Can I retire at age 40 with 983,000?

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 $983,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.7%
1 years$81,175$80,452$79,747$79,058$78,386$75,335
2 years$40,186$39,437$38,712$38,009$37,327$34,290
3 years$26,524$25,773$25,049$24,353$23,682$20,755
4 years$19,695$18,946$18,229$17,545$16,890$14,095
5 years$15,599$14,854$14,147$13,476$12,839$10,183
6 years$12,868$12,129$11,433$10,777$10,159$7,644
7 years$10,919$10,186$9,501$8,860$8,262$5,887
8 years$9,458$8,731$8,057$7,433$6,854$4,617
9 years$8,322$7,602$6,940$6,331$5,772$3,669
10 years$7,413$6,701$6,050$5,457$4,918$2,945
11 years$6,671$5,965$5,327$4,750$4,230$2,383
12 years$6,052$5,354$4,727$4,166$3,666$1,939
13 years$5,530$4,839$4,223$3,678$3,196$1,586
14 years$5,082$4,398$3,795$3,265$2,802$1,302
15 years$4,694$4,018$3,426$2,912$2,467$1,072
16 years$4,355$3,686$3,106$2,607$2,180$885
17 years$4,056$3,395$2,827$2,342$1,933$732
18 years$3,791$3,137$2,580$2,111$1,719$607
19 years$3,554$2,907$2,362$1,907$1,532$504
20 years$3,341$2,702$2,168$1,728$1,369$418
21 years$3,148$2,517$1,994$1,568$1,225$348
22 years$2,974$2,349$1,838$1,426$1,098$290
23 years$2,814$2,197$1,697$1,298$985$241
24 years$2,668$2,059$1,569$1,184$886$201
25 years$2,534$1,932$1,454$1,081$797$167
26 years$2,411$1,816$1,348$989$718$140
27 years$2,297$1,709$1,252$905$647$116
28 years$2,191$1,610$1,164$829$584$97
29 years$2,093$1,519$1,083$760$527$81
30 years$2,001$1,434$1,009$698$477$68
31 years$1,915$1,356$940$641$431$57
32 years$1,835$1,283$877$589$390$47
33 years$1,760$1,215$819$542$353$39
34 years$1,690$1,152$765$498$319$33
35 years$1,624$1,092$716$459$289$27
36 years$1,561$1,037$669$423$262$23
37 years$1,502$985$627$389$238$19
38 years$1,447$936$587$359$215$16
39 years$1,394$890$550$331$195$13
40 years$1,344$847$515$305$177$11
41 years$1,297$806$483$282$161$9
42 years$1,252$768$453$260$146$8
43 years$1,209$731$425$240$132$7
44 years$1,168$697$399$221$120$5
45 years$1,129$665$375$205$109$5
46 years$1,092$634$352$189$99$4
47 years$1,057$605$331$175$90$3
48 years$1,023$578$311$161$82$3
49 years$991$552$292$149$74$2
50 years$960$527$275$138$67$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $983,000, adding $5,555 every year, while hoping to spend $37,068 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: 59/20/21 Blend
39$983,000$983,000$983,000$983,000
40$1,088,996$1,036,897$1,021,660$1,146,879
41$1,160,634$1,048,265$1,016,446$1,198,189
42$1,238,336$1,058,947$1,009,815$1,249,607
43$1,322,682$1,068,872$1,001,679$1,304,862
44$1,414,310$1,077,961$991,950$1,364,334
45$1,513,920$1,086,132$980,531$1,428,439
46$1,622,284$1,093,296$967,323$1,497,640
47$1,740,251$1,099,361$952,222$1,572,446
48$1,868,753$1,104,227$935,118$1,653,420
49$2,008,820$1,107,788$915,898$1,741,183
50$2,161,580$1,109,931$894,442$1,836,421
51$2,328,281$1,110,536$870,625$1,939,890
52$2,510,290$1,109,477$844,315$2,052,427
53$2,709,117$1,106,619$815,377$2,174,955
54$2,926,421$1,101,818$783,667$2,308,491
55$3,164,032$1,094,922$749,035$2,454,161
56$3,423,961$1,085,771$711,326$2,613,205
57$3,708,424$1,074,193$670,375$2,786,993
58$4,019,862$1,060,008$626,011$2,977,036
59$4,360,962$1,043,022$578,056$3,185,003
60$4,734,683$1,023,033$526,324$3,412,735
61$5,144,284$999,824$470,619$3,662,262
62$5,593,354$973,169$410,737$3,935,828
63$6,085,846$942,824$346,467$4,235,905
64$6,626,114$908,535$277,586$4,565,222
65$7,218,955$870,030$203,862$4,926,792
66$7,869,650$827,023$125,053$5,323,935
67$8,584,018$779,211$40,906$5,760,317
68$9,368,469$726,274$0$6,239,981
69$10,230,065$667,872$0$6,778,343
70$11,176,582$603,649$0$7,379,861
71$12,216,590$533,224$0$8,040,850
72$13,359,528$456,199$0$8,767,365
73$14,615,797$372,150$0$9,566,078
74$15,996,854$280,630$0$10,444,343
75$17,515,322$181,170$0$11,410,269
76$19,185,106$73,269$0$12,472,793
77$21,021,531$0$0$13,641,766
78$23,041,476$0$0$14,937,642
79$25,263,542$0$0$16,381,015
80$27,708,222$0$0$17,969,085
81$30,398,094$0$0$19,716,529
82$33,358,038$0$0$21,639,523
83$36,615,465$0$0$23,755,887
84$40,200,579$0$0$26,085,257
85$44,146,661$0$0$28,649,272
86$48,490,380$0$0$31,471,770
87$53,272,142$0$0$34,579,021
88$58,536,470$0$0$37,999,972
89$64,332,423$0$0$41,766,517
90$70,714,057$0$0$45,913,803
91$77,740,940$0$0$50,480,555
92$85,478,707$0$0$55,509,447
93$93,999,684$0$0$61,047,503
94$103,383,569$0$0$67,146,537
95$113,718,181$0$0$73,863,646
96$125,100,293$0$0$81,261,748
97$137,636,540$0$0$89,410,172
98$151,444,429$0$0$98,385,317
99$166,653,445$0$0$108,271,369
100$183,406,273$0$0$119,161,097