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%14.8%
1 years$71,761$71,122$70,498$69,890$69,295$67,924
2 years$35,525$34,864$34,223$33,601$32,998$31,622
3 years$23,448$22,784$22,144$21,528$20,935$19,598
4 years$17,411$16,749$16,115$15,510$14,931$13,642
5 years$13,790$13,131$12,506$11,913$11,350$10,114
6 years$11,376$10,722$10,107$9,527$8,981$7,799
7 years$9,653$9,005$8,399$7,833$7,304$6,176
8 years$8,361$7,719$7,123$6,571$6,059$4,985
9 years$7,357$6,721$6,135$5,597$5,103$4,081
10 years$6,554$5,924$5,349$4,824$4,348$3,378
11 years$5,897$5,274$4,709$4,199$3,739$2,821
12 years$5,350$4,733$4,179$3,683$3,240$2,371
13 years$4,888$4,278$3,734$3,251$2,826$2,004
14 years$4,492$3,888$3,355$2,886$2,477$1,702
15 years$4,150$3,552$3,029$2,574$2,181$1,451
16 years$3,850$3,259$2,746$2,305$1,928$1,241
17 years$3,586$3,001$2,499$2,071$1,709$1,064
18 years$3,351$2,773$2,281$1,866$1,520$914
19 years$3,142$2,570$2,088$1,686$1,355$787
20 years$2,953$2,388$1,916$1,527$1,210$679
21 years$2,783$2,225$1,763$1,386$1,083$586
22 years$2,629$2,077$1,625$1,260$970$507
23 years$2,488$1,942$1,500$1,148$871$439
24 years$2,359$1,820$1,387$1,047$783$380
25 years$2,240$1,708$1,285$956$705$329
26 years$2,131$1,605$1,192$874$635$286
27 years$2,030$1,511$1,107$800$572$248
28 years$1,937$1,423$1,029$733$516$215
29 years$1,850$1,343$957$672$466$187
30 years$1,769$1,268$892$617$421$163
31 years$1,693$1,199$831$567$381$141
32 years$1,623$1,134$776$521$345$123
33 years$1,556$1,074$724$479$312$107
34 years$1,494$1,018$677$441$282$93
35 years$1,435$966$633$406$256$81
36 years$1,380$917$592$374$232$70
37 years$1,328$871$554$344$210$61
38 years$1,279$827$519$317$190$53
39 years$1,232$787$486$292$173$46
40 years$1,188$748$456$270$157$40
41 years$1,146$712$427$249$142$35
42 years$1,106$679$401$230$129$31
43 years$1,069$646$376$212$117$27
44 years$1,032$616$353$196$106$23
45 years$998$588$331$181$96$20
46 years$965$561$311$167$88$18
47 years$934$535$292$154$79$15
48 years$904$511$275$143$72$13
49 years$876$488$258$132$66$12
50 years$848$466$243$122$60$10

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $869,000, adding $5,769 every year, while hoping to spend $39,459 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: 60/30/10 Blend
39$869,000$869,000$869,000$869,000
40$963,589$917,532$904,062$1,018,835
41$1,019,891$920,507$892,364$1,059,588
42$1,080,613$922,305$878,952$1,099,022
43$1,146,165$922,827$863,726$1,141,064
44$1,216,996$921,968$846,583$1,185,967
45$1,293,600$919,615$827,414$1,234,011
46$1,376,521$915,650$806,106$1,285,507
47$1,466,355$909,946$782,540$1,340,797
48$1,563,759$902,369$756,591$1,400,261
49$1,669,456$892,778$728,130$1,464,318
50$1,784,239$881,023$697,020$1,533,432
51$1,908,981$866,943$663,121$1,608,115
52$2,044,643$850,369$626,281$1,688,935
53$2,192,283$831,123$586,348$1,776,519
54$2,353,063$809,016$543,158$1,871,558
55$2,528,264$783,846$496,542$1,974,819
56$2,719,294$755,401$446,323$2,087,147
57$2,927,703$723,457$392,316$2,209,480
58$3,155,197$687,775$334,327$2,342,849
59$3,403,655$648,103$272,155$2,488,397
60$3,675,144$604,177$205,589$2,647,385
61$3,971,942$555,715$134,409$2,821,209
62$4,296,553$502,418$58,385$3,011,408
63$4,651,739$443,974$0$3,219,683
64$5,040,537$380,049$0$3,450,339
65$5,466,293$310,293$0$3,709,832
66$5,932,692$234,335$0$3,994,244
67$6,443,793$151,783$0$4,306,136
68$7,004,064$62,225$0$4,648,332
69$7,618,427$0$0$5,023,948
70$8,292,304$0$0$5,447,906
71$9,031,665$0$0$5,935,670
72$9,843,088$0$0$6,471,047
73$10,733,816$0$0$7,058,825
74$11,711,832$0$0$7,704,280
75$12,785,924$0$0$8,413,223
76$13,965,778$0$0$9,192,056
77$15,262,061$0$0$10,047,832
78$16,686,526$0$0$10,988,319
79$18,252,120$0$0$12,022,079
80$19,973,107$0$0$13,158,539
81$21,865,201$0$0$14,408,090
82$23,945,717$0$0$15,782,178
83$26,233,729$0$0$17,293,413
84$28,750,252$0$0$18,955,690
85$31,518,443$0$0$20,784,318
86$34,563,812$0$0$22,796,162
87$37,914,469$0$0$25,009,808
88$41,601,386$0$0$27,445,731
89$45,658,687$0$0$30,126,493
90$50,123,972$0$0$33,076,954
91$55,038,671$0$0$36,324,506
92$60,448,435$0$0$39,899,329
93$66,403,563$0$0$43,834,680
94$72,959,479$0$0$48,167,204
95$80,177,255$0$0$52,937,279
96$88,124,186$0$0$58,189,399
97$96,874,423$0$0$63,972,588
98$106,509,673$0$0$70,340,871
99$117,119,972$0$0$77,353,776
100$128,804,530$0$0$85,076,898