Can I retire at age 40 with 977,000?

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 $977,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.1%
1 years$80,680$79,961$79,260$78,576$77,907$76,272
2 years$39,940$39,197$38,476$37,777$37,099$35,459
3 years$26,362$25,615$24,896$24,204$23,537$21,944
4 years$19,575$18,830$18,118$17,438$16,787$15,252
5 years$15,503$14,763$14,060$13,394$12,761$11,290
6 years$12,790$12,055$11,363$10,711$10,097$8,691
7 years$10,852$10,124$9,443$8,806$8,212$6,871
8 years$9,400$8,678$8,008$7,387$6,813$5,536
9 years$8,271$7,556$6,897$6,292$5,737$4,524
10 years$7,368$6,660$6,013$5,424$4,888$3,738
11 years$6,630$5,929$5,294$4,721$4,204$3,115
12 years$6,015$5,322$4,698$4,141$3,643$2,614
13 years$5,496$4,809$4,198$3,655$3,177$2,205
14 years$5,051$4,371$3,772$3,245$2,785$1,869
15 years$4,665$3,993$3,405$2,894$2,452$1,590
16 years$4,328$3,664$3,087$2,591$2,167$1,357
17 years$4,032$3,374$2,809$2,328$1,922$1,161
18 years$3,768$3,118$2,565$2,098$1,709$995
19 years$3,532$2,890$2,348$1,896$1,523$855
20 years$3,321$2,685$2,155$1,717$1,360$736
21 years$3,129$2,501$1,982$1,558$1,217$634
22 years$2,955$2,335$1,827$1,417$1,091$547
23 years$2,797$2,184$1,687$1,290$979$472
24 years$2,652$2,046$1,560$1,177$880$408
25 years$2,519$1,920$1,445$1,075$792$353
26 years$2,396$1,805$1,340$983$714$305
27 years$2,283$1,698$1,244$900$643$264
28 years$2,178$1,600$1,157$824$580$229
29 years$2,080$1,510$1,076$756$524$198
30 years$1,989$1,426$1,003$694$474$172
31 years$1,904$1,348$935$637$428$149
32 years$1,824$1,275$872$585$387$129
33 years$1,750$1,208$814$538$351$112
34 years$1,680$1,145$761$495$317$97
35 years$1,614$1,086$711$456$287$85
36 years$1,552$1,030$665$420$260$73
37 years$1,493$979$623$387$236$64
38 years$1,438$930$583$357$214$55
39 years$1,385$884$546$329$194$48
40 years$1,336$841$512$303$176$42
41 years$1,289$801$480$280$160$36
42 years$1,244$763$450$258$145$31
43 years$1,201$727$423$238$132$27
44 years$1,161$693$397$220$119$24
45 years$1,122$661$373$203$108$21
46 years$1,085$630$350$188$98$18
47 years$1,050$601$329$173$89$16
48 years$1,017$574$309$160$81$13
49 years$985$548$290$148$74$12
50 years$954$524$273$137$67$10

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $977,000, adding $2,896 every year, while hoping to spend $55,794 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: 57/37/6 Blend
39$977,000$977,000$977,000$977,000
40$1,079,641$1,027,860$1,012,717$1,139,674
41$1,130,400$1,018,861$987,278$1,171,368
42$1,184,467$1,007,551$959,118$1,199,340
43$1,242,119$993,758$928,085$1,228,427
44$1,303,662$977,299$894,023$1,258,740
45$1,369,431$957,981$856,768$1,290,404
46$1,439,790$935,600$816,147$1,323,560
47$1,515,143$909,939$771,982$1,358,365
48$1,595,930$880,767$724,085$1,394,994
49$1,682,633$847,843$672,261$1,433,645
50$1,775,783$810,910$616,303$1,474,539
51$1,875,963$769,694$555,999$1,517,923
52$1,983,811$723,909$491,125$1,564,073
53$2,100,029$673,250$421,447$1,613,297
54$2,225,388$617,395$346,722$1,665,940
55$2,360,736$556,006$266,695$1,722,387
56$2,507,002$488,721$181,100$1,783,065
57$2,665,210$415,162$89,661$1,848,454
58$2,836,483$334,927$0$1,919,086
59$3,022,058$247,592$0$1,996,062
60$3,223,294$152,710$0$2,085,692
61$3,441,685$49,808$0$2,182,988
62$3,678,874$0$0$2,288,786
63$3,936,671$0$0$2,429,106
64$4,217,063$0$0$2,603,855
65$4,522,238$0$0$2,794,129
66$4,854,605$0$0$3,001,439
67$5,216,814$0$0$3,227,446
68$5,611,779$0$0$3,473,982
69$6,042,710$0$0$3,743,061
70$6,513,140$0$0$4,036,900
71$7,026,958$0$0$4,357,940
72$7,588,443$0$0$4,708,868
73$8,202,309$0$0$5,092,643
74$8,873,744$0$0$5,512,522
75$9,608,462$0$0$5,972,093
76$10,412,753$0$0$6,475,304
77$11,293,545$0$0$7,026,506
78$12,258,467$0$0$7,630,488
79$13,315,920$0$0$8,292,526
80$14,475,156$0$0$9,018,429
81$15,746,366$0$0$9,814,596
82$17,140,774$0$0$10,688,075
83$18,670,743$0$0$11,646,630
84$20,349,889$0$0$12,698,810
85$22,193,211$0$0$13,854,036
86$24,217,234$0$0$15,122,684
87$26,440,156$0$0$16,516,183
88$28,882,029$0$0$18,047,125
89$31,564,939$0$0$19,729,381
90$34,513,220$0$0$21,578,232
91$37,753,678$0$0$23,610,516
92$41,315,847$0$0$25,844,778
93$45,232,262$0$0$28,301,453
94$49,538,771$0$0$31,003,055
95$54,274,868$0$0$33,974,389
96$59,484,066$0$0$37,242,783
97$65,214,306$0$0$40,838,348
98$71,518,411$0$0$44,794,259
99$78,454,581$0$0$49,147,071
100$86,086,941$0$0$53,937,060