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%19.4%
1 years$72,587$71,940$71,310$70,694$70,093$67,445
2 years$35,934$35,265$34,616$33,987$33,377$30,741
3 years$23,718$23,046$22,399$21,776$21,176$18,633
4 years$17,611$16,941$16,301$15,688$15,103$12,673
5 years$13,948$13,282$12,650$12,050$11,481$9,171
6 years$11,507$10,846$10,223$9,637$9,085$6,895
7 years$9,764$9,108$8,495$7,923$7,388$5,320
8 years$8,457$7,808$7,205$6,646$6,129$4,179
9 years$7,441$6,798$6,206$5,661$5,162$3,327
10 years$6,629$5,992$5,410$4,880$4,398$2,676
11 years$5,965$5,334$4,763$4,247$3,782$2,169
12 years$5,412$4,788$4,227$3,725$3,278$1,769
13 years$4,945$4,327$3,777$3,289$2,858$1,450
14 years$4,544$3,933$3,393$2,919$2,506$1,193
15 years$4,197$3,593$3,064$2,604$2,206$984
16 years$3,894$3,296$2,778$2,331$1,950$815
17 years$3,627$3,036$2,528$2,095$1,729$675
18 years$3,390$2,805$2,307$1,888$1,537$561
19 years$3,178$2,600$2,112$1,706$1,370$467
20 years$2,987$2,416$1,939$1,545$1,224$388
21 years$2,815$2,250$1,783$1,402$1,095$324
22 years$2,659$2,101$1,643$1,275$982$270
23 years$2,516$1,965$1,517$1,161$881$225
24 years$2,386$1,841$1,403$1,059$792$188
25 years$2,266$1,727$1,300$967$713$157
26 years$2,156$1,624$1,205$884$642$132
27 years$2,054$1,528$1,119$809$579$110
28 years$1,959$1,440$1,041$742$522$92
29 years$1,871$1,358$968$680$472$77
30 years$1,789$1,283$902$624$426$64
31 years$1,713$1,213$841$573$385$54
32 years$1,641$1,147$785$527$348$45
33 years$1,574$1,087$733$484$315$38
34 years$1,511$1,030$684$446$286$32
35 years$1,452$977$640$410$259$26
36 years$1,396$927$599$378$234$22
37 years$1,343$881$560$348$212$19
38 years$1,294$837$525$321$193$16
39 years$1,246$796$492$296$175$13
40 years$1,202$757$461$273$158$11
41 years$1,159$721$432$252$144$9
42 years$1,119$686$405$232$130$8
43 years$1,081$654$380$214$118$6
44 years$1,044$623$357$198$107$5
45 years$1,010$594$335$183$97$4
46 years$977$567$315$169$89$4
47 years$945$541$296$156$80$3
48 years$915$517$278$144$73$3
49 years$886$493$261$133$66$2
50 years$858$471$246$123$60$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $879,000, adding $3,472 every year, while hoping to spend $25,886 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: 74/5/21 Blend
39$879,000$879,000$879,000$879,000
40$972,239$925,652$912,028$1,039,030
41$1,043,865$943,467$915,038$1,101,672
42$1,121,929$961,287$917,282$1,166,827
43$1,207,061$979,085$918,706$1,237,569
44$1,299,953$996,832$919,254$1,314,449
45$1,401,368$1,014,496$918,869$1,398,074
46$1,512,145$1,032,044$917,489$1,489,115
47$1,633,209$1,049,439$915,049$1,588,308
48$1,765,575$1,066,640$911,483$1,696,468
49$1,910,365$1,083,607$906,719$1,814,489
50$2,068,812$1,100,293$900,683$1,943,359
51$2,242,274$1,116,650$893,299$2,084,166
52$2,432,245$1,132,626$884,484$2,238,109
53$2,640,373$1,148,164$874,153$2,406,510
54$2,868,472$1,163,204$862,218$2,590,825
55$3,118,538$1,177,683$848,584$2,792,660
56$3,392,771$1,191,532$833,154$3,013,783
57$3,693,595$1,204,679$815,826$3,256,145
58$4,023,678$1,217,044$796,493$3,521,895
59$4,385,960$1,228,545$775,041$3,813,400
60$4,783,677$1,239,094$751,355$4,133,273
61$5,220,399$1,248,596$725,312$4,484,389
62$5,700,052$1,256,950$696,782$4,869,920
63$6,226,966$1,264,049$665,633$5,293,361
64$6,805,909$1,269,780$631,724$5,758,565
65$7,442,134$1,274,021$594,909$6,269,776
66$8,141,427$1,276,643$555,034$6,831,674
67$8,910,164$1,277,510$511,939$7,449,416
68$9,755,369$1,276,477$465,458$8,128,686
69$10,684,781$1,273,388$415,414$8,875,750
70$11,706,925$1,268,081$361,627$9,697,512
71$12,831,195$1,260,381$303,906$10,601,582
72$14,067,941$1,250,103$242,050$11,596,346
73$15,428,566$1,237,053$175,854$12,691,050
74$16,925,633$1,221,023$105,099$13,895,881
75$18,572,988$1,201,793$29,560$15,222,067
76$20,385,882$1,179,131$0$16,681,985
77$22,381,123$1,152,789$0$18,300,712
78$24,577,228$1,122,506$0$20,089,654
79$26,994,603$1,088,007$0$22,058,805
80$29,655,731$1,048,997$0$24,226,483
81$32,585,386$1,005,168$0$26,612,875
82$35,810,866$956,192$0$29,240,224
83$39,362,251$901,722$0$32,133,042
84$43,272,685$841,391$0$35,318,337
85$47,578,691$774,811$0$38,825,872
86$52,320,514$701,573$0$42,688,443
87$57,542,500$621,244$0$46,942,193
88$63,293,515$533,365$0$51,626,944
89$69,627,407$437,453$0$56,786,583
90$76,603,511$332,997$0$62,469,470
91$84,287,212$219,457$0$68,728,896
92$92,750,560$96,263$0$75,623,585
93$102,072,951$0$0$83,218,252
94$112,341,873$0$0$91,586,253
95$123,653,735$0$0$100,810,022
96$136,114,777$0$0$110,970,898
97$149,842,069$0$0$122,164,348
98$164,964,617$0$0$134,495,575
99$181,624,583$0$0$148,080,506
100$199,978,622$0$0$163,046,891