Can I retire at age 40 with 867,000?

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 $867,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.7%
1 years$71,596$70,958$70,336$69,729$69,136$68,357
2 years$35,444$34,783$34,144$33,523$32,922$32,138
3 years$23,394$22,731$22,093$21,479$20,887$20,122
4 years$17,371$16,710$16,078$15,474$14,897$14,157
5 years$13,758$13,101$12,477$11,886$11,324$10,611
6 years$11,350$10,698$10,084$9,505$8,961$8,276
7 years$9,631$8,984$8,379$7,815$7,287$6,631
8 years$8,342$7,701$7,106$6,556$6,046$5,417
9 years$7,340$6,705$6,121$5,584$5,091$4,491
10 years$6,539$5,910$5,336$4,813$4,338$3,765
11 years$5,884$5,261$4,698$4,189$3,731$3,185
12 years$5,338$4,722$4,169$3,674$3,233$2,714
13 years$4,877$4,268$3,725$3,244$2,819$2,326
14 years$4,482$3,879$3,347$2,880$2,471$2,004
15 years$4,140$3,544$3,022$2,568$2,176$1,733
16 years$3,841$3,251$2,740$2,299$1,923$1,504
17 years$3,578$2,994$2,493$2,066$1,705$1,309
18 years$3,344$2,767$2,276$1,862$1,516$1,142
19 years$3,135$2,564$2,083$1,682$1,351$998
20 years$2,947$2,383$1,912$1,524$1,207$875
21 years$2,777$2,220$1,759$1,383$1,080$767
22 years$2,623$2,072$1,621$1,257$968$674
23 years$2,482$1,938$1,497$1,145$869$593
24 years$2,353$1,816$1,384$1,044$781$522
25 years$2,235$1,704$1,282$954$703$460
26 years$2,126$1,601$1,189$872$633$406
27 years$2,026$1,507$1,104$798$571$358
28 years$1,932$1,420$1,026$731$515$316
29 years$1,846$1,340$955$671$465$280
30 years$1,765$1,265$890$616$420$247
31 years$1,689$1,196$829$565$380$219
32 years$1,619$1,132$774$520$344$193
33 years$1,553$1,072$723$478$311$171
34 years$1,491$1,016$675$440$282$152
35 years$1,432$963$631$405$255$134
36 years$1,377$914$590$373$231$119
37 years$1,325$868$553$343$209$105
38 years$1,276$825$518$316$190$93
39 years$1,229$785$485$292$172$83
40 years$1,185$747$454$269$156$73
41 years$1,144$711$426$248$142$65
42 years$1,104$677$400$229$129$58
43 years$1,066$645$375$212$117$51
44 years$1,030$615$352$195$106$45
45 years$996$586$331$180$96$40
46 years$963$559$311$167$87$36
47 years$932$534$292$154$79$32
48 years$902$510$274$142$72$28
49 years$874$487$258$131$65$25
50 years$846$465$242$122$59$22

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $867,000, adding $6,507 every year, while hoping to spend $31,408 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: 64/13/23 Blend
39$867,000$867,000$867,000$867,000
40$962,146$916,195$902,756$1,017,581
41$1,026,867$927,671$899,581$1,067,222
42$1,097,137$938,656$895,246$1,117,333
43$1,173,489$949,094$889,681$1,171,369
44$1,256,508$958,923$882,809$1,229,717
45$1,346,840$968,079$874,551$1,292,804
46$1,445,194$976,491$864,825$1,361,101
47$1,552,352$984,086$853,544$1,435,128
48$1,669,171$990,786$840,617$1,515,460
49$1,796,598$996,506$825,950$1,602,729
50$1,935,673$1,001,157$809,441$1,697,633
51$2,087,543$1,004,645$790,988$1,800,944
52$2,253,468$1,006,868$770,482$1,913,510
53$2,434,836$1,007,719$747,808$2,036,269
54$2,633,177$1,007,085$722,847$2,170,256
55$2,850,173$1,004,844$695,474$2,316,612
56$3,087,678$1,000,869$665,560$2,476,595
57$3,347,731$995,022$632,967$2,651,594
58$3,632,582$987,160$597,553$2,843,141
59$3,944,704$977,129$559,170$3,052,924
60$4,286,822$964,767$517,660$3,282,806
61$4,661,939$949,902$472,863$3,534,844
62$5,073,361$932,351$424,608$3,811,302
63$5,524,728$911,921$372,717$4,114,682
64$6,020,053$888,407$317,005$4,447,740
65$6,563,752$861,593$257,279$4,813,517
66$7,160,692$831,249$193,335$5,215,365
67$7,816,235$797,132$124,964$5,656,984
68$8,536,286$758,986$51,945$6,142,449
69$9,327,349$716,539$0$6,676,258
70$10,196,593$669,504$0$7,269,746
71$11,151,912$617,576$0$7,936,022
72$12,202,004$560,434$0$8,668,416
73$13,356,453$497,739$0$9,473,640
74$14,625,815$429,133$0$10,359,090
75$16,021,723$354,235$0$11,332,918
76$17,556,992$272,646$0$12,404,108
77$19,245,742$183,942$0$13,582,559
78$21,103,529$87,676$0$14,879,182
79$23,147,494$0$0$16,306,002
80$25,396,522$0$0$17,878,646
81$27,871,423$0$0$19,623,104
82$30,595,125$0$0$21,543,004
83$33,592,889$0$0$23,656,161
84$36,892,554$0$0$25,982,207
85$40,524,789$0$0$28,542,772
86$44,523,392$0$0$31,361,692
87$48,925,602$0$0$34,465,231
88$53,772,454$0$0$37,882,326
89$59,109,162$0$0$41,644,867
90$64,985,550$0$0$45,787,991
91$71,456,518$0$0$50,350,418
92$78,582,562$0$0$55,374,811
93$86,430,343$0$0$60,908,185
94$95,073,317$0$0$67,002,346
95$104,592,427$0$0$73,714,378
96$115,076,868$0$0$81,107,189
97$126,624,926$0$0$89,250,095
98$139,344,908$0$0$98,219,482
99$153,356,162$0$0$108,099,522
100$168,790,202$0$0$118,982,967