Can I retire at age 40 with 962,000?

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 $962,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.6%
1 years$79,441$78,733$78,043$77,369$76,711$74,048
2 years$39,327$38,595$37,885$37,197$36,529$33,874
3 years$25,958$25,222$24,514$23,832$23,176$20,611
4 years$19,274$18,541$17,840$17,170$16,529$14,075
5 years$15,265$14,536$13,845$13,188$12,565$10,229
6 years$12,593$11,870$11,188$10,547$9,942$7,725
7 years$10,686$9,968$9,298$8,671$8,086$5,987
8 years$9,256$8,545$7,885$7,274$6,708$4,726
9 years$8,144$7,440$6,791$6,196$5,649$3,781
10 years$7,255$6,558$5,921$5,341$4,813$3,056
11 years$6,528$5,838$5,213$4,648$4,140$2,490
12 years$5,923$5,240$4,626$4,077$3,587$2,042
13 years$5,411$4,735$4,133$3,599$3,128$1,683
14 years$4,973$4,304$3,714$3,195$2,742$1,392
15 years$4,594$3,932$3,353$2,849$2,414$1,155
16 years$4,262$3,608$3,040$2,551$2,134$962
17 years$3,970$3,322$2,766$2,292$1,892$802
18 years$3,710$3,070$2,525$2,066$1,682$670
19 years$3,478$2,845$2,312$1,867$1,499$561
20 years$3,270$2,644$2,122$1,691$1,339$470
21 years$3,081$2,463$1,951$1,534$1,199$394
22 years$2,910$2,299$1,799$1,395$1,074$331
23 years$2,754$2,150$1,661$1,271$964$278
24 years$2,611$2,015$1,536$1,159$867$234
25 years$2,480$1,891$1,422$1,058$780$196
26 years$2,359$1,777$1,319$968$703$165
27 years$2,248$1,672$1,225$886$633$139
28 years$2,144$1,576$1,139$812$572$117
29 years$2,048$1,486$1,060$744$516$99
30 years$1,958$1,404$987$683$466$83
31 years$1,875$1,327$920$627$422$70
32 years$1,796$1,256$859$576$381$59
33 years$1,723$1,189$802$530$345$50
34 years$1,654$1,127$749$488$312$42
35 years$1,589$1,069$700$449$283$35
36 years$1,528$1,015$655$414$256$30
37 years$1,470$964$613$381$232$25
38 years$1,416$916$574$351$211$21
39 years$1,364$871$538$324$191$18
40 years$1,315$829$504$299$173$15
41 years$1,269$789$473$276$157$13
42 years$1,225$751$444$254$143$11
43 years$1,183$716$416$235$129$9
44 years$1,143$682$391$217$118$8
45 years$1,105$651$367$200$107$6
46 years$1,069$621$345$185$97$5
47 years$1,034$592$324$171$88$5
48 years$1,001$565$304$158$80$4
49 years$969$540$286$146$73$3
50 years$939$516$269$135$66$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $962,000, adding $5,041 every year, while hoping to spend $32,306 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: 63/13/24 Blend
39$962,000$962,000$962,000$962,000
40$1,065,324$1,014,338$999,427$1,125,426
41$1,139,613$1,029,667$998,534$1,181,984
42$1,220,398$1,044,665$996,529$1,239,703
43$1,308,306$1,059,280$993,340$1,302,023
44$1,404,028$1,073,460$988,892$1,369,401
45$1,508,325$1,087,146$983,106$1,442,335
46$1,622,035$1,100,277$975,901$1,521,379
47$1,746,079$1,112,787$967,190$1,607,143
48$1,881,472$1,124,606$956,884$1,700,298
49$2,029,329$1,135,659$944,886$1,801,587
50$2,190,880$1,145,865$931,099$1,911,827
51$2,367,477$1,155,141$915,419$2,031,919
52$2,560,612$1,163,394$897,737$2,162,861
53$2,771,923$1,170,529$877,940$2,305,748
54$3,003,216$1,176,442$855,908$2,461,791
55$3,256,481$1,181,025$831,518$2,632,325
56$3,533,908$1,184,161$804,640$2,818,824
57$3,837,908$1,185,726$775,137$3,022,910
58$4,171,138$1,185,590$742,867$3,246,375
59$4,536,523$1,183,613$707,681$3,491,194
60$4,937,284$1,179,646$669,425$3,759,546
61$5,376,972$1,173,533$627,935$4,053,832
62$5,859,494$1,165,107$583,042$4,376,702
63$6,389,157$1,154,192$534,568$4,731,077
64$6,970,703$1,140,600$482,329$5,120,179
65$7,609,357$1,124,132$426,129$5,547,560
66$8,310,875$1,104,577$365,768$6,017,136
67$9,081,596$1,081,714$301,033$6,533,227
68$9,928,506$1,055,305$231,705$7,100,596
69$10,859,299$1,025,100$157,553$7,724,494
70$11,882,453$990,836$78,336$8,410,710
71$13,007,307$952,230$0$9,165,629
72$14,244,151$908,988$0$9,997,876
73$15,604,321$860,795$0$10,935,136
74$17,100,307$807,319$0$11,965,952
75$18,745,870$748,210$0$13,099,830
76$20,556,173$683,096$0$14,347,245
77$22,547,921$611,586$0$15,719,741
78$24,739,520$533,265$0$17,230,040
79$27,151,252$447,695$0$18,892,162
80$29,805,461$354,414$0$20,721,556
81$32,726,770$252,933$0$22,735,251
82$35,942,309$142,735$0$24,952,009
83$39,481,972$23,276$0$27,392,510
84$43,378,696$0$0$30,079,544
85$47,668,778$0$0$33,053,390
86$52,392,210$0$0$36,331,384
87$57,593,061$0$0$39,940,790
88$63,319,889$0$0$43,915,319
89$69,626,202$0$0$48,292,118
90$76,570,961$0$0$53,112,119
91$84,219,136$0$0$58,420,428
92$92,642,320$0$0$64,266,747
93$101,919,403$0$0$70,705,845
94$112,137,317$0$0$77,798,073
95$123,391,856$0$0$85,609,936
96$135,788,578$0$0$94,214,717
97$149,443,804$0$0$103,693,172
98$164,485,715$0$0$114,134,289
99$181,055,557$0$0$125,636,129
100$199,308,981$0$0$138,306,751