Can I retire at age 40 with 972,000?

Use the below retirement simulation to view the chances of a successful retirement.
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 $972,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.6%
1 years$80,267$79,552$78,854$78,173$77,509$76,037
2 years$39,736$38,996$38,279$37,583$36,909$35,432
3 years$26,228$25,484$24,769$24,080$23,417$21,980
4 years$19,475$18,734$18,025$17,348$16,701$15,317
5 years$15,424$14,687$13,988$13,325$12,696$11,367
6 years$12,724$11,993$11,305$10,656$10,046$8,774
7 years$10,797$10,072$9,394$8,761$8,170$6,956
8 years$9,352$8,634$7,967$7,349$6,778$5,621
9 years$8,229$7,517$6,862$6,260$5,708$4,608
10 years$7,330$6,626$5,983$5,396$4,863$3,819
11 years$6,596$5,899$5,267$4,696$4,183$3,192
12 years$5,985$5,294$4,674$4,119$3,625$2,687
13 years$5,468$4,785$4,176$3,637$3,161$2,275
14 years$5,025$4,349$3,752$3,228$2,771$1,934
15 years$4,641$3,973$3,388$2,879$2,439$1,651
16 years$4,306$3,645$3,072$2,578$2,156$1,414
17 years$4,011$3,357$2,795$2,316$1,912$1,214
18 years$3,749$3,102$2,551$2,087$1,700$1,045
19 years$3,514$2,875$2,336$1,886$1,515$901
20 years$3,304$2,671$2,144$1,708$1,353$778
21 years$3,113$2,488$1,972$1,550$1,211$673
22 years$2,940$2,323$1,817$1,410$1,086$583
23 years$2,783$2,172$1,678$1,284$974$505
24 years$2,638$2,035$1,552$1,171$876$438
25 years$2,506$1,910$1,437$1,069$788$381
26 years$2,384$1,795$1,333$978$710$331
27 years$2,271$1,690$1,238$895$640$287
28 years$2,166$1,592$1,151$820$578$250
29 years$2,069$1,502$1,071$752$521$217
30 years$1,979$1,418$997$690$471$189
31 years$1,894$1,341$930$634$426$165
32 years$1,815$1,269$868$582$385$144
33 years$1,741$1,202$810$536$349$125
34 years$1,671$1,139$757$493$316$109
35 years$1,606$1,080$708$454$286$95
36 years$1,544$1,025$662$418$259$83
37 years$1,485$974$620$385$235$72
38 years$1,430$925$580$355$213$63
39 years$1,378$880$544$327$193$55
40 years$1,329$837$510$302$175$48
41 years$1,282$797$478$278$159$42
42 years$1,237$759$448$257$144$36
43 years$1,195$723$421$237$131$32
44 years$1,155$689$395$219$119$28
45 years$1,116$657$371$202$108$24
46 years$1,080$627$348$187$98$21
47 years$1,045$598$327$173$89$18
48 years$1,012$571$307$159$81$16
49 years$980$545$289$147$73$14
50 years$949$521$272$136$67$12

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $972,000, adding $6,965 every year, while hoping to spend $47,151 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: 37/50/13 Blend
39$972,000$972,000$972,000$972,000
40$1,078,328$1,026,812$1,011,746$1,113,695
41$1,138,150$1,026,958$995,472$1,139,796
42$1,202,492$1,025,530$977,071$1,162,915
43$1,271,768$1,022,403$956,425$1,186,856
44$1,346,428$1,017,440$933,405$1,211,714
45$1,426,969$1,010,500$907,879$1,237,600
46$1,513,936$1,001,431$879,710$1,264,638
47$1,607,929$990,072$848,751$1,292,968
48$1,709,605$976,254$814,852$1,322,750
49$1,819,689$959,794$777,853$1,354,162
50$1,938,976$940,503$737,590$1,387,408
51$2,068,342$918,177$693,889$1,422,713
52$2,208,747$892,603$646,569$1,460,334
53$2,361,251$863,552$595,441$1,500,557
54$2,527,018$830,785$540,308$1,543,706
55$2,707,328$794,048$480,962$1,590,141
56$2,903,590$753,071$417,189$1,640,267
57$3,117,354$707,569$348,763$1,694,536
58$3,350,327$657,242$275,449$1,753,454
59$3,604,385$601,772$197,001$1,817,588
60$3,881,596$540,823$113,164$1,887,570
61$4,184,233$474,037$23,670$1,964,104
62$4,514,801$401,041$0$2,047,978
63$4,876,056$321,437$0$2,150,031
64$5,271,032$234,806$0$2,265,429
65$5,703,071$140,705$0$2,392,014
66$6,175,851$38,666$0$2,531,040
67$6,693,423$0$0$2,683,901
68$7,260,248$0$0$2,891,648
69$7,881,238$0$0$3,142,688
70$8,561,803$0$0$3,417,952
71$9,307,902$0$0$3,719,865
72$10,126,095$0$0$4,051,102
73$11,023,611$0$0$4,414,607
74$12,008,410$0$0$4,813,624
75$13,089,261$0$0$5,251,726
76$14,275,822$0$0$5,732,848
77$15,578,734$0$0$6,261,326
78$17,009,716$0$0$6,841,936
79$18,581,680$0$0$7,479,940
80$20,308,849$0$0$8,181,134
81$22,206,891$0$0$8,951,905
82$24,293,071$0$0$9,799,287
83$26,586,404$0$0$10,731,033
84$29,107,844$0$0$11,755,682
85$31,880,474$0$0$12,882,642
86$34,929,726$0$0$14,122,281
87$38,283,622$0$0$15,486,019
88$41,973,033$0$0$16,986,442
89$46,031,976$0$0$18,637,415
90$50,497,928$0$0$20,454,215
91$55,412,185$0$0$22,453,675
92$60,820,244$0$0$24,654,345
93$66,772,240$0$0$27,076,660
94$73,323,412$0$0$29,743,139
95$80,534,626$0$0$32,678,597
96$88,472,950$0$0$35,910,373
97$97,212,282$0$0$39,468,595
98$106,834,050$0$0$43,386,460
99$117,427,982$0$0$47,700,547
100$129,092,947$0$0$52,451,164