Can I retire at age 40 with 865,000?

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 $865,000?

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$71,431$70,795$70,174$69,568$68,976$68,341
2 years$35,362$34,703$34,065$33,446$32,846$32,206
3 years$23,340$22,679$22,042$21,429$20,839$20,214
4 years$17,331$16,671$16,041$15,439$14,862$14,258
5 years$13,726$13,071$12,449$11,858$11,298$10,715
6 years$11,324$10,673$10,060$9,483$8,940$8,379
7 years$9,608$8,963$8,360$7,797$7,270$6,732
8 years$8,322$7,683$7,090$6,540$6,032$5,516
9 years$7,323$6,690$6,107$5,571$5,079$4,586
10 years$6,524$5,897$5,324$4,802$4,328$3,857
11 years$5,870$5,249$4,687$4,179$3,722$3,273
12 years$5,326$4,712$4,160$3,666$3,226$2,798
13 years$4,866$4,258$3,716$3,236$2,813$2,406
14 years$4,472$3,870$3,339$2,873$2,466$2,079
15 years$4,131$3,536$3,015$2,562$2,171$1,804
16 years$3,832$3,244$2,733$2,294$1,919$1,571
17 years$3,569$2,987$2,487$2,061$1,701$1,372
18 years$3,336$2,761$2,271$1,858$1,513$1,201
19 years$3,127$2,558$2,079$1,679$1,348$1,054
20 years$2,940$2,377$1,908$1,520$1,204$927
21 years$2,770$2,214$1,755$1,380$1,078$816
22 years$2,617$2,067$1,617$1,254$966$720
23 years$2,476$1,933$1,493$1,142$867$635
24 years$2,348$1,811$1,381$1,042$779$562
25 years$2,230$1,700$1,279$952$701$497
26 years$2,121$1,598$1,186$870$632$440
27 years$2,021$1,504$1,102$796$570$390
28 years$1,928$1,417$1,024$730$514$346
29 years$1,841$1,337$953$669$464$307
30 years$1,761$1,262$888$614$419$272
31 years$1,686$1,193$828$564$379$242
32 years$1,615$1,129$772$518$343$215
33 years$1,549$1,069$721$477$310$191
34 years$1,487$1,013$674$439$281$170
35 years$1,429$961$630$404$255$151
36 years$1,374$912$589$372$231$134
37 years$1,322$866$551$343$209$120
38 years$1,273$823$516$316$189$106
39 years$1,227$783$484$291$172$95
40 years$1,183$745$453$269$156$84
41 years$1,141$709$425$248$141$75
42 years$1,101$675$399$229$128$67
43 years$1,064$644$374$211$116$59
44 years$1,028$613$351$195$106$53
45 years$994$585$330$180$96$47
46 years$961$558$310$166$87$42
47 years$930$533$291$154$79$37
48 years$900$508$274$142$72$33
49 years$872$485$257$131$65$30
50 years$845$464$242$121$59$26

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $865,000, adding $2,264 every year, while hoping to spend $29,838 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: 37/34/29 Blend
39$865,000$865,000$865,000$865,000
40$955,565$909,720$896,313$982,572
41$1,021,286$922,549$894,592$1,015,613
42$1,092,709$935,007$891,813$1,048,410
43$1,170,387$947,043$887,910$1,083,271
44$1,254,923$958,605$882,812$1,120,404
45$1,346,985$969,636$876,446$1,160,038
46$1,447,304$980,076$868,734$1,202,427
47$1,556,689$989,859$859,596$1,247,853
48$1,676,026$998,917$848,947$1,296,628
49$1,806,293$1,007,176$836,699$1,349,097
50$1,948,566$1,014,559$822,760$1,405,645
51$2,104,028$1,020,981$807,031$1,466,694
52$2,273,984$1,026,354$789,411$1,532,715
53$2,459,869$1,030,583$769,795$1,604,227
54$2,663,263$1,033,570$748,071$1,681,806
55$2,885,907$1,035,205$724,122$1,766,088
56$3,129,716$1,035,377$697,827$1,857,779
57$3,396,802$1,033,965$669,059$1,957,656
58$3,689,488$1,030,842$637,684$2,066,584
59$4,010,333$1,025,871$603,564$2,185,515
60$4,362,157$1,018,908$566,554$2,315,504
61$4,748,064$1,009,802$526,501$2,457,717
62$5,171,475$998,390$483,246$2,613,443
63$5,636,155$984,501$436,625$2,784,108
64$6,146,253$967,953$386,463$2,971,286
65$6,706,342$948,553$332,579$3,176,718
66$7,321,454$926,097$274,786$3,402,328
67$7,997,136$900,369$212,885$3,650,242
68$8,739,497$871,141$146,670$3,922,806
69$9,555,269$838,171$75,927$4,222,615
70$10,451,867$801,201$431$4,552,533
71$11,437,459$759,962$0$4,915,726
72$12,521,047$714,166$0$5,340,483
73$13,712,544$663,511$0$5,807,622
74$15,022,876$607,676$0$6,321,347
75$16,464,080$546,322$0$6,886,445
76$18,049,415$479,091$0$7,508,195
77$19,793,494$405,605$0$8,192,418
78$21,712,414$325,463$0$8,945,536
79$23,823,914$238,245$0$9,774,629
80$26,147,536$143,502$0$10,687,506
81$28,704,817$40,765$0$11,692,780
82$31,519,482$0$0$12,799,946
83$34,617,676$0$0$14,045,840
84$38,028,207$0$0$15,434,271
85$41,782,818$0$0$16,962,928
86$45,916,484$0$0$18,646,071
87$50,467,747$0$0$20,499,411
88$55,479,074$0$0$22,540,263
89$60,997,260$0$0$24,787,704
90$67,073,869$0$0$27,262,756
91$73,765,722$0$0$29,988,585
92$81,135,428$0$0$32,990,716
93$89,251,981$0$0$36,297,279
94$98,191,406$0$0$39,939,269
95$108,037,477$0$0$43,950,841
96$118,882,510$0$0$48,369,634
97$130,828,231$0$0$53,237,121
98$143,986,735$0$0$58,599,006
99$158,481,549$0$0$64,505,652
100$174,448,791$0$0$71,012,556