Can I retire at age 40 with 870,000?

Use the below retirement simulation to view the chances of a successful retirement.
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 $870,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.4%
1 years$71,844$71,204$70,579$69,970$69,375$66,754
2 years$35,566$34,904$34,262$33,639$33,036$30,426
3 years$23,475$22,810$22,170$21,553$20,959$18,442
4 years$17,431$16,768$16,134$15,528$14,948$12,543
5 years$13,805$13,146$12,521$11,927$11,363$9,077
6 years$11,389$10,735$10,118$9,538$8,992$6,825
7 years$9,664$9,015$8,408$7,842$7,313$5,265
8 years$8,371$7,728$7,131$6,578$6,066$4,136
9 years$7,365$6,728$6,142$5,603$5,109$3,293
10 years$6,561$5,931$5,355$4,830$4,353$2,649
11 years$5,904$5,280$4,714$4,204$3,744$2,147
12 years$5,357$4,739$4,184$3,687$3,244$1,751
13 years$4,894$4,282$3,738$3,255$2,829$1,435
14 years$4,498$3,893$3,359$2,890$2,480$1,181
15 years$4,154$3,556$3,032$2,577$2,183$974
16 years$3,854$3,263$2,749$2,307$1,930$806
17 years$3,590$3,005$2,502$2,073$1,711$668
18 years$3,355$2,776$2,284$1,868$1,521$555
19 years$3,145$2,573$2,091$1,688$1,356$462
20 years$2,957$2,391$1,919$1,529$1,211$385
21 years$2,786$2,227$1,765$1,388$1,084$320
22 years$2,632$2,079$1,627$1,262$972$267
23 years$2,491$1,945$1,502$1,149$872$223
24 years$2,362$1,822$1,389$1,048$784$186
25 years$2,243$1,710$1,286$957$705$156
26 years$2,134$1,607$1,193$875$635$130
27 years$2,033$1,512$1,108$801$573$109
28 years$1,939$1,425$1,030$734$517$91
29 years$1,852$1,344$958$673$467$76
30 years$1,771$1,270$893$618$422$64
31 years$1,695$1,200$832$567$381$53
32 years$1,624$1,136$777$521$345$45
33 years$1,558$1,075$725$479$312$37
34 years$1,496$1,019$677$441$283$31
35 years$1,437$967$633$406$256$26
36 years$1,382$918$593$374$232$22
37 years$1,330$872$555$345$210$18
38 years$1,280$828$519$318$191$15
39 years$1,234$788$487$293$173$13
40 years$1,189$749$456$270$157$11
41 years$1,147$713$428$249$142$9
42 years$1,108$679$401$230$129$8
43 years$1,070$647$376$212$117$6
44 years$1,034$617$353$196$106$5
45 years$999$588$332$181$97$4
46 years$967$561$312$167$88$4
47 years$935$536$293$154$80$3
48 years$905$511$275$143$72$3
49 years$877$488$259$132$66$2
50 years$849$466$243$122$60$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $870,000, adding $6,006 every year, while hoping to spend $25,092 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: 53/26/21 Blend
39$870,000$870,000$870,000$870,000
40$964,935$918,825$905,340$1,010,214
41$1,036,661$937,150$908,971$1,060,320
42$1,114,862$955,532$911,883$1,111,702
43$1,200,171$973,947$914,025$1,167,079
44$1,293,288$992,369$915,344$1,226,842
45$1,394,979$1,010,771$915,784$1,291,418
46$1,506,091$1,029,123$915,287$1,361,282
47$1,627,555$1,047,392$913,791$1,436,954
48$1,760,394$1,065,543$911,232$1,519,011
49$1,905,739$1,083,539$907,543$1,608,085
50$2,064,830$1,101,339$902,652$1,704,877
51$2,239,037$1,118,899$896,485$1,810,157
52$2,429,867$1,136,173$888,965$1,924,777
53$2,638,978$1,153,110$880,010$2,049,674
54$2,868,199$1,169,657$869,535$2,185,882
55$3,119,541$1,185,757$857,451$2,334,543
56$3,395,223$1,201,347$843,664$2,496,912
57$3,697,684$1,216,361$828,075$2,674,379
58$4,029,615$1,230,731$810,583$2,868,471
59$4,393,979$1,244,379$791,080$3,080,876
60$4,794,038$1,257,227$769,454$3,313,454
61$5,233,386$1,269,188$745,588$3,568,254
62$5,715,985$1,280,171$719,359$3,847,539
63$6,246,196$1,290,080$690,637$4,153,802
64$6,828,824$1,298,810$659,290$4,489,792
65$7,469,164$1,306,252$625,176$4,858,542
66$8,173,049$1,312,288$588,149$5,263,394
67$8,946,904$1,316,794$548,056$5,708,033
68$9,797,808$1,319,637$504,736$6,196,525
69$10,733,562$1,320,676$458,022$6,733,350
70$11,762,758$1,319,763$407,739$7,323,448
71$12,894,865$1,316,737$353,704$7,972,266
72$14,140,315$1,311,431$295,727$8,685,811
73$15,510,601$1,303,665$233,608$9,470,702
74$17,018,388$1,293,249$167,139$10,334,241
75$18,677,628$1,279,984$96,103$11,284,474
76$20,503,697$1,263,654$20,273$12,330,275
77$22,513,535$1,244,034$0$13,481,424
78$24,725,808$1,220,884$0$14,762,295
79$27,161,084$1,193,950$0$16,176,917
80$29,842,024$1,162,964$0$17,733,904
81$32,793,602$1,127,640$0$19,447,765
82$36,043,333$1,087,678$0$21,334,487
83$39,621,537$1,042,758$0$23,411,692
84$43,561,624$992,544$0$25,698,801
85$47,900,409$936,677$0$28,217,218
86$52,678,458$874,782$0$30,990,532
87$57,940,472$806,458$0$34,044,744
88$63,735,710$731,284$0$37,408,506
89$70,118,449$648,814$0$41,113,398
90$77,148,501$558,576$0$45,194,225
91$84,891,774$460,072$0$49,689,345
92$93,420,897$352,777$0$54,641,032
93$102,815,899$236,134$0$60,095,879
94$113,164,974$109,557$0$66,105,232
95$124,565,302$0$0$72,725,684
96$137,123,975$0$0$80,027,490
97$150,959,002$0$0$88,106,051
98$166,200,426$0$0$97,005,970
99$182,991,549$0$0$106,810,945
100$201,490,285$0$0$117,613,203