Can I retire at age 40 with 866,000?

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 $866,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.3%
1 years$71,513$70,876$70,255$69,648$69,056$67,828
2 years$35,403$34,743$34,104$33,485$32,884$31,651
3 years$23,367$22,705$22,068$21,454$20,863$19,664
4 years$17,351$16,691$16,060$15,456$14,880$13,723
5 years$13,742$13,086$12,463$11,872$11,311$10,200
6 years$11,337$10,685$10,072$9,494$8,950$7,887
7 years$9,619$8,974$8,370$7,806$7,279$6,263
8 years$8,332$7,692$7,098$6,548$6,039$5,070
9 years$7,331$6,697$6,114$5,577$5,085$4,163
10 years$6,531$5,903$5,330$4,808$4,333$3,457
11 years$5,877$5,255$4,693$4,184$3,726$2,895
12 years$5,332$4,717$4,165$3,670$3,229$2,442
13 years$4,871$4,263$3,721$3,240$2,816$2,071
14 years$4,477$3,875$3,343$2,876$2,468$1,765
15 years$4,135$3,540$3,018$2,565$2,173$1,510
16 years$3,837$3,248$2,737$2,297$1,921$1,296
17 years$3,574$2,991$2,490$2,064$1,703$1,115
18 years$3,340$2,764$2,273$1,860$1,514$962
19 years$3,131$2,561$2,081$1,680$1,350$831
20 years$2,943$2,380$1,910$1,522$1,206$719
21 years$2,774$2,217$1,757$1,381$1,079$623
22 years$2,620$2,070$1,619$1,256$967$541
23 years$2,479$1,936$1,495$1,144$868$470
24 years$2,351$1,814$1,383$1,043$780$409
25 years$2,233$1,702$1,281$953$702$356
26 years$2,124$1,599$1,188$871$632$310
27 years$2,023$1,505$1,103$797$570$270
28 years$1,930$1,418$1,025$731$515$235
29 years$1,843$1,338$954$670$465$205
30 years$1,763$1,264$889$615$420$179
31 years$1,687$1,195$828$565$380$156
32 years$1,617$1,130$773$519$343$137
33 years$1,551$1,070$722$477$311$119
34 years$1,489$1,015$674$439$281$104
35 years$1,430$962$630$404$255$91
36 years$1,375$913$590$372$231$80
37 years$1,323$867$552$343$209$70
38 years$1,274$824$517$316$190$61
39 years$1,228$784$484$291$172$53
40 years$1,184$746$454$269$156$46
41 years$1,142$710$426$248$142$41
42 years$1,103$676$399$229$128$36
43 years$1,065$644$375$211$117$31
44 years$1,029$614$352$195$106$27
45 years$995$586$330$180$96$24
46 years$962$559$310$166$87$21
47 years$931$533$291$154$79$18
48 years$901$509$274$142$72$16
49 years$873$486$257$131$65$14
50 years$846$464$242$121$59$12

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $866,000, adding $2,708 every year, while hoping to spend $22,183 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: 61/33/6 Blend
39$866,000$866,000$866,000$866,000
40$957,125$911,227$897,804$1,014,287
41$1,031,150$932,275$904,278$1,073,857
42$1,111,981$953,610$910,226$1,136,008
43$1,200,290$975,224$915,605$1,203,248
44$1,296,815$997,106$920,374$1,276,069
45$1,402,371$1,019,245$924,487$1,355,009
46$1,517,851$1,041,626$927,895$1,440,664
47$1,644,242$1,064,236$930,550$1,533,688
48$1,782,629$1,087,058$932,398$1,634,802
49$1,934,208$1,110,075$933,384$1,744,799
50$2,100,296$1,133,266$933,451$1,864,555
51$2,282,341$1,156,612$932,536$1,995,034
52$2,481,941$1,180,087$930,578$2,137,295
53$2,700,855$1,203,667$927,508$2,292,510
54$2,941,019$1,227,323$923,256$2,461,965
55$3,204,567$1,251,027$917,749$2,647,081
56$3,493,849$1,274,743$910,910$2,849,420
57$3,811,454$1,298,438$902,659$3,070,707
58$4,160,234$1,322,073$892,909$3,312,839
59$4,543,330$1,345,607$881,573$3,577,909
60$4,964,202$1,368,994$868,558$3,868,221
61$5,426,663$1,392,187$853,767$4,186,315
62$5,934,912$1,415,134$837,098$4,534,992
63$6,493,577$1,437,779$818,445$4,917,334
64$7,107,755$1,460,063$797,696$5,336,743
65$7,783,061$1,481,922$774,734$5,796,962
66$8,525,684$1,503,286$749,438$6,302,121
67$9,342,440$1,524,084$721,681$6,856,769
68$10,240,840$1,544,235$691,328$7,465,918
69$11,229,158$1,563,655$658,241$8,135,095
70$12,316,514$1,582,256$622,273$8,870,389
71$13,512,952$1,599,941$583,273$9,678,509
72$14,829,542$1,616,606$541,082$10,566,851
73$16,278,480$1,632,144$495,532$11,543,567
74$17,873,203$1,646,438$446,451$12,617,637
75$19,628,520$1,659,363$393,656$13,798,963
76$21,560,744$1,670,787$336,959$15,098,453
77$23,687,854$1,680,569$276,161$16,528,132
78$26,029,658$1,688,561$211,056$18,101,252
79$28,607,984$1,694,601$141,427$19,832,416
80$31,446,884$1,698,522$67,050$21,737,720
81$34,572,859$1,700,142$0$23,834,903
82$38,015,112$1,699,271$0$26,144,304
83$41,805,825$1,695,706$0$28,691,311
84$45,980,454$1,689,231$0$31,495,389
85$50,578,075$1,679,618$0$34,582,726
86$55,641,743$1,666,623$0$37,982,180
87$61,218,903$1,649,990$0$41,725,556
88$67,361,837$1,629,446$0$45,847,904
89$74,128,156$1,604,700$0$50,387,852
90$81,581,345$1,575,448$0$55,387,969
91$89,791,362$1,541,364$0$60,895,170
92$98,835,294$1,502,105$0$66,961,156
93$108,798,093$1,457,306$0$73,642,907
94$119,773,366$1,406,583$0$81,003,215
95$131,864,271$1,349,526$0$89,111,283
96$145,184,480$1,285,706$0$98,043,373
97$159,859,256$1,214,665$0$107,883,535
98$176,026,637$1,135,921$0$118,724,391
99$193,838,737$1,048,963$0$130,668,018
100$213,463,177$953,252$0$143,826,910