Can I retire at age 40 with 940,000?

Use the below retirement simulation to view the chances of a successful retirement.
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%17.6%
1 years$77,624$76,933$76,258$75,600$74,957$72,645
2 years$38,428$37,712$37,019$36,346$35,694$33,385
3 years$25,364$24,645$23,953$23,287$22,646$20,412
4 years$18,834$18,117$17,432$16,777$16,151$14,010
5 years$14,916$14,204$13,528$12,886$12,278$10,235
6 years$12,305$11,599$10,933$10,305$9,715$7,772
7 years$10,441$9,740$9,085$8,473$7,901$6,058
8 years$9,044$8,349$7,705$7,108$6,555$4,810
9 years$7,958$7,270$6,636$6,054$5,520$3,872
10 years$7,089$6,408$5,786$5,219$4,703$3,150
11 years$6,379$5,704$5,094$4,542$4,045$2,583
12 years$5,788$5,120$4,520$3,984$3,505$2,132
13 years$5,288$4,627$4,039$3,517$3,057$1,769
14 years$4,859$4,206$3,629$3,122$2,679$1,474
15 years$4,489$3,842$3,276$2,784$2,359$1,232
16 years$4,165$3,525$2,970$2,493$2,085$1,033
17 years$3,879$3,246$2,703$2,240$1,849$868
18 years$3,625$3,000$2,467$2,019$1,644$730
19 years$3,399$2,780$2,259$1,824$1,465$616
20 years$3,195$2,584$2,073$1,652$1,309$520
21 years$3,011$2,406$1,907$1,499$1,171$439
22 years$2,843$2,246$1,757$1,363$1,050$372
23 years$2,691$2,101$1,623$1,242$942$315
24 years$2,552$1,968$1,501$1,132$847$267
25 years$2,423$1,847$1,390$1,034$762$226
26 years$2,305$1,736$1,289$946$687$192
27 years$2,196$1,634$1,197$865$619$163
28 years$2,095$1,540$1,113$793$559$138
29 years$2,001$1,452$1,036$727$504$117
30 years$1,913$1,372$965$667$456$100
31 years$1,832$1,297$899$613$412$85
32 years$1,755$1,227$839$563$373$72
33 years$1,683$1,162$783$518$337$61
34 years$1,616$1,101$732$477$305$52
35 years$1,553$1,045$684$439$277$44
36 years$1,493$991$640$404$251$37
37 years$1,437$942$599$372$227$32
38 years$1,383$895$561$343$206$27
39 years$1,333$851$526$316$187$23
40 years$1,285$810$493$292$169$20
41 years$1,240$771$462$269$154$17
42 years$1,197$734$433$248$139$14
43 years$1,156$699$407$229$127$12
44 years$1,117$667$382$212$115$10
45 years$1,080$636$358$196$104$9
46 years$1,044$606$337$181$95$7
47 years$1,011$579$316$167$86$6
48 years$978$552$297$154$78$5
49 years$947$528$279$143$71$5
50 years$918$504$263$132$64$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $940,000, adding $5,353 every year, while hoping to spend $58,448 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: 39/47/14 Blend
39$940,000$940,000$940,000$940,000
40$1,041,402$991,582$977,012$1,077,444
41$1,085,436$977,981$947,553$1,089,972
42$1,132,004$961,755$915,149$1,097,429
43$1,181,300$942,713$879,639$1,104,226
44$1,233,541$920,654$840,855$1,110,331
45$1,288,960$895,364$798,621$1,115,715
46$1,347,814$866,617$752,755$1,120,350
47$1,410,384$834,174$703,066$1,124,211
48$1,476,977$797,782$649,352$1,127,276
49$1,547,928$757,173$591,404$1,129,527
50$1,623,605$712,063$529,005$1,130,952
51$1,704,412$662,153$461,926$1,131,543
52$1,790,790$607,126$389,928$1,131,300
53$1,883,223$546,648$312,763$1,130,229
54$1,982,242$480,364$230,171$1,128,347
55$2,088,429$407,901$141,880$1,125,681
56$2,202,423$328,862$47,608$1,122,269
57$2,324,926$242,832$0$1,118,165
58$2,456,706$149,368$0$1,121,353
59$2,598,609$48,006$0$1,132,109
60$2,751,562$0$0$1,143,470
61$2,916,586$0$0$1,187,552
62$3,094,799$0$0$1,262,068
63$3,287,433$0$0$1,342,715
64$3,495,840$0$0$1,430,075
65$3,721,506$0$0$1,524,782
66$3,966,067$0$0$1,627,538
67$4,231,320$0$0$1,739,113
68$4,519,241$0$0$1,860,354
69$4,832,004$0$0$1,992,192
70$5,172,000$0$0$2,135,654
71$5,541,861$0$0$2,291,867
72$5,944,481$0$0$2,462,073
73$6,383,044$0$0$2,647,637
74$6,861,056$0$0$2,850,063
75$7,382,374$0$0$3,071,007
76$7,951,244$0$0$3,312,289
77$8,572,338$0$0$3,575,916
78$9,250,800$0$0$3,864,094
79$9,992,294$0$0$4,179,254
80$10,803,056$0$0$4,524,073
81$11,689,948$0$0$4,901,498
82$12,660,530$0$0$5,314,772
83$13,723,125$0$0$5,767,471
84$14,886,899$0$0$6,263,528
85$16,161,944$0$0$6,807,278
86$17,559,375$0$0$7,403,494
87$19,091,436$0$0$8,057,433
88$20,771,608$0$0$8,774,885
89$22,614,742$0$0$9,562,229
90$24,637,196$0$0$10,426,489
91$26,856,986$0$0$11,375,405
92$29,293,959$0$0$12,417,500
93$31,969,976$0$0$13,562,167
94$34,909,120$0$0$14,819,748
95$38,137,920$0$0$16,201,642
96$41,685,602$0$0$17,720,403
97$45,584,362$0$0$19,389,862
98$49,869,671$0$0$21,225,258
99$54,580,606$0$0$23,243,381
100$59,760,220$0$0$25,462,726