Can I retire at age 40 with 925,000?

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 $925,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.6%
1 years$76,386$75,705$75,041$74,393$73,761$70,918
2 years$37,815$37,110$36,428$35,766$35,124$32,294
3 years$24,959$24,252$23,571$22,916$22,284$19,556
4 years$18,533$17,828$17,154$16,509$15,893$13,288
5 years$14,678$13,977$13,312$12,681$12,082$9,605
6 years$12,109$11,413$10,758$10,141$9,560$7,214
7 years$10,275$9,585$8,940$8,337$7,775$5,559
8 years$8,900$8,216$7,582$6,994$6,450$4,362
9 years$7,831$7,154$6,530$5,957$5,432$3,469
10 years$6,976$6,306$5,693$5,135$4,628$2,786
11 years$6,277$5,613$5,012$4,469$3,980$2,256
12 years$5,695$5,038$4,448$3,920$3,449$1,837
13 years$5,203$4,553$3,974$3,461$3,008$1,504
14 years$4,782$4,139$3,571$3,072$2,637$1,235
15 years$4,417$3,781$3,224$2,740$2,322$1,018
16 years$4,098$3,469$2,923$2,453$2,052$841
17 years$3,817$3,195$2,660$2,204$1,819$696
18 years$3,567$2,952$2,428$1,986$1,618$577
19 years$3,344$2,736$2,223$1,795$1,442$480
20 years$3,144$2,542$2,040$1,626$1,288$399
21 years$2,963$2,368$1,876$1,475$1,152$332
22 years$2,798$2,211$1,729$1,341$1,033$276
23 years$2,648$2,067$1,597$1,222$927$230
24 years$2,511$1,937$1,477$1,114$833$192
25 years$2,385$1,818$1,368$1,018$750$160
26 years$2,269$1,708$1,269$930$676$134
27 years$2,161$1,608$1,178$852$609$112
28 years$2,062$1,515$1,095$780$550$93
29 years$1,969$1,429$1,019$716$496$78
30 years$1,883$1,350$949$657$448$65
31 years$1,802$1,276$885$603$405$54
32 years$1,727$1,207$826$554$367$45
33 years$1,657$1,143$771$510$332$38
34 years$1,590$1,084$720$469$300$32
35 years$1,528$1,028$673$432$272$27
36 years$1,469$976$630$398$247$22
37 years$1,414$927$590$366$223$19
38 years$1,361$881$552$338$203$15
39 years$1,312$837$517$311$184$13
40 years$1,265$797$485$287$167$11
41 years$1,220$758$455$265$151$9
42 years$1,178$722$426$245$137$8
43 years$1,137$688$400$226$125$6
44 years$1,099$656$376$208$113$5
45 years$1,062$626$353$192$103$4
46 years$1,028$597$331$178$93$4
47 years$994$569$311$164$85$3
48 years$963$544$292$152$77$3
49 years$932$519$275$140$70$2
50 years$903$496$258$130$63$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $925,000, adding $4,645 every year, while hoping to spend $41,908 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: 73/8/19 Blend
39$925,000$925,000$925,000$925,000
40$1,024,141$975,116$960,779$1,093,970
41$1,084,014$978,307$948,375$1,144,152
42$1,148,589$980,250$934,151$1,193,589
43$1,218,302$980,839$918,002$1,246,671
44$1,293,631$979,962$899,818$1,303,753
45$1,375,102$977,501$879,482$1,365,224
46$1,463,293$973,330$856,876$1,431,516
47$1,558,840$967,313$831,872$1,503,103
48$1,662,440$959,310$804,338$1,580,511
49$1,774,863$949,170$774,137$1,664,317
50$1,896,952$936,733$741,124$1,755,159
51$2,029,638$921,830$705,148$1,853,742
52$2,173,942$904,280$666,052$1,960,841
53$2,330,990$883,896$623,670$2,077,314
54$2,502,019$860,475$577,831$2,204,106
55$2,688,390$833,804$528,354$2,342,259
56$2,891,604$803,657$475,051$2,492,923
57$3,113,308$769,798$417,727$2,657,367
58$3,355,319$731,971$356,174$2,836,990
59$3,619,636$689,912$290,180$3,033,335
60$3,908,458$643,337$219,521$3,248,105
61$4,224,209$591,948$143,962$3,483,179
62$4,569,554$535,430$63,261$3,740,626
63$4,947,430$473,447$0$4,022,733
64$5,361,071$405,649$0$4,336,652
65$5,814,036$331,662$0$4,694,516
66$6,310,248$251,094$0$5,086,607
67$6,854,023$163,527$0$5,516,363
68$7,450,117$68,524$0$5,987,573
69$8,103,768$0$0$6,504,411
70$8,820,744$0$0$7,074,503
71$9,607,399$0$0$7,706,661
72$10,470,732$0$0$8,400,481
73$11,418,451$0$0$9,162,164
74$12,459,047$0$0$9,998,542
75$13,601,876$0$0$10,917,137
76$14,857,242$0$0$11,926,240
77$16,236,496$0$0$13,034,982
78$17,752,144$0$0$14,253,422
79$19,417,964$0$0$15,592,641
80$21,249,132$0$0$17,064,851
81$23,262,372$0$0$18,683,501
82$25,476,106$0$0$20,463,412
83$27,910,631$0$0$22,420,911
84$30,588,311$0$0$24,573,986
85$33,533,784$0$0$26,942,459
86$36,774,198$0$0$29,548,167
87$40,339,462$0$0$32,415,171
88$44,262,534$0$0$35,569,982
89$48,579,726$0$0$39,041,810
90$53,331,047$0$0$42,862,841
91$58,560,582$0$0$47,068,537
92$64,316,908$0$0$51,697,977
93$70,653,549$0$0$56,794,215
94$77,629,480$0$0$62,404,695
95$85,309,689$0$0$68,581,694
96$93,765,782$0$0$75,382,817
97$103,076,663$0$0$82,871,536
98$113,329,278$0$0$91,117,795
99$124,619,431$0$0$100,198,663
100$137,052,693$0$0$110,199,065