Can I retire at age 40 with 942,000?

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 $942,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.9%
1 years$77,789$77,097$76,421$75,761$75,116$73,005
2 years$38,510$37,792$37,097$36,423$35,770$33,658
3 years$25,418$24,698$24,004$23,337$22,694$20,649
4 years$18,874$18,155$17,469$16,813$16,185$14,222
5 years$14,948$14,234$13,557$12,914$12,304$10,428
6 years$12,332$11,623$10,956$10,327$9,736$7,949
7 years$10,464$9,761$9,104$8,491$7,918$6,221
8 years$9,063$8,367$7,721$7,123$6,568$4,960
9 years$7,975$7,285$6,650$6,067$5,532$4,010
10 years$7,104$6,421$5,798$5,230$4,713$3,276
11 years$6,393$5,717$5,104$4,551$4,054$2,699
12 years$5,800$5,131$4,530$3,992$3,513$2,238
13 years$5,299$4,637$4,047$3,525$3,063$1,866
14 years$4,870$4,215$3,636$3,129$2,685$1,562
15 years$4,498$3,850$3,283$2,790$2,364$1,312
16 years$4,173$3,533$2,977$2,498$2,089$1,105
17 years$3,887$3,253$2,709$2,245$1,853$933
18 years$3,633$3,006$2,473$2,023$1,647$790
19 years$3,406$2,786$2,264$1,828$1,468$669
20 years$3,202$2,589$2,077$1,656$1,312$568
21 years$3,017$2,412$1,911$1,503$1,174$483
22 years$2,850$2,251$1,761$1,366$1,052$411
23 years$2,697$2,105$1,626$1,244$944$350
24 years$2,557$1,973$1,504$1,135$849$298
25 years$2,429$1,851$1,393$1,036$764$254
26 years$2,310$1,740$1,292$948$688$217
27 years$2,201$1,637$1,200$867$620$185
28 years$2,100$1,543$1,115$795$560$158
29 years$2,005$1,456$1,038$729$505$135
30 years$1,918$1,375$967$669$457$115
31 years$1,836$1,299$901$614$413$98
32 years$1,759$1,230$841$564$373$84
33 years$1,687$1,164$785$519$338$72
34 years$1,619$1,104$734$478$306$61
35 years$1,556$1,047$686$440$277$52
36 years$1,496$994$642$405$251$45
37 years$1,440$944$600$373$228$38
38 years$1,386$897$562$344$206$33
39 years$1,336$853$527$317$187$28
40 years$1,288$811$494$292$170$24
41 years$1,242$772$463$270$154$20
42 years$1,199$736$434$249$140$18
43 years$1,158$701$408$230$127$15
44 years$1,119$668$383$212$115$13
45 years$1,082$637$359$196$104$11
46 years$1,047$608$337$181$95$9
47 years$1,013$580$317$167$86$8
48 years$980$554$298$155$78$7
49 years$949$529$280$143$71$6
50 years$920$505$263$132$65$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $942,000, adding $4,872 every year, while hoping to spend $46,072 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: 75/16/9 Blend
39$942,000$942,000$942,000$942,000
40$1,043,109$993,183$978,582$1,119,410
41$1,100,486$992,829$962,345$1,169,983
42$1,162,172$990,913$944,019$1,219,075
43$1,228,556$987,311$923,486$1,271,566
44$1,300,069$981,889$900,623$1,327,778
45$1,377,181$974,507$875,299$1,388,065
46$1,460,410$965,015$847,379$1,452,817
47$1,550,326$953,255$816,720$1,522,464
48$1,647,553$939,058$783,174$1,597,482
49$1,752,779$922,247$746,586$1,678,394
50$1,866,759$902,634$706,793$1,765,778
51$1,990,324$880,018$663,626$1,860,271
52$2,124,386$854,189$616,907$1,962,577
53$2,269,951$824,921$566,451$2,073,471
54$2,428,124$791,980$512,064$2,193,808
55$2,600,118$755,113$453,544$2,324,533
56$2,787,273$714,056$390,681$2,466,686
57$2,991,059$668,529$323,252$2,621,417
58$3,213,094$618,234$251,029$2,789,991
59$3,455,161$562,859$173,770$2,973,808
60$3,719,221$502,072$91,224$3,174,408
61$4,007,430$435,523$3,129$3,393,493
62$4,322,166$362,842$0$3,632,938
63$4,666,044$283,637$0$3,903,542
64$5,041,941$197,497$0$4,199,746
65$5,453,030$103,984$0$4,523,798
66$5,902,798$2,639$0$4,878,503
67$6,395,090$0$0$5,266,958
68$6,934,138$0$0$5,711,416
69$7,524,601$0$0$6,198,814
70$8,171,611$0$0$6,732,930
71$8,880,821$0$0$7,318,433
72$9,658,455$0$0$7,960,468
73$10,511,368$0$0$8,664,701
74$11,447,114$0$0$9,437,372
75$12,474,008$0$0$10,285,354
76$13,601,213$0$0$11,216,220
77$14,838,821$0$0$12,238,309
78$16,197,948$0$0$13,360,810
79$17,690,843$0$0$14,593,843
80$19,330,994$0$0$15,948,558
81$21,133,265$0$0$17,437,237
82$23,114,029$0$0$19,073,412
83$25,291,324$0$0$20,871,991
84$27,685,022$0$0$22,849,396
85$30,317,017$0$0$25,023,724
86$33,211,433$0$0$27,414,910
87$36,394,844$0$0$30,044,917
88$39,896,532$0$0$32,937,947
89$43,748,758$0$0$36,120,661
90$47,987,070$0$0$39,622,439
91$52,650,631$0$0$43,475,647
92$57,782,596$0$0$47,715,953
93$63,430,511$0$0$52,382,652
94$69,646,767$0$0$57,519,044
95$76,489,091$0$0$63,172,838
96$84,021,091$0$0$69,396,606
97$92,312,853$0$0$76,248,272
98$101,441,605$0$0$83,791,664
99$111,492,445$0$0$92,097,114
100$122,559,139$0$0$101,242,119