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%15.3%
1 years$79,358$78,652$77,962$77,289$76,631$74,962
2 years$39,286$38,555$37,846$37,158$36,491$34,817
3 years$25,931$25,196$24,489$23,808$23,152$21,526
4 years$19,254$18,522$17,821$17,152$16,512$14,947
5 years$15,249$14,521$13,830$13,174$12,552$11,052
6 years$12,580$11,858$11,177$10,536$9,932$8,499
7 years$10,675$9,958$9,288$8,662$8,077$6,711
8 years$9,246$8,536$7,877$7,266$6,701$5,401
9 years$8,135$7,432$6,784$6,189$5,643$4,409
10 years$7,248$6,551$5,915$5,335$4,808$3,638
11 years$6,522$5,832$5,207$4,643$4,135$3,028
12 years$5,917$5,234$4,621$4,073$3,584$2,537
13 years$5,406$4,730$4,129$3,596$3,125$2,138
14 years$4,968$4,300$3,710$3,192$2,739$1,809
15 years$4,589$3,928$3,349$2,847$2,412$1,537
16 years$4,258$3,604$3,037$2,549$2,132$1,310
17 years$3,966$3,319$2,763$2,290$1,890$1,119
18 years$3,706$3,067$2,523$2,064$1,681$958
19 years$3,474$2,842$2,309$1,865$1,498$822
20 years$3,266$2,641$2,119$1,689$1,338$706
21 years$3,078$2,460$1,949$1,533$1,197$607
22 years$2,907$2,297$1,797$1,394$1,073$523
23 years$2,751$2,148$1,659$1,269$963$451
24 years$2,609$2,012$1,534$1,158$866$389
25 years$2,478$1,889$1,421$1,057$779$336
26 years$2,357$1,775$1,318$967$702$290
27 years$2,245$1,670$1,224$885$633$251
28 years$2,142$1,574$1,138$811$571$217
29 years$2,046$1,485$1,059$743$516$188
30 years$1,956$1,402$986$682$466$162
31 years$1,873$1,326$919$627$421$141
32 years$1,794$1,254$858$576$381$122
33 years$1,721$1,188$801$530$345$105
34 years$1,652$1,126$748$487$312$91
35 years$1,587$1,068$700$449$283$79
36 years$1,526$1,014$654$413$256$69
37 years$1,469$963$613$381$232$59
38 years$1,414$915$574$351$211$52
39 years$1,363$870$537$323$191$45
40 years$1,314$828$504$298$173$39
41 years$1,268$788$472$275$157$34
42 years$1,223$750$443$254$143$29
43 years$1,182$715$416$235$129$25
44 years$1,142$681$390$217$117$22
45 years$1,104$650$366$200$107$19
46 years$1,068$620$344$185$97$16
47 years$1,033$592$323$171$88$14
48 years$1,000$565$304$158$80$12
49 years$968$539$286$146$72$11
50 years$938$515$269$135$66$9

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $961,000, adding $6,580 every year, while hoping to spend $46,237 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: 32/40/28 Blend
39$961,000$961,000$961,000$961,000
40$1,065,809$1,014,876$999,981$1,090,645
41$1,125,326$1,015,409$984,284$1,110,764
42$1,189,364$1,014,419$966,512$1,127,884
43$1,258,335$1,011,782$946,547$1,145,420
44$1,332,692$1,007,366$924,263$1,163,442
45$1,412,933$1,001,033$899,532$1,182,029
46$1,499,605$992,636$872,219$1,201,273
47$1,593,307$982,018$842,181$1,221,280
48$1,694,700$969,013$809,269$1,242,170
49$1,804,510$953,445$773,330$1,264,079
50$1,923,534$935,128$734,201$1,287,165
51$2,052,650$913,865$691,713$1,311,606
52$2,192,823$889,447$645,688$1,337,602
53$2,345,114$861,653$595,941$1,365,382
54$2,510,690$830,248$542,280$1,395,204
55$2,690,836$794,986$484,502$1,427,357
56$2,886,965$755,603$422,395$1,462,170
57$3,100,630$711,823$355,741$1,500,011
58$3,333,545$663,352$284,309$1,541,293
59$3,587,591$609,881$207,858$1,586,482
60$3,864,842$551,082$126,137$1,636,098
61$4,167,578$486,608$38,886$1,690,725
62$4,498,312$416,093$0$1,751,016
63$4,859,809$339,150$0$1,833,902
64$5,255,113$255,372$0$1,937,451
65$5,687,575$164,325$0$2,051,031
66$6,160,886$65,556$0$2,175,752
67$6,679,110$0$0$2,312,846
68$7,246,722$0$0$2,481,907
69$7,868,650$0$0$2,698,906
70$8,550,322$0$0$2,936,900
71$9,297,715$0$0$3,197,995
72$10,117,413$0$0$3,484,509
73$11,016,667$0$0$3,798,998
74$12,003,464$0$0$4,144,276
75$13,086,602$0$0$4,523,442
76$14,275,771$0$0$4,939,911
77$15,581,648$0$0$5,397,445
78$17,015,991$0$0$5,900,188
79$18,591,755$0$0$6,452,705
80$20,323,211$0$0$7,060,026
81$22,226,081$0$0$7,727,691
82$24,317,686$0$0$8,461,806
83$26,617,108$0$0$9,269,096
84$29,145,370$0$0$10,156,972
85$31,925,634$0$0$11,133,598
86$34,983,419$0$0$12,207,968
87$38,346,842$0$0$13,389,995
88$42,046,880$0$0$14,690,598
89$46,117,664$0$0$16,121,810
90$50,596,801$0$0$17,696,888
91$55,525,728$0$0$19,430,439
92$60,950,098$0$0$21,338,559
93$66,920,218$0$0$23,438,983
94$73,491,516$0$0$25,751,253
95$80,725,067$0$0$28,296,902
96$88,688,170$0$0$31,099,656
97$97,454,977$0$0$34,185,659
98$107,107,197$0$0$37,583,721
99$117,734,866$0$0$41,325,586
100$129,437,194$0$0$45,446,233