Can I retire at age 40 with 891,000?

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 $891,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.7%
1 years$73,578$72,923$72,283$71,659$71,050$68,830
2 years$36,425$35,746$35,089$34,451$33,833$31,617
3 years$24,042$23,361$22,705$22,073$21,465$19,322
4 years$17,852$17,173$16,523$15,903$15,309$13,255
5 years$14,139$13,463$12,823$12,215$11,638$9,678
6 years$11,664$10,994$10,363$9,768$9,209$7,345
7 years$9,897$9,233$8,611$8,031$7,489$5,722
8 years$8,573$7,914$7,303$6,737$6,213$4,541
9 years$7,543$6,891$6,290$5,738$5,232$3,653
10 years$6,720$6,074$5,484$4,947$4,458$2,970
11 years$6,046$5,407$4,828$4,305$3,834$2,434
12 years$5,486$4,853$4,285$3,776$3,323$2,008
13 years$5,012$4,386$3,828$3,334$2,897$1,664
14 years$4,606$3,987$3,440$2,959$2,540$1,386
15 years$4,255$3,642$3,105$2,639$2,236$1,158
16 years$3,947$3,341$2,816$2,363$1,976$970
17 years$3,677$3,077$2,562$2,123$1,752$814
18 years$3,436$2,843$2,339$1,913$1,558$685
19 years$3,221$2,635$2,141$1,729$1,389$577
20 years$3,028$2,449$1,965$1,566$1,240$487
21 years$2,854$2,281$1,807$1,421$1,110$411
22 years$2,695$2,129$1,666$1,292$995$347
23 years$2,551$1,991$1,538$1,177$893$294
24 years$2,419$1,866$1,422$1,073$803$249
25 years$2,297$1,751$1,317$980$722$211
26 years$2,185$1,646$1,222$896$651$179
27 years$2,082$1,549$1,135$820$587$151
28 years$1,986$1,459$1,055$752$529$128
29 years$1,897$1,377$982$689$478$109
30 years$1,814$1,300$914$633$432$92
31 years$1,736$1,229$852$581$391$78
32 years$1,664$1,163$795$534$353$67
33 years$1,596$1,101$743$491$320$57
34 years$1,532$1,044$694$452$289$48
35 years$1,472$990$649$416$262$41
36 years$1,415$940$607$383$238$35
37 years$1,362$893$568$353$215$29
38 years$1,311$848$532$325$195$25
39 years$1,263$807$498$300$177$21
40 years$1,218$767$467$277$161$18
41 years$1,175$730$438$255$146$15
42 years$1,134$696$411$236$132$13
43 years$1,096$663$385$217$120$11
44 years$1,059$632$362$201$109$9
45 years$1,023$603$340$185$99$8
46 years$990$575$319$171$90$7
47 years$958$549$300$158$81$6
48 years$927$524$282$146$74$5
49 years$898$500$265$135$67$4
50 years$870$478$249$125$61$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $891,000, adding $2,087 every year, while hoping to spend $36,458 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: 45/49/6 Blend
39$891,000$891,000$891,000$891,000
40$984,035$936,812$923,001$1,026,594
41$1,045,615$943,924$915,131$1,063,244
42$1,112,255$950,164$905,775$1,099,006
43$1,184,432$955,449$894,845$1,136,927
44$1,262,670$959,692$882,249$1,177,220
45$1,347,548$962,802$867,889$1,220,115
46$1,439,700$964,682$851,666$1,265,873
47$1,539,825$965,227$833,472$1,314,779
48$1,648,691$964,326$813,197$1,367,152
49$1,767,142$961,863$790,724$1,423,341
50$1,896,110$957,714$765,933$1,483,739
51$2,036,617$951,746$738,695$1,548,776
52$2,189,790$943,819$708,879$1,618,931
53$2,356,867$933,785$676,346$1,694,733
54$2,539,214$921,487$640,949$1,776,770
55$2,738,331$906,757$602,539$1,865,691
56$2,955,872$889,419$560,955$1,962,214
57$3,193,656$869,286$516,032$2,067,137
58$3,453,687$846,160$467,597$2,181,340
59$3,738,172$819,829$415,470$2,305,799
60$4,049,538$790,074$359,461$2,441,591
61$4,390,461$756,657$299,373$2,589,911
62$4,763,886$719,332$235,000$2,752,078
63$5,173,056$677,833$166,127$2,929,553
64$5,621,545$631,884$92,529$3,123,950
65$6,113,285$581,189$13,971$3,337,054
66$6,652,612$525,438$0$3,570,841
67$7,244,296$464,302$0$3,831,963
68$7,893,595$397,434$0$4,119,607
69$8,606,299$324,466$0$4,435,559
70$9,388,788$245,011$0$4,782,783
71$10,248,086$158,659$0$5,164,553
72$11,191,935$64,977$0$5,584,485
73$12,228,861$0$0$6,046,573
74$13,368,256$0$0$6,574,902
75$14,620,470$0$0$7,194,160
76$15,996,901$0$0$7,874,964
77$17,510,111$0$0$8,623,541
78$19,173,936$0$0$9,446,751
79$21,003,622$0$0$10,352,152
80$23,015,965$0$0$11,348,071
81$25,229,472$0$0$12,443,684
82$27,664,531$0$0$13,649,100
83$30,343,608$0$0$14,975,458
84$33,291,456$0$0$16,435,029
85$36,535,347$0$0$18,041,338
86$40,105,333$0$0$19,809,283
87$44,034,524$0$0$21,755,281
88$48,359,403$0$0$23,897,423
89$53,120,170$0$0$26,255,642
90$58,361,121$0$0$28,851,900
91$64,131,065$0$0$31,710,399
92$70,483,781$0$0$34,857,807
93$77,478,532$0$0$38,323,509
94$85,180,617$0$0$42,139,883
95$93,661,993$0$0$46,342,610
96$103,001,947$0$0$50,971,005
97$113,287,848$0$0$56,068,392
98$124,615,973$0$0$61,682,511
99$137,092,408$0$0$67,865,967
100$150,834,056$0$0$74,676,728