Can I retire at age 40 with 982,000?

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 $982,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.4%
1 years$81,093$80,370$79,666$78,978$78,306$75,952
2 years$40,145$39,397$38,673$37,970$37,289$34,936
3 years$26,497$25,747$25,024$24,328$23,657$21,381
4 years$19,675$18,926$18,211$17,527$16,873$14,690
5 years$15,583$14,839$14,132$13,462$12,826$10,743
6 years$12,855$12,117$11,421$10,766$10,149$8,167
7 years$10,908$10,176$9,491$8,851$8,254$6,373
8 years$9,448$8,722$8,049$7,425$6,847$5,066
9 years$8,313$7,594$6,933$6,325$5,767$4,083
10 years$7,406$6,694$6,044$5,452$4,913$3,326
11 years$6,664$5,959$5,321$4,745$4,226$2,731
12 years$6,046$5,349$4,722$4,162$3,662$2,257
13 years$5,524$4,834$4,219$3,674$3,193$1,875
14 years$5,077$4,394$3,791$3,262$2,799$1,564
15 years$4,689$4,014$3,423$2,909$2,465$1,309
16 years$4,351$3,683$3,103$2,604$2,178$1,099
17 years$4,052$3,392$2,824$2,340$1,931$925
18 years$3,787$3,134$2,578$2,109$1,717$780
19 years$3,550$2,904$2,360$1,906$1,531$658
20 years$3,338$2,699$2,166$1,726$1,367$557
21 years$3,145$2,514$1,992$1,566$1,223$471
22 years$2,971$2,347$1,836$1,424$1,097$399
23 years$2,811$2,195$1,695$1,297$984$339
24 years$2,666$2,056$1,568$1,183$885$287
25 years$2,532$1,930$1,452$1,080$796$244
26 years$2,408$1,814$1,347$988$717$207
27 years$2,294$1,707$1,251$904$647$176
28 years$2,189$1,608$1,163$828$583$150
29 years$2,090$1,517$1,082$760$527$127
30 years$1,999$1,433$1,008$697$476$108
31 years$1,913$1,355$939$640$430$92
32 years$1,834$1,282$877$588$389$78
33 years$1,759$1,214$818$541$352$67
34 years$1,688$1,150$765$498$319$57
35 years$1,622$1,091$715$458$289$48
36 years$1,560$1,036$669$422$262$41
37 years$1,501$984$626$389$237$35
38 years$1,445$935$586$358$215$30
39 years$1,392$889$549$331$195$25
40 years$1,343$846$515$305$177$22
41 years$1,295$805$483$281$161$18
42 years$1,250$767$453$260$146$16
43 years$1,207$731$425$240$132$13
44 years$1,167$696$399$221$120$11
45 years$1,128$664$374$204$109$10
46 years$1,091$633$352$189$99$8
47 years$1,056$605$330$174$90$7
48 years$1,022$577$311$161$82$6
49 years$990$551$292$149$74$5
50 years$959$526$274$138$67$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $982,000, adding $6,029 every year, while hoping to spend $58,614 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: 65/12/23 Blend
39$982,000$982,000$982,000$982,000
40$1,088,383$1,036,337$1,021,116$1,152,290
41$1,137,033$1,024,753$992,958$1,184,466
42$1,188,681$1,010,636$961,893$1,212,457
43$1,243,571$993,802$927,761$1,241,704
44$1,301,969$974,052$890,395$1,272,333
45$1,364,168$951,179$849,621$1,304,487
46$1,430,487$924,960$805,258$1,338,324
47$1,501,277$895,163$757,114$1,374,019
48$1,576,921$861,540$704,991$1,411,769
49$1,657,840$823,829$648,681$1,451,794
50$1,744,495$781,752$587,967$1,494,338
51$1,837,392$735,016$522,622$1,539,671
52$1,937,085$683,311$452,410$1,588,097
53$2,044,184$626,309$377,082$1,639,952
54$2,159,357$563,665$296,380$1,695,609
55$2,283,337$495,010$210,035$1,755,484
56$2,416,931$419,959$117,764$1,820,039
57$2,561,023$338,102$19,274$1,889,786
58$2,716,586$249,008$0$1,965,295
59$2,884,688$152,219$0$2,068,263
60$3,066,503$47,255$0$2,184,742
61$3,263,323$0$0$2,310,859
62$3,476,564$0$0$2,456,328
63$3,707,789$0$0$2,620,885
64$3,958,711$0$0$2,799,518
65$4,231,219$0$0$2,993,578
66$4,527,387$0$0$3,204,550
67$4,849,499$0$0$3,434,068
68$5,200,066$0$0$3,683,931
69$5,581,852$0$0$3,956,117
70$5,997,899$0$0$4,252,803
71$6,451,554$0$0$4,576,386
72$6,946,500$0$0$4,929,503
73$7,486,793$0$0$5,315,058
74$8,076,896$0$0$5,736,245
75$8,721,723$0$0$6,196,583
76$9,426,683$0$0$6,699,946
77$10,197,732$0$0$7,250,598
78$11,041,428$0$0$7,853,236
79$11,964,993$0$0$8,513,029
80$12,976,377$0$0$9,235,673
81$14,084,338$0$0$10,027,437
82$15,298,518$0$0$10,895,227
83$16,629,538$0$0$11,846,649
84$18,089,095$0$0$12,890,080
85$19,690,073$0$0$14,034,745
86$21,446,660$0$0$15,290,807
87$23,374,488$0$0$16,669,460
88$25,490,773$0$0$18,183,034
89$27,814,480$0$0$19,845,111
90$30,366,499$0$0$21,670,653
91$33,169,845$0$0$23,676,142
92$36,249,871$0$0$25,879,737
93$39,634,505$0$0$28,301,440
94$43,354,517$0$0$30,963,288
95$47,443,805$0$0$33,889,561
96$51,939,715$0$0$37,107,007
97$56,883,391$0$0$40,645,094
98$62,320,167$0$0$44,536,291
99$68,299,985$0$0$48,816,370
100$74,877,875$0$0$53,524,745