Can I retire at age 40 with 961,000?

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 $961,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.6%
1 years$79,358$78,652$77,962$77,289$76,631$76,117
2 years$39,286$38,555$37,846$37,158$36,491$35,972
3 years$25,931$25,196$24,489$23,808$23,152$22,644
4 years$19,254$18,522$17,821$17,152$16,512$16,020
5 years$15,249$14,521$13,830$13,174$12,552$12,077
6 years$12,580$11,858$11,177$10,536$9,932$9,475
7 years$10,675$9,958$9,288$8,662$8,077$7,638
8 years$9,246$8,536$7,877$7,266$6,701$6,279
9 years$8,135$7,432$6,784$6,189$5,643$5,239
10 years$7,248$6,551$5,915$5,335$4,808$4,422
11 years$6,522$5,832$5,207$4,643$4,135$3,766
12 years$5,917$5,234$4,621$4,073$3,584$3,232
13 years$5,406$4,730$4,129$3,596$3,125$2,790
14 years$4,968$4,300$3,710$3,192$2,739$2,420
15 years$4,589$3,928$3,349$2,847$2,412$2,109
16 years$4,258$3,604$3,037$2,549$2,132$1,844
17 years$3,966$3,319$2,763$2,290$1,890$1,617
18 years$3,706$3,067$2,523$2,064$1,681$1,422
19 years$3,474$2,842$2,309$1,865$1,498$1,253
20 years$3,266$2,641$2,119$1,689$1,338$1,106
21 years$3,078$2,460$1,949$1,533$1,197$979
22 years$2,907$2,297$1,797$1,394$1,073$867
23 years$2,751$2,148$1,659$1,269$963$769
24 years$2,609$2,012$1,534$1,158$866$683
25 years$2,478$1,889$1,421$1,057$779$607
26 years$2,357$1,775$1,318$967$702$540
27 years$2,245$1,670$1,224$885$633$481
28 years$2,142$1,574$1,138$811$571$428
29 years$2,046$1,485$1,059$743$516$382
30 years$1,956$1,402$986$682$466$341
31 years$1,873$1,326$919$627$421$304
32 years$1,794$1,254$858$576$381$272
33 years$1,721$1,188$801$530$345$243
34 years$1,652$1,126$748$487$312$217
35 years$1,587$1,068$700$449$283$194
36 years$1,526$1,014$654$413$256$173
37 years$1,469$963$613$381$232$155
38 years$1,414$915$574$351$211$139
39 years$1,363$870$537$323$191$124
40 years$1,314$828$504$298$173$111
41 years$1,268$788$472$275$157$99
42 years$1,223$750$443$254$143$89
43 years$1,182$715$416$235$129$79
44 years$1,142$681$390$217$117$71
45 years$1,104$650$366$200$107$64
46 years$1,068$620$344$185$97$57
47 years$1,033$592$323$171$88$51
48 years$1,000$565$304$158$80$46
49 years$968$539$286$146$72$41
50 years$938$515$269$135$66$37

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $961,000, adding $2,732 every year, while hoping to spend $52,054 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: 48/31/21 Blend
39$961,000$961,000$961,000$961,000
40$1,061,840$1,010,907$996,012$1,106,377
41$1,114,763$1,005,056$973,993$1,131,832
42$1,171,339$997,175$949,492$1,154,002
43$1,231,886$987,107$922,371$1,176,997
44$1,296,753$974,690$892,485$1,200,917
45$1,366,321$959,749$859,683$1,225,875
46$1,441,011$942,101$823,807$1,251,998
47$1,521,281$921,552$784,691$1,279,431
48$1,607,638$897,894$742,165$1,308,336
49$1,700,635$870,909$696,045$1,338,898
50$1,800,883$840,366$646,145$1,371,322
51$1,909,049$806,020$592,267$1,405,839
52$2,025,869$767,612$534,205$1,442,710
53$2,152,150$724,868$471,744$1,482,226
54$2,288,781$677,498$404,659$1,524,715
55$2,436,738$625,196$332,716$1,570,542
56$2,597,093$567,638$255,670$1,620,116
57$2,771,026$504,482$173,264$1,673,895
58$2,959,835$435,366$85,233$1,732,389
59$3,164,946$359,907$0$1,796,169
60$3,387,929$277,702$0$1,867,823
61$3,630,513$188,323$0$1,966,616
62$3,894,595$91,321$0$2,074,288
63$4,182,268$0$0$2,191,789
64$4,495,831$0$0$2,324,874
65$4,837,818$0$0$2,504,095
66$5,211,015$0$0$2,699,771
67$5,618,489$0$0$2,913,524
68$6,063,619$0$0$3,147,139
69$6,550,121$0$0$3,402,581
70$7,082,089$0$0$3,682,012
71$7,664,029$0$0$3,987,815
72$8,300,903$0$0$4,322,612
73$8,998,175$0$0$4,689,292
74$9,761,863$0$0$5,091,035
75$10,598,591$0$0$5,531,344
76$11,515,658$0$0$6,014,077
77$12,521,101$0$0$6,543,483
78$13,623,769$0$0$7,124,240
79$14,833,414$0$0$7,761,505
80$16,160,773$0$0$8,460,955
81$17,617,675$0$0$9,228,843
82$19,217,149$0$0$10,072,059
83$20,973,547$0$0$10,998,192
84$22,902,679$0$0$12,015,603
85$25,021,963$0$0$13,133,501
86$27,350,585$0$0$14,362,032
87$29,909,682$0$0$15,712,374
88$32,722,541$0$0$17,196,841
89$35,814,816$0$0$18,829,001
90$39,214,774$0$0$20,623,801
91$42,953,552$0$0$22,597,709
92$47,065,460$0$0$24,768,869
93$51,588,299$0$0$27,157,273
94$56,563,715$0$0$29,784,947
95$62,037,595$0$0$32,676,158
96$68,060,500$0$0$35,857,648
97$74,688,135$0$0$39,358,877
98$81,981,882$0$0$43,212,311
99$90,009,371$0$0$47,453,717
100$98,845,121$0$0$52,122,510