Can I retire at age 40 with 872,000?

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 $872,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.7%
1 years$72,009$71,368$70,742$70,131$69,535$68,186
2 years$35,648$34,984$34,341$33,717$33,112$31,759
3 years$23,529$22,862$22,221$21,603$21,007$19,692
4 years$17,471$16,806$16,171$15,564$14,983$13,715
5 years$13,837$13,176$12,549$11,954$11,390$10,173
6 years$11,415$10,760$10,142$9,560$9,012$7,849
7 years$9,686$9,036$8,428$7,860$7,329$6,219
8 years$8,390$7,745$7,147$6,593$6,080$5,022
9 years$7,382$6,744$6,156$5,616$5,121$4,114
10 years$6,576$5,944$5,367$4,841$4,363$3,408
11 years$5,918$5,292$4,725$4,213$3,752$2,847
12 years$5,369$4,750$4,193$3,696$3,252$2,395
13 years$4,905$4,292$3,746$3,263$2,836$2,026
14 years$4,508$3,902$3,366$2,896$2,486$1,722
15 years$4,164$3,564$3,039$2,583$2,189$1,469
16 years$3,863$3,270$2,756$2,313$1,934$1,257
17 years$3,598$3,012$2,507$2,078$1,715$1,078
18 years$3,363$2,783$2,289$1,873$1,525$927
19 years$3,153$2,579$2,095$1,692$1,359$799
20 years$2,964$2,397$1,923$1,533$1,214$690
21 years$2,793$2,232$1,769$1,391$1,086$596
22 years$2,638$2,084$1,630$1,265$974$516
23 years$2,496$1,949$1,505$1,152$874$447
24 years$2,367$1,826$1,392$1,050$786$387
25 years$2,248$1,714$1,289$959$707$336
26 years$2,139$1,611$1,196$877$637$292
27 years$2,037$1,516$1,110$803$574$253
28 years$1,943$1,428$1,032$736$518$220
29 years$1,856$1,347$961$675$468$191
30 years$1,775$1,272$895$619$423$166
31 years$1,699$1,203$834$569$382$145
32 years$1,628$1,138$778$523$346$126
33 years$1,562$1,078$727$481$313$110
34 years$1,499$1,022$679$442$283$95
35 years$1,440$969$635$407$257$83
36 years$1,385$920$594$375$232$72
37 years$1,333$874$556$345$211$63
38 years$1,283$830$521$318$191$55
39 years$1,236$789$488$294$173$48
40 years$1,192$751$457$271$157$42
41 years$1,150$715$429$250$143$36
42 years$1,110$681$402$231$129$32
43 years$1,072$649$377$213$117$28
44 years$1,036$618$354$196$107$24
45 years$1,002$590$333$181$97$21
46 years$969$563$312$168$88$18
47 years$937$537$293$155$80$16
48 years$907$512$276$143$72$14
49 years$879$489$259$132$66$12
50 years$851$467$244$122$60$11

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $872,000, adding $6,612 every year, while hoping to spend $20,270 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: 47/33/20 Blend
39$872,000$872,000$872,000$872,000
40$967,764$921,548$908,032$1,007,464
41$1,044,909$945,137$916,884$1,059,425
42$1,129,243$969,202$925,353$1,113,235
43$1,221,479$993,746$933,405$1,171,218
44$1,322,400$1,018,769$941,004$1,233,773
45$1,432,869$1,044,273$948,112$1,301,340
46$1,553,837$1,070,258$954,689$1,374,403
47$1,686,350$1,096,722$960,693$1,453,495
48$1,831,561$1,123,665$966,080$1,539,204
49$1,990,740$1,151,085$970,803$1,632,177
50$2,165,284$1,178,977$974,814$1,733,126
51$2,356,734$1,207,337$978,061$1,842,838
52$2,566,785$1,236,161$980,490$1,962,178
53$2,797,306$1,265,442$982,046$2,092,099
54$3,050,354$1,295,171$982,667$2,233,653
55$3,328,196$1,325,341$982,293$2,387,997
56$3,633,330$1,355,940$980,857$2,556,408
57$3,968,505$1,386,957$978,292$2,740,292
58$4,336,753$1,418,378$974,525$2,941,199
59$4,741,411$1,450,187$969,480$3,160,838
60$5,186,156$1,482,368$963,079$3,401,091
61$5,675,041$1,514,901$955,239$3,664,032
62$6,212,529$1,547,765$945,874$3,951,949
63$6,803,538$1,580,937$934,891$4,267,361
64$7,453,485$1,614,389$922,197$4,613,046
65$8,168,341$1,648,094$907,690$4,992,066
66$8,954,682$1,682,021$891,268$5,407,794
67$9,819,755$1,716,135$872,821$5,863,951
68$10,771,543$1,750,399$852,234$6,364,633
69$11,818,844$1,784,772$829,387$6,914,360
70$12,971,351$1,819,211$804,157$7,518,111
71$14,239,744$1,853,667$776,411$8,181,373
72$15,635,790$1,888,089$746,013$8,910,196
73$17,172,456$1,922,421$712,820$9,711,246
74$18,864,029$1,956,603$676,682$10,591,872
75$20,726,252$1,990,568$637,443$11,560,173
76$22,776,472$2,024,248$594,939$12,625,075
77$25,033,802$2,057,567$549,000$13,796,418
78$27,519,306$2,090,443$499,447$15,085,045
79$30,256,190$2,122,790$446,094$16,502,908
80$33,270,029$2,154,514$388,746$18,063,180
81$36,589,003$2,185,516$327,199$19,780,380
82$40,244,163$2,215,688$261,242$21,670,511
83$44,269,726$2,244,915$190,652$23,751,210
84$48,703,397$2,273,075$115,198$26,041,915
85$53,586,725$2,300,037$34,639$28,564,050
86$58,965,493$2,325,661$0$31,341,228
87$64,890,153$2,349,798$0$34,410,429
88$71,416,298$2,372,288$0$37,797,982
89$78,605,192$2,392,961$0$41,528,158
90$86,524,342$2,411,637$0$45,635,858
91$95,248,141$2,428,123$0$50,159,548
92$104,858,564$2,442,214$0$55,141,613
93$115,445,946$2,453,691$0$60,628,765
94$127,109,833$2,462,323$0$66,672,484
95$139,959,922$2,467,862$0$73,329,499
96$154,117,093$2,470,046$0$80,662,327
97$169,714,555$2,468,597$0$88,739,867
98$186,899,100$2,463,219$0$97,638,044
99$205,832,490$2,453,598$0$107,440,533
100$226,692,979$2,439,401$0$118,239,542