Can I retire at age 40 with 965,000?

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 $965,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12%
1 years$79,689$78,979$78,286$77,610$76,950$76,306
2 years$39,450$38,715$38,003$37,313$36,643$35,993
3 years$26,039$25,301$24,591$23,907$23,248$22,613
4 years$19,334$18,599$17,896$17,223$16,581$15,966
5 years$15,313$14,582$13,888$13,229$12,604$12,011
6 years$12,633$11,907$11,223$10,580$9,973$9,403
7 years$10,719$9,999$9,327$8,698$8,111$7,563
8 years$9,285$8,571$7,910$7,297$6,729$6,204
9 years$8,169$7,463$6,813$6,215$5,667$5,164
10 years$7,278$6,578$5,939$5,357$4,828$4,348
11 years$6,549$5,856$5,229$4,663$4,152$3,694
12 years$5,942$5,256$4,641$4,090$3,598$3,162
13 years$5,428$4,750$4,146$3,611$3,138$2,722
14 years$4,989$4,318$3,725$3,205$2,751$2,356
15 years$4,608$3,944$3,363$2,858$2,422$2,047
16 years$4,275$3,619$3,049$2,559$2,141$1,785
17 years$3,982$3,333$2,775$2,300$1,898$1,561
18 years$3,722$3,080$2,533$2,072$1,688$1,369
19 years$3,489$2,854$2,319$1,873$1,504$1,203
20 years$3,280$2,652$2,128$1,696$1,344$1,059
21 years$3,091$2,470$1,958$1,539$1,202$934
22 years$2,919$2,306$1,804$1,399$1,078$825
23 years$2,763$2,157$1,666$1,275$967$729
24 years$2,619$2,021$1,541$1,162$870$646
25 years$2,488$1,896$1,427$1,062$782$572
26 years$2,367$1,782$1,323$971$705$508
27 years$2,255$1,677$1,229$888$635$451
28 years$2,151$1,581$1,142$814$573$400
29 years$2,054$1,491$1,063$746$518$356
30 years$1,964$1,408$990$685$468$316
31 years$1,880$1,331$923$629$423$281
32 years$1,802$1,260$861$578$383$250
33 years$1,728$1,193$804$532$346$223
34 years$1,659$1,131$751$489$313$198
35 years$1,594$1,072$703$450$284$177
36 years$1,533$1,018$657$415$257$158
37 years$1,475$967$615$382$233$140
38 years$1,420$919$576$352$211$125
39 years$1,368$874$540$325$192$112
40 years$1,319$831$506$300$174$99
41 years$1,273$791$474$276$158$89
42 years$1,229$753$445$255$143$79
43 years$1,187$718$418$235$130$71
44 years$1,147$684$392$217$118$63
45 years$1,108$653$368$201$107$56
46 years$1,072$623$346$185$97$50
47 years$1,037$594$325$171$88$45
48 years$1,004$567$305$158$80$40
49 years$973$542$287$146$73$36
50 years$942$517$270$135$66$32

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $965,000, adding $3,367 every year, while hoping to spend $31,320 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: 80/13/7 Blend
39$965,000$965,000$965,000$965,000
40$1,066,903$1,015,758$1,000,801$1,151,190
41$1,142,403$1,032,206$1,001,003$1,223,332
42$1,224,554$1,048,410$1,000,163$1,298,000
43$1,314,002$1,064,325$998,212$1,378,984
44$1,411,456$1,079,904$995,078$1,466,899
45$1,517,699$1,095,093$990,687$1,562,420
46$1,633,591$1,109,839$984,961$1,666,294
47$1,760,077$1,124,081$977,818$1,779,340
48$1,898,201$1,137,757$969,170$1,902,464
49$2,049,109$1,150,799$958,929$2,036,659
50$2,214,064$1,163,134$946,999$2,183,025
51$2,394,457$1,174,686$933,282$2,342,768
52$2,591,819$1,185,373$917,675$2,517,219
53$2,807,835$1,195,107$900,067$2,707,846
54$3,044,361$1,203,794$880,347$2,916,263
55$3,303,443$1,211,337$858,395$3,144,252
56$3,587,330$1,217,629$834,088$3,393,773
57$3,898,503$1,222,557$807,294$3,666,987
58$4,239,690$1,226,003$777,879$3,966,276
59$4,613,901$1,227,839$745,700$4,294,263
60$5,024,446$1,227,931$710,609$4,653,839
61$5,474,975$1,226,134$672,449$5,048,191
62$5,969,506$1,222,298$631,060$5,480,828
63$6,512,465$1,216,261$586,270$5,955,619
64$7,108,730$1,207,851$537,903$6,476,828
65$7,763,671$1,196,887$485,774$7,049,151
66$8,483,207$1,183,175$429,689$7,677,766
67$9,273,856$1,166,513$369,445$8,368,377
68$10,142,800$1,146,683$304,832$9,127,272
69$11,097,952$1,123,456$235,630$9,961,379
70$12,148,027$1,096,589$161,608$10,878,332
71$13,302,629$1,065,826$82,525$11,886,546
72$14,572,340$1,030,894$0$12,995,294
73$15,968,815$991,504$0$14,214,934
74$17,504,899$947,353$0$15,563,176
75$19,194,742$898,116$0$17,046,280
76$21,053,936$843,455$0$18,677,945
77$23,099,660$783,006$0$20,473,268
78$25,350,842$716,390$0$22,448,883
79$27,828,337$643,202$0$24,623,121
80$30,555,126$563,017$0$27,016,185
81$33,556,528$475,385$0$29,650,334
82$36,860,444$379,829$0$32,550,100
83$40,497,616$275,847$0$35,742,518
84$44,501,917$162,908$0$39,257,378
85$48,910,674$40,452$0$43,127,511
86$53,765,015$0$0$47,389,094
87$59,110,261$0$0$52,095,174
88$64,996,350$0$0$57,283,832
89$71,478,311$0$0$62,997,795
90$78,616,780$0$0$69,290,519
91$86,478,575$0$0$76,220,909
92$95,137,324$0$0$83,853,876
93$104,674,160$0$0$92,260,947
94$115,178,488$0$0$101,520,939
95$126,748,826$0$0$111,720,705
96$139,493,734$0$0$122,955,953
97$153,532,845$0$0$135,332,149
98$168,997,983$0$0$148,965,509
99$186,034,416$0$0$163,984,100
100$204,802,223$0$0$180,529,047