Can I retire at age 40 with 975,000?

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 $975,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18%
1 years$80,515$79,797$79,098$78,415$77,748$75,229
2 years$39,859$39,116$38,397$37,699$37,023$34,509
3 years$26,309$25,563$24,845$24,154$23,489$21,058
4 years$19,535$18,791$18,081$17,402$16,752$14,424
5 years$15,472$14,733$14,032$13,366$12,735$10,515
6 years$12,764$12,030$11,340$10,689$10,077$7,968
7 years$10,830$10,103$9,423$8,788$8,195$6,196
8 years$9,381$8,660$7,992$7,372$6,799$4,908
9 years$8,254$7,540$6,883$6,279$5,725$3,942
10 years$7,353$6,646$6,001$5,413$4,878$3,198
11 years$6,617$5,917$5,283$4,711$4,196$2,616
12 years$6,003$5,311$4,689$4,132$3,636$2,154
13 years$5,485$4,799$4,189$3,648$3,170$1,782
14 years$5,040$4,362$3,764$3,238$2,779$1,480
15 years$4,656$3,985$3,398$2,888$2,447$1,234
16 years$4,320$3,656$3,081$2,586$2,163$1,031
17 years$4,023$3,367$2,804$2,323$1,918$864
18 years$3,760$3,112$2,559$2,094$1,705$725
19 years$3,525$2,884$2,343$1,892$1,520$610
20 years$3,314$2,680$2,150$1,714$1,357$513
21 years$3,123$2,496$1,978$1,555$1,215$432
22 years$2,949$2,330$1,823$1,414$1,089$365
23 years$2,791$2,179$1,683$1,288$977$308
24 years$2,647$2,042$1,557$1,174$879$260
25 years$2,514$1,916$1,442$1,073$791$220
26 years$2,391$1,801$1,337$981$712$186
27 years$2,278$1,695$1,242$898$642$157
28 years$2,173$1,597$1,154$822$579$133
29 years$2,076$1,507$1,074$754$523$112
30 years$1,985$1,423$1,000$692$473$95
31 years$1,900$1,345$933$636$427$81
32 years$1,820$1,273$870$584$387$68
33 years$1,746$1,205$813$537$350$58
34 years$1,676$1,142$759$494$317$49
35 years$1,610$1,083$710$455$287$41
36 years$1,549$1,028$664$419$260$35
37 years$1,490$977$622$386$236$30
38 years$1,435$928$582$356$214$25
39 years$1,383$883$545$328$194$21
40 years$1,333$840$511$303$176$18
41 years$1,286$799$479$279$159$15
42 years$1,241$761$450$258$145$13
43 years$1,199$725$422$238$131$11
44 years$1,158$691$396$220$119$9
45 years$1,120$659$372$203$108$8
46 years$1,083$629$349$187$98$7
47 years$1,048$600$328$173$89$6
48 years$1,015$573$308$160$81$5
49 years$983$547$290$148$74$4
50 years$952$523$272$137$67$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $975,000, adding $3,389 every year, while hoping to spend $37,027 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: 65/22/13 Blend
39$975,000$975,000$975,000$975,000
40$1,077,946$1,026,271$1,011,158$1,144,545
41$1,148,500$1,037,162$1,005,636$1,200,347
42$1,225,009$1,047,345$998,687$1,256,668
43$1,308,043$1,056,747$990,225$1,317,283
44$1,398,225$1,065,290$980,160$1,382,607
45$1,496,244$1,072,890$968,396$1,453,102
46$1,602,856$1,079,456$954,832$1,529,276
47$1,718,894$1,084,896$939,365$1,611,689
48$1,845,272$1,089,107$921,885$1,700,959
49$1,982,999$1,091,982$902,277$1,797,767
50$2,133,184$1,093,408$880,423$1,902,867
51$2,297,047$1,093,264$856,195$2,017,087
52$2,475,932$1,091,420$829,464$2,141,343
53$2,671,318$1,087,740$800,091$2,276,645
54$2,884,832$1,082,079$767,935$2,424,105
55$3,118,268$1,074,284$732,843$2,584,953
56$3,373,599$1,064,191$694,661$2,760,543
57$3,652,997$1,051,627$653,223$2,952,369
58$3,958,855$1,036,410$608,358$3,162,082
59$4,293,808$1,018,344$559,888$3,391,499
60$4,660,758$997,224$507,626$3,642,626
61$5,062,900$972,833$451,376$3,917,676
62$5,503,752$944,938$390,934$4,219,088
63$5,987,191$913,296$326,086$4,549,554
64$6,517,486$877,649$256,611$4,912,044
65$7,099,339$837,723$182,277$5,309,829
66$7,737,927$793,227$102,839$5,746,522
67$8,438,958$743,857$18,046$6,226,103
68$9,208,714$689,289$0$6,752,965
69$10,054,118$629,179$0$7,341,998
70$10,982,795$563,166$0$7,991,819
71$12,003,148$490,869$0$8,705,851
72$13,124,429$411,882$0$9,490,630
73$14,356,836$325,779$0$10,353,360
74$15,711,600$232,109$0$11,301,984
75$17,201,097$130,396$0$12,345,254
76$18,838,960$20,137$0$13,492,821
77$20,640,211$0$0$14,755,322
78$22,621,399$0$0$16,168,497
79$24,800,759$0$0$17,728,463
80$27,198,380$0$0$19,444,736
81$29,836,400$0$0$21,333,169
82$32,739,206$0$0$23,411,232
83$35,933,673$0$0$25,698,173
84$39,449,410$0$0$28,215,200
85$43,319,044$0$0$30,985,682
86$47,578,522$0$0$34,035,369
87$52,267,456$0$0$37,392,631
88$57,429,494$0$0$41,088,732
89$63,112,728$0$0$45,158,120
90$69,370,153$0$0$49,638,754
91$76,260,163$0$0$54,572,459
92$83,847,103$0$0$60,005,324
93$92,201,875$0$0$65,988,135
94$101,402,609$0$0$72,576,855
95$111,535,397$0$0$79,833,149
96$122,695,105$0$0$87,824,968
97$134,986,270$0$0$96,627,192
98$148,524,087$0$0$106,322,331
99$163,435,492$0$0$117,001,307
100$179,860,361$0$0$128,764,314