Can I retire at age 40 with 890,000?

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 $890,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.1%
1 years$73,495$72,841$72,202$71,579$70,970$69,198
2 years$36,384$35,706$35,050$34,413$33,795$32,021
3 years$24,015$23,334$22,679$22,049$21,441$19,721
4 years$17,832$17,153$16,505$15,885$15,292$13,638
5 years$14,123$13,448$12,808$12,201$11,625$10,042
6 years$11,651$10,982$10,351$9,757$9,198$7,689
7 years$9,886$9,222$8,602$8,022$7,481$6,044
8 years$8,563$7,905$7,295$6,729$6,206$4,842
9 years$7,534$6,883$6,283$5,732$5,226$3,933
10 years$6,712$6,067$5,478$4,941$4,453$3,230
11 years$6,040$5,401$4,823$4,300$3,830$2,674
12 years$5,480$4,848$4,280$3,772$3,319$2,229
13 years$5,006$4,381$3,824$3,330$2,894$1,868
14 years$4,601$3,982$3,436$2,956$2,537$1,573
15 years$4,250$3,638$3,102$2,636$2,234$1,328
16 years$3,943$3,338$2,812$2,360$1,974$1,126
17 years$3,673$3,074$2,559$2,121$1,750$956
18 years$3,432$2,840$2,336$1,911$1,556$814
19 years$3,218$2,632$2,139$1,727$1,387$694
20 years$3,025$2,446$1,963$1,564$1,239$593
21 years$2,851$2,278$1,805$1,420$1,109$507
22 years$2,692$2,127$1,664$1,291$994$434
23 years$2,548$1,989$1,536$1,175$892$372
24 years$2,416$1,864$1,421$1,072$802$319
25 years$2,295$1,749$1,316$979$722$273
26 years$2,183$1,644$1,221$895$650$235
27 years$2,079$1,547$1,133$819$586$201
28 years$1,984$1,458$1,054$751$529$173
29 years$1,895$1,375$980$688$477$149
30 years$1,812$1,299$913$632$431$128
31 years$1,734$1,228$851$580$390$110
32 years$1,662$1,162$794$533$353$95
33 years$1,594$1,100$742$490$319$81
34 years$1,530$1,043$693$451$289$70
35 years$1,470$989$648$415$262$60
36 years$1,414$939$606$383$237$52
37 years$1,360$892$567$352$215$45
38 years$1,310$847$531$325$195$38
39 years$1,262$806$498$300$177$33
40 years$1,217$767$467$276$160$28
41 years$1,174$730$437$255$145$25
42 years$1,133$695$410$235$132$21
43 years$1,094$662$385$217$120$18
44 years$1,057$631$361$201$109$16
45 years$1,022$602$339$185$99$13
46 years$989$574$319$171$90$12
47 years$957$548$299$158$81$10
48 years$926$523$281$146$74$9
49 years$897$499$265$135$67$7
50 years$869$477$249$125$61$6

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $890,000, adding $5,567 every year, while hoping to spend $48,792 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: 74/8/18 Blend
39$890,000$890,000$890,000$890,000
40$986,522$939,352$925,557$1,055,011
41$1,035,233$933,466$904,649$1,095,276
42$1,087,278$925,657$881,405$1,132,877
43$1,142,943$915,777$855,696$1,172,803
44$1,202,547$903,674$827,385$1,215,276
45$1,266,436$889,183$796,332$1,260,536
46$1,334,990$872,130$762,386$1,308,853
47$1,408,627$852,333$725,394$1,360,522
48$1,487,805$829,595$685,193$1,415,872
49$1,573,028$803,712$641,614$1,475,263
50$1,664,847$774,464$594,478$1,539,096
51$1,763,870$741,622$543,602$1,607,812
52$1,870,764$704,940$488,792$1,681,897
53$1,986,261$664,161$429,845$1,761,891
54$2,111,165$619,011$366,551$1,848,387
55$2,246,363$569,201$298,689$1,942,043
56$2,392,826$514,426$226,029$2,043,583
57$2,551,624$454,364$148,332$2,153,808
58$2,723,934$388,672$65,345$2,273,602
59$2,911,049$316,990$0$2,403,941
60$3,114,392$238,939$0$2,550,362
61$3,335,528$154,115$0$2,723,279
62$3,576,179$62,093$0$2,911,497
63$3,838,240$0$0$3,116,522
64$4,123,796$0$0$3,343,324
65$4,435,141$0$0$3,596,604
66$4,774,801$0$0$3,872,955
67$5,145,556$0$0$4,174,643
68$5,550,464$0$0$4,504,162
69$5,992,896$0$0$4,864,259
70$6,476,558$0$0$5,257,957
71$7,005,534$0$0$5,688,584
72$7,584,320$0$0$6,159,807
73$8,217,864$0$0$6,675,661
74$8,911,618$0$0$7,240,589
75$9,671,584$0$0$7,859,487
76$10,504,373$0$0$8,537,743
77$11,417,264$0$0$9,281,294
78$12,418,276$0$0$10,096,678
79$13,516,239$0$0$10,991,094
80$14,720,880$0$0$11,972,474
81$16,042,913$0$0$13,049,554
82$17,494,140$0$0$14,231,957
83$19,087,559$0$0$15,530,282
84$20,837,491$0$0$16,956,207
85$22,759,711$0$0$18,522,594
86$24,871,596$0$0$20,243,612
87$27,192,290$0$0$22,134,874
88$29,742,886$0$0$24,213,577
89$32,546,616$0$0$26,498,667
90$35,629,081$0$0$29,011,018
91$39,018,483$0$0$31,773,628
92$42,745,893$0$0$34,811,834
93$46,845,547$0$0$38,153,552
94$51,355,161$0$0$41,829,539
95$56,316,295$0$0$45,873,683
96$61,774,735$0$0$50,323,321
97$67,780,933$0$0$55,219,594
98$74,390,477$0$0$60,607,831
99$81,664,614$0$0$66,537,977
100$89,670,832$0$0$73,065,064