246$959$243
23 years$2,459$1,920$1,483$1,135$861$202
24 years$2,332$1,799$1,371$1,035$774$168
25 years$2,215$1,688$1,270$945$696$139
26 years$2,107$1,587$1,178$864$627$116
27 years$2,007$1,493$1,094$791$566$96
28 years$1,915$1,407$1,017$725$510$80
29 years$1,829$1,327$946$665$461$67
30 years$1,749$1,254$881$610$416$56
31 years$1,674$1,185$822$560$376$46
32 years$1,604$1,121$767$515$341$39
33 years$1,538$1,062$716$473$308$32
34 years$1,477$1,006$669$436$279$27
35 years$1,419$955$625$401$253$22
36 years$1,364$906$585$369$229$19
37 years$1,313$860$548$340$208$15
38 years$1,264$818$513$314$188$13
39 years$1,218$778$480$289$171$11
40 years$1,174$740$450$267$155$9
41 years$1,133$704$422$246$140$7
42 years$1,094$671$396$227$127$6
43 years$1,056$639$372$210$116$5
44 years$1,021$609$349$194$105$4
45 years$987$581$328$179$95$4
46 years$954$554$308$165$87$3
47 years$923$529$289$153$79$2
48 years$894$505$272$141$71$2
49 years$866$482$255$130$65$2
50 years$839$461$240$120$59$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $859,000, adding $4,760 every year, while hoping to spend $53,138 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: 66/15/19 Blend
39$859,000$859,000$859,000$859,000
40$951,528$906,001$892,686$1,009,519
41$992,045$893,857$866,053$1,036,827
42$1,034,915$879,336$836,746$1,060,111
43$1,080,319$862,267$804,621$1,084,290
44$1,128,461$842,467$769,524$1,109,450
45$1,179,558$819,742$731,297$1,135,690
46$1,233,850$793,887$689,774$1,163,120
47$1,291,601$764,686$644,779$1,191,861
48$1,353,098$731,908$596,132$1,222,053
49$1,418,654$695,312$543,643$1,253,847
50$1,488,614$654,640$487,113$1,287,415
51$1,563,356$609,620$426,334$1,322,948
52$1,643,293$559,966$361,091$1,360,660
53$1,728,878$505,374$291,157$1,400,789
54$1,820,610$445,523$216,297$1,443,599
55$1,919,032$380,074$136,263$1,489,385
56$2,024,745$308,669$50,799$1,538,477
57$2,138,404$230,929$0$1,591,240
58$2,260,731$146,454$0$1,656,272
59$2,392,518$54,823$0$1,737,357
60$2,534,635$0$0$1,824,748
61$2,688,037$0$0$1,926,396
62$2,853,775$0$0$2,046,037
63$3,033,002$0$0$2,175,461
64$3,226,986$0$0$2,315,590
65$3,437,123$0$0$2,467,435
66$3,664,945$0$0$2,632,112
67$3,912,137$0$0$2,810,845
68$4,180,554$0$0$3,004,983
69$4,472,235$0$0$3,216,006
70$4,789,423$0$0$3,445,546
71$5,134,587$0$0$3,695,397
72$5,510,441$0$0$3,967,532
73$5,919,975$0$0$4,264,124
74$6,366,476$0$0$4,587,563
75$6,853,565$0$0$4,940,481
76$7,385,224$0$0$5,325,773
77$7,965,839$0$0$5,746,629
78$8,600,238$0$0$6,206,556
79$9,293,735$0$0$6,709,420
80$10,052,180$0$0$7,259,475
81$10,882,018$0$0$7,861,405
82$11,790,341$0$0$8,520,367
83$12,784,962$0$0$9,242,043
84$13,874,482$0$0$10,032,686
85$15,068,375$0$0$10,899,185
86$16,377,074$0$0$11,849,127
87$17,812,069$0$0$12,890,867
88$19,386,017$0$0$14,033,608
89$21,112,856$0$0$15,287,487
90$23,007,942$0$0$16,663,669
91$25,088,186$0$0$18,174,452
92$27,372,217$0$0$19,833,384
93$29,880,559$0$0$21,655,389
94$32,635,817$0$0$23,656,908
95$35,662,896$0$0$25,856,050
96$38,989,232$0$0$28,272,768
97$42,645,048$0$0$30,929,043
98$46,663,643$0$0$33,849,089
99$51,081,702$0$0$37,059,587
100$55,939,642$0$0$40,589,930