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%12.8%
1 years$73,578$72,923$72,283$71,659$71,050$70,220
2 years$36,425$35,746$35,089$34,451$33,833$32,998
3 years$24,042$23,361$22,705$22,073$21,465$20,651
4 years$17,852$17,173$16,523$15,903$15,309$14,521
5 years$14,139$13,463$12,823$12,215$11,638$10,879
6 years$11,664$10,994$10,363$9,768$9,209$8,480
7 years$9,897$9,233$8,611$8,031$7,489$6,791
8 years$8,573$7,914$7,303$6,737$6,213$5,545
9 years$7,543$6,891$6,290$5,738$5,232$4,594
10 years$6,720$6,074$5,484$4,947$4,458$3,849
11 years$6,046$5,407$4,828$4,305$3,834$3,254
12 years$5,486$4,853$4,285$3,776$3,323$2,771
13 years$5,012$4,386$3,828$3,334$2,897$2,374
14 years$4,606$3,987$3,440$2,959$2,540$2,043
15 years$4,255$3,642$3,105$2,639$2,236$1,766
16 years$3,947$3,341$2,816$2,363$1,976$1,531
17 years$3,677$3,077$2,562$2,123$1,752$1,332
18 years$3,436$2,843$2,339$1,913$1,558$1,161
19 years$3,221$2,635$2,141$1,729$1,389$1,014
20 years$3,028$2,449$1,965$1,566$1,240$888
21 years$2,854$2,281$1,807$1,421$1,110$778
22 years$2,695$2,129$1,666$1,292$995$683
23 years$2,551$1,991$1,538$1,177$893$601
24 years$2,419$1,866$1,422$1,073$803$529
25 years$2,297$1,751$1,317$980$722$465
26 years$2,185$1,646$1,222$896$651$410
27 years$2,082$1,549$1,135$820$587$362
28 years$1,986$1,459$1,055$752$529$319
29 years$1,897$1,377$982$689$478$282
30 years$1,814$1,300$914$633$432$249
31 years$1,736$1,229$852$581$391$220
32 years$1,664$1,163$795$534$353$195
33 years$1,596$1,101$743$491$320$172
34 years$1,532$1,044$694$452$289$152
35 years$1,472$990$649$416$262$135
36 years$1,415$940$607$383$238$119
37 years$1,362$893$568$353$215$106
38 years$1,311$848$532$325$195$93
39 years$1,263$807$498$300$177$83
40 years$1,218$767$467$277$161$73
41 years$1,175$730$438$255$146$65
42 years$1,134$696$411$236$132$57
43 years$1,096$663$385$217$120$51
44 years$1,059$632$362$201$109$45
45 years$1,023$603$340$185$99$40
46 years$990$575$319$171$90$35
47 years$958$549$300$158$81$31
48 years$927$524$282$146$74$28
49 years$898$500$265$135$67$25
50 years$870$478$249$125$61$22

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $891,000, adding $2,035 every year, while hoping to spend $43,520 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: 70/17/13 Blend
39$891,000$891,000$891,000$891,000
40$983,981$936,758$922,948$1,049,921
41$1,038,042$936,354$907,561$1,093,555
42$1,096,159$934,472$890,201$1,135,841
43$1,158,699$930,993$870,755$1,180,977
44$1,226,066$925,792$849,105$1,229,239
45$1,298,704$918,735$825,129$1,280,926
46$1,377,100$909,681$798,699$1,336,374
47$1,461,789$898,479$769,680$1,395,950
48$1,553,359$884,973$737,932$1,460,061
49$1,652,457$868,992$703,308$1,529,155
50$1,759,794$850,358$665,655$1,603,730
51$1,876,150$828,884$624,812$1,684,333
52$2,002,386$804,368$580,612$1,771,568
53$2,139,447$776,599$532,880$1,866,104
54$2,288,372$745,353$481,432$1,968,679
55$2,450,303$710,394$426,078$2,080,105
56$2,626,501$671,469$366,618$2,201,283
57$2,818,348$628,315$302,844$2,333,204
58$3,027,367$580,650$234,537$2,476,966
59$3,255,235$528,179$161,470$2,633,777
60$3,503,797$470,587$83,407$2,804,974
61$3,775,082$407,544$100$2,992,029
62$4,071,327$338,700$0$3,196,571
63$4,394,990$263,685$0$3,432,713
64$4,748,782$182,108$0$3,690,935
65$5,135,684$93,557$0$3,973,451
66$5,558,979$0$0$4,282,714
67$6,022,283$0$0$4,621,881
68$6,529,578$0$0$5,012,461
69$7,085,246$0$0$5,440,333
70$7,694,117$0$0$5,909,222
71$8,361,507$0$0$6,423,227
72$9,093,273$0$0$6,986,865
73$9,895,863$0$0$7,605,112
74$10,776,383$0$0$8,283,445
75$11,742,657$0$0$9,027,901
76$12,803,304$0$0$9,845,127
77$13,967,818$0$0$10,742,446
78$15,246,658$0$0$11,727,924
79$16,651,344$0$0$12,810,449
80$18,194,569$0$0$13,999,809
81$19,890,313$0$0$15,306,788
82$21,753,979$0$0$16,743,267
83$23,802,538$0$0$18,322,336
84$26,054,684$0$0$20,058,415
85$28,531,013$0$0$21,967,390
86$31,254,219$0$0$24,066,766
87$34,249,303$0$0$26,375,828
88$37,543,811$0$0$28,915,822
89$41,168,092$0$0$31,710,160
90$45,155,587$0$0$34,784,636
91$49,543,139$0$0$38,167,670
92$54,371,344$0$0$41,890,575
93$59,684,933$0$0$45,987,856
94$65,533,191$0$0$50,497,529
95$71,970,423$0$0$55,461,485
96$79,056,468$0$0$60,925,880
97$86,857,259$0$0$66,941,575
98$95,445,447$0$0$73,564,609
99$104,901,085$0$0$80,856,736
100$115,312,386$0$0$88,885,998