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%13.8%
1 years$80,184$79,470$78,773$78,093$77,429$76,209
2 years$39,695$38,956$38,239$37,545$36,871$35,645
3 years$26,201$25,458$24,743$24,055$23,392$22,199
4 years$19,455$18,714$18,007$17,330$16,684$15,531
5 years$15,408$14,672$13,974$13,311$12,683$11,575
6 years$12,711$11,981$11,293$10,645$10,035$8,974
7 years$10,786$10,062$9,385$8,752$8,161$7,146
8 years$9,342$8,625$7,959$7,342$6,771$5,801
9 years$8,220$7,509$6,855$6,254$5,702$4,778
10 years$7,323$6,619$5,976$5,391$4,858$3,980
11 years$6,589$5,893$5,261$4,692$4,178$3,344
12 years$5,979$5,289$4,669$4,115$3,621$2,829
13 years$5,462$4,780$4,172$3,633$3,157$2,407
14 years$5,020$4,345$3,748$3,225$2,768$2,058
15 years$4,637$3,969$3,384$2,876$2,437$1,767
16 years$4,302$3,641$3,068$2,575$2,154$1,522
17 years$4,007$3,354$2,792$2,314$1,910$1,314
18 years$3,745$3,099$2,549$2,085$1,698$1,137
19 years$3,511$2,872$2,333$1,884$1,513$987
20 years$3,300$2,669$2,141$1,707$1,352$857
21 years$3,110$2,486$1,970$1,549$1,210$746
22 years$2,937$2,320$1,815$1,408$1,084$650
23 years$2,780$2,170$1,676$1,282$973$567
24 years$2,636$2,033$1,550$1,170$875$495
25 years$2,503$1,908$1,436$1,068$787$432
26 years$2,381$1,793$1,332$977$709$378
27 years$2,269$1,688$1,237$894$639$331
28 years$2,164$1,590$1,150$819$577$290
29 years$2,067$1,500$1,070$751$521$254
30 years$1,977$1,417$996$689$471$222
31 years$1,892$1,339$929$633$426$195
32 years$1,813$1,267$867$582$385$171
33 years$1,739$1,200$809$535$348$150
34 years$1,669$1,138$756$492$315$131
35 years$1,604$1,079$707$453$286$115
36 years$1,542$1,024$661$417$259$101
37 years$1,484$973$619$385$235$89
38 years$1,429$924$580$354$213$78
39 years$1,377$879$543$327$193$68
40 years$1,328$836$509$301$175$60
41 years$1,281$796$477$278$159$53
42 years$1,236$758$448$257$144$46
43 years$1,194$722$420$237$131$41
44 years$1,154$689$394$219$119$36
45 years$1,115$657$370$202$108$31
46 years$1,079$626$348$187$98$28
47 years$1,044$598$327$172$89$24
48 years$1,010$571$307$159$81$21
49 years$979$545$289$147$73$19
50 years$948$521$271$136$67$16

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $971,000, adding $2,280 every year, while hoping to spend $57,797 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: 65/17/18 Blend
39$971,000$971,000$971,000$971,000
40$1,072,394$1,020,931$1,005,880$1,137,153
41$1,120,282$1,009,461$978,082$1,169,388
42$1,171,119$995,492$947,415$1,197,762
43$1,225,142$978,840$913,722$1,227,383
44$1,282,614$959,311$876,840$1,258,373
45$1,343,823$936,700$836,597$1,290,870
46$1,409,082$910,787$792,812$1,325,025
47$1,478,736$881,343$745,298$1,361,011
48$1,553,161$848,123$693,859$1,399,016
49$1,632,770$810,868$638,291$1,439,254
50$1,718,017$769,305$578,378$1,481,959
51$1,809,399$723,144$513,897$1,527,395
52$1,907,460$672,080$444,615$1,575,854
53$2,012,798$615,790$370,287$1,627,662
54$2,126,070$553,930$290,658$1,683,181
55$2,247,997$486,141$205,463$1,742,814
56$2,379,371$412,039$114,424$1,807,007
57$2,521,059$331,222$17,250$1,876,258
58$2,674,019$243,263$0$1,951,119
59$2,839,298$147,713$0$2,048,807
60$3,018,050$44,095$0$2,158,012
61$3,211,544$0$0$2,276,237
62$3,421,171$0$0$2,417,122
63$3,648,465$0$0$2,578,879
64$3,895,111$0$0$2,754,464
65$4,162,961$0$0$2,945,204
66$4,454,054$0$0$3,152,557
67$4,770,633$0$0$3,378,129
68$5,115,164$0$0$3,623,686
69$5,490,362$0$0$3,891,171
70$5,899,214$0$0$4,182,722
71$6,345,007$0$0$4,500,692
72$6,831,359$0$0$4,847,673
73$7,362,253$0$0$5,226,515
74$7,942,072$0$0$5,640,356
75$8,575,642$0$0$6,092,653
76$9,268,275$0$0$6,587,209
77$10,025,822$0$0$7,128,213
78$10,854,722$0$0$7,720,275
79$11,762,067$0$0$8,368,475
80$12,755,667$0$0$9,078,405
81$13,844,121$0$0$9,856,222
82$15,036,899$0$0$10,708,709
83$16,344,432$0$0$11,643,335
84$17,778,207$0$0$12,668,326
85$19,350,876$0$0$13,792,744
86$21,076,376$0$0$15,026,568
87$22,970,055$0$0$16,380,792
88$25,048,822$0$0$17,867,524
89$27,331,302$0$0$19,500,103
90$29,838,010$0$0$21,293,223
91$32,591,549$0$0$23,263,071
92$35,616,816$0$0$25,427,479
93$38,941,240$0$0$27,806,091
94$42,595,036$0$0$30,420,549
95$46,611,497$0$0$33,294,696
96$51,027,297$0$0$36,454,800
97$55,882,844$0$0$39,929,803
98$61,222,656$0$0$43,751,589
99$67,095,781$0$0$47,955,289
100$73,556,260$0$0$52,579,609