Can I retire at age 40 with 886,000?

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 $886,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.4%
1 years$73,165$72,513$71,877$71,257$70,651$69,653
2 years$36,220$35,546$34,892$34,258$33,643$32,639
3 years$23,907$23,230$22,577$21,950$21,345$20,367
4 years$17,752$17,076$16,431$15,813$15,223$14,278
5 years$14,059$13,388$12,751$12,146$11,572$10,663
6 years$11,599$10,932$10,305$9,713$9,157$8,285
7 years$9,842$9,181$8,563$7,986$7,447$6,612
8 years$8,524$7,870$7,262$6,699$6,178$5,381
9 years$7,501$6,852$6,255$5,706$5,203$4,442
10 years$6,682$6,040$5,453$4,919$4,433$3,709
11 years$6,013$5,377$4,801$4,281$3,813$3,124
12 years$5,455$4,826$4,261$3,755$3,304$2,650
13 years$4,984$4,361$3,807$3,315$2,881$2,261
14 years$4,580$3,964$3,420$2,943$2,526$1,938
15 years$4,231$3,621$3,088$2,624$2,224$1,668
16 years$3,925$3,323$2,800$2,350$1,965$1,441
17 years$3,656$3,060$2,548$2,111$1,743$1,248
18 years$3,417$2,828$2,326$1,903$1,549$1,083
19 years$3,203$2,621$2,129$1,719$1,381$942
20 years$3,011$2,435$1,954$1,557$1,234$821
21 years$2,838$2,268$1,797$1,413$1,104$717
22 years$2,680$2,117$1,656$1,285$989$626
23 years$2,536$1,980$1,529$1,170$888$548
24 years$2,405$1,855$1,414$1,067$798$480
25 years$2,284$1,741$1,310$975$718$421
26 years$2,173$1,636$1,215$891$647$369
27 years$2,070$1,540$1,128$816$583$324
28 years$1,975$1,451$1,049$747$526$284
29 years$1,886$1,369$976$685$475$250
30 years$1,804$1,293$909$629$430$220
31 years$1,726$1,222$848$578$388$193
32 years$1,654$1,156$791$531$351$170
33 years$1,587$1,095$738$488$318$150
34 years$1,523$1,038$690$449$288$132
35 years$1,463$985$645$414$261$116
36 years$1,407$934$603$381$236$102
37 years$1,354$888$565$351$214$90
38 years$1,304$843$529$323$194$79
39 years$1,256$802$496$298$176$70
40 years$1,211$763$464$275$160$61
41 years$1,169$726$435$254$145$54
42 years$1,128$692$409$234$131$48
43 years$1,089$659$383$216$119$42
44 years$1,053$628$360$200$108$37
45 years$1,018$599$338$184$98$33
46 years$984$572$317$170$89$29
47 years$952$545$298$157$81$25
48 years$922$521$280$145$74$22
49 years$893$497$263$134$67$20
50 years$865$475$248$124$61$17

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $886,000, adding $4,411 every year, while hoping to spend $20,094 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: 54/40/6 Blend
39$886,000$886,000$886,000$886,000
40$980,922$933,964$920,231$1,032,333
41$1,059,596$958,348$929,679$1,091,956
42$1,145,622$983,254$938,770$1,154,214
43$1,239,727$1,008,686$947,471$1,221,478
44$1,342,715$1,034,647$955,746$1,294,226
45$1,455,468$1,061,141$963,560$1,372,981
46$1,578,959$1,088,170$970,873$1,458,322
47$1,714,261$1,115,738$977,645$1,550,885
48$1,862,552$1,143,845$983,832$1,651,369
49$2,025,131$1,172,493$989,390$1,760,547
50$2,203,431$1,201,682$994,271$1,879,266
51$2,399,027$1,231,410$998,425$2,008,461
52$2,613,655$1,261,677$1,001,800$2,149,162
53$2,849,229$1,292,480$1,004,341$2,302,502
54$3,107,853$1,323,815$1,005,990$2,469,729
55$3,391,850$1,355,677$1,006,686$2,652,220
56$3,703,774$1,388,061$1,006,365$2,851,488
57$4,046,443$1,420,959$1,004,962$3,069,203
58$4,422,957$1,454,364$1,002,405$3,307,201
59$4,836,735$1,488,264$998,622$3,567,510
60$5,291,541$1,522,648$993,535$3,852,358
61$5,791,524$1,557,503$987,064$4,164,205
62$6,341,252$1,592,813$979,124$4,505,757
63$6,945,761$1,628,562$969,625$4,879,999
64$7,610,597$1,664,731$958,477$5,290,216
65$8,341,873$1,701,297$945,580$5,740,033
66$9,146,320$1,738,237$930,834$6,233,438
67$10,031,359$1,775,525$914,131$6,774,829
68$11,005,164$1,813,132$895,360$7,369,053
69$12,076,741$1,851,026$874,405$8,021,447
70$13,256,014$1,889,171$851,143$8,737,895
71$14,553,917$1,927,530$825,446$9,524,880
72$15,982,498$1,966,061$797,180$10,389,546
73$17,555,034$2,004,719$766,207$11,339,765
74$19,286,151$2,043,454$732,378$12,384,214
75$21,191,968$2,082,213$695,543$13,532,450
76$23,290,245$2,120,937$655,540$14,795,009
77$25,600,553$2,159,566$612,203$16,183,501
78$28,144,455$2,198,030$565,357$17,710,719
79$30,945,713$2,236,257$514,820$19,390,761
80$34,030,511$2,274,169$460,402$21,239,163
81$37,427,701$2,311,682$401,904$23,273,049
82$41,169,076$2,348,703$339,117$25,511,286
83$45,289,669$2,385,137$271,825$27,974,668
84$49,828,085$2,420,879$199,801$30,686,109
85$54,826,864$2,455,816$122,808$33,670,864
86$60,332,883$2,489,830$40,601$36,956,762
87$66,397,796$2,522,790$0$40,574,472
88$73,078,525$2,554,561$0$44,560,811
89$80,437,796$2,584,996$0$48,952,979
90$88,544,728$2,613,938$0$53,789,440
91$97,475,489$2,641,219$0$59,115,449
92$107,314,012$2,666,662$0$64,980,880
93$118,152,790$2,690,077$0$71,440,693
94$130,093,744$2,711,260$0$78,555,454
95$143,249,191$2,729,997$0$86,391,910
96$157,742,898$2,746,057$0$95,023,618
97$173,711,256$2,759,196$0$104,531,636
98$191,304,562$2,769,154$0$115,005,295
99$210,688,440$2,775,656$0$126,543,039
100$232,045,404$2,778,406$0$139,253,354