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%12.7%
1 years$71,761$71,122$70,498$69,890$69,295$68,515
2 years$35,525$34,864$34,223$33,601$32,998$32,212
3 years$23,448$22,784$22,144$21,528$20,935$20,168
4 years$17,411$16,749$16,115$15,510$14,931$14,189
5 years$13,790$13,131$12,506$11,913$11,350$10,636
6 years$11,376$10,722$10,107$9,527$8,981$8,295
7 years$9,653$9,005$8,399$7,833$7,304$6,646
8 years$8,361$7,719$7,123$6,571$6,059$5,430
9 years$7,357$6,721$6,135$5,597$5,103$4,501
10 years$6,554$5,924$5,349$4,824$4,348$3,774
11 years$5,897$5,274$4,709$4,199$3,739$3,193
12 years$5,350$4,733$4,179$3,683$3,240$2,721
13 years$4,888$4,278$3,734$3,251$2,826$2,332
14 years$4,492$3,888$3,355$2,886$2,477$2,008
15 years$4,150$3,552$3,029$2,574$2,181$1,737
16 years$3,850$3,259$2,746$2,305$1,928$1,507
17 years$3,586$3,001$2,499$2,071$1,709$1,312
18 years$3,351$2,773$2,281$1,866$1,520$1,145
19 years$3,142$2,570$2,088$1,686$1,355$1,001
20 years$2,953$2,388$1,916$1,527$1,210$877
21 years$2,783$2,225$1,763$1,386$1,083$769
22 years$2,629$2,077$1,625$1,260$970$676
23 years$2,488$1,942$1,500$1,148$871$594
24 years$2,359$1,820$1,387$1,047$783$523
25 years$2,240$1,708$1,285$956$705$461
26 years$2,131$1,605$1,192$874$635$407
27 years$2,030$1,511$1,107$800$572$359
28 years$1,937$1,423$1,029$733$516$317
29 years$1,850$1,343$957$672$466$280
30 years$1,769$1,268$892$617$421$248
31 years$1,693$1,199$831$567$381$219
32 years$1,623$1,134$776$521$345$194
33 years$1,556$1,074$724$479$312$172
34 years$1,494$1,018$677$441$282$152
35 years$1,435$966$633$406$256$135
36 years$1,380$917$592$374$232$119
37 years$1,328$871$554$344$210$106
38 years$1,279$827$519$317$190$94
39 years$1,232$787$486$292$173$83
40 years$1,188$748$456$270$157$73
41 years$1,146$712$427$249$142$65
42 years$1,106$679$401$230$129$58
43 years$1,069$646$376$212$117$51
44 years$1,032$616$353$196$106$45
45 years$998$588$331$181$96$40
46 years$965$561$311$167$88$36
47 years$934$535$292$154$79$32
48 years$904$511$275$143$72$28
49 years$876$488$258$132$66$25
50 years$848$466$243$122$60$22

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $869,000, adding $3,405 every year, while hoping to spend $32,816 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: 46/48/6 Blend
39$869,000$869,000$869,000$869,000
40$961,150$915,093$901,624$1,003,649
41$1,024,272$925,017$896,912$1,043,135
42$1,092,731$934,327$890,943$1,082,236
43$1,167,040$942,959$883,639$1,123,880
44$1,247,757$950,843$874,921$1,168,312
45$1,335,501$957,907$864,703$1,215,801
46$1,430,949$964,071$852,897$1,266,648
47$1,534,849$969,254$839,412$1,321,183
48$1,648,022$973,365$824,151$1,379,773
49$1,771,371$976,312$807,011$1,442,821
50$1,905,893$977,993$787,888$1,510,775
51$2,052,682$978,302$766,671$1,584,131
52$2,212,944$977,128$743,242$1,663,435
53$2,388,006$974,348$717,482$1,749,293
54$2,579,328$969,836$689,263$1,842,372
55$2,788,518$963,458$658,453$1,943,412
56$3,017,349$955,069$624,913$2,053,230
57$3,267,769$944,517$588,497$2,172,728
58$3,541,925$931,643$549,056$2,302,906
59$3,842,181$916,273$506,429$2,444,865
60$4,171,142$898,229$460,453$2,599,824
61$4,531,674$877,318$410,954$2,769,130
62$4,926,935$853,336$357,751$2,954,270
63$5,360,403$826,071$300,656$3,156,887
64$5,835,909$795,293$239,473$3,378,797
65$6,357,672$760,763$173,996$3,622,005
66$6,930,340$722,225$104,010$3,888,725
67$7,559,031$679,411$29,291$4,181,403
68$8,249,386$632,036$0$4,502,741
69$9,007,616$579,798$0$4,858,949
70$9,840,564$522,379$0$5,252,303
71$10,755,770$459,444$0$5,684,578
72$11,761,537$390,636$0$6,159,805
73$12,867,016$315,579$0$6,682,432
74$14,082,287$233,878$0$7,257,370
75$15,418,455$145,112$0$7,890,037
76$16,887,755$48,840$0$8,586,412
77$18,503,667$0$0$9,353,094
78$20,281,043$0$0$10,226,628
79$22,236,246$0$0$11,216,051
80$24,387,306$0$0$12,304,704
81$26,754,087$0$0$13,502,655
82$29,358,477$0$0$14,820,998
83$32,224,593$0$0$16,271,955
84$35,379,005$0$0$17,868,995
85$38,850,995$0$0$19,626,958
86$42,672,822$0$0$21,562,196
87$46,880,035$0$0$23,692,726
88$51,511,803$0$0$26,038,404
89$56,611,287$0$0$28,621,104
90$62,226,044$0$0$31,464,934
91$68,408,480$0$0$34,596,455
92$75,216,338$0$0$38,044,938
93$82,713,249$0$0$41,842,634
94$90,969,327$0$0$46,025,085
95$100,061,834$0$0$50,631,452
96$110,075,906$0$0$55,704,891
97$121,105,359$0$0$61,292,956
98$133,253,569$0$0$67,448,047
99$146,634,454$0$0$74,227,908
100$161,373,543$0$0$81,696,170