Can I retire at age 40 with 884,000?

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 $884,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.9%
1 years$73,000$72,350$71,715$71,096$70,491$67,695
2 years$36,139$35,466$34,813$34,181$33,567$30,784
3 years$23,853$23,177$22,526$21,900$21,296$18,615
4 years$17,712$17,038$16,393$15,778$15,189$12,629
5 years$14,028$13,358$12,722$12,119$11,546$9,115
6 years$11,572$10,908$10,281$9,691$9,136$6,834
7 years$9,819$9,160$8,544$7,968$7,430$5,257
8 years$8,505$7,852$7,246$6,684$6,164$4,118
9 years$7,484$6,837$6,241$5,693$5,191$3,269
10 years$6,667$6,026$5,441$4,908$4,423$2,621
11 years$5,999$5,365$4,790$4,271$3,804$2,117
12 years$5,443$4,815$4,251$3,746$3,296$1,721
13 years$4,973$4,351$3,798$3,308$2,875$1,406
14 years$4,570$3,955$3,413$2,936$2,520$1,152
15 years$4,221$3,613$3,081$2,618$2,219$948
16 years$3,916$3,315$2,793$2,345$1,961$781
17 years$3,648$3,053$2,542$2,107$1,739$645
18 years$3,409$2,821$2,320$1,898$1,546$534
19 years$3,196$2,615$2,124$1,715$1,378$442
20 years$3,004$2,430$1,950$1,554$1,231$367
21 years$2,831$2,263$1,793$1,410$1,101$305
22 years$2,674$2,113$1,653$1,282$987$253
23 years$2,531$1,976$1,526$1,168$886$211
24 years$2,400$1,851$1,411$1,065$797$175
25 years$2,279$1,737$1,307$973$717$146
26 years$2,168$1,633$1,212$889$646$121
27 years$2,065$1,537$1,126$814$582$101
28 years$1,970$1,448$1,047$746$525$84
29 years$1,882$1,366$974$684$474$70
30 years$1,799$1,290$907$628$429$58
31 years$1,723$1,219$846$576$387$49
32 years$1,651$1,154$789$530$350$41
33 years$1,583$1,093$737$487$317$34
34 years$1,520$1,036$688$448$287$28
35 years$1,460$982$644$413$260$24
36 years$1,404$932$602$380$236$20
37 years$1,351$886$563$350$214$16
38 years$1,301$842$528$323$194$14
39 years$1,253$800$494$298$176$11
40 years$1,209$761$463$274$159$9
41 years$1,166$725$435$253$144$8
42 years$1,125$690$408$234$131$7
43 years$1,087$658$382$216$119$5
44 years$1,050$627$359$199$108$5
45 years$1,015$598$337$184$98$4
46 years$982$570$317$170$89$3
47 years$950$544$297$157$81$3
48 years$920$520$280$145$73$2
49 years$891$496$263$134$67$2
50 years$863$474$247$124$61$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $884,000, adding $3,298 every year, while hoping to spend $36,109 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: 38/37/25 Blend
39$884,000$884,000$884,000$884,000
40$977,570$930,718$917,016$1,007,319
41$1,038,862$937,903$909,316$1,036,514
42$1,105,196$944,231$900,148$1,064,459
43$1,177,048$949,620$889,425$1,093,950
44$1,254,941$953,985$877,055$1,125,150
45$1,339,451$957,236$862,942$1,158,242
46$1,431,211$959,277$846,986$1,193,426
47$1,530,917$960,004$829,083$1,230,928
48$1,639,335$959,309$809,122$1,270,997
49$1,757,308$957,076$786,989$1,313,912
50$1,885,764$953,183$762,563$1,359,984
51$2,025,722$947,499$735,719$1,409,555
52$2,178,306$939,887$706,326$1,463,009
53$2,344,751$930,199$674,246$1,520,772
54$2,526,417$918,280$639,335$1,583,315
55$2,724,802$903,967$601,443$1,651,164
56$2,941,555$887,084$560,414$1,724,899
57$3,178,489$867,446$516,083$1,805,167
58$3,437,602$844,858$468,279$1,892,685
59$3,721,095$819,113$416,824$1,988,247
60$4,031,388$789,992$361,529$2,092,734
61$4,371,150$757,262$302,201$2,207,123
62$4,743,318$720,678$238,635$2,332,495
63$5,151,125$679,980$170,618$2,470,050
64$5,598,134$634,894$97,928$2,621,115
65$6,088,269$585,129$20,334$2,787,161
66$6,625,849$530,377$0$2,969,816
67$7,215,636$470,315$0$3,187,546
68$7,862,869$404,599$0$3,432,551
69$8,573,325$332,867$0$3,701,681
70$9,353,362$254,737$0$3,997,447
71$10,209,989$169,802$0$4,322,629
72$11,150,923$77,638$0$4,680,290
73$12,184,668$0$0$5,073,816
74$13,320,589$0$0$5,515,986
75$14,569,006$0$0$6,036,816
76$15,941,288$0$0$6,609,454
77$17,449,959$0$0$7,239,142
78$19,108,819$0$0$7,931,658
79$20,933,069$0$0$8,693,365
80$22,939,461$0$0$9,531,276
81$25,146,448$0$0$10,453,115
82$27,574,363$0$0$11,467,397
83$30,245,609$0$0$12,583,499
84$33,184,870$0$0$13,811,756
85$36,419,343$0$0$15,163,555
86$39,978,995$0$0$16,651,442
87$43,896,846$0$0$18,289,241
88$48,209,277$0$0$20,092,185
89$52,956,377$0$0$22,077,059
90$58,182,319$0$0$24,262,357
91$63,935,775$0$0$26,668,459
92$70,270,378$0$0$29,317,821
93$77,245,224$0$0$32,235,187
94$84,925,434$0$0$35,447,822
95$93,382,763$0$0$38,985,774
96$102,696,280$0$0$42,882,147
97$112,953,112$0$0$47,173,426
98$124,249,269$0$0$51,899,809
99$136,690,544$0$0$57,105,597
100$150,393,516$0$0$62,839,603