Can I retire at age 40 with 996,000?

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 $996,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.7%
1 years$82,249$81,516$80,801$80,104$79,422$76,635
2 years$40,717$39,959$39,224$38,511$37,820$35,041
3 years$26,875$26,114$25,380$24,675$23,995$21,311
4 years$19,956$19,196$18,470$17,777$17,113$14,546
5 years$15,805$15,050$14,334$13,654$13,009$10,565
6 years$13,039$12,290$11,584$10,919$10,294$7,974
7 years$11,063$10,321$9,626$8,977$8,372$6,177
8 years$9,583$8,847$8,164$7,531$6,945$4,873
9 years$8,432$7,703$7,032$6,415$5,849$3,896
10 years$7,511$6,790$6,130$5,530$4,983$3,148
11 years$6,759$6,044$5,397$4,812$4,286$2,563
12 years$6,132$5,425$4,790$4,221$3,714$2,100
13 years$5,603$4,903$4,279$3,727$3,239$1,729
14 years$5,149$4,456$3,845$3,308$2,839$1,430
15 years$4,756$4,071$3,471$2,950$2,500$1,186
16 years$4,413$3,735$3,147$2,642$2,209$986
17 years$4,110$3,440$2,864$2,373$1,959$822
18 years$3,841$3,179$2,614$2,139$1,742$686
19 years$3,601$2,946$2,393$1,933$1,552$574
20 years$3,385$2,737$2,197$1,750$1,387$480
21 years$3,190$2,550$2,020$1,589$1,241$403
22 years$3,013$2,380$1,862$1,444$1,112$338
23 years$2,851$2,226$1,719$1,315$998$283
24 years$2,704$2,086$1,590$1,200$897$238
25 years$2,568$1,957$1,473$1,096$808$200
26 years$2,443$1,840$1,366$1,002$727$168
27 years$2,327$1,731$1,268$917$656$141
28 years$2,220$1,631$1,179$840$592$119
29 years$2,120$1,539$1,097$770$534$100
30 years$2,027$1,453$1,022$707$483$84
31 years$1,941$1,374$953$649$437$71
32 years$1,860$1,300$889$597$395$60
33 years$1,784$1,231$830$549$357$50
34 years$1,712$1,167$776$505$324$42
35 years$1,645$1,107$725$465$293$36
36 years$1,582$1,050$678$428$266$30
37 years$1,522$998$635$394$241$25
38 years$1,466$948$595$364$218$21
39 years$1,412$902$557$335$198$18
40 years$1,362$858$522$309$179$15
41 years$1,314$817$490$285$163$13
42 years$1,268$778$459$263$148$11
43 years$1,225$741$431$243$134$9
44 years$1,183$706$404$224$122$8
45 years$1,144$674$380$207$110$6
46 years$1,107$643$357$191$100$5
47 years$1,071$613$335$177$91$5
48 years$1,036$585$315$163$83$4
49 years$1,004$559$296$151$75$3
50 years$972$534$278$140$68$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $996,000, adding $5,112 every year, while hoping to spend $28,502 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: 58/30/12 Blend
39$996,000$996,000$996,000$996,000
40$1,102,865$1,050,077$1,034,639$1,163,272
41$1,185,031$1,071,205$1,038,974$1,225,748
42$1,274,623$1,092,413$1,042,498$1,290,197
43$1,372,368$1,113,674$1,045,155$1,359,769
44$1,479,067$1,134,962$1,046,885$1,434,960
45$1,595,601$1,156,243$1,047,624$1,516,314
46$1,722,939$1,177,487$1,047,307$1,604,434
47$1,862,151$1,198,655$1,045,863$1,699,982
48$2,014,411$1,219,710$1,043,221$1,803,688
49$2,181,015$1,240,610$1,039,303$1,916,359
50$2,363,389$1,261,310$1,034,030$2,038,880
51$2,563,101$1,281,761$1,027,317$2,172,231
52$2,781,882$1,301,912$1,019,076$2,317,487
53$3,021,635$1,321,707$1,009,216$2,475,839
54$3,284,457$1,341,085$997,640$2,648,595
55$3,572,656$1,359,983$984,246$2,837,198
56$3,888,778$1,378,333$968,929$3,043,240
57$4,235,623$1,396,061$951,577$3,268,475
58$4,616,276$1,413,088$932,075$3,514,836
59$5,034,139$1,429,332$910,302$3,784,454
60$5,492,953$1,444,701$886,129$4,079,679
61$5,996,845$1,459,102$859,425$4,403,100
62$6,550,357$1,472,432$830,050$4,757,574
63$7,158,496$1,484,584$797,859$5,146,246
64$7,826,774$1,495,440$762,699$5,572,586
65$8,561,268$1,504,879$724,412$6,040,419
66$9,368,669$1,512,770$682,832$6,553,960
67$10,256,351$1,518,973$637,784$7,117,858
68$11,232,436$1,523,341$589,088$7,737,235
69$12,305,876$1,525,716$536,553$8,417,738
70$13,486,530$1,525,930$479,982$9,165,594
71$14,785,262$1,523,807$419,168$9,987,664
72$16,214,043$1,519,158$353,894$10,891,514
73$17,786,061$1,511,782$283,935$11,885,482
74$19,515,848$1,501,468$209,055$12,978,761
75$21,419,414$1,487,990$129,009$14,181,483
76$23,514,403$1,471,110$43,539$15,504,817
77$25,820,252$1,450,574$0$16,961,075
78$28,358,380$1,426,114$0$18,569,932
79$31,152,387$1,397,447$0$20,346,589
80$34,228,279$1,364,270$0$22,301,992
81$37,614,710$1,326,266$0$24,454,356
82$41,343,254$1,283,096$0$26,823,754
83$45,448,702$1,234,405$0$29,432,312
84$49,969,392$1,179,813$0$32,304,414
85$54,947,568$1,118,921$0$35,466,935
86$60,429,778$1,051,307$0$38,949,494
87$66,467,317$976,522$0$42,784,734
88$73,116,706$894,095$0$47,008,635
89$80,440,230$803,525$0$51,660,846
90$88,506,519$704,284$0$56,785,069
91$97,391,204$595,813$0$62,429,467
92$107,177,623$477,524$0$68,647,122
93$117,957,611$348,793$0$75,496,533
94$129,832,366$208,963$0$83,042,175
95$142,913,402$57,337$0$91,355,106
96$157,323,606$0$0$100,513,637
97$173,198,390$0$0$110,639,338
98$190,686,978$0$0$121,815,387
99$209,953,806$0$0$134,127,953
100$231,180,079$0$0$147,692,855