Can I retire at age 40 with 998,000?

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 $998,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.2%
1 years$82,414$81,680$80,964$80,265$79,582$79,180
2 years$40,799$40,039$39,303$38,589$37,896$37,491
3 years$26,929$26,166$25,431$24,724$24,043$23,646
4 years$19,996$19,235$18,508$17,812$17,148$16,763
5 years$15,837$15,080$14,363$13,682$13,035$12,663
6 years$13,065$12,314$11,607$10,941$10,314$9,956
7 years$11,086$10,341$9,646$8,995$8,388$8,044
8 years$9,602$8,865$8,180$7,546$6,959$6,628
9 years$8,449$7,718$7,046$6,428$5,860$5,543
10 years$7,527$6,803$6,143$5,541$4,993$4,690
11 years$6,773$6,056$5,408$4,822$4,294$4,004
12 years$6,145$5,436$4,799$4,230$3,722$3,444
13 years$5,614$4,913$4,288$3,734$3,245$2,981
14 years$5,159$4,465$3,853$3,315$2,845$2,593
15 years$4,766$4,079$3,478$2,956$2,505$2,265
16 years$4,422$3,743$3,154$2,647$2,214$1,986
17 years$4,118$3,447$2,870$2,378$1,963$1,746
18 years$3,849$3,185$2,620$2,143$1,745$1,540
19 years$3,608$2,952$2,398$1,937$1,556$1,361
20 years$3,392$2,743$2,201$1,754$1,389$1,205
21 years$3,196$2,555$2,024$1,592$1,243$1,069
22 years$3,019$2,385$1,866$1,447$1,115$950
23 years$2,857$2,231$1,723$1,318$1,000$845
24 years$2,709$2,090$1,593$1,202$899$753
25 years$2,573$1,961$1,476$1,098$809$671
26 years$2,448$1,843$1,369$1,004$729$599
27 years$2,332$1,735$1,271$919$657$535
28 years$2,224$1,635$1,181$842$593$478
29 years$2,124$1,542$1,099$772$535$428
30 years$2,031$1,456$1,024$709$484$383
31 years$1,945$1,377$955$651$437$343
32 years$1,863$1,303$891$598$396$307
33 years$1,787$1,234$832$550$358$275
34 years$1,716$1,169$777$506$324$247
35 years$1,648$1,109$727$466$294$221
36 years$1,585$1,053$680$429$266$198
37 years$1,525$1,000$636$395$241$178
38 years$1,469$950$596$364$219$160
39 years$1,415$903$558$336$198$143
40 years$1,364$860$523$310$180$129
41 years$1,316$818$491$286$163$116
42 years$1,271$779$460$264$148$104
43 years$1,227$742$432$244$134$93
44 years$1,186$708$405$225$122$84
45 years$1,146$675$381$208$111$75
46 years$1,109$644$357$192$101$68
47 years$1,073$614$336$177$91$61
48 years$1,039$587$316$164$83$55
49 years$1,006$560$297$151$75$49
50 years$974$535$279$140$68$44

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $998,000, adding $5,674 every year, while hoping to spend $39,891 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: 60/11/29 Blend
39$998,000$998,000$998,000$998,000
40$1,105,649$1,052,755$1,037,286$1,162,976
41$1,175,981$1,061,896$1,029,591$1,211,914
42$1,252,151$1,070,148$1,020,302$1,260,547
43$1,334,710$1,077,426$1,009,322$1,312,789
44$1,424,268$1,083,637$996,552$1,369,003
45$1,521,494$1,088,686$981,887$1,429,588
46$1,627,123$1,092,468$965,217$1,494,986
47$1,741,965$1,094,875$946,427$1,565,684
48$1,866,911$1,095,789$925,398$1,642,224
49$2,002,940$1,095,086$902,002$1,725,200
50$2,151,130$1,092,636$876,110$1,815,271
51$2,312,668$1,088,298$847,583$1,913,165
52$2,488,860$1,081,925$816,277$2,019,684
53$2,681,143$1,073,358$782,041$2,135,715
54$2,891,100$1,062,432$744,719$2,262,240
55$3,120,471$1,048,970$704,146$2,400,339
56$3,371,173$1,032,785$660,150$2,551,207
57$3,645,319$1,013,677$612,550$2,716,163
58$3,945,231$991,437$561,161$2,896,664
59$4,273,469$965,842$505,784$3,094,318
60$4,632,851$936,656$446,216$3,310,898
61$5,026,480$903,631$382,242$3,548,365
62$5,457,773$866,500$313,639$3,808,879
63$5,930,494$824,987$240,174$4,094,829
64$6,448,787$778,793$161,602$4,408,847
65$7,017,217$727,608$77,670$4,753,839
66$7,640,813$671,101$0$5,133,013
67$8,325,112$608,921$0$5,553,589
68$9,076,216$540,700$0$6,041,678
69$9,900,843$466,048$0$6,577,617
70$10,806,396$384,552$0$7,166,253
71$11,801,029$295,775$0$7,812,927
72$12,893,724$199,259$0$8,523,522
73$14,094,378$94,516$0$9,304,527
74$15,413,892$0$0$10,163,089
75$16,864,275$0$0$11,109,381
76$18,458,760$0$0$12,162,354
77$20,211,923$0$0$13,320,205
78$22,139,826$0$0$14,593,551
79$24,260,163$0$0$15,994,090
80$26,592,429$0$0$17,534,713
81$29,158,105$0$0$19,229,620
82$31,980,858$0$0$21,094,458
83$35,086,763$0$0$23,146,467
84$38,504,552$0$0$25,404,642
85$42,265,882$0$0$27,889,915
86$46,405,634$0$0$30,625,346
87$50,962,243$0$0$33,636,347
88$55,978,058$0$0$36,950,917
89$61,499,742$0$0$40,599,909
90$67,578,714$0$0$44,617,318
91$74,271,630$0$0$49,040,604
92$81,640,920$0$0$53,911,042
93$89,755,375$0$0$59,274,117
94$98,690,798$0$0$65,179,946
95$108,530,716$0$0$71,683,756
96$119,367,169$0$0$78,846,401
97$131,301,579$0$0$86,734,940
98$144,445,707$0$0$95,423,264
99$158,922,704$0$0$104,992,801
100$174,868,275$0$0$115,533,276