Can I retire at age 40 with 888,000?

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 $888,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.3%
1 years$73,330$72,677$72,040$71,418$70,810$70,129
2 years$36,302$35,626$34,971$34,335$33,719$33,033
3 years$23,961$23,282$22,628$21,999$21,393$20,723
4 years$17,792$17,115$16,468$15,849$15,258$14,609
5 years$14,091$13,418$12,780$12,174$11,599$10,973
6 years$11,625$10,957$10,328$9,735$9,178$8,577
7 years$9,864$9,202$8,582$8,004$7,464$6,887
8 years$8,544$7,887$7,279$6,714$6,192$5,640
9 years$7,517$6,867$6,269$5,719$5,215$4,686
10 years$6,697$6,053$5,466$4,930$4,443$3,939
11 years$6,026$5,389$4,812$4,291$3,821$3,340
12 years$5,467$4,837$4,270$3,763$3,311$2,853
13 years$4,995$4,371$3,815$3,322$2,888$2,452
14 years$4,591$3,973$3,428$2,949$2,531$2,118
15 years$4,240$3,630$3,095$2,630$2,229$1,836
16 years$3,934$3,330$2,806$2,355$1,970$1,598
17 years$3,664$3,067$2,553$2,116$1,746$1,395
18 years$3,425$2,834$2,331$1,907$1,553$1,220
19 years$3,211$2,626$2,134$1,723$1,384$1,070
20 years$3,018$2,441$1,958$1,561$1,236$940
21 years$2,844$2,273$1,801$1,416$1,106$827
22 years$2,686$2,122$1,660$1,288$992$729
23 years$2,542$1,985$1,533$1,173$890$643
24 years$2,410$1,860$1,418$1,070$800$568
25 years$2,289$1,745$1,313$977$720$502
26 years$2,178$1,640$1,218$893$649$444
27 years$2,075$1,544$1,131$818$585$393
28 years$1,979$1,454$1,051$749$528$349
29 years$1,890$1,372$978$687$476$309
30 years$1,808$1,296$911$630$430$274
31 years$1,730$1,225$850$579$389$243
32 years$1,658$1,159$793$532$352$216
33 years$1,590$1,098$740$489$319$192
34 years$1,527$1,040$691$450$288$170
35 years$1,467$987$646$414$261$151
36 years$1,410$937$605$382$237$135
37 years$1,357$890$566$352$215$120
38 years$1,307$845$530$324$195$106
39 years$1,259$804$497$299$176$95
40 years$1,214$765$465$276$160$84
41 years$1,171$728$436$254$145$75
42 years$1,131$693$409$235$132$67
43 years$1,092$661$384$217$120$59
44 years$1,055$630$361$200$108$53
45 years$1,020$600$339$185$98$47
46 years$987$573$318$171$89$42
47 years$955$547$299$158$81$37
48 years$924$522$281$146$74$33
49 years$895$498$264$135$67$29
50 years$867$476$248$124$61$26

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $888,000, adding $5,385 every year, while hoping to spend $51,555 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: 64/9/27 Blend
39$888,000$888,000$888,000$888,000
40$984,131$937,067$923,303$1,039,762
41$1,029,658$928,129$899,379$1,069,108
42$1,078,101$917,025$872,926$1,094,980
43$1,129,703$903,595$843,805$1,122,120
44$1,184,730$887,668$811,870$1,150,659
45$1,243,473$869,065$776,968$1,180,743
46$1,306,252$847,594$738,941$1,212,536
47$1,373,416$823,053$697,623$1,246,218
48$1,445,350$795,228$652,838$1,281,992
49$1,522,475$763,893$604,407$1,320,082
50$1,605,252$728,808$552,139$1,360,740
51$1,694,187$689,719$495,836$1,404,243
52$1,789,838$646,359$435,290$1,450,900
53$1,892,815$598,444$370,286$1,501,056
54$2,003,789$545,674$300,597$1,555,093
55$2,123,495$487,733$225,987$1,613,434
56$2,252,745$424,285$146,211$1,676,549
57$2,392,427$354,976$61,011$1,744,963
58$2,543,518$279,434$0$1,819,252
59$2,707,093$197,262$0$1,908,679
60$2,884,332$108,044$0$2,024,655
61$3,076,536$11,340$0$2,150,458
62$3,285,131$0$0$2,287,052
63$3,511,689$0$0$2,444,739
64$3,757,937$0$0$2,617,405
65$4,025,776$0$0$2,805,268
66$4,317,297$0$0$3,009,800
67$4,634,802$0$0$3,232,624
68$4,980,822$0$0$3,475,524
69$5,358,144$0$0$3,740,465
70$5,769,835$0$0$4,029,609
71$6,219,271$0$0$4,345,336
72$6,710,169$0$0$4,690,265
73$7,246,619$0$0$5,067,280
74$7,833,125$0$0$5,479,558
75$8,474,646$0$0$5,930,593
76$9,176,643$0$0$6,424,235
77$9,945,127$0$0$6,964,724
78$10,786,719$0$0$7,556,726
79$11,708,710$0$0$8,205,384
80$12,719,129$0$0$8,916,357
81$13,826,819$0$0$9,695,882
82$15,041,519$0$0$10,550,825
83$16,373,956$0$0$11,488,750
84$17,835,945$0$0$12,517,988
85$19,440,499$0$0$13,647,716
86$21,201,955$0$0$14,888,042
87$23,136,103$0$0$16,250,102
88$25,260,338$0$0$17,746,161
89$27,593,822$0$0$19,389,733
90$30,157,665$0$0$21,195,703
91$32,975,121$0$0$23,180,471
92$36,071,812$0$0$25,362,104
93$39,475,961$0$0$27,760,506
94$43,218,666$0$0$30,397,606
95$47,334,186$0$0$33,297,565
96$51,860,266$0$0$36,487,001
97$56,838,492$0$0$39,995,241
98$62,314,685$0$0$43,854,598
99$68,339,328$0$0$48,100,675
100$74,968,044$0$0$52,772,698