Can I retire at age 40 with 984,000?

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 $984,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.4%
1 years$81,258$80,534$79,828$79,139$78,466$78,004
2 years$40,227$39,477$38,751$38,047$37,365$36,899
3 years$26,551$25,799$25,075$24,377$23,706$23,250
4 years$19,715$18,965$18,248$17,562$16,907$16,465
5 years$15,614$14,869$14,161$13,490$12,852$12,426
6 years$12,881$12,141$11,444$10,788$10,170$9,759
7 years$10,930$10,196$9,510$8,869$8,271$7,876
8 years$9,467$8,740$8,065$7,440$6,861$6,482
9 years$8,330$7,610$6,947$6,337$5,778$5,415
10 years$7,421$6,708$6,056$5,463$4,923$4,576
11 years$6,678$5,972$5,332$4,754$4,234$3,902
12 years$6,059$5,360$4,732$4,170$3,669$3,352
13 years$5,535$4,844$4,228$3,682$3,200$2,897
14 years$5,087$4,403$3,799$3,268$2,805$2,517
15 years$4,699$4,022$3,430$2,915$2,470$2,196
16 years$4,359$3,690$3,109$2,610$2,183$1,922
17 years$4,060$3,398$2,829$2,345$1,935$1,688
18 years$3,795$3,140$2,583$2,113$1,721$1,487
19 years$3,558$2,910$2,365$1,909$1,534$1,312
20 years$3,344$2,704$2,170$1,729$1,370$1,160
21 years$3,152$2,519$1,996$1,569$1,226$1,028
22 years$2,977$2,351$1,840$1,427$1,099$912
23 years$2,817$2,199$1,699$1,300$986$810
24 years$2,671$2,061$1,571$1,185$887$720
25 years$2,537$1,934$1,455$1,083$798$641
26 years$2,413$1,817$1,349$990$719$572
27 years$2,299$1,710$1,253$906$648$510
28 years$2,193$1,612$1,165$830$585$455
29 years$2,095$1,520$1,084$761$528$406
30 years$2,003$1,436$1,010$699$477$363
31 years$1,917$1,357$941$642$431$324
32 years$1,837$1,284$878$590$390$290
33 years$1,762$1,216$820$542$353$260
34 years$1,692$1,153$766$499$320$232
35 years$1,625$1,093$716$459$290$208
36 years$1,563$1,038$670$423$262$186
37 years$1,504$986$627$390$238$167
38 years$1,448$937$587$359$216$149
39 years$1,395$891$550$331$195$134
40 years$1,345$847$516$305$177$120
41 years$1,298$807$484$282$161$108
42 years$1,253$768$454$260$146$97
43 years$1,210$732$426$240$132$87
44 years$1,169$698$400$222$120$78
45 years$1,130$665$375$205$109$70
46 years$1,093$635$352$189$99$62
47 years$1,058$606$331$175$90$56
48 years$1,024$578$311$161$82$50
49 years$992$552$292$149$74$45
50 years$961$528$275$138$67$40

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $984,000, adding $4,527 every year, while hoping to spend $43,837 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: 64/17/19 Blend
39$984,000$984,000$984,000$984,000
40$1,089,038$1,036,886$1,021,634$1,153,224
41$1,153,477$1,041,051$1,009,216$1,201,080
42$1,223,020$1,043,951$994,913$1,247,953
43$1,298,142$1,045,477$978,616$1,298,128
44$1,379,362$1,045,516$960,209$1,351,929
45$1,467,254$1,043,943$939,574$1,409,714
46$1,562,448$1,040,630$916,583$1,471,880
47$1,665,636$1,035,440$891,107$1,538,865
48$1,777,579$1,028,225$863,008$1,611,154
49$1,899,116$1,018,831$832,142$1,689,281
50$2,031,165$1,007,094$798,359$1,773,836
51$2,174,742$992,839$761,502$1,865,474
52$2,330,960$975,883$721,406$1,964,915
53$2,501,046$956,029$677,901$2,072,955
54$2,686,349$933,070$630,807$2,190,474
55$2,888,354$906,788$579,937$2,318,443
56$3,108,695$876,950$525,094$2,457,937
57$3,349,172$843,310$466,074$2,610,139
58$3,611,764$805,609$402,664$2,776,358
59$3,898,651$763,571$334,641$2,958,039
60$4,212,233$716,906$261,771$3,156,777
61$4,555,152$665,305$183,811$3,374,332
62$4,930,317$608,444$100,508$3,612,649
63$5,340,930$545,979$11,596$3,873,873
64$5,790,519$477,546$0$4,160,373
65$6,282,968$402,762$0$4,491,649
66$6,822,554$321,221$0$4,857,307
67$7,413,988$232,493$0$5,258,239
68$8,062,457$136,128$0$5,698,023
69$8,773,675$31,646$0$6,180,604
70$9,553,937$0$0$6,710,330
71$10,410,173$0$0$7,307,232
72$11,350,020$0$0$7,968,989
73$12,381,889$0$0$8,695,613
74$13,515,045$0$0$9,493,637
75$14,759,695$0$0$10,370,259
76$16,127,081$0$0$11,333,406
77$17,629,590$0$0$12,391,813
78$19,280,868$0$0$13,555,104
79$21,095,947$0$0$14,833,879
80$23,091,391$0$0$16,239,819
81$25,285,444$0$0$17,785,789
82$27,698,212$0$0$19,485,969
83$30,351,841$0$0$21,355,976
84$33,270,736$0$0$23,413,021
85$36,481,783$0$0$25,676,065
86$40,014,605$0$0$28,165,999
87$43,901,844$0$0$30,905,843
88$48,179,461$0$0$33,920,957
89$52,887,085$0$0$37,239,290
90$58,068,375$0$0$40,891,631
91$63,771,441$0$0$44,911,911
92$70,049,293$0$0$49,337,513
93$76,960,341$0$0$54,209,630
94$84,568,945$0$0$59,573,654
95$92,946,024$0$0$65,479,600
96$102,169,723$0$0$71,982,579
97$112,326,150$0$0$79,143,321
98$123,510,189$0$0$87,028,741
99$135,826,394$0$0$95,712,577
100$149,389,973$0$0$105,276,081