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%16.9%
1 years$72,917$72,268$71,634$71,016$70,412$68,432
2 years$36,098$35,425$34,774$34,142$33,529$31,550
3 years$23,826$23,151$22,501$21,875$21,272$19,355
4 years$17,691$17,018$16,375$15,760$15,172$13,332
5 years$14,012$13,343$12,708$12,105$11,533$9,775
6 years$11,559$10,895$10,270$9,681$9,126$7,452
7 years$9,808$9,150$8,534$7,959$7,422$5,831
8 years$8,496$7,843$7,238$6,677$6,157$4,649
9 years$7,475$6,829$6,234$5,687$5,185$3,759
10 years$6,659$6,019$5,435$4,902$4,418$3,071
11 years$5,992$5,359$4,785$4,266$3,800$2,530
12 years$5,437$4,810$4,246$3,742$3,293$2,098
13 years$4,967$4,346$3,794$3,304$2,871$1,749
14 years$4,565$3,951$3,409$2,933$2,517$1,464
15 years$4,216$3,609$3,078$2,615$2,216$1,230
16 years$3,912$3,311$2,790$2,342$1,959$1,036
17 years$3,644$3,050$2,539$2,104$1,737$875
18 years$3,405$2,818$2,318$1,896$1,544$740
19 years$3,192$2,612$2,122$1,713$1,376$628
20 years$3,001$2,427$1,947$1,552$1,229$533
21 years$2,828$2,261$1,791$1,408$1,100$453
22 years$2,671$2,110$1,651$1,281$986$385
23 years$2,528$1,974$1,524$1,166$885$328
24 years$2,397$1,849$1,410$1,064$796$279
25 years$2,277$1,735$1,306$971$716$238
26 years$2,166$1,631$1,211$888$645$203
27 years$2,063$1,535$1,124$813$581$173
28 years$1,968$1,446$1,045$745$525$148
29 years$1,880$1,364$973$683$474$126
30 years$1,797$1,289$906$627$428$108
31 years$1,721$1,218$845$576$387$92
32 years$1,649$1,153$788$529$350$79
33 years$1,581$1,092$736$487$317$67
34 years$1,518$1,034$688$448$287$57
35 years$1,459$981$643$412$260$49
36 years$1,402$931$601$380$235$42
37 years$1,349$885$563$350$213$36
38 years$1,299$841$527$322$193$31
39 years$1,252$799$494$297$175$26
40 years$1,207$761$463$274$159$22
41 years$1,165$724$434$253$144$19
42 years$1,124$689$407$233$131$16
43 years$1,086$657$382$215$119$14
44 years$1,049$626$359$199$108$12
45 years$1,014$597$337$184$98$10
46 years$981$570$316$170$89$9
47 years$949$544$297$157$81$8
48 years$919$519$279$145$73$6
49 years$890$496$262$134$67$6
50 years$862$473$247$124$60$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $883,000, adding $5,729 every year, while hoping to spend $34,331 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: 29/45/26 Blend
39$883,000$883,000$883,000$883,000
40$978,975$932,176$918,490$999,346
41$1,042,303$941,325$912,731$1,024,916
42$1,110,939$949,772$905,629$1,048,999
43$1,185,390$957,445$897,103$1,074,194
44$1,266,210$964,270$887,066$1,100,622
45$1,354,011$970,167$875,430$1,128,414
46$1,449,465$975,050$862,102$1,157,721
47$1,553,311$978,829$846,983$1,188,711
48$1,666,364$981,406$829,973$1,221,570
49$1,789,519$982,681$810,962$1,256,508
50$1,923,761$982,543$789,841$1,293,757
51$2,070,175$980,878$766,490$1,333,579
52$2,229,954$977,562$740,789$1,376,264
53$2,404,411$972,465$712,608$1,422,137
54$2,594,994$965,449$681,813$1,471,557
55$2,803,295$956,367$648,265$1,524,928
56$3,031,066$945,063$611,816$1,582,696
57$3,280,237$931,374$572,315$1,645,360
58$3,552,934$915,124$529,600$1,713,474
59$3,851,496$896,128$483,505$1,787,653
60$4,178,501$874,191$433,855$1,868,582
61$4,536,786$849,105$380,467$1,957,020
62$4,929,477$820,649$323,151$2,053,811
63$5,360,016$788,593$261,708$2,159,893
64$5,832,192$752,689$195,931$2,276,306
65$6,350,183$712,678$125,601$2,404,201
66$6,918,587$668,284$50,494$2,544,860
67$7,542,469$619,216$0$2,699,699
68$8,227,410$565,167$0$2,878,519
69$8,979,557$505,812$0$3,090,317
70$9,805,681$440,806$0$3,323,072
71$10,713,241$369,786$0$3,578,996
72$11,710,455$292,368$0$3,860,533
73$12,806,375$208,148$0$4,170,383
74$14,010,975$116,697$0$4,511,533
75$15,335,242$17,562$0$4,887,279
76$16,791,281$0$0$5,301,263
77$18,392,429$0$0$5,801,943
78$20,153,381$0$0$6,362,317
79$22,090,324$0$0$6,978,859
80$24,221,097$0$0$7,657,267
81$26,565,351$0$0$8,403,820
82$29,144,741$0$0$9,225,434
83$31,983,126$0$0$10,129,733
84$35,106,792$0$0$11,125,114
85$38,544,706$0$0$12,220,832
86$42,328,784$0$0$13,427,083
87$46,494,191$0$0$14,755,103
88$51,079,679$0$0$16,217,272
89$56,127,943$0$0$17,827,233
90$61,686,031$0$0$19,600,018
91$67,805,785$0$0$21,552,190
92$74,544,329$0$0$23,702,003
93$81,964,609$0$0$26,069,568
94$90,135,985$0$0$28,677,049
95$99,134,887$0$0$31,548,867
96$109,045,536$0$0$34,711,933
97$119,960,736$0$0$38,195,903
98$131,982,752$0$0$42,033,452
99$145,224,274$0$0$46,260,591
100$159,809,477$0$0$50,917,000