Can I retire at age 40 with 970,000?

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 $970,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.1%
1 years$80,102$79,388$78,692$78,013$77,349$75,418
2 years$39,654$38,916$38,200$37,506$36,833$34,900
3 years$26,174$25,432$24,718$24,030$23,368$21,493
4 years$19,435$18,695$17,988$17,313$16,666$14,864
5 years$15,392$14,657$13,960$13,298$12,670$10,945
6 years$12,698$11,969$11,282$10,634$10,025$8,380
7 years$10,775$10,051$9,375$8,743$8,153$6,587
8 years$9,333$8,616$7,951$7,334$6,764$5,277
9 years$8,212$7,502$6,848$6,247$5,696$4,287
10 years$7,315$6,612$5,970$5,385$4,853$3,520
11 years$6,583$5,887$5,256$4,687$4,174$2,915
12 years$5,972$5,283$4,665$4,111$3,617$2,430
13 years$5,456$4,775$4,168$3,629$3,154$2,036
14 years$5,015$4,340$3,745$3,222$2,765$1,714
15 years$4,632$3,965$3,381$2,873$2,434$1,448
16 years$4,297$3,638$3,065$2,573$2,152$1,227
17 years$4,003$3,350$2,789$2,311$1,908$1,042
18 years$3,741$3,096$2,546$2,083$1,696$887
19 years$3,507$2,869$2,331$1,882$1,512$756
20 years$3,297$2,666$2,139$1,705$1,350$646
21 years$3,107$2,483$1,968$1,547$1,209$552
22 years$2,934$2,318$1,814$1,407$1,083$473
23 years$2,777$2,168$1,674$1,281$972$405
24 years$2,633$2,031$1,549$1,168$874$347
25 years$2,501$1,906$1,434$1,067$786$298
26 years$2,379$1,792$1,330$976$708$256
27 years$2,266$1,686$1,235$893$639$220
28 years$2,162$1,589$1,148$818$576$189
29 years$2,065$1,499$1,069$750$520$162
30 years$1,975$1,415$995$689$470$139
31 years$1,890$1,338$928$632$425$120
32 years$1,811$1,266$866$581$385$103
33 years$1,737$1,199$808$535$348$89
34 years$1,668$1,136$755$492$315$76
35 years$1,602$1,078$706$453$285$66
36 years$1,541$1,023$661$417$259$57
37 years$1,482$972$618$384$234$49
38 years$1,427$923$579$354$212$42
39 years$1,375$878$542$326$193$36
40 years$1,326$835$508$301$175$31
41 years$1,279$795$477$278$159$27
42 years$1,235$757$447$256$144$23
43 years$1,193$722$420$237$131$20
44 years$1,152$688$394$219$119$17
45 years$1,114$656$370$202$108$15
46 years$1,078$626$347$186$98$13
47 years$1,043$597$326$172$89$11
48 years$1,009$570$307$159$81$9
49 years$978$544$288$147$73$8
50 years$947$520$271$136$66$7

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $970,000, adding $3,455 every year, while hoping to spend $28,339 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: 29/43/28 Blend
39$970,000$970,000$970,000$970,000
40$1,072,504$1,021,094$1,006,059$1,094,255
41$1,151,747$1,040,975$1,009,609$1,131,599
42$1,238,123$1,060,880$1,012,329$1,169,025
43$1,332,329$1,080,782$1,014,160$1,208,697
44$1,435,134$1,100,647$1,015,042$1,250,828
45$1,547,383$1,120,444$1,014,911$1,295,655
46$1,670,006$1,140,136$1,013,700$1,343,439
47$1,804,027$1,159,683$1,011,339$1,394,471
48$1,950,574$1,179,044$1,007,756$1,449,069
49$2,110,889$1,198,173$1,002,872$1,507,589
50$2,286,339$1,217,023$996,608$1,570,422
51$2,478,429$1,235,541$988,878$1,638,001
52$2,688,817$1,253,671$979,593$1,710,806
53$2,919,329$1,271,353$968,662$1,789,366
54$3,171,975$1,288,524$955,987$1,874,267
55$3,448,970$1,305,114$941,465$1,966,155
56$3,752,751$1,321,052$924,991$2,065,747
57$4,086,006$1,336,257$906,453$2,173,834
58$4,451,693$1,350,648$885,733$2,291,289
59$4,853,071$1,364,135$862,710$2,419,079
60$5,293,729$1,376,623$837,256$2,558,271
61$5,777,622$1,388,010$809,237$2,710,045
62$6,309,107$1,398,190$778,513$2,875,704
63$6,892,981$1,407,046$744,939$3,056,686
64$7,534,531$1,414,457$708,360$3,254,584
65$8,239,580$1,420,293$668,618$3,471,152
66$9,014,546$1,424,416$625,545$3,708,330
67$9,866,495$1,426,678$578,966$3,968,262
68$10,803,216$1,426,924$528,700$4,253,312
69$11,833,289$1,424,988$474,556$4,566,092
70$12,966,165$1,420,693$416,334$4,909,487
71$14,212,260$1,413,853$353,828$5,286,681
72$15,583,048$1,404,269$286,819$5,701,188
73$17,091,173$1,391,732$215,081$6,156,889
74$18,750,564$1,376,018$138,377$6,658,066
75$20,576,569$1,356,891$56,461$7,209,447
76$22,586,101$1,334,101$0$7,816,249
77$24,797,792$1,307,381$0$8,493,478
78$27,232,176$1,276,451$0$9,256,841
79$29,911,874$1,241,014$0$10,096,548
80$32,861,815$1,200,753$0$11,020,422
81$36,109,466$1,155,336$0$12,037,090
82$39,685,094$1,104,410$0$13,156,065
83$43,622,048$1,047,600$0$14,387,834
84$47,957,078$984,513$0$15,743,965
85$52,730,676$914,731$0$17,237,208
86$57,987,463$837,811$0$18,881,624
87$63,776,608$753,288$0$20,692,713
88$70,152,290$660,667$0$22,687,568
89$77,174,212$559,427$0$24,885,031
90$84,908,160$449,018$0$27,305,879
91$93,426,630$328,858$0$29,973,015
92$102,809,506$198,331$0$32,911,691
93$113,144,816$56,790$0$36,149,745
94$124,529,563$0$0$39,717,867
95$137,070,639$0$0$43,695,529
96$150,885,836$0$0$48,107,140
97$166,104,953$0$0$52,967,307
98$182,871,027$0$0$58,321,739
99$201,341,675$0$0$64,220,803
100$221,690,591$0$0$70,720,004