Can I retire at age 40 with 861,000?

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 $861,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.3%
1 years$71,101$70,467$69,849$69,246$68,657$66,353
2 years$35,198$34,543$33,907$33,291$32,694$30,396
3 years$23,232$22,574$21,940$21,330$20,742$18,522
4 years$17,251$16,594$15,967$15,367$14,794$12,667
5 years$13,663$13,010$12,391$11,803$11,246$9,220
6 years$11,271$10,624$10,014$9,439$8,898$6,975
7 years$9,564$8,922$8,322$7,761$7,237$5,415
8 years$8,284$7,648$7,057$6,510$6,004$4,282
9 years$7,289$6,659$6,078$5,545$5,056$3,432
10 years$6,493$5,869$5,299$4,780$4,308$2,780
11 years$5,843$5,225$4,665$4,160$3,705$2,269
12 years$5,301$4,690$4,140$3,649$3,211$1,864
13 years$4,843$4,238$3,699$3,221$2,800$1,539
14 years$4,451$3,852$3,324$2,860$2,454$1,276
15 years$4,111$3,519$3,001$2,550$2,161$1,062
16 years$3,815$3,229$2,721$2,284$1,910$885
17 years$3,553$2,974$2,476$2,052$1,693$740
18 years$3,321$2,748$2,260$1,849$1,506$620
19 years$3,113$2,547$2,069$1,671$1,342$520
20 years$2,926$2,366$1,899$1,513$1,199$436
21 years$2,758$2,204$1,747$1,373$1,073$367
22 years$2,605$2,058$1,610$1,249$962$309
23 years$2,465$1,924$1,486$1,137$863$260
24 years$2,337$1,803$1,375$1,037$776$219
25 years$2,220$1,692$1,273$947$698$185
26 years$2,112$1,590$1,181$866$629$156
27 years$2,012$1,497$1,096$793$567$131
28 years$1,919$1,410$1,019$726$512$111
29 years$1,833$1,330$949$666$462$94
30 years$1,753$1,256$884$611$417$79
31 years$1,678$1,188$824$561$377$67
32 years$1,608$1,124$769$516$341$56
33 years$1,542$1,064$718$474$309$48
34 years$1,480$1,009$670$437$280$40
35 years$1,422$957$627$402$253$34
36 years$1,367$908$586$370$230$29
37 years$1,316$862$549$341$208$24
38 years$1,267$820$514$314$189$20
39 years$1,221$779$482$290$171$17
40 years$1,177$742$451$267$155$15
41 years$1,136$706$423$247$141$12
42 years$1,096$672$397$228$128$10
43 years$1,059$641$373$210$116$9
44 years$1,023$611$350$194$105$7
45 years$989$582$328$179$96$6
46 years$957$555$308$165$87$5
47 years$926$530$290$153$79$5
48 years$896$506$272$141$72$4
49 years$868$483$256$131$65$3
50 years$841$462$241$121$59$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $861,000, adding $2,512 every year, while hoping to spend $21,451 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: 52/31/17 Blend
39$861,000$861,000$861,000$861,000
40$951,413$905,780$892,435$996,353
41$1,025,634$927,340$899,507$1,049,017
42$1,106,706$949,237$906,098$1,103,806
43$1,195,305$971,465$912,168$1,162,927
44$1,292,177$994,018$917,677$1,226,797
45$1,398,141$1,016,886$922,581$1,295,875
46$1,514,099$1,040,062$926,835$1,370,668
47$1,641,046$1,063,533$930,392$1,451,733
48$1,780,075$1,087,288$933,203$1,539,685
49$1,932,391$1,111,314$935,214$1,635,201
50$2,099,323$1,135,597$936,372$1,739,027
51$2,282,331$1,160,118$936,617$1,851,986
52$2,483,026$1,184,861$935,891$1,974,982
53$2,703,180$1,209,804$934,129$2,109,016
54$2,944,747$1,234,927$931,265$2,255,187
55$3,209,878$1,260,205$927,228$2,414,708
56$3,500,942$1,285,612$921,947$2,588,916
57$3,820,550$1,311,119$915,344$2,779,283
58$4,171,577$1,336,695$907,339$2,987,434
59$4,557,191$1,362,306$897,848$3,215,157
60$4,980,881$1,387,915$886,783$3,464,425
61$5,446,491$1,413,483$874,050$3,737,411
62$5,958,257$1,438,968$859,555$4,036,513
63$6,520,843$1,464,322$843,194$4,364,370
64$7,139,392$1,489,496$824,864$4,723,894
65$7,819,565$1,514,436$804,452$5,118,293
66$8,567,602$1,539,085$781,842$5,551,103
67$9,390,378$1,563,381$756,915$6,026,223
68$10,295,467$1,587,257$729,542$6,547,949
69$11,291,214$1,610,642$699,591$7,121,017
70$12,386,813$1,633,459$666,923$7,750,647
71$13,592,397$1,655,628$631,393$8,442,592
72$14,919,127$1,677,059$592,851$9,203,193
73$16,379,304$1,697,660$551,137$10,039,442
74$17,986,479$1,717,332$506,086$10,959,043
75$19,755,585$1,735,966$457,525$11,970,487
76$21,703,076$1,753,450$405,273$13,083,135
77$23,847,082$1,769,661$349,143$14,307,304
78$26,207,581$1,784,472$288,936$15,654,365
79$28,806,586$1,797,743$224,447$17,136,851
80$31,668,354$1,809,328$155,462$18,768,578
81$34,819,612$1,819,071$81,755$20,564,772
82$38,289,812$1,826,805$3,094$22,542,214
83$42,111,409$1,832,355$0$24,719,402
84$46,320,164$1,835,531$0$27,131,389
85$50,955,483$1,836,135$0$29,787,531
86$56,060,791$1,833,954$0$32,712,081
87$61,683,938$1,828,764$0$35,932,386
88$67,877,651$1,820,325$0$39,478,582
89$74,700,035$1,808,384$0$43,383,884
90$82,215,116$1,792,672$0$47,684,892
91$90,493,449$1,772,904$0$52,421,945
92$99,612,782$1,748,778$0$57,639,498
93$109,658,791$1,719,974$0$63,386,540
94$120,725,886$1,686,151$0$69,717,062
95$132,918,105$1,646,951$0$76,690,565
96$146,350,093$1,601,992$0$84,372,621
97$161,148,185$1,550,872$0$92,835,493
98$177,451,599$1,493,165$0$102,158,820
99$195,413,751$1,428,418$0$112,430,368
100$215,203,697$1,356,155$0$123,746,857