Can I retire at age 40 with 976,000?

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 $976,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.3%
1 years$80,597$79,879$79,179$78,495$77,828$77,079
2 years$39,900$39,156$38,436$37,738$37,061$36,307
3 years$26,336$25,589$24,871$24,179$23,513$22,777
4 years$19,555$18,811$18,100$17,420$16,770$16,057
5 years$15,487$14,748$14,046$13,380$12,748$12,061
6 years$12,777$12,043$11,351$10,700$10,087$9,426
7 years$10,841$10,113$9,433$8,797$8,203$7,570
8 years$9,390$8,669$8,000$7,380$6,806$6,198
9 years$8,262$7,548$6,890$6,286$5,731$5,151
10 years$7,361$6,653$6,007$5,418$4,883$4,329
11 years$6,623$5,923$5,289$4,716$4,200$3,671
12 years$6,009$5,316$4,693$4,136$3,639$3,136
13 years$5,490$4,804$4,193$3,652$3,174$2,695
14 years$5,046$4,367$3,768$3,242$2,782$2,327
15 years$4,661$3,989$3,402$2,891$2,450$2,018
16 years$4,324$3,660$3,084$2,589$2,165$1,756
17 years$4,027$3,371$2,806$2,326$1,920$1,533
18 years$3,764$3,115$2,562$2,096$1,707$1,341
19 years$3,529$2,887$2,345$1,894$1,521$1,176
20 years$3,317$2,682$2,152$1,715$1,359$1,033
21 years$3,126$2,499$1,980$1,557$1,216$909
22 years$2,952$2,332$1,825$1,415$1,090$801
23 years$2,794$2,181$1,685$1,289$978$707
24 years$2,649$2,044$1,558$1,176$879$624
25 years$2,516$1,918$1,443$1,074$791$552
26 years$2,394$1,803$1,338$982$713$488
27 years$2,280$1,697$1,243$899$643$432
28 years$2,175$1,599$1,155$823$580$383
29 years$2,078$1,508$1,075$755$524$340
30 years$1,987$1,424$1,002$693$473$301
31 years$1,902$1,346$934$636$428$267
32 years$1,822$1,274$871$585$387$237
33 years$1,748$1,206$813$538$350$211
34 years$1,678$1,143$760$495$317$187
35 years$1,612$1,085$711$456$287$166
36 years$1,550$1,029$665$420$260$148
37 years$1,492$978$622$387$236$131
38 years$1,436$929$583$356$214$117
39 years$1,384$884$546$329$194$104
40 years$1,334$841$512$303$176$92
41 years$1,287$800$480$280$160$82
42 years$1,243$762$450$258$145$73
43 years$1,200$726$422$238$131$65
44 years$1,160$692$396$220$119$58
45 years$1,121$660$372$203$108$52
46 years$1,084$630$350$188$98$46
47 years$1,049$601$328$173$89$41
48 years$1,016$574$309$160$81$36
49 years$984$548$290$148$74$32
50 years$953$523$273$137$67$29

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $976,000, adding $6,386 every year, while hoping to spend $39,912 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: 50/21/29 Blend
39$976,000$976,000$976,000$976,000
40$1,082,139$1,030,411$1,015,283$1,127,076
41$1,150,051$1,038,435$1,006,829$1,167,212
42$1,223,553$1,045,515$996,754$1,206,346
43$1,303,172$1,051,562$984,962$1,248,112
44$1,389,488$1,056,481$971,351$1,292,778
45$1,483,141$1,060,174$955,817$1,340,643
46$1,584,832$1,062,533$938,247$1,392,036
47$1,695,334$1,063,446$918,527$1,447,324
48$1,815,495$1,062,792$896,535$1,506,912
49$1,946,251$1,060,444$872,144$1,571,249
50$2,088,629$1,056,267$845,222$1,640,832
51$2,243,762$1,050,116$815,629$1,716,211
52$2,412,894$1,041,841$783,222$1,797,996
53$2,597,397$1,031,278$747,846$1,886,861
54$2,798,777$1,018,256$709,345$1,983,552
55$3,018,697$1,002,595$667,553$2,088,894
56$3,258,983$984,102$622,295$2,203,800
57$3,521,648$962,572$573,391$2,329,280
58$3,808,908$937,790$520,651$2,466,450
59$4,123,203$909,527$463,879$2,616,545
60$4,467,217$877,542$402,867$2,780,931
61$4,843,910$841,578$337,399$2,961,116
62$5,256,538$801,364$267,251$3,158,767
63$5,708,688$756,614$192,187$3,375,729
64$6,204,311$707,025$111,963$3,614,036
65$6,747,758$652,277$26,320$3,875,941
66$7,343,820$592,029$0$4,163,927
67$7,997,777$525,925$0$4,500,878
68$8,715,440$453,586$0$4,879,689
69$9,503,215$374,612$0$5,295,649
70$10,368,155$288,580$0$5,752,550
71$11,318,031$195,044$0$6,254,575
72$12,361,403$93,534$0$6,806,335
73$13,507,699$0$0$7,412,916
74$14,767,309$0$0$8,083,727
75$16,151,677$0$0$8,844,842
76$17,673,410$0$0$9,681,593
77$19,346,400$0$0$10,601,632
78$21,185,949$0$0$11,613,389
79$23,208,918$0$0$12,726,153
80$25,433,882$0$0$13,950,156
81$27,881,310$0$0$15,296,675
82$30,573,749$0$0$16,778,133
83$33,536,047$0$0$18,408,217
84$36,795,578$0$0$20,202,009
85$40,382,505$0$0$22,176,127
86$44,330,063$0$0$24,348,880
87$48,674,870$0$0$26,740,444
88$53,457,277$0$0$29,373,049
89$58,721,743$0$0$32,271,189
90$64,517,257$0$0$35,461,856
91$70,897,799$0$0$38,974,789
92$77,922,849$0$0$42,842,760
93$85,657,950$0$0$47,101,879
94$94,175,319$0$0$51,791,937
95$103,554,539$0$0$56,956,779
96$113,883,299$0$0$62,644,720
97$125,258,228$0$0$68,908,999
98$137,785,803$0$0$75,808,282
99$151,583,354$0$0$83,407,215
100$166,780,173$0$0$91,777,033