Can I retire at age 40 with 883,000?

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 $883,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.9%
1 years$72,917$72,268$71,634$71,016$70,412$68,709
2 years$36,098$35,425$34,774$34,142$33,529$31,825
3 years$23,826$23,151$22,501$21,875$21,272$19,618
4 years$17,691$17,018$16,375$15,760$15,172$13,581
5 years$14,012$13,343$12,708$12,105$11,533$10,011
6 years$11,559$10,895$10,270$9,681$9,126$7,673
7 years$9,808$9,150$8,534$7,959$7,422$6,038
8 years$8,496$7,843$7,238$6,677$6,157$4,843
9 years$7,475$6,829$6,234$5,687$5,185$3,939
10 years$6,659$6,019$5,435$4,902$4,418$3,238
11 years$5,992$5,359$4,785$4,266$3,800$2,685
12 years$5,437$4,810$4,246$3,742$3,293$2,241
13 years$4,967$4,346$3,794$3,304$2,871$1,881
14 years$4,565$3,951$3,409$2,933$2,517$1,585
15 years$4,216$3,609$3,078$2,615$2,216$1,341
16 years$3,912$3,311$2,790$2,342$1,959$1,138
17 years$3,644$3,050$2,539$2,104$1,737$968
18 years$3,405$2,818$2,318$1,896$1,544$825
19 years$3,192$2,612$2,122$1,713$1,376$705
20 years$3,001$2,427$1,947$1,552$1,229$603
21 years$2,828$2,261$1,791$1,408$1,100$516
22 years$2,671$2,110$1,651$1,281$986$442
23 years$2,528$1,974$1,524$1,166$885$380
24 years$2,397$1,849$1,410$1,064$796$326
25 years$2,277$1,735$1,306$971$716$280
26 years$2,166$1,631$1,211$888$645$241
27 years$2,063$1,535$1,124$813$581$207
28 years$1,968$1,446$1,045$745$525$178
29 years$1,880$1,364$973$683$474$153
30 years$1,797$1,289$906$627$428$132
31 years$1,721$1,218$845$576$387$114
32 years$1,649$1,153$788$529$350$98
33 years$1,581$1,092$736$487$317$85
34 years$1,518$1,034$688$448$287$73
35 years$1,459$981$643$412$260$63
36 years$1,402$931$601$380$235$54
37 years$1,349$885$563$350$213$47
38 years$1,299$841$527$322$193$40
39 years$1,252$799$494$297$175$35
40 years$1,207$761$463$274$159$30
41 years$1,165$724$434$253$144$26
42 years$1,124$689$407$233$131$22
43 years$1,086$657$382$215$119$19
44 years$1,049$626$359$199$108$17
45 years$1,014$597$337$184$98$14
46 years$981$570$316$170$89$12
47 years$949$544$297$157$81$11
48 years$919$519$279$145$73$9
49 years$890$496$262$134$67$8
50 years$862$473$247$124$60$7

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $883,000, adding $6,799 every year, while hoping to spend $52,946 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: 58/23/19 Blend
39$883,000$883,000$883,000$883,000
40$980,079$933,280$919,594$1,031,637
41$1,023,713$922,677$894,066$1,056,820
42$1,070,023$909,779$865,908$1,077,915
43$1,119,226$894,419$834,977$1,099,725
44$1,171,560$876,419$801,122$1,122,328
45$1,227,285$855,589$764,185$1,145,816
46$1,286,684$831,729$724,001$1,170,289
47$1,350,070$804,628$680,400$1,195,861
48$1,417,784$774,061$633,200$1,222,662
49$1,490,200$739,792$582,214$1,250,837
50$1,567,728$701,570$527,246$1,280,549
51$1,650,818$659,128$468,090$1,311,981
52$1,739,964$612,188$404,533$1,345,339
53$1,835,706$560,451$336,351$1,380,854
54$1,938,640$503,605$263,311$1,418,785
55$2,049,417$441,317$185,167$1,459,420
56$2,168,754$373,238$101,667$1,503,084
57$2,297,437$298,997$12,543$1,550,138
58$2,436,332$218,204$0$1,600,985
59$2,586,387$130,446$0$1,672,816
60$2,748,647$35,286$0$1,753,196
61$2,924,258$0$0$1,840,201
62$3,114,483$0$0$1,951,664
63$3,320,706$0$0$2,082,245
64$3,544,453$0$0$2,223,989
65$3,787,402$0$0$2,377,965
66$4,051,395$0$0$2,545,351
67$4,338,463$0$0$2,727,443
68$4,650,837$0$0$2,925,666
69$4,990,974$0$0$3,141,589
70$5,361,576$0$0$3,376,937
71$5,765,617$0$0$3,633,610
72$6,206,371$0$0$3,913,698
73$6,687,441$0$0$4,219,504
74$7,212,792$0$0$4,553,560
75$7,786,791$0$0$4,918,655
76$8,414,244$0$0$5,317,860
77$9,100,443$0$0$5,754,556
78$9,851,215$0$0$6,232,463
79$10,672,975$0$0$6,755,682
80$11,572,789$0$0$7,328,726
81$12,558,435$0$0$7,956,565
82$13,638,481$0$0$8,644,674
83$14,822,363$0$0$9,399,080
84$16,120,473$0$0$10,226,425
85$17,544,257$0$0$11,134,020
86$19,106,321$0$0$12,129,923
87$20,820,550$0$0$13,223,004
88$22,702,240$0$0$14,423,039
89$24,768,240$0$0$15,740,792
90$27,037,108$0$0$17,188,125
91$29,529,290$0$0$18,778,101
92$32,267,308$0$0$20,525,113
93$35,275,974$0$0$22,445,018
94$38,582,622$0$0$24,555,283
95$42,217,365$0$0$26,875,152
96$46,213,381$0$0$29,425,828
97$50,607,221$0$0$32,230,669
98$55,439,154$0$0$35,315,411
99$60,753,550$0$0$38,708,410
100$66,599,291$0$0$42,440,905