Can I retire at age 40 with 966,000?

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 $966,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.8%
1 years$79,771$79,061$78,368$77,691$77,030$74,594
2 years$39,491$38,755$38,043$37,351$36,681$34,249
3 years$26,066$25,327$24,616$23,931$23,272$20,920
4 years$19,354$18,618$17,914$17,241$16,598$14,344
5 years$15,329$14,597$13,902$13,243$12,617$10,468
6 years$12,646$11,919$11,235$10,590$9,984$7,940
7 years$10,730$10,010$9,336$8,707$8,119$6,182
8 years$9,294$8,580$7,918$7,304$6,736$4,903
9 years$8,178$7,471$6,820$6,221$5,673$3,942
10 years$7,285$6,585$5,946$5,363$4,833$3,203
11 years$6,555$5,862$5,234$4,667$4,157$2,623
12 years$5,948$5,262$4,645$4,094$3,602$2,162
13 years$5,434$4,755$4,150$3,614$3,141$1,791
14 years$4,994$4,322$3,729$3,208$2,754$1,490
15 years$4,613$3,948$3,367$2,861$2,424$1,244
16 years$4,280$3,623$3,053$2,562$2,143$1,041
17 years$3,986$3,336$2,778$2,302$1,900$874
18 years$3,725$3,083$2,536$2,075$1,689$734
19 years$3,493$2,857$2,321$1,874$1,506$618
20 years$3,283$2,655$2,130$1,698$1,345$521
21 years$3,094$2,473$1,960$1,541$1,204$440
22 years$2,922$2,308$1,806$1,401$1,079$371
23 years$2,766$2,159$1,668$1,276$968$314
24 years$2,622$2,023$1,542$1,164$870$266
25 years$2,490$1,898$1,428$1,063$783$225
26 years$2,369$1,784$1,325$972$706$190
27 years$2,257$1,679$1,230$889$636$161
28 years$2,153$1,582$1,144$815$574$137
29 years$2,056$1,493$1,064$747$518$116
30 years$1,966$1,410$991$686$468$98
31 years$1,882$1,333$924$630$423$83
32 years$1,804$1,261$862$579$383$71
33 years$1,730$1,194$805$532$347$60
34 years$1,661$1,132$752$490$314$51
35 years$1,596$1,073$703$451$284$43
36 years$1,534$1,019$658$415$258$37
37 years$1,476$968$616$383$233$31
38 years$1,422$920$577$353$212$26
39 years$1,370$874$540$325$192$22
40 years$1,321$832$506$300$174$19
41 years$1,274$792$475$277$158$16
42 years$1,230$754$445$255$143$14
43 years$1,188$719$418$236$130$12
44 years$1,148$685$392$218$118$10
45 years$1,110$653$368$201$107$8
46 years$1,073$623$346$186$97$7
47 years$1,038$595$325$172$88$6
48 years$1,005$568$305$159$80$5
49 years$974$542$287$146$73$4
50 years$943$518$270$135$66$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $966,000, adding $4,267 every year, while hoping to spend $21,129 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: 34/38/28 Blend
39$966,000$966,000$966,000$966,000
40$1,068,933$1,017,735$1,002,762$1,096,101
41$1,155,484$1,045,123$1,013,874$1,144,348
42$1,250,154$1,073,145$1,024,649$1,194,151
43$1,353,750$1,101,810$1,035,055$1,247,450
44$1,467,159$1,131,125$1,045,057$1,304,569
45$1,591,359$1,161,100$1,054,616$1,365,868
46$1,727,425$1,191,742$1,063,693$1,431,741
47$1,876,544$1,223,058$1,072,248$1,502,623
48$2,040,019$1,255,056$1,080,236$1,578,994
49$2,219,289$1,287,742$1,087,612$1,661,382
50$2,415,937$1,321,122$1,094,328$1,750,368
51$2,631,707$1,355,201$1,100,332$1,846,594
52$2,868,520$1,389,985$1,105,572$1,950,765
53$3,128,492$1,425,476$1,109,991$2,063,660
54$3,413,953$1,461,680$1,113,531$2,186,137
55$3,727,472$1,498,598$1,116,130$2,319,141
56$4,071,876$1,536,231$1,117,723$2,463,713
57$4,450,282$1,574,581$1,118,241$2,621,002
58$4,866,122$1,613,647$1,117,614$2,792,273
59$5,323,178$1,653,428$1,115,765$2,978,921
60$5,825,617$1,693,920$1,112,618$3,182,482
61$6,378,027$1,735,119$1,108,088$3,404,651
62$6,985,467$1,777,021$1,102,089$3,647,296
63$7,653,507$1,819,617$1,094,532$3,912,475
64$8,388,286$1,862,900$1,085,320$4,202,458
65$9,196,567$1,906,858$1,074,355$4,519,745
66$10,085,803$1,951,480$1,061,531$4,867,093
67$11,064,202$1,996,750$1,046,740$5,247,542
68$12,140,813$2,042,653$1,029,868$5,664,441
69$13,325,602$2,089,169$1,010,794$6,121,483
70$14,629,551$2,136,276$989,394$6,622,737
71$16,064,763$2,183,951$965,536$7,172,692
72$17,644,570$2,232,167$939,084$7,776,291
73$19,383,666$2,280,893$909,893$8,438,988
74$21,298,240$2,330,096$877,813$9,166,790
75$23,406,129$2,379,739$842,688$9,966,322
76$25,726,989$2,429,782$804,354$10,844,884
77$28,282,481$2,480,180$762,639$11,810,526
78$31,096,471$2,530,885$717,364$12,872,117
79$34,195,256$2,581,844$668,341$14,039,437
80$37,607,816$2,632,998$615,374$15,323,263
81$41,366,084$2,684,286$558,260$16,735,476
82$45,505,246$2,735,637$496,783$18,289,170
83$50,064,078$2,786,980$430,722$19,998,781
84$55,085,305$2,838,233$359,842$21,880,217
85$60,616,010$2,889,310$283,901$23,951,014
86$66,708,075$2,940,118$202,643$26,230,502
87$73,418,671$2,990,557$115,805$28,739,984
88$80,810,799$3,040,518$23,108$31,502,942
89$88,953,882$3,089,885$0$34,545,258
90$97,924,421$3,138,532$0$37,918,109
91$107,806,719$3,186,327$0$41,639,126
92$118,693,672$3,233,125$0$45,736,147
93$130,687,650$3,278,772$0$50,247,466
94$143,901,462$3,323,103$0$55,215,283
95$158,459,418$3,365,942$0$60,686,104
96$174,498,505$3,407,100$0$66,711,179
97$192,169,681$3,446,376$0$73,346,988
98$211,639,296$3,483,556$0$80,655,771
99$233,090,662$3,518,408$0$88,706,122
100$256,725,789$3,550,690$0$97,573,629