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%17.2%
1 years$72,092$71,449$70,823$70,211$69,614$67,575
2 years$35,689$35,024$34,380$33,755$33,150$31,112
3 years$23,556$22,889$22,246$21,627$21,031$19,059
4 years$17,491$16,826$16,190$15,581$15,000$13,108
5 years$13,853$13,191$12,564$11,968$11,403$9,596
6 years$11,428$10,772$10,153$9,571$9,023$7,303
7 years$9,697$9,046$8,437$7,869$7,338$5,705
8 years$8,399$7,754$7,156$6,601$6,087$4,541
9 years$7,390$6,751$6,163$5,623$5,126$3,664
10 years$6,584$5,951$5,373$4,847$4,368$2,988
11 years$5,924$5,298$4,730$4,218$3,757$2,457
12 years$5,375$4,755$4,198$3,700$3,255$2,033
13 years$4,911$4,297$3,751$3,266$2,839$1,691
14 years$4,513$3,906$3,370$2,900$2,488$1,413
15 years$4,169$3,568$3,043$2,586$2,191$1,185
16 years$3,868$3,274$2,759$2,315$1,936$996
17 years$3,602$3,015$2,510$2,080$1,717$839
18 years$3,367$2,786$2,292$1,875$1,527$708
19 years$3,156$2,582$2,098$1,694$1,361$599
20 years$2,967$2,399$1,925$1,534$1,215$507
21 years$2,796$2,235$1,771$1,392$1,088$430
22 years$2,641$2,086$1,632$1,266$975$365
23 years$2,499$1,951$1,507$1,153$875$310
24 years$2,370$1,828$1,394$1,052$787$264
25 years$2,251$1,716$1,291$960$708$224
26 years$2,141$1,612$1,197$878$638$191
27 years$2,040$1,517$1,112$804$575$162
28 years$1,946$1,430$1,033$736$519$138
29 years$1,858$1,349$962$675$468$118
30 years$1,777$1,274$896$620$423$100
31 years$1,701$1,204$835$569$383$85
32 years$1,630$1,140$779$523$346$73
33 years$1,563$1,079$728$481$313$62
34 years$1,501$1,023$680$443$284$53
35 years$1,442$970$636$407$257$45
36 years$1,387$921$595$375$233$38
37 years$1,334$875$556$346$211$33
38 years$1,285$831$521$319$191$28
39 years$1,238$790$488$294$173$24
40 years$1,194$752$458$271$157$20
41 years$1,151$716$429$250$143$17
42 years$1,111$682$403$231$129$15
43 years$1,073$649$378$213$118$13
44 years$1,037$619$355$197$107$11
45 years$1,003$590$333$182$97$9
46 years$970$563$313$168$88$8
47 years$938$537$294$155$80$7
48 years$908$513$276$143$73$6
49 years$880$490$259$132$66$5
50 years$852$468$244$122$60$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $873,000, adding $2,699 every year, while hoping to spend $24,250 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: 64/20/16 Blend
39$873,000$873,000$873,000$873,000
40$964,830$918,561$905,030$1,022,621
41$1,037,441$937,769$909,546$1,080,908
42$1,116,645$957,105$913,401$1,141,529
43$1,203,090$976,550$916,547$1,207,164
44$1,297,488$996,083$918,934$1,278,303
45$1,400,622$1,015,682$920,509$1,355,485
46$1,513,355$1,035,320$921,216$1,439,305
47$1,636,639$1,054,972$920,998$1,530,418
48$1,771,518$1,074,608$919,793$1,629,545
49$1,919,145$1,094,196$917,539$1,737,481
50$2,080,788$1,113,702$914,167$1,855,104
51$2,257,845$1,133,090$909,608$1,983,378
52$2,451,853$1,152,319$903,787$2,123,369
53$2,664,507$1,171,347$896,629$2,276,250
54$2,897,672$1,190,129$888,052$2,443,314
55$3,153,404$1,208,614$877,971$2,625,985
56$3,433,966$1,226,751$866,297$2,825,835
57$3,741,850$1,244,482$852,938$3,044,596
58$4,079,805$1,261,747$837,797$3,284,174
59$4,450,853$1,278,481$820,772$3,546,673
60$4,858,328$1,294,614$801,755$3,834,411
61$5,305,900$1,310,073$780,637$4,149,944
62$5,797,613$1,324,779$757,300$4,496,087
63$6,337,923$1,338,645$731,622$4,875,945
64$6,931,735$1,351,584$703,476$5,292,939
65$7,584,458$1,363,497$672,728$5,750,840
66$8,302,048$1,374,284$639,240$6,253,805
67$9,091,068$1,383,834$602,865$6,806,415
68$9,958,746$1,392,032$563,451$7,413,720
69$10,913,051$1,398,753$520,839$8,081,287
70$11,962,757$1,403,868$474,862$8,815,250
71$13,117,536$1,407,235$425,347$9,622,372
72$14,388,041$1,408,706$372,113$10,510,105
73$15,786,013$1,408,124$314,970$11,486,666
74$17,324,384$1,405,320$253,720$12,561,109
75$19,017,408$1,400,117$188,156$13,743,413
76$20,880,787$1,392,326$118,063$15,044,580
77$22,931,824$1,381,747$43,215$16,476,732
78$25,189,585$1,368,168$0$18,053,235
79$27,675,077$1,351,362$0$19,795,074
80$30,411,448$1,331,092$0$21,720,505
81$33,424,204$1,307,104$0$23,840,078
82$36,741,452$1,279,131$0$26,173,558
83$40,394,160$1,246,888$0$28,742,730
84$44,416,454$1,210,076$0$31,571,596
85$48,845,938$1,168,375$0$34,686,612
86$53,724,048$1,121,450$0$38,116,931
87$59,096,444$1,068,944$0$41,894,680
88$65,013,440$1,010,481$0$46,055,265
89$71,530,477$945,661$0$50,637,705
90$78,708,651$874,063$0$55,685,001
91$86,615,283$795,242$0$61,244,538
92$95,324,560$708,727$0$67,368,541
93$104,918,231$614,020$0$74,114,560
94$115,486,379$510,596$0$81,546,018
95$127,128,272$397,897$0$89,732,812
96$139,953,300$275,339$0$98,751,966
97$154,082,007$142,300$0$108,688,369
98$169,647,225$0$0$119,635,567
99$186,795,335$0$0$131,697,065
100$205,687,641$0$0$145,019,983