Can I retire at age 42 with 640,000?

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 $640,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16%
1 years$52,851$52,380$51,921$51,472$51,034$49,781
2 years$26,164$25,676$25,204$24,746$24,302$23,047
3 years$17,269$16,780$16,309$15,855$15,418$14,200
4 years$12,823$12,335$11,869$11,423$10,996$9,825
5 years$10,156$9,671$9,211$8,774$8,359$7,239
6 years$8,378$7,897$7,443$7,016$6,614$5,545
7 years$7,109$6,632$6,186$5,769$5,379$4,361
8 years$6,158$5,685$5,246$4,839$4,463$3,496
9 years$5,418$4,950$4,518$4,122$3,758$2,842
10 years$4,827$4,363$3,939$3,553$3,202$2,335
11 years$4,343$3,884$3,468$3,092$2,754$1,935
12 years$3,941$3,486$3,078$2,712$2,387$1,614
13 years$3,600$3,150$2,750$2,395$2,081$1,353
14 years$3,309$2,864$2,471$2,126$1,824$1,140
15 years$3,056$2,616$2,231$1,896$1,606$964
16 years$2,835$2,400$2,022$1,697$1,420$817
17 years$2,641$2,210$1,840$1,525$1,259$695
18 years$2,468$2,042$1,680$1,374$1,119$592
19 years$2,314$1,893$1,538$1,242$998$505
20 years$2,175$1,759$1,411$1,125$891$431
21 years$2,050$1,638$1,298$1,021$797$369
22 years$1,936$1,529$1,197$928$715$316
23 years$1,832$1,430$1,105$845$642$271
24 years$1,737$1,340$1,022$771$577$233
25 years$1,650$1,258$946$704$519$200
26 years$1,570$1,182$878$644$467$172
27 years$1,495$1,112$815$589$421$147
28 years$1,426$1,048$758$540$380$127
29 years$1,362$989$705$495$343$109
30 years$1,303$934$657$454$310$94
31 years$1,247$883$612$417$280$81
32 years$1,195$835$571$384$254$70
33 years$1,146$791$533$353$230$60
34 years$1,100$750$498$324$208$52
35 years$1,057$711$466$299$188$44
36 years$1,016$675$436$275$171$38
37 years$978$641$408$253$155$33
38 years$942$609$382$234$140$28
39 years$908$579$358$215$127$24
40 years$875$551$335$199$115$21
41 years$844$525$315$183$105$18
42 years$815$500$295$169$95$16
43 years$787$476$277$156$86$13
44 years$760$454$260$144$78$12
45 years$735$433$244$133$71$10
46 years$711$413$229$123$64$9
47 years$688$394$215$114$59$7
48 years$666$376$202$105$53$6
49 years$645$359$190$97$48$6
50 years$625$343$179$90$44$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 42 starting with $640,000, adding $4,250 every year, while hoping to spend $49,613 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: 62/31/7 Blend
41$640,000$640,000$640,000$640,000
42$709,664$675,744$665,824$752,431
43$729,262$656,067$635,341$761,835
44$749,196$633,764$602,174$765,937
45$769,448$608,653$566,181$769,143
46$789,996$580,542$527,213$771,364
47$810,816$549,228$485,115$772,508
48$831,877$514,498$439,724$772,472
49$853,144$476,124$390,870$771,146
50$874,578$433,867$338,377$768,413
51$896,131$387,473$282,060$764,146
52$917,753$336,675$221,725$758,206
53$939,381$281,190$157,170$750,448
54$960,948$220,718$88,185$740,711
55$982,376$154,945$14,551$728,824
56$1,003,577$83,536$0$714,603
57$1,024,452$6,139$0$702,630
58$1,044,890$0$0$689,379
59$1,064,764$0$0$700,025
60$1,083,934$0$0$712,257
61$1,102,242$0$0$723,874
62$1,119,512$0$0$734,753
63$1,135,546$0$0$744,759
64$1,150,124$0$0$753,739
65$1,162,998$0$0$761,525
66$1,173,897$0$0$767,930
67$1,182,514$0$0$772,742
68$1,188,509$0$0$775,729
69$1,191,505$0$0$776,633
70$1,191,082$0$0$775,164
71$1,186,775$0$0$771,005
72$1,178,066$0$0$763,799
73$1,164,381$0$0$753,154
74$1,145,084$0$0$738,634
75$1,119,470$0$0$719,756
76$1,086,757$0$0$695,984
77$1,046,080$0$0$666,726
78$996,480$0$0$631,326
79$936,899$0$0$589,058
80$866,161$0$0$539,118
81$782,970$0$0$480,619
82$685,889$0$0$412,579
83$573,333$0$0$333,910
84$443,547$0$0$243,414
85$294,592$0$0$139,763
86$124,327$0$0$21,494
87$0$0$0$0
88$0$0$0$0
89$0$0$0$0
90$0$0$0$0
91$0$0$0$0
92$0$0$0$0
93$0$0$0$0
94$0$0$0$0
95$0$0$0$0
96$0$0$0$0
97$0$0$0$0
98$0$0$0$0
99$0$0$0$0
100$0$0$0$0