Can I retire at age 40 with 938,000?

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 $938,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.5%
1 years$77,459$76,769$76,096$75,439$74,797$74,016
2 years$38,346$37,632$36,940$36,269$35,618$34,831
3 years$25,310$24,593$23,903$23,238$22,597$21,830
4 years$18,793$18,078$17,395$16,741$16,117$15,374
5 years$14,884$14,174$13,499$12,859$12,252$11,536
6 years$12,279$11,574$10,909$10,283$9,694$9,006
7 years$10,419$9,720$9,066$8,455$7,884$7,224
8 years$9,025$8,332$7,688$7,092$6,541$5,909
9 years$7,941$7,254$6,622$6,041$5,508$4,904
10 years$7,074$6,394$5,773$5,208$4,693$4,117
11 years$6,365$5,692$5,083$4,532$4,036$3,487
12 years$5,775$5,109$4,511$3,975$3,498$2,975
13 years$5,276$4,617$4,030$3,510$3,050$2,553
14 years$4,849$4,197$3,621$3,115$2,674$2,202
15 years$4,479$3,834$3,269$2,778$2,354$1,907
16 years$4,156$3,518$2,964$2,488$2,081$1,657
17 years$3,871$3,240$2,697$2,235$1,845$1,444
18 years$3,618$2,993$2,462$2,014$1,640$1,262
19 years$3,391$2,774$2,254$1,820$1,462$1,105
20 years$3,188$2,578$2,069$1,649$1,306$969
21 years$3,004$2,401$1,903$1,496$1,169$852
22 years$2,837$2,242$1,754$1,360$1,048$749
23 years$2,685$2,096$1,619$1,239$940$660
24 years$2,546$1,964$1,497$1,130$845$582
25 years$2,418$1,843$1,387$1,032$761$514
26 years$2,300$1,732$1,286$944$685$454
27 years$2,192$1,630$1,194$864$618$401
28 years$2,091$1,536$1,110$791$557$355
29 years$1,997$1,449$1,033$726$503$314
30 years$1,909$1,369$963$666$455$278
31 years$1,828$1,294$897$612$411$247
32 years$1,751$1,224$837$562$372$219
33 years$1,680$1,159$782$517$337$194
34 years$1,613$1,099$730$476$305$172
35 years$1,549$1,042$683$438$276$152
36 years$1,490$989$639$403$250$135
37 years$1,434$940$598$371$227$120
38 years$1,380$893$560$342$205$107
39 years$1,330$849$525$316$186$95
40 years$1,282$808$492$291$169$84
41 years$1,237$769$461$269$153$75
42 years$1,194$732$432$248$139$66
43 years$1,153$698$406$229$126$59
44 years$1,114$665$381$211$115$52
45 years$1,077$634$358$195$104$46
46 years$1,042$605$336$180$94$41
47 years$1,008$577$316$167$86$37
48 years$976$551$297$154$78$33
49 years$945$526$279$142$71$29
50 years$916$503$262$131$64$26

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $938,000, adding $6,797 every year, while hoping to spend $52,296 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: 46/47/7 Blend
39$938,000$938,000$938,000$938,000
40$1,040,687$990,973$976,434$1,086,258
41$1,091,195$983,888$953,502$1,111,239
42$1,145,101$974,703$928,049$1,132,322
43$1,202,698$963,261$899,936$1,153,974
44$1,264,305$949,392$869,015$1,176,264
45$1,330,273$932,921$835,136$1,199,272
46$1,400,985$913,658$798,137$1,223,087
47$1,476,862$891,404$757,851$1,247,812
48$1,558,368$865,949$714,105$1,273,567
49$1,646,010$837,069$666,716$1,300,485
50$1,740,345$804,527$615,493$1,328,718
51$1,841,985$768,074$560,237$1,358,438
52$1,951,603$727,445$500,740$1,389,843
53$2,069,935$682,359$436,784$1,423,151
54$2,197,795$632,521$368,143$1,458,612
55$2,336,074$577,618$294,579$1,496,507
56$2,485,751$517,319$215,845$1,537,151
57$2,647,904$451,274$131,683$1,580,901
58$2,823,718$379,114$41,822$1,628,155
59$3,014,496$300,449$0$1,679,361
60$3,221,669$214,866$0$1,739,059
61$3,446,815$121,930$0$1,807,369
62$3,691,666$21,181$0$1,881,817
63$3,958,131$0$0$1,963,129
64$4,248,307$0$0$2,097,561
65$4,564,504$0$0$2,256,084
66$4,909,264$0$0$2,429,030
67$5,285,383$0$0$2,617,816
68$5,695,941$0$0$2,824,001
69$6,144,327$0$0$3,049,299
70$6,634,271$0$0$3,295,602
71$7,169,880$0$0$3,564,989
72$7,755,678$0$0$3,859,750
73$8,396,643$0$0$4,182,408
74$9,098,257$0$0$4,535,739
75$9,866,559$0$0$4,922,801
76$10,708,196$0$0$5,346,963
77$11,630,491$0$0$5,811,934
78$12,641,506$0$0$6,321,798
79$13,750,123$0$0$6,881,056
80$14,966,124$0$0$7,494,662
81$16,300,281$0$0$8,168,076
82$17,764,462$0$0$8,907,311
83$19,371,739$0$0$9,718,989
84$21,136,510$0$0$10,610,407
85$23,074,636$0$0$11,589,603
86$25,203,591$0$0$12,665,430
87$27,542,622$0$0$13,847,642
88$30,112,935$0$0$15,146,986
89$32,937,890$0$0$16,575,299
90$36,043,224$0$0$18,145,626
91$39,457,290$0$0$19,872,334
92$43,211,328$0$0$21,771,256
93$47,339,753$0$0$23,859,834
94$51,880,485$0$0$26,157,286
95$56,875,302$0$0$28,684,787
96$62,370,235$0$0$31,465,665
97$68,416,001$0$0$34,525,627
98$75,068,481$0$0$37,892,994
99$82,389,247$0$0$41,598,974
100$90,446,140$0$0$45,677,952