Can I retire at age 40 with 871,000?

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 $871,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.1%
1 years$71,926$71,286$70,661$70,051$69,455$68,558
2 years$35,607$34,944$34,301$33,678$33,074$32,172
3 years$23,502$22,836$22,195$21,578$20,983$20,104
4 years$17,451$16,787$16,152$15,546$14,965$14,116
5 years$13,821$13,161$12,535$11,941$11,377$10,559
6 years$11,402$10,747$10,130$9,549$9,002$8,217
7 years$9,675$9,025$8,418$7,851$7,321$6,569
8 years$8,380$7,736$7,139$6,586$6,073$5,354
9 years$7,374$6,736$6,149$5,610$5,115$4,428
10 years$6,569$5,937$5,361$4,836$4,358$3,704
11 years$5,911$5,286$4,720$4,208$3,748$3,126
12 years$5,363$4,744$4,189$3,691$3,248$2,657
13 years$4,900$4,287$3,742$3,259$2,832$2,271
14 years$4,503$3,897$3,362$2,893$2,483$1,951
15 years$4,159$3,560$3,036$2,580$2,186$1,683
16 years$3,859$3,266$2,752$2,310$1,932$1,456
17 years$3,594$3,008$2,505$2,076$1,713$1,264
18 years$3,359$2,780$2,286$1,870$1,523$1,099
19 years$3,149$2,576$2,093$1,690$1,358$958
20 years$2,960$2,394$1,921$1,531$1,213$837
21 years$2,790$2,230$1,767$1,389$1,085$732
22 years$2,635$2,081$1,628$1,263$973$641
23 years$2,494$1,947$1,504$1,150$873$562
24 years$2,364$1,824$1,391$1,049$785$494
25 years$2,246$1,712$1,288$958$706$434
26 years$2,136$1,609$1,194$876$636$381
27 years$2,035$1,514$1,109$802$574$336
28 years$1,941$1,427$1,031$735$518$295
29 years$1,854$1,346$960$674$467$260
30 years$1,773$1,271$894$618$422$229
31 years$1,697$1,202$833$568$382$202
32 years$1,626$1,137$777$522$345$178
33 years$1,560$1,077$726$480$313$157
34 years$1,497$1,020$678$442$283$139
35 years$1,439$968$634$407$256$122
36 years$1,383$919$593$374$232$108
37 years$1,331$873$555$345$210$95
38 years$1,282$829$520$318$191$84
39 years$1,235$788$487$293$173$74
40 years$1,191$750$457$270$157$66
41 years$1,149$714$428$249$142$58
42 years$1,109$680$402$230$129$51
43 years$1,071$648$377$213$117$45
44 years$1,035$618$354$196$106$40
45 years$1,000$589$332$181$97$35
46 years$968$562$312$167$88$31
47 years$936$536$293$155$80$28
48 years$906$512$275$143$72$24
49 years$878$489$259$132$66$22
50 years$850$467$243$122$60$19

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $871,000, adding $2,568 every year, while hoping to spend $51,074 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: 79/7/14 Blend
39$871,000$871,000$871,000$871,000
40$962,491$916,328$902,827$1,035,606
41$1,006,323$906,886$878,730$1,074,641
42$1,052,913$895,269$852,113$1,110,649
43$1,102,491$881,317$822,839$1,148,707
44$1,155,304$864,861$790,763$1,188,997
45$1,211,625$845,719$755,734$1,231,721
46$1,271,753$823,701$717,593$1,277,104
47$1,336,015$798,606$676,176$1,325,391
48$1,404,770$770,219$631,309$1,376,855
49$1,478,411$738,315$582,813$1,431,794
50$1,557,370$702,653$530,498$1,490,541
51$1,642,119$662,981$474,167$1,553,459
52$1,733,179$619,031$413,615$1,620,953
53$1,831,119$570,519$348,628$1,693,466
54$1,936,566$517,147$278,979$1,771,489
55$2,050,206$458,597$204,435$1,855,564
56$2,172,795$394,537$124,752$1,946,289
57$2,305,163$324,611$39,673$2,044,322
58$2,448,220$248,448$0$2,150,392
59$2,602,969$165,652$0$2,272,939
60$2,770,510$75,808$0$2,412,033
61$2,952,055$0$0$2,562,762
62$3,148,935$0$0$2,727,911
63$3,362,613$0$0$2,913,510
64$3,594,700$0$0$3,115,121
65$3,846,966$0$0$3,334,287
66$4,121,361$0$0$3,572,703
67$4,420,026$0$0$3,832,234
68$4,745,321$0$0$4,114,933
69$5,099,842$0$0$4,423,060
70$5,486,444$0$0$4,759,101
71$5,908,272$0$0$5,125,791
72$6,368,787$0$0$5,526,144
73$6,871,796$0$0$5,963,474
74$7,421,495$0$0$6,441,433
75$8,022,499$0$0$6,964,039
76$8,679,891$0$0$7,535,716
77$9,399,270$0$0$8,161,337
78$10,186,797$0$0$8,846,265
79$11,049,259$0$0$9,596,410
80$11,994,130$0$0$10,418,275
81$13,029,639$0$0$11,319,026
82$14,164,852$0$0$12,306,554
83$15,409,752$0$0$13,389,549
84$16,775,334$0$0$14,577,582
85$18,273,709$0$0$15,881,197
86$19,918,219$0$0$17,312,007
87$21,723,557$0$0$18,882,804
88$23,705,911$0$0$20,607,679
89$25,883,111$0$0$22,502,154
90$28,274,800$0$0$24,583,329
91$30,902,618$0$0$26,870,042
92$33,790,402$0$0$29,383,045
93$36,964,415$0$0$32,145,199
94$40,453,590$0$0$35,181,694
95$44,289,804$0$0$38,520,279
96$48,508,174$0$0$42,191,525
97$53,147,394$0$0$46,229,118
98$58,250,093$0$0$50,670,167
99$63,863,240$0$0$55,555,563
100$70,038,585$0$0$60,930,356