Can I retire at age 40 with 946,000?

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 $946,000?

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$78,120$77,424$76,745$76,082$75,435$72,471
2 years$38,673$37,953$37,255$36,578$35,922$32,971
3 years$25,526$24,803$24,106$23,436$22,790$19,947
4 years$18,954$18,233$17,543$16,884$16,254$13,539
5 years$15,011$14,295$13,614$12,969$12,356$9,777
6 years$12,384$11,673$11,002$10,371$9,777$7,335
7 years$10,508$9,803$9,143$8,527$7,951$5,646
8 years$9,102$8,403$7,754$7,153$6,596$4,425
9 years$8,008$7,316$6,679$6,093$5,555$3,514
10 years$7,134$6,449$5,822$5,252$4,733$2,819
11 years$6,420$5,741$5,126$4,571$4,071$2,279
12 years$5,825$5,153$4,549$4,009$3,528$1,854
13 years$5,321$4,657$4,064$3,539$3,076$1,515
14 years$4,890$4,233$3,652$3,142$2,697$1,243
15 years$4,517$3,867$3,297$2,802$2,374$1,023
16 years$4,191$3,548$2,989$2,509$2,098$844
17 years$3,904$3,267$2,720$2,254$1,861$698
18 years$3,648$3,019$2,483$2,032$1,654$578
19 years$3,420$2,798$2,273$1,836$1,475$479
20 years$3,215$2,600$2,086$1,663$1,317$398
21 years$3,030$2,422$1,919$1,509$1,179$330
22 years$2,862$2,261$1,769$1,372$1,056$275
23 years$2,708$2,114$1,633$1,249$948$229
24 years$2,568$1,981$1,510$1,140$852$190
25 years$2,439$1,859$1,399$1,041$767$159
26 years$2,320$1,747$1,297$952$691$132
27 years$2,210$1,644$1,205$871$623$110
28 years$2,108$1,549$1,120$798$562$92
29 years$2,014$1,462$1,042$732$508$77
30 years$1,926$1,380$971$672$459$64
31 years$1,843$1,305$905$617$415$53
32 years$1,766$1,235$844$567$375$44
33 years$1,694$1,169$788$521$339$37
34 years$1,626$1,108$737$480$307$31
35 years$1,563$1,051$689$442$278$26
36 years$1,502$998$644$407$252$22
37 years$1,446$948$603$375$229$18
38 years$1,392$901$565$345$207$15
39 years$1,341$856$529$318$188$13
40 years$1,293$815$496$294$170$10
41 years$1,248$776$465$271$155$9
42 years$1,204$739$436$250$140$7
43 years$1,163$704$409$231$127$6
44 years$1,124$671$384$213$116$5
45 years$1,087$640$361$197$105$4
46 years$1,051$610$339$182$95$4
47 years$1,017$582$318$168$87$3
48 years$984$556$299$155$79$2
49 years$953$531$281$143$71$2
50 years$924$507$264$133$65$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $946,000, adding $5,703 every year, while hoping to spend $41,246 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: 57/27/16 Blend
39$946,000$946,000$946,000$946,000
40$1,048,375$998,237$983,574$1,103,449
41$1,111,423$1,003,265$972,638$1,146,487
42$1,179,521$1,007,157$959,953$1,188,373
43$1,253,138$1,009,814$945,418$1,233,073
44$1,332,794$1,011,130$928,925$1,280,866
45$1,419,057$1,010,994$910,362$1,332,060
46$1,512,554$1,009,286$889,613$1,386,994
47$1,613,973$1,005,880$866,554$1,446,046
48$1,724,072$1,000,642$841,057$1,509,632
49$1,843,684$993,429$812,989$1,578,212
50$1,973,724$984,092$782,208$1,652,297
51$2,115,201$972,470$748,569$1,732,450
52$2,269,224$958,393$711,919$1,819,295
53$2,437,013$941,681$672,096$1,913,521
54$2,619,910$922,146$628,933$2,015,889
55$2,819,394$899,584$582,255$2,127,243
56$3,037,091$873,783$531,880$2,248,513
57$3,274,792$844,516$477,615$2,380,729
58$3,534,468$811,544$419,263$2,525,029
59$3,818,289$774,615$356,613$2,682,668
60$4,128,643$733,460$289,449$2,855,037
61$4,468,162$687,797$217,543$3,043,670
62$4,839,741$637,326$140,657$3,250,263
63$5,246,570$581,730$58,544$3,476,687
64$5,692,161$520,675$0$3,725,012
65$6,180,380$453,808$0$4,002,488
66$6,715,488$380,753$0$4,317,662
67$7,302,176$301,118$0$4,663,363
68$7,945,609$214,484$0$5,042,717
69$8,651,479$120,411$0$5,459,175
70$9,426,053$18,434$0$5,916,541
71$10,276,235$0$0$6,419,013
72$11,209,631$0$0$6,998,535
73$12,234,618$0$0$7,641,026
74$13,360,424$0$0$8,346,803
75$14,597,215$0$0$9,122,250
76$15,956,190$0$0$9,974,402
77$17,449,689$0$0$10,911,006
78$19,091,301$0$0$11,940,598
79$20,896,004$0$0$13,072,585
80$22,880,294$0$0$14,317,326
81$25,062,347$0$0$15,686,238
82$27,462,191$0$0$17,191,898
83$30,101,888$0$0$18,848,164
84$33,005,748$0$0$20,670,304
85$36,200,557$0$0$22,675,141
86$39,715,825$0$0$24,881,209
87$43,584,070$0$0$27,308,933
88$47,841,117$0$0$29,980,814
89$52,526,445$0$0$32,921,647
90$57,683,551$0$0$36,158,754
91$63,360,363$0$0$39,722,237
92$69,609,693$0$0$43,645,267
93$76,489,730$0$0$47,964,394
94$84,064,597$0$0$52,719,892
95$92,404,947$0$0$57,956,140
96$101,588,635$0$0$63,722,037
97$111,701,447$0$0$70,071,469
98$122,837,916$0$0$77,063,811
99$135,102,206$0$0$84,764,491
100$148,609,101$0$0$93,245,606