Can I retire at age 40 with 953,000?

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 $953,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13%
1 years$78,698$77,997$77,313$76,645$75,994$75,044
2 years$38,959$38,234$37,531$36,849$36,187$35,232
3 years$25,715$24,986$24,285$23,609$22,959$22,027
4 years$19,094$18,367$17,673$17,009$16,374$15,474
5 years$15,122$14,400$13,715$13,065$12,448$11,580
6 years$12,476$11,759$11,084$10,448$9,849$9,017
7 years$10,586$9,875$9,211$8,590$8,010$7,213
8 years$9,169$8,465$7,811$7,206$6,645$5,882
9 years$8,068$7,370$6,728$6,138$5,596$4,868
10 years$7,187$6,496$5,866$5,291$4,768$4,074
11 years$6,467$5,783$5,164$4,605$4,101$3,440
12 years$5,868$5,191$4,583$4,039$3,554$2,926
13 years$5,361$4,691$4,095$3,566$3,099$2,503
14 years$4,927$4,264$3,679$3,165$2,716$2,151
15 years$4,551$3,895$3,322$2,823$2,392$1,857
16 years$4,222$3,574$3,012$2,528$2,114$1,608
17 years$3,933$3,291$2,740$2,271$1,874$1,396
18 years$3,675$3,041$2,502$2,047$1,667$1,216
19 years$3,446$2,819$2,290$1,849$1,485$1,061
20 years$3,239$2,619$2,102$1,675$1,327$927
21 years$3,052$2,440$1,933$1,520$1,187$812
22 years$2,883$2,277$1,782$1,382$1,064$711
23 years$2,728$2,130$1,645$1,259$955$624
24 years$2,587$1,996$1,521$1,148$859$548
25 years$2,457$1,873$1,409$1,048$773$482
26 years$2,337$1,760$1,307$959$696$424
27 years$2,227$1,657$1,214$877$628$374
28 years$2,124$1,561$1,128$804$566$329
29 years$2,029$1,473$1,050$737$511$290
30 years$1,940$1,391$978$677$462$256
31 years$1,857$1,315$912$621$418$226
32 years$1,779$1,244$851$571$378$199
33 years$1,707$1,178$794$525$342$176
34 years$1,638$1,117$742$483$310$155
35 years$1,574$1,059$694$445$280$137
36 years$1,514$1,005$649$410$254$121
37 years$1,456$955$607$377$230$107
38 years$1,402$907$569$348$209$95
39 years$1,351$863$533$321$189$84
40 years$1,303$821$500$296$172$74
41 years$1,257$781$468$273$156$65
42 years$1,213$744$439$252$141$58
43 years$1,172$709$412$233$128$51
44 years$1,132$676$387$215$116$45
45 years$1,095$644$363$198$106$40
46 years$1,059$615$341$183$96$35
47 years$1,024$587$321$169$87$31
48 years$992$560$301$156$79$28
49 years$960$535$283$145$72$25
50 years$930$511$266$134$65$22

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $953,000, adding $4,799 every year, while hoping to spend $59,766 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: 54/27/19 Blend
39$953,000$953,000$953,000$953,000
40$1,055,156$1,004,647$989,876$1,106,456
41$1,099,192$990,284$959,446$1,127,735
42$1,145,715$973,215$925,994$1,144,167
43$1,194,919$953,242$889,355$1,160,750
44$1,247,009$930,160$849,357$1,177,515
45$1,302,214$903,748$805,821$1,194,501
46$1,360,783$873,775$758,559$1,211,753
47$1,422,987$839,993$707,374$1,229,325
48$1,489,122$802,144$652,062$1,247,280
49$1,559,515$759,951$592,408$1,265,691
50$1,634,520$713,123$528,188$1,284,643
51$1,714,528$661,353$459,170$1,304,236
52$1,799,965$604,315$385,107$1,324,584
53$1,891,299$541,664$305,746$1,345,818
54$1,989,044$473,037$220,820$1,368,087
55$2,093,760$398,050$130,052$1,391,562
56$2,206,065$316,296$33,150$1,416,441
57$2,326,635$227,347$0$1,442,943
58$2,456,214$130,748$0$1,485,565
59$2,595,616$26,023$0$1,538,446
60$2,745,736$0$0$1,595,247
61$2,907,558$0$0$1,682,350
62$3,082,161$0$0$1,784,745
63$3,270,731$0$0$1,895,403
64$3,474,572$0$0$2,015,101
65$3,695,117$0$0$2,144,687
66$3,933,942$0$0$2,285,100
67$4,192,777$0$0$2,437,366
68$4,473,526$0$0$2,602,618
69$4,778,285$0$0$2,782,100
70$5,109,355$0$0$2,977,180
71$5,469,270$0$0$3,189,364
72$5,860,818$0$0$3,420,310
73$6,287,065$0$0$3,671,840
74$6,751,384$0$0$3,945,959
75$7,257,490$0$0$4,244,875
76$7,809,469$0$0$4,571,019
77$8,411,819$0$0$4,927,063
78$9,069,491$0$0$5,315,953
79$9,787,934$0$0$5,740,930
80$10,573,150$0$0$6,205,560
81$11,431,744$0$0$6,713,773
82$12,370,988$0$0$7,269,894
83$13,398,890$0$0$7,878,686
84$14,524,270$0$0$8,545,393
85$15,756,838$0$0$9,275,791
86$17,107,287$0$0$10,076,242
87$18,587,394$0$0$10,953,749
88$20,210,130$0$0$11,916,028
89$21,989,779$0$0$12,971,578
90$23,942,077$0$0$14,129,757
91$26,084,353$0$0$15,400,875
92$28,435,697$0$0$16,796,289
93$31,017,137$0$0$18,328,508
94$33,851,835$0$0$20,011,311
95$36,965,307$0$0$21,859,879
96$40,385,661$0$0$23,890,934
97$44,143,864$0$0$26,122,900
98$48,274,027$0$0$28,576,071
99$52,813,733$0$0$31,272,808
100$57,804,385$0$0$34,237,744