Can I retire at age 40 with 879,000?

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 $879,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.1%
1 years$72,587$71,940$71,310$70,694$70,093$68,903
2 years$35,934$35,265$34,616$33,987$33,377$32,183
3 years$23,718$23,046$22,399$21,776$21,176$20,013
4 years$17,611$16,941$16,301$15,688$15,103$13,981
5 years$13,948$13,282$12,650$12,050$11,481$10,403
6 years$11,507$10,846$10,223$9,637$9,085$8,052
7 years$9,764$9,108$8,495$7,923$7,388$6,401
8 years$8,457$7,808$7,205$6,646$6,129$5,188
9 years$7,441$6,798$6,206$5,661$5,162$4,265
10 years$6,629$5,992$5,410$4,880$4,398$3,546
11 years$5,965$5,334$4,763$4,247$3,782$2,974
12 years$5,412$4,788$4,227$3,725$3,278$2,511
13 years$4,945$4,327$3,777$3,289$2,858$2,133
14 years$4,544$3,933$3,393$2,919$2,506$1,820
15 years$4,197$3,593$3,064$2,604$2,206$1,559
16 years$3,894$3,296$2,778$2,331$1,950$1,340
17 years$3,627$3,036$2,528$2,095$1,729$1,154
18 years$3,390$2,805$2,307$1,888$1,537$997
19 years$3,178$2,600$2,112$1,706$1,370$863
20 years$2,987$2,416$1,939$1,545$1,224$748
21 years$2,815$2,250$1,783$1,402$1,095$649
22 years$2,659$2,101$1,643$1,275$982$565
23 years$2,516$1,965$1,517$1,161$881$491
24 years$2,386$1,841$1,403$1,059$792$428
25 years$2,266$1,727$1,300$967$713$373
26 years$2,156$1,624$1,205$884$642$325
27 years$2,054$1,528$1,119$809$579$284
28 years$1,959$1,440$1,041$742$522$248
29 years$1,871$1,358$968$680$472$217
30 years$1,789$1,283$902$624$426$189
31 years$1,713$1,213$841$573$385$166
32 years$1,641$1,147$785$527$348$145
33 years$1,574$1,087$733$484$315$127
34 years$1,511$1,030$684$446$286$111
35 years$1,452$977$640$410$259$97
36 years$1,396$927$599$378$234$85
37 years$1,343$881$560$348$212$74
38 years$1,294$837$525$321$193$65
39 years$1,246$796$492$296$175$57
40 years$1,202$757$461$273$158$50
41 years$1,159$721$432$252$144$44
42 years$1,119$686$405$232$130$38
43 years$1,081$654$380$214$118$34
44 years$1,044$623$357$198$107$29
45 years$1,010$594$335$183$97$26
46 years$977$567$315$169$89$23
47 years$945$541$296$156$80$20
48 years$915$517$278$144$73$17
49 years$886$493$261$133$66$15
50 years$858$471$246$123$60$13

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $879,000, adding $5,183 every year, while hoping to spend $21,245 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: 35/50/15 Blend
39$879,000$879,000$879,000$879,000
40$974,004$927,417$913,793$1,003,416
41$1,050,748$950,256$921,800$1,048,059
42$1,134,608$973,502$929,364$1,093,816
43$1,226,287$997,153$936,447$1,142,727
44$1,326,560$1,021,205$943,009$1,195,084
45$1,436,279$1,045,654$949,010$1,251,207
46$1,556,383$1,070,494$954,405$1,311,449
47$1,687,906$1,095,721$959,150$1,376,199
48$1,831,987$1,121,326$963,196$1,445,884
49$1,989,880$1,147,301$966,494$1,520,976
50$2,162,965$1,173,636$968,988$1,601,994
51$2,352,763$1,200,320$970,626$1,689,511
52$2,560,951$1,227,341$971,347$1,784,156
53$2,789,371$1,254,684$971,091$1,886,625
54$3,040,057$1,282,334$969,793$1,997,683
55$3,315,248$1,310,274$967,386$2,118,175
56$3,617,409$1,338,483$963,799$2,249,030
57$3,949,257$1,366,940$958,958$2,391,273
58$4,313,783$1,395,623$952,785$2,546,034
59$4,714,285$1,424,504$945,199$2,714,559
60$5,154,394$1,453,557$936,115$2,898,219
61$5,638,110$1,482,749$925,443$3,098,529
62$6,169,841$1,512,048$913,090$3,317,156
63$6,754,444$1,541,416$898,956$3,555,939
64$7,397,266$1,570,815$882,941$3,816,905
65$8,104,204$1,600,202$864,936$4,102,288
66$8,881,750$1,629,529$844,829$4,414,550
67$9,737,060$1,658,748$822,502$4,756,408
68$10,678,017$1,687,803$797,833$5,130,854
69$11,713,307$1,716,637$770,692$5,541,188
70$12,852,499$1,745,187$740,945$5,991,048
71$14,106,138$1,773,385$708,451$6,484,444
72$15,485,843$1,801,160$673,063$7,025,796
73$17,004,416$1,828,434$634,627$7,619,978
74$18,675,962$1,855,123$592,983$8,272,361
75$20,516,025$1,881,138$547,962$8,988,868
76$22,541,730$1,906,384$499,389$9,776,027
77$24,771,948$1,930,759$447,081$10,641,035
78$27,227,474$1,954,154$390,846$11,591,826
79$29,931,221$1,976,452$330,483$12,637,145
80$32,908,436$1,997,528$265,785$13,786,633
81$36,186,940$2,017,251$196,532$15,050,916
82$39,797,389$2,035,478$122,498$16,441,710
83$43,773,565$2,052,058$43,443$17,971,927
84$48,152,692$2,066,832$0$19,655,804
85$52,975,787$2,079,627$0$21,515,580
86$58,288,051$2,090,263$0$23,569,848
87$64,139,291$2,098,545$0$25,830,757
88$70,584,392$2,104,267$0$28,319,368
89$77,683,834$2,107,210$0$31,058,892
90$85,504,264$2,107,143$0$34,074,913
91$94,119,124$2,103,817$0$37,395,628
92$103,609,342$2,096,972$0$41,052,113
93$114,064,100$2,086,328$0$45,078,619
94$125,581,671$2,071,591$0$49,512,896
95$138,270,349$2,052,447$0$54,396,548
96$152,249,473$2,028,565$0$59,775,428
97$167,650,546$1,999,592$0$65,700,074
98$184,618,486$1,965,155$0$72,226,183
99$203,312,984$1,924,861$0$79,415,142
100$223,910,018$1,878,289$0$87,334,605