Can I retire at age 40 with 968,000?

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 $968,000?

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$79,937$79,225$78,530$77,852$77,190$74,749
2 years$39,573$38,836$38,121$37,429$36,757$34,320
3 years$26,120$25,379$24,667$23,981$23,320$20,963
4 years$19,395$18,657$17,951$17,277$16,632$14,374
5 years$15,360$14,627$13,931$13,270$12,643$10,490
6 years$12,672$11,944$11,258$10,612$10,004$7,957
7 years$10,752$10,031$9,356$8,725$8,136$6,195
8 years$9,313$8,598$7,934$7,319$6,750$4,913
9 years$8,195$7,486$6,834$6,234$5,684$3,950
10 years$7,300$6,599$5,958$5,374$4,843$3,209
11 years$6,569$5,874$5,245$4,677$4,165$2,629
12 years$5,960$5,273$4,655$4,102$3,610$2,167
13 years$5,445$4,765$4,159$3,622$3,148$1,795
14 years$5,004$4,331$3,737$3,215$2,759$1,493
15 years$4,622$3,957$3,374$2,867$2,429$1,247
16 years$4,289$3,630$3,059$2,567$2,147$1,043
17 years$3,994$3,343$2,783$2,307$1,904$875
18 years$3,733$3,089$2,541$2,079$1,693$736
19 years$3,500$2,863$2,326$1,878$1,509$619
20 years$3,290$2,660$2,135$1,701$1,348$522
21 years$3,100$2,478$1,964$1,544$1,206$441
22 years$2,928$2,313$1,810$1,404$1,081$372
23 years$2,771$2,164$1,671$1,278$970$315
24 years$2,628$2,027$1,545$1,166$872$266
25 years$2,496$1,902$1,431$1,065$785$225
26 years$2,374$1,788$1,327$974$707$191
27 years$2,262$1,683$1,233$891$637$162
28 years$2,157$1,586$1,146$817$575$137
29 years$2,061$1,496$1,066$749$519$116
30 years$1,970$1,413$993$687$469$98
31 years$1,886$1,335$926$631$424$83
32 years$1,807$1,264$864$580$384$71
33 years$1,734$1,197$807$533$347$60
34 years$1,664$1,134$754$491$314$51
35 years$1,599$1,076$705$452$285$43
36 years$1,537$1,021$659$416$258$37
37 years$1,479$970$617$383$234$31
38 years$1,425$922$578$353$212$26
39 years$1,373$876$541$326$192$22
40 years$1,323$834$507$301$174$19
41 years$1,277$794$476$277$158$16
42 years$1,232$756$446$256$144$14
43 years$1,190$720$419$236$130$12
44 years$1,150$686$393$218$118$10
45 years$1,112$655$369$201$107$8
46 years$1,075$624$347$186$97$7
47 years$1,041$596$326$172$89$6
48 years$1,007$569$306$159$80$5
49 years$976$543$288$147$73$4
50 years$945$519$270$136$66$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $968,000, adding $3,685 every year, while hoping to spend $38,456 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: 47/47/6 Blend
39$968,000$968,000$968,000$968,000
40$1,070,537$1,019,233$1,004,229$1,118,981
41$1,138,815$1,028,259$996,954$1,161,607
42$1,212,768$1,036,438$988,146$1,203,491
43$1,292,935$1,043,688$977,714$1,248,038
44$1,379,908$1,049,922$965,560$1,295,504
45$1,474,338$1,055,047$951,586$1,346,177
46$1,576,940$1,058,964$935,683$1,400,370
47$1,688,502$1,061,568$917,743$1,458,434
48$1,809,892$1,062,747$897,650$1,520,755
49$1,942,062$1,062,382$875,282$1,587,761
50$2,086,061$1,060,348$850,513$1,659,925
51$2,243,044$1,056,510$823,210$1,737,772
52$2,414,282$1,050,726$793,235$1,821,881
53$2,601,173$1,042,846$760,443$1,912,894
54$2,805,258$1,032,710$724,683$2,011,519
55$3,028,230$1,020,149$685,795$2,118,541
56$3,271,955$1,004,982$643,615$2,234,828
57$3,538,488$987,020$597,970$2,361,340
58$3,830,090$966,061$548,679$2,499,137
59$4,149,253$941,891$495,552$2,649,392
60$4,498,717$914,284$438,394$2,813,402
61$4,881,503$883,001$376,997$2,992,602
62$5,300,937$847,788$311,147$3,188,574
63$5,760,681$808,378$240,619$3,403,070
64$6,264,769$764,487$165,178$3,638,026
65$6,817,643$715,815$84,579$3,895,579
66$7,424,198$662,045$0$4,178,092
67$8,089,822$602,841$0$4,488,267
68$8,820,453$537,850$0$4,834,679
69$9,622,631$466,697$0$5,215,111
70$10,503,560$388,985$0$5,633,099
71$11,471,175$304,297$0$6,092,546
72$12,534,219$212,192$0$6,597,764
73$13,702,323$112,202$0$7,153,511
74$14,986,095$3,836$0$7,765,038
75$16,397,226$0$0$8,438,145
76$17,948,592$0$0$9,237,892
77$19,654,382$0$0$10,119,549
78$21,530,226$0$0$11,089,226
79$23,593,345$0$0$12,155,840
80$25,862,714$0$0$13,329,218
81$28,359,238$0$0$14,620,186
82$31,105,952$0$0$16,040,670
83$34,128,233$0$0$17,603,815
84$37,454,046$0$0$19,324,100
85$41,114,200$0$0$21,217,483
86$45,142,646$0$0$23,301,544
87$49,576,789$0$0$25,595,656
88$54,457,846$0$0$28,121,163
89$59,831,235$0$0$30,901,587
90$65,746,998$0$0$33,962,844
91$72,260,278$0$0$37,333,492
92$79,431,835$0$0$41,044,999
93$87,328,623$0$0$45,132,040
94$96,024,418$0$0$49,632,823
95$105,600,514$0$0$54,589,451
96$116,146,493$0$0$60,048,319
97$127,761,065$0$0$66,060,550
98$140,553,005$0$0$72,682,479
99$154,642,171$0$0$79,976,182
100$170,160,645$0$0$88,010,066