Can I retire at age 40 with 886,000?

Use the below retirement simulation to view the chances of a successful retirement.
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%18.9%
1 years$73,165$72,513$71,877$71,257$70,651$68,117
2 years$36,220$35,546$34,892$34,258$33,643$31,118
3 years$23,907$23,230$22,577$21,950$21,345$18,907
4 years$17,752$17,076$16,431$15,813$15,223$12,892
5 years$14,059$13,388$12,751$12,146$11,572$9,354
6 years$11,599$10,932$10,305$9,713$9,157$7,052
7 years$9,842$9,181$8,563$7,986$7,447$5,456
8 years$8,524$7,870$7,262$6,699$6,178$4,299
9 years$7,501$6,852$6,255$5,706$5,203$3,434
10 years$6,682$6,040$5,453$4,919$4,433$2,770
11 years$6,013$5,377$4,801$4,281$3,813$2,253
12 years$5,455$4,826$4,261$3,755$3,304$1,844
13 years$4,984$4,361$3,807$3,315$2,881$1,516
14 years$4,580$3,964$3,420$2,943$2,526$1,252
15 years$4,231$3,621$3,088$2,624$2,224$1,037
16 years$3,925$3,323$2,800$2,350$1,965$861
17 years$3,656$3,060$2,548$2,111$1,743$716
18 years$3,417$2,828$2,326$1,903$1,549$597
19 years$3,203$2,621$2,129$1,719$1,381$499
20 years$3,011$2,435$1,954$1,557$1,234$417
21 years$2,838$2,268$1,797$1,413$1,104$349
22 years$2,680$2,117$1,656$1,285$989$292
23 years$2,536$1,980$1,529$1,170$888$245
24 years$2,405$1,855$1,414$1,067$798$205
25 years$2,284$1,741$1,310$975$718$172
26 years$2,173$1,636$1,215$891$647$144
27 years$2,070$1,540$1,128$816$583$121
28 years$1,975$1,451$1,049$747$526$102
29 years$1,886$1,369$976$685$475$86
30 years$1,804$1,293$909$629$430$72
31 years$1,726$1,222$848$578$388$60
32 years$1,654$1,156$791$531$351$51
33 years$1,587$1,095$738$488$318$43
34 years$1,523$1,038$690$449$288$36
35 years$1,463$985$645$414$261$30
36 years$1,407$934$603$381$236$25
37 years$1,354$888$565$351$214$21
38 years$1,304$843$529$323$194$18
39 years$1,256$802$496$298$176$15
40 years$1,211$763$464$275$160$13
41 years$1,169$726$435$254$145$11
42 years$1,128$692$409$234$131$9
43 years$1,089$659$383$216$119$8
44 years$1,053$628$360$200$108$6
45 years$1,018$599$338$184$98$5
46 years$984$572$317$170$89$4
47 years$952$545$298$157$81$4
48 years$922$521$280$145$74$3
49 years$893$497$263$134$67$3
50 years$865$475$248$124$61$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $886,000, adding $2,349 every year, while hoping to spend $54,418 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: 85/10/5 Blend
39$886,000$886,000$886,000$886,000
40$978,795$931,837$918,104$1,061,804
41$1,020,732$919,597$890,960$1,104,026
42$1,065,122$904,933$861,083$1,142,695
43$1,112,159$887,669$828,324$1,183,426
44$1,162,053$867,619$792,527$1,226,390
45$1,215,035$844,584$753,529$1,271,773
46$1,271,356$818,356$711,159$1,319,780
47$1,331,292$788,713$665,241$1,370,639
48$1,395,145$755,421$615,587$1,424,596
49$1,463,244$718,231$562,004$1,481,926
50$1,535,952$676,882$504,288$1,542,930
51$1,613,665$631,095$442,228$1,607,939
52$1,696,818$580,578$375,602$1,677,318
53$1,785,888$525,020$304,178$1,751,470
54$1,881,396$464,094$227,716$1,830,836
55$1,983,916$397,452$145,962$1,915,906
56$2,094,078$324,730$58,654$2,007,217
57$2,212,572$245,540$0$2,105,362
58$2,340,157$159,474$0$2,212,834
59$2,477,665$66,100$0$2,331,972
60$2,626,012$0$0$2,460,452
61$2,786,202$0$0$2,603,021
62$2,959,341$0$0$2,764,985
63$3,146,641$0$0$2,940,208
64$3,349,438$0$0$3,129,939
65$3,569,198$0$0$3,335,552
66$3,807,534$0$0$3,558,559
67$4,066,220$0$0$3,800,619
68$4,347,207$0$0$4,063,561
69$4,652,641$0$0$4,349,394
70$4,984,882$0$0$4,660,330
71$5,346,530$0$0$4,998,801
72$5,740,440$0$0$5,367,485
73$6,169,760$0$0$5,769,326
74$6,637,949$0$0$6,207,568
75$7,148,818$0$0$6,685,778
76$7,706,561$0$0$7,207,884
77$8,315,793$0$0$7,778,210
78$8,981,597$0$0$8,401,515
79$9,709,566$0$0$9,083,041
80$10,505,862$0$0$9,828,556
81$11,377,266$0$0$10,644,413
82$12,331,247$0$0$11,537,608
83$13,376,030$0$0$12,515,844
84$14,520,671$0$0$13,587,605
85$15,775,144$0$0$14,762,232
86$17,150,435$0$0$16,050,015
87$18,658,641$0$0$17,462,285
88$20,313,089$0$0$19,011,526
89$22,128,455$0$0$20,711,483
90$24,120,906$0$0$22,577,301
91$26,308,251$0$0$24,625,659
92$28,710,107$0$0$26,874,932
93$31,348,081$0$0$29,345,362
94$34,245,979$0$0$32,059,244
95$37,430,026$0$0$35,041,143
96$40,929,110$0$0$38,318,119
97$44,775,059$0$0$41,919,984
98$49,002,938$0$0$45,879,582
99$53,651,376$0$0$50,233,097
100$58,762,933$0$0$55,020,396