Can I retire at age 40 with 873,000?

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 $873,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19%
1 years$72,092$71,449$70,823$70,211$69,614$67,091
2 years$35,689$35,024$34,380$33,755$33,150$30,635
3 years$23,556$22,889$22,246$21,627$21,031$18,605
4 years$17,491$16,826$16,190$15,581$15,000$12,680
5 years$13,853$13,191$12,564$11,968$11,403$9,195
6 years$11,428$10,772$10,153$9,571$9,023$6,929
7 years$9,697$9,046$8,437$7,869$7,338$5,358
8 years$8,399$7,754$7,156$6,601$6,087$4,219
9 years$7,390$6,751$6,163$5,623$5,126$3,367
10 years$6,584$5,951$5,373$4,847$4,368$2,715
11 years$5,924$5,298$4,730$4,218$3,757$2,207
12 years$5,375$4,755$4,198$3,700$3,255$1,804
13 years$4,911$4,297$3,751$3,266$2,839$1,483
14 years$4,513$3,906$3,370$2,900$2,488$1,223
15 years$4,169$3,568$3,043$2,586$2,191$1,013
16 years$3,868$3,274$2,759$2,315$1,936$840
17 years$3,602$3,015$2,510$2,080$1,717$699
18 years$3,367$2,786$2,292$1,875$1,527$582
19 years$3,156$2,582$2,098$1,694$1,361$486
20 years$2,967$2,399$1,925$1,534$1,215$406
21 years$2,796$2,235$1,771$1,392$1,088$339
22 years$2,641$2,086$1,632$1,266$975$284
23 years$2,499$1,951$1,507$1,153$875$238
24 years$2,370$1,828$1,394$1,052$787$199
25 years$2,251$1,716$1,291$960$708$167
26 years$2,141$1,612$1,197$878$638$140
27 years$2,040$1,517$1,112$804$575$117
28 years$1,946$1,430$1,033$736$519$99
29 years$1,858$1,349$962$675$468$83
30 years$1,777$1,274$896$620$423$69
31 years$1,701$1,204$835$569$383$58
32 years$1,630$1,140$779$523$346$49
33 years$1,563$1,079$728$481$313$41
34 years$1,501$1,023$680$443$284$35
35 years$1,442$970$636$407$257$29
36 years$1,387$921$595$375$233$24
37 years$1,334$875$556$346$211$20
38 years$1,285$831$521$319$191$17
39 years$1,238$790$488$294$173$14
40 years$1,194$752$458$271$157$12
41 years$1,151$716$429$250$143$10
42 years$1,111$682$403$231$129$9
43 years$1,073$649$378$213$118$7
44 years$1,037$619$355$197$107$6
45 years$1,003$590$333$182$97$5
46 years$970$563$313$168$88$4
47 years$938$537$294$155$80$4
48 years$908$513$276$143$73$3
49 years$880$490$259$132$66$3
50 years$852$468$244$122$60$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $873,000, adding $4,719 every year, while hoping to spend $48,373 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: 49/29/22 Blend
39$873,000$873,000$873,000$873,000
40$966,914$920,645$907,113$1,008,085
41$1,014,070$914,288$886,033$1,030,854
42$1,064,416$905,998$862,625$1,050,311
43$1,118,224$895,630$836,761$1,070,451
44$1,175,796$883,029$808,306$1,091,359
45$1,237,461$868,031$777,117$1,113,130
46$1,303,580$850,462$743,049$1,135,874
47$1,374,550$830,140$705,946$1,159,714
48$1,450,806$806,869$665,647$1,184,788
49$1,532,826$780,443$621,984$1,211,255
50$1,621,134$750,645$574,781$1,239,291
51$1,716,307$717,243$523,853$1,269,095
52$1,818,976$679,994$469,008$1,300,890
53$1,929,837$638,639$410,045$1,334,929
54$2,049,654$592,906$346,755$1,371,493
55$2,179,265$542,505$278,918$1,410,898
56$2,319,594$487,132$206,306$1,453,498
57$2,471,655$426,464$128,680$1,499,687
58$2,636,564$360,161$45,790$1,549,908
59$2,815,546$287,861$0$1,604,654
60$3,009,951$209,186$0$1,674,494
61$3,221,263$123,733$0$1,762,147
62$3,451,114$31,078$0$1,857,606
63$3,701,301$0$0$1,961,703
64$3,973,798$0$0$2,097,454
65$4,270,782$0$0$2,256,297
66$4,594,646$0$0$2,429,607
67$4,948,023$0$0$2,618,804
68$5,333,813$0$0$2,825,453
69$5,755,209$0$0$3,051,275
70$6,215,723$0$0$3,298,166
71$6,719,224$0$0$3,568,213
72$7,269,972$0$0$3,863,715
73$7,872,656$0$0$4,187,201
74$8,532,439$0$0$4,541,459
75$9,255,009$0$0$4,929,557
76$10,046,627$0$0$5,354,874
77$10,914,190$0$0$5,821,132
78$11,865,292$0$0$6,332,431
79$12,908,300$0$0$6,893,284
80$14,052,425$0$0$7,508,666
81$15,307,818$0$0$8,184,052
82$16,685,654$0$0$8,925,478
83$18,198,248$0$0$9,739,588
84$19,859,162$0$0$10,633,705
85$21,683,337$0$0$11,615,893
86$23,687,232$0$0$12,695,037
87$25,888,978$0$0$13,880,925
88$28,308,551$0$0$15,184,339
89$30,967,955$0$0$16,617,160
90$33,891,434$0$0$18,192,476
91$37,105,697$0$0$19,924,705
92$40,640,172$0$0$21,829,734
93$44,527,278$0$0$23,925,066
94$48,802,736$0$0$26,229,987
95$53,505,901$0$0$28,765,743
96$58,680,136$0$0$31,555,745
97$64,373,217$0$0$34,625,789
98$70,637,785$0$0$38,004,295
99$77,531,841$0$0$41,722,579
100$85,119,295$0$0$45,815,145