Can I retire at age 40 with 979,000?

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 $979,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.1%
1 years$80,845$80,125$79,422$78,736$78,067$75,207
2 years$40,022$39,277$38,554$37,854$37,175$34,326
3 years$26,416$25,668$24,947$24,253$23,585$20,836
4 years$19,615$18,869$18,155$17,473$16,821$14,193
5 years$15,535$14,793$14,089$13,421$12,787$10,287
6 years$12,816$12,080$11,386$10,733$10,118$7,747
7 years$10,875$10,145$9,462$8,824$8,229$5,987
8 years$9,419$8,696$8,024$7,402$6,826$4,712
9 years$8,288$7,571$6,911$6,305$5,749$3,759
10 years$7,383$6,674$6,026$5,435$4,898$3,029
11 years$6,644$5,941$5,305$4,730$4,213$2,460
12 years$6,028$5,332$4,708$4,149$3,651$2,010
13 years$5,507$4,819$4,206$3,663$3,183$1,651
14 years$5,061$4,380$3,779$3,252$2,791$1,361
15 years$4,675$4,002$3,412$2,900$2,457$1,126
16 years$4,337$3,671$3,094$2,596$2,172$933
17 years$4,040$3,381$2,815$2,333$1,925$776
18 years$3,776$3,124$2,570$2,102$1,712$646
19 years$3,540$2,896$2,353$1,900$1,526$538
20 years$3,327$2,691$2,159$1,721$1,363$449
21 years$3,136$2,506$1,986$1,562$1,220$375
22 years$2,961$2,340$1,830$1,420$1,093$314
23 years$2,803$2,188$1,690$1,293$981$263
24 years$2,657$2,050$1,563$1,179$882$220
25 years$2,524$1,924$1,448$1,077$794$184
26 years$2,401$1,808$1,343$985$715$154
27 years$2,287$1,702$1,247$901$645$129
28 years$2,182$1,604$1,159$826$582$108
29 years$2,084$1,513$1,079$757$525$91
30 years$1,993$1,429$1,005$695$475$76
31 years$1,908$1,351$937$638$429$64
32 years$1,828$1,278$874$587$388$54
33 years$1,753$1,210$816$539$351$45
34 years$1,683$1,147$762$496$318$38
35 years$1,617$1,088$713$457$288$32
36 years$1,555$1,033$667$421$261$27
37 years$1,496$981$624$388$237$22
38 years$1,441$932$584$357$214$19
39 years$1,388$886$548$330$194$16
40 years$1,338$843$513$304$176$13
41 years$1,291$803$481$280$160$11
42 years$1,246$764$451$259$145$9
43 years$1,204$728$424$239$132$8
44 years$1,163$694$398$221$120$7
45 years$1,125$662$373$204$109$6
46 years$1,088$632$351$188$99$5
47 years$1,052$603$329$174$90$4
48 years$1,019$575$310$161$81$3
49 years$987$549$291$148$74$3
50 years$956$525$274$137$67$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $979,000, adding $2,589 every year, while hoping to spend $57,943 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: 89/6/5 Blend
39$979,000$979,000$979,000$979,000
40$1,081,529$1,029,642$1,014,467$1,177,715
41$1,130,194$1,018,443$986,801$1,229,446
42$1,181,880$1,004,754$956,266$1,277,885
43$1,236,836$988,391$922,705$1,329,212
44$1,295,331$969,160$885,953$1,383,670
45$1,357,661$946,855$845,838$1,441,529
46$1,424,150$921,258$802,182$1,503,083
47$1,495,154$892,140$754,795$1,568,656
48$1,571,060$859,256$703,481$1,638,605
49$1,652,296$822,347$648,036$1,713,322
50$1,739,330$781,141$588,244$1,793,237
51$1,832,673$735,349$523,882$1,878,823
52$1,932,889$684,665$454,716$1,970,602
53$2,040,596$628,765$380,501$2,069,146
54$2,156,471$567,309$300,982$2,175,085
55$2,281,259$499,936$215,893$2,289,115
56$2,415,778$426,263$124,956$2,411,998
57$2,560,925$345,887$27,880$2,544,575
58$2,717,688$258,384$0$2,687,772
59$2,887,150$163,303$0$2,846,648
60$3,070,503$60,168$0$3,020,134
61$3,269,058$0$0$3,207,995
62$3,484,254$0$0$3,415,013
63$3,717,675$0$0$3,643,877
64$3,971,063$0$0$3,892,321
65$4,246,333$0$0$4,162,224
66$4,545,593$0$0$4,455,654
67$4,871,161$0$0$4,774,883
68$5,225,587$0$0$5,122,414
69$5,611,678$0$0$5,500,998
70$6,032,522$0$0$5,913,664
71$6,491,519$0$0$6,363,747
72$6,992,409$0$0$6,854,915
73$7,539,310$0$0$7,391,208
74$8,136,757$0$0$7,977,071
75$8,789,739$0$0$8,617,399
76$9,503,750$0$0$9,317,580
77$10,284,841$0$0$10,083,547
78$11,139,671$0$0$10,921,834
79$12,075,576$0$0$11,839,633
80$13,100,633$0$0$12,844,867
81$14,223,736$0$0$13,946,259
82$15,454,681$0$0$15,153,416
83$16,804,257$0$0$16,476,920
84$18,284,345$0$0$17,928,423
85$19,908,032$0$0$19,520,761
86$21,689,734$0$0$21,268,073
87$23,645,329$0$0$23,185,931
88$25,792,306$0$0$25,291,488
89$28,149,933$0$0$27,603,641
90$30,739,432$0$0$30,143,204
91$33,584,184$0$0$32,933,109
92$36,709,944$0$0$35,998,616
93$40,145,087$0$0$39,367,554
94$43,920,872$0$0$43,070,582
95$48,071,739$0$0$47,141,476
96$52,635,629$0$0$51,617,448
97$57,654,343$0$0$56,539,497
98$63,173,938$0$0$61,952,793
99$69,245,155$0$0$67,907,103
100$75,923,902$0$0$74,457,259