Can I retire at age 40 with 997,000?

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 $997,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.9%
1 years$82,331$81,598$80,882$80,184$79,502$76,348
2 years$40,758$39,999$39,263$38,550$37,858$34,719
3 years$26,902$26,140$25,406$24,699$24,019$20,994
4 years$19,976$19,216$18,489$17,795$17,130$14,243
5 years$15,821$15,065$14,348$13,668$13,022$10,280
6 years$13,052$12,302$11,596$10,930$10,304$7,708
7 years$11,075$10,331$9,636$8,986$8,380$5,929
8 years$9,592$8,856$8,172$7,538$6,952$4,644
9 years$8,440$7,710$7,039$6,421$5,855$3,687
10 years$7,519$6,796$6,136$5,535$4,988$2,956
11 years$6,766$6,050$5,402$4,817$4,290$2,388
12 years$6,139$5,431$4,794$4,225$3,718$1,941
13 years$5,608$4,908$4,284$3,730$3,242$1,585
14 years$5,154$4,461$3,849$3,311$2,842$1,300
15 years$4,761$4,075$3,475$2,953$2,502$1,069
16 years$4,417$3,739$3,151$2,644$2,211$881
17 years$4,114$3,443$2,867$2,376$1,961$728
18 years$3,845$3,182$2,617$2,141$1,744$602
19 years$3,605$2,949$2,396$1,935$1,554$499
20 years$3,388$2,740$2,199$1,752$1,388$414
21 years$3,193$2,552$2,022$1,590$1,242$344
22 years$3,016$2,383$1,864$1,446$1,113$286
23 years$2,854$2,228$1,721$1,317$999$237
24 years$2,706$2,088$1,592$1,201$898$198
25 years$2,570$1,959$1,474$1,097$808$164
26 years$2,445$1,841$1,367$1,003$728$137
27 years$2,329$1,733$1,270$918$657$114
28 years$2,222$1,633$1,180$841$592$95
29 years$2,122$1,541$1,098$771$535$79
30 years$2,029$1,455$1,023$708$483$66
31 years$1,943$1,375$954$650$437$55
32 years$1,862$1,301$890$597$395$46
33 years$1,785$1,232$831$549$358$38
34 years$1,714$1,168$776$505$324$32
35 years$1,647$1,108$726$465$293$27
36 years$1,583$1,052$679$429$266$22
37 years$1,524$999$636$395$241$18
38 years$1,467$949$595$364$218$15
39 years$1,414$903$558$336$198$13
40 years$1,363$859$523$310$180$11
41 years$1,315$817$490$286$163$9
42 years$1,269$778$460$264$148$7
43 years$1,226$742$431$243$134$6
44 years$1,185$707$405$225$122$5
45 years$1,145$674$380$207$111$4
46 years$1,108$643$357$192$100$4
47 years$1,072$614$335$177$91$3
48 years$1,038$586$315$164$83$3
49 years$1,005$560$296$151$75$2
50 years$973$534$279$140$68$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $997,000, adding $6,824 every year, while hoping to spend $31,599 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: 72/11/17 Blend
39$997,000$997,000$997,000$997,000
40$1,105,733$1,052,892$1,037,438$1,180,504
41$1,184,897$1,070,863$1,038,572$1,249,025
42$1,271,076$1,088,655$1,038,684$1,319,565
43$1,364,953$1,106,226$1,037,707$1,395,999
44$1,467,279$1,123,532$1,035,571$1,478,906
45$1,578,880$1,140,523$1,032,200$1,568,921
46$1,700,665$1,157,148$1,027,519$1,666,747
47$1,833,635$1,173,351$1,021,443$1,773,158
48$1,978,893$1,189,072$1,013,888$1,889,006
49$2,137,651$1,204,248$1,004,765$2,015,230
50$2,311,245$1,218,810$993,978$2,152,866
51$2,501,146$1,232,685$981,430$2,303,056
52$2,708,972$1,245,796$967,017$2,467,057
53$2,936,507$1,258,060$950,632$2,646,254
54$3,185,714$1,269,388$932,162$2,842,177
55$3,458,755$1,279,687$911,488$3,056,509
56$3,758,012$1,288,855$888,486$3,291,106
57$4,086,106$1,296,786$863,027$3,548,014
58$4,445,927$1,303,366$834,976$3,829,487
59$4,840,654$1,308,474$804,191$4,138,012
60$5,273,793$1,311,982$770,524$4,476,328
61$5,749,204$1,313,752$733,820$4,847,455
62$6,271,136$1,313,640$693,917$5,254,720
63$6,844,275$1,311,491$650,646$5,701,792
64$7,473,778$1,307,141$603,830$6,192,715
65$8,165,330$1,300,417$553,284$6,731,946
66$8,925,190$1,291,134$498,816$7,324,397
67$9,760,257$1,279,097$440,223$7,975,483
68$10,678,128$1,264,098$377,296$8,691,172
69$11,687,175$1,245,917$309,813$9,478,044
70$12,796,621$1,224,321$237,546$10,343,347
71$14,016,628$1,199,064$160,255$11,295,075
72$15,358,390$1,169,884$77,690$12,342,036
73$16,834,241$1,136,504$0$13,493,939
74$18,457,773$1,098,631$0$14,763,376
75$20,243,957$1,055,956$0$16,175,413
76$22,209,292$1,008,149$0$17,728,995
77$24,371,955$954,864$0$19,438,504
78$26,751,976$895,733$0$21,319,790
79$29,371,422$830,369$0$23,390,317
80$32,254,610$758,360$0$25,669,331
81$35,428,334$679,273$0$28,178,040
82$38,922,115$592,649$0$30,939,817
83$42,768,485$498,003$0$33,980,415
84$47,003,289$394,823$0$37,328,217
85$51,666,024$282,569$0$41,014,498
86$56,800,212$160,669$0$45,073,724
87$62,453,812$28,519$0$49,543,877
88$68,679,668$0$0$54,466,814
89$75,536,012$0$0$59,902,519
90$83,087,009$0$0$65,892,814
91$91,403,368$0$0$72,490,345
92$100,563,002$0$0$79,756,934
93$110,651,769$0$0$87,760,701
94$121,764,276$0$0$96,576,712
95$134,004,780$0$0$106,287,685
96$147,488,162$0$0$116,984,772
97$162,341,018$0$0$128,768,417
98$178,702,851$0$0$141,749,308
99$196,727,387$0$0$156,049,414
100$216,584,026$0$0$171,803,144