Can I retire at age 40 with 869,000?

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 $869,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.1%
1 years$71,761$71,122$70,498$69,890$69,295$67,841
2 years$35,525$34,864$34,223$33,601$32,998$31,539
3 years$23,448$22,784$22,144$21,528$20,935$19,518
4 years$17,411$16,749$16,115$15,510$14,931$13,566
5 years$13,790$13,131$12,506$11,913$11,350$10,042
6 years$11,376$10,722$10,107$9,527$8,981$7,730
7 years$9,653$9,005$8,399$7,833$7,304$6,111
8 years$8,361$7,719$7,123$6,571$6,059$4,924
9 years$7,357$6,721$6,135$5,597$5,103$4,024
10 years$6,554$5,924$5,349$4,824$4,348$3,325
11 years$5,897$5,274$4,709$4,199$3,739$2,771
12 years$5,350$4,733$4,179$3,683$3,240$2,325
13 years$4,888$4,278$3,734$3,251$2,826$1,961
14 years$4,492$3,888$3,355$2,886$2,477$1,662
15 years$4,150$3,552$3,029$2,574$2,181$1,414
16 years$3,850$3,259$2,746$2,305$1,928$1,207
17 years$3,586$3,001$2,499$2,071$1,709$1,033
18 years$3,351$2,773$2,281$1,866$1,520$885
19 years$3,142$2,570$2,088$1,686$1,355$761
20 years$2,953$2,388$1,916$1,527$1,210$654
21 years$2,783$2,225$1,763$1,386$1,083$564
22 years$2,629$2,077$1,625$1,260$970$486
23 years$2,488$1,942$1,500$1,148$871$420
24 years$2,359$1,820$1,387$1,047$783$363
25 years$2,240$1,708$1,285$956$705$314
26 years$2,131$1,605$1,192$874$635$272
27 years$2,030$1,511$1,107$800$572$235
28 years$1,937$1,423$1,029$733$516$204
29 years$1,850$1,343$957$672$466$176
30 years$1,769$1,268$892$617$421$153
31 years$1,693$1,199$831$567$381$133
32 years$1,623$1,134$776$521$345$115
33 years$1,556$1,074$724$479$312$100
34 years$1,494$1,018$677$441$282$87
35 years$1,435$966$633$406$256$75
36 years$1,380$917$592$374$232$65
37 years$1,328$871$554$344$210$57
38 years$1,279$827$519$317$190$49
39 years$1,232$787$486$292$173$43
40 years$1,188$748$456$270$157$37
41 years$1,146$712$427$249$142$32
42 years$1,106$679$401$230$129$28
43 years$1,069$646$376$212$117$24
44 years$1,032$616$353$196$106$21
45 years$998$588$331$181$96$18
46 years$965$561$311$167$88$16
47 years$934$535$292$154$79$14
48 years$904$511$275$143$72$12
49 years$876$488$258$132$66$10
50 years$848$466$243$122$60$9

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $869,000, adding $5,068 every year, while hoping to spend $47,628 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: 64/22/14 Blend
39$869,000$869,000$869,000$869,000
40$962,866$916,809$903,339$1,020,953
41$1,010,402$911,056$882,925$1,054,713
42$1,061,191$903,426$860,231$1,085,617
43$1,115,514$893,775$835,130$1,118,204
44$1,173,679$881,953$807,490$1,152,636
45$1,236,025$867,800$777,172$1,189,096
46$1,302,924$851,146$744,031$1,227,786
47$1,374,782$831,812$707,916$1,268,929
48$1,452,046$809,607$668,668$1,312,774
49$1,535,209$784,332$626,122$1,359,598
50$1,624,808$755,772$580,105$1,409,707
51$1,721,436$723,702$530,436$1,463,439
52$1,825,743$687,885$476,926$1,521,173
53$1,938,445$648,067$419,379$1,583,324
54$2,060,326$603,982$357,588$1,650,357
55$2,192,249$555,347$291,337$1,722,783
56$2,335,165$501,866$220,404$1,801,172
57$2,490,117$443,222$144,552$1,886,153
58$2,658,251$379,082$63,537$1,978,422
59$2,840,831$309,095$0$2,078,753
60$3,039,244$232,889$0$2,191,423
61$3,255,018$150,071$0$2,324,307
62$3,489,832$60,228$0$2,468,993
63$3,745,536$0$0$2,626,684
64$4,024,163$0$0$2,807,683
65$4,327,953$0$0$3,020,979
66$4,659,369$0$0$3,253,730
67$5,021,123$0$0$3,507,847
68$5,416,201$0$0$3,785,434
69$5,847,889$0$0$4,088,808
70$6,319,805$0$0$4,420,519
71$6,835,933$0$0$4,783,377
72$7,400,658$0$0$5,180,474
73$8,018,810$0$0$5,615,214
74$8,695,707$0$0$6,091,347
75$9,437,206$0$0$6,613,001
76$10,249,755$0$0$7,184,726
77$11,140,458$0$0$7,811,527
78$12,117,137$0$0$8,498,923
79$13,188,408$0$0$9,252,987
80$14,363,762$0$0$10,080,412
81$15,653,651$0$0$10,988,568
82$17,069,590$0$0$11,985,574
83$18,624,261$0$0$13,080,375
84$20,331,636$0$0$14,282,822
85$22,207,106$0$0$15,603,768
86$24,267,626$0$0$17,055,170
87$26,531,874$0$0$18,650,199
88$29,020,427$0$0$20,403,367
89$31,755,955$0$0$22,330,659
90$34,763,433$0$0$24,449,688
91$38,070,378$0$0$26,779,860
92$41,707,105$0$0$29,342,553
93$45,707,015$0$0$32,161,321
94$50,106,907$0$0$35,262,117
95$54,947,329$0$0$38,673,536
96$60,272,954$0$0$42,427,081
97$66,133,004$0$0$46,557,467
98$72,581,714$0$0$51,102,941
99$79,678,841$0$0$56,105,647
100$87,490,229$0$0$61,612,020