Can I retire at age 40 with 971,000?

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 $971,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.9%
1 years$80,184$79,470$78,773$78,093$77,429$75,557
2 years$39,695$38,956$38,239$37,545$36,871$34,996
3 years$26,201$25,458$24,743$24,055$23,392$21,574
4 years$19,455$18,714$18,007$17,330$16,684$14,935
5 years$15,408$14,672$13,974$13,311$12,683$11,008
6 years$12,711$11,981$11,293$10,645$10,035$8,438
7 years$10,786$10,062$9,385$8,752$8,161$6,640
8 years$9,342$8,625$7,959$7,342$6,771$5,325
9 years$8,220$7,509$6,855$6,254$5,702$4,331
10 years$7,323$6,619$5,976$5,391$4,858$3,561
11 years$6,589$5,893$5,261$4,692$4,178$2,953
12 years$5,979$5,289$4,669$4,115$3,621$2,464
13 years$5,462$4,780$4,172$3,633$3,157$2,068
14 years$5,020$4,345$3,748$3,225$2,768$1,743
15 years$4,637$3,969$3,384$2,876$2,437$1,475
16 years$4,302$3,641$3,068$2,575$2,154$1,251
17 years$4,007$3,354$2,792$2,314$1,910$1,064
18 years$3,745$3,099$2,549$2,085$1,698$907
19 years$3,511$2,872$2,333$1,884$1,513$775
20 years$3,300$2,669$2,141$1,707$1,352$663
21 years$3,110$2,486$1,970$1,549$1,210$567
22 years$2,937$2,320$1,815$1,408$1,084$486
23 years$2,780$2,170$1,676$1,282$973$417
24 years$2,636$2,033$1,550$1,170$875$358
25 years$2,503$1,908$1,436$1,068$787$308
26 years$2,381$1,793$1,332$977$709$265
27 years$2,269$1,688$1,237$894$639$228
28 years$2,164$1,590$1,150$819$577$196
29 years$2,067$1,500$1,070$751$521$169
30 years$1,977$1,417$996$689$471$145
31 years$1,892$1,339$929$633$426$125
32 years$1,813$1,267$867$582$385$108
33 years$1,739$1,200$809$535$348$93
34 years$1,669$1,138$756$492$315$80
35 years$1,604$1,079$707$453$286$69
36 years$1,542$1,024$661$417$259$60
37 years$1,484$973$619$385$235$51
38 years$1,429$924$580$354$213$44
39 years$1,377$879$543$327$193$38
40 years$1,328$836$509$301$175$33
41 years$1,281$796$477$278$159$28
42 years$1,236$758$448$257$144$24
43 years$1,194$722$420$237$131$21
44 years$1,154$689$394$219$119$18
45 years$1,115$657$370$202$108$16
46 years$1,079$626$348$187$98$14
47 years$1,044$598$327$172$89$12
48 years$1,010$571$307$159$81$10
49 years$979$545$289$147$73$9
50 years$948$521$271$136$67$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $971,000, adding $3,091 every year, while hoping to spend $57,150 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: 40/37/23 Blend
39$971,000$971,000$971,000$971,000
40$1,073,230$1,021,767$1,006,717$1,108,748
41$1,121,893$1,011,027$979,635$1,123,856
42$1,173,603$997,845$949,730$1,134,553
43$1,228,612$982,041$916,848$1,144,982
44$1,287,194$963,424$880,826$1,155,153
45$1,349,650$941,793$841,495$1,165,078
46$1,416,307$916,934$798,678$1,174,779
47$1,487,527$888,621$752,190$1,184,282
48$1,563,704$856,612$701,837$1,193,622
49$1,645,271$820,655$647,418$1,202,844
50$1,732,703$780,482$588,721$1,212,002
51$1,826,521$735,808$525,526$1,221,165
52$1,927,296$686,333$457,601$1,230,412
53$2,035,657$631,740$384,707$1,239,840
54$2,152,291$571,692$306,592$1,249,563
55$2,277,955$505,836$222,994$1,259,714
56$2,413,481$433,795$133,638$1,270,450
57$2,559,779$355,175$38,238$1,281,949
58$2,717,854$269,556$0$1,294,423
59$2,888,808$176,497$0$1,323,711
60$3,073,851$75,530$0$1,365,517
61$3,274,316$0$0$1,410,843
62$3,491,667$0$0$1,473,908
63$3,727,514$0$0$1,575,814
64$3,983,627$0$0$1,686,590
65$4,261,955$0$0$1,807,091
66$4,564,641$0$0$1,938,260
67$4,894,041$0$0$2,081,134
68$5,252,750$0$0$2,236,854
69$5,643,623$0$0$2,406,676
70$6,069,799$0$0$2,591,982
71$6,534,737$0$0$2,794,294
72$7,042,243$0$0$3,015,287
73$7,596,504$0$0$3,256,803
74$8,202,132$0$0$3,520,875
75$8,864,204$0$0$3,809,735
76$9,588,309$0$0$4,125,846
77$10,380,601$0$0$4,471,917
78$11,247,858$0$0$4,850,933
79$12,197,540$0$0$5,266,178
80$13,237,865$0$0$5,721,273
81$14,377,883$0$0$6,220,202
82$15,627,561$0$0$6,767,357
83$16,997,874$0$0$7,367,571
84$18,500,912$0$0$8,026,170
85$20,149,992$0$0$8,749,019
86$21,959,780$0$0$9,542,582
87$23,946,434$0$0$10,413,974
88$26,127,749$0$0$11,371,037
89$28,523,329$0$0$12,422,407
90$31,154,772$0$0$13,577,601
91$34,045,866$0$0$14,847,099
92$37,222,821$0$0$16,242,451
93$40,714,510$0$0$17,776,378
94$44,552,743$0$0$19,462,898
95$48,772,564$0$0$21,317,453
96$53,412,583$0$0$23,357,056
97$58,515,338$0$0$25,600,454
98$64,127,697$0$0$28,068,299
99$70,301,296$0$0$30,783,347
100$77,093,028$0$0$33,770,670