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%12.9%
1 years$82,414$81,680$80,964$80,265$79,582$78,620
2 years$40,799$40,039$39,303$38,589$37,896$36,928
3 years$26,929$26,166$25,431$24,724$24,043$23,099
4 years$19,996$19,235$18,508$17,812$17,148$16,235
5 years$15,837$15,080$14,363$13,682$13,035$12,156
6 years$13,065$12,314$11,607$10,941$10,314$9,470
7 years$11,086$10,341$9,646$8,995$8,388$7,580
8 years$9,602$8,865$8,180$7,546$6,959$6,185
9 years$8,449$7,718$7,046$6,428$5,860$5,122
10 years$7,527$6,803$6,143$5,541$4,993$4,289
11 years$6,773$6,056$5,408$4,822$4,294$3,624
12 years$6,145$5,436$4,799$4,230$3,722$3,084
13 years$5,614$4,913$4,288$3,734$3,245$2,640
14 years$5,159$4,465$3,853$3,315$2,845$2,271
15 years$4,766$4,079$3,478$2,956$2,505$1,961
16 years$4,422$3,743$3,154$2,647$2,214$1,699
17 years$4,118$3,447$2,870$2,378$1,963$1,477
18 years$3,849$3,185$2,620$2,143$1,745$1,287
19 years$3,608$2,952$2,398$1,937$1,556$1,123
20 years$3,392$2,743$2,201$1,754$1,389$983
21 years$3,196$2,555$2,024$1,592$1,243$861
22 years$3,019$2,385$1,866$1,447$1,115$755
23 years$2,857$2,231$1,723$1,318$1,000$663
24 years$2,709$2,090$1,593$1,202$899$583
25 years$2,573$1,961$1,476$1,098$809$513
26 years$2,448$1,843$1,369$1,004$729$452
27 years$2,332$1,735$1,271$919$657$398
28 years$2,224$1,635$1,181$842$593$351
29 years$2,124$1,542$1,099$772$535$310
30 years$2,031$1,456$1,024$709$484$273
31 years$1,945$1,377$955$651$437$241
32 years$1,863$1,303$891$598$396$213
33 years$1,787$1,234$832$550$358$188
34 years$1,716$1,169$777$506$324$167
35 years$1,648$1,109$727$466$294$147
36 years$1,585$1,053$680$429$266$130
37 years$1,525$1,000$636$395$241$115
38 years$1,469$950$596$364$219$102
39 years$1,415$903$558$336$198$90
40 years$1,364$860$523$310$180$80
41 years$1,316$818$491$286$163$71
42 years$1,271$779$460$264$148$62
43 years$1,227$742$432$244$134$55
44 years$1,186$708$405$225$122$49
45 years$1,146$675$381$208$111$43
46 years$1,109$644$357$192$101$38
47 years$1,073$614$336$177$91$34
48 years$1,039$587$316$164$83$30
49 years$1,006$560$297$151$75$27
50 years$974$535$279$140$68$24

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $998,000, adding $2,774 every year, while hoping to spend $59,578 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: 61/33/6 Blend
39$998,000$998,000$998,000$998,000
40$1,102,657$1,049,763$1,034,294$1,168,531
41$1,151,738$1,037,811$1,005,553$1,200,931
42$1,203,828$1,023,277$973,851$1,229,111
43$1,259,171$1,005,970$939,028$1,258,329
44$1,318,035$985,691$900,914$1,288,685
45$1,380,712$962,227$859,332$1,320,293
46$1,447,520$935,352$814,096$1,353,277
47$1,518,812$904,829$765,012$1,387,778
48$1,594,970$870,405$711,880$1,423,955
49$1,676,416$831,814$654,486$1,461,986
50$1,763,610$788,772$592,611$1,502,068
51$1,857,057$740,981$526,023$1,544,425
52$1,957,314$688,126$454,481$1,589,305
53$2,064,988$629,872$377,735$1,636,987
54$2,180,748$565,867$295,520$1,687,781
55$2,305,327$495,737$207,562$1,742,035
56$2,439,530$419,088$113,576$1,800,135
57$2,584,243$335,504$13,261$1,862,515
58$2,740,436$244,544$0$1,929,655
59$2,909,178$145,745$0$2,008,098
60$3,091,643$38,614$0$2,093,733
61$3,289,119$0$0$2,186,397
62$3,503,024$0$0$2,314,950
63$3,734,918$0$0$2,469,578
64$3,986,515$0$0$2,637,412
65$4,259,699$0$0$2,819,716
66$4,556,545$0$0$3,017,884
67$4,879,334$0$0$3,233,448
68$5,230,574$0$0$3,468,093
69$5,613,028$0$0$3,723,674
70$6,029,734$0$0$4,002,232
71$6,484,035$0$0$4,306,014
72$6,979,612$0$0$4,637,491
73$7,520,516$0$0$4,999,385
74$8,111,204$0$0$5,394,692
75$8,756,586$0$0$5,826,709
76$9,462,065$0$0$6,299,067
77$10,233,590$0$0$6,815,764
78$11,077,713$0$0$7,381,201
79$12,001,645$0$0$8,000,225
80$13,013,330$0$0$8,678,173
81$14,121,513$0$0$9,420,922
82$15,335,827$0$0$10,234,945
83$16,666,879$0$0$11,127,371
84$18,126,353$0$0$12,106,050
85$19,727,116$0$0$13,179,632
86$21,483,341$0$0$14,357,639
87$23,410,639$0$0$15,650,565
88$25,526,205$0$0$17,069,965
89$27,848,980$0$0$18,628,569
90$30,399,831$0$0$20,340,401
91$33,201,741$0$0$22,220,910
92$36,280,032$0$0$24,287,113
93$39,662,597$0$0$26,557,757
94$43,380,167$0$0$29,053,499
95$47,466,596$0$0$31,797,092
96$51,959,184$0$0$34,813,605
97$56,899,021$0$0$38,130,660
98$62,331,382$0$0$41,778,684
99$68,306,147$0$0$45,791,207
100$74,878,272$0$0$50,205,166