Can I retire at age 40 with 940,000?

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 $940,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.8%
1 years$77,624$76,933$76,258$75,600$74,957$72,011
2 years$38,428$37,712$37,019$36,346$35,694$32,762
3 years$25,364$24,645$23,953$23,287$22,646$19,820
4 years$18,834$18,117$17,432$16,777$16,151$13,454
5 years$14,916$14,204$13,528$12,886$12,278$9,715
6 years$12,305$11,599$10,933$10,305$9,715$7,289
7 years$10,441$9,740$9,085$8,473$7,901$5,610
8 years$9,044$8,349$7,705$7,108$6,555$4,397
9 years$7,958$7,270$6,636$6,054$5,520$3,492
10 years$7,089$6,408$5,786$5,219$4,703$2,802
11 years$6,379$5,704$5,094$4,542$4,045$2,265
12 years$5,788$5,120$4,520$3,984$3,505$1,842
13 years$5,288$4,627$4,039$3,517$3,057$1,506
14 years$4,859$4,206$3,629$3,122$2,679$1,235
15 years$4,489$3,842$3,276$2,784$2,359$1,017
16 years$4,165$3,525$2,970$2,493$2,085$839
17 years$3,879$3,246$2,703$2,240$1,849$693
18 years$3,625$3,000$2,467$2,019$1,644$574
19 years$3,399$2,780$2,259$1,824$1,465$476
20 years$3,195$2,584$2,073$1,652$1,309$395
21 years$3,011$2,406$1,907$1,499$1,171$328
22 years$2,843$2,246$1,757$1,363$1,050$273
23 years$2,691$2,101$1,623$1,242$942$227
24 years$2,552$1,968$1,501$1,132$847$189
25 years$2,423$1,847$1,390$1,034$762$158
26 years$2,305$1,736$1,289$946$687$131
27 years$2,196$1,634$1,197$865$619$109
28 years$2,095$1,540$1,113$793$559$91
29 years$2,001$1,452$1,036$727$504$76
30 years$1,913$1,372$965$667$456$63
31 years$1,832$1,297$899$613$412$53
32 years$1,755$1,227$839$563$373$44
33 years$1,683$1,162$783$518$337$37
34 years$1,616$1,101$732$477$305$31
35 years$1,553$1,045$684$439$277$26
36 years$1,493$991$640$404$251$21
37 years$1,437$942$599$372$227$18
38 years$1,383$895$561$343$206$15
39 years$1,333$851$526$316$187$12
40 years$1,285$810$493$292$169$10
41 years$1,240$771$462$269$154$9
42 years$1,197$734$433$248$139$7
43 years$1,156$699$407$229$127$6
44 years$1,117$667$382$212$115$5
45 years$1,080$636$358$196$104$4
46 years$1,044$606$337$181$95$4
47 years$1,011$579$316$167$86$3
48 years$978$552$297$154$78$2
49 years$947$528$279$143$71$2
50 years$918$504$263$132$64$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $940,000, adding $4,486 every year, while hoping to spend $25,092 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: 76/6/18 Blend
39$940,000$940,000$940,000$940,000
40$1,040,507$990,687$976,117$1,114,986
41$1,119,941$1,012,533$982,120$1,186,715
42$1,206,637$1,034,609$987,482$1,261,784
43$1,301,308$1,056,898$992,156$1,343,420
44$1,404,740$1,079,386$996,093$1,432,272
45$1,517,800$1,102,052$999,238$1,529,053
46$1,641,439$1,124,876$1,001,536$1,634,550
47$1,776,708$1,147,837$1,002,930$1,749,630
48$1,924,761$1,170,910$1,003,357$1,875,246
49$2,086,871$1,194,069$1,002,754$2,012,452
50$2,264,438$1,217,284$1,001,052$2,162,406
51$2,459,005$1,240,526$998,182$2,326,385
52$2,672,272$1,263,760$994,069$2,505,796
53$2,906,108$1,286,949$988,635$2,702,190
54$3,162,576$1,310,054$981,799$2,917,275
55$3,443,945$1,333,033$973,476$3,152,934
56$3,752,715$1,355,839$963,575$3,411,241
57$4,091,641$1,378,424$952,004$3,694,483
58$4,463,756$1,400,734$938,663$4,005,179
59$4,872,402$1,422,713$923,451$4,346,104
60$5,321,260$1,444,299$906,260$4,720,319
61$5,814,385$1,465,427$886,976$5,131,196
62$6,356,246$1,486,026$865,483$5,582,448
63$6,951,763$1,506,021$841,657$6,078,171
64$7,606,359$1,525,333$815,369$6,622,878
65$8,326,008$1,543,874$786,484$7,221,540
66$9,117,290$1,561,554$754,861$7,879,638
67$9,987,458$1,578,274$720,353$8,603,211
68$10,944,498$1,593,929$682,805$9,398,915
69$11,997,215$1,608,409$642,056$10,274,085
70$13,155,304$1,621,594$597,938$11,236,804
71$14,429,451$1,633,358$550,275$12,295,979
72$15,831,428$1,643,566$498,882$13,461,430
73$17,374,208$1,652,075$443,569$14,743,975
74$19,072,082$1,658,732$384,134$16,155,537
75$20,940,799$1,663,375$320,367$17,709,257
76$22,997,712$1,665,831$252,050$19,419,617
77$25,261,939$1,665,918$178,955$21,302,576
78$27,754,550$1,663,440$100,842$23,375,721
79$30,498,757$1,658,191$17,463$25,658,438
80$33,520,140$1,649,953$0$28,172,085
81$36,846,885$1,638,492$0$30,953,942
82$40,510,051$1,623,561$0$34,020,687
83$44,543,861$1,604,900$0$37,397,610
84$48,986,025$1,582,231$0$41,116,277
85$53,878,098$1,555,259$0$45,211,471
86$59,265,872$1,523,674$0$49,721,523
87$65,199,803$1,487,146$0$54,688,672
88$71,735,492$1,445,326$0$60,159,462
89$78,934,209$1,397,843$0$66,185,183
90$86,863,468$1,344,308$0$72,822,356
91$95,597,668$1,284,305$0$80,133,264
92$105,218,791$1,217,397$0$88,186,541
93$115,817,179$1,143,121$0$97,057,821
94$127,492,384$1,060,986$0$106,830,449
95$140,354,108$970,475$0$117,596,270
96$154,523,239$871,041$0$129,456,496
97$170,132,992$762,104$0$142,522,658
98$187,330,163$643,053$0$156,917,664
99$206,276,519$513,242$0$172,776,956
100$227,150,322$371,989$0$190,249,787