Can I retire at age 40 with 374,000?

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 $374,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.9%
1 years$30,885$30,609$30,341$30,079$29,823$28,869
2 years$15,289$15,005$14,729$14,461$14,202$13,249
3 years$10,092$9,806$9,530$9,265$9,010$8,089
4 years$7,493$7,208$6,936$6,675$6,426$5,543
5 years$5,935$5,651$5,382$5,127$4,885$4,043
6 years$4,896$4,615$4,350$4,100$3,865$3,065
7 years$4,154$3,875$3,615$3,371$3,144$2,385
8 years$3,598$3,322$3,066$2,828$2,608$1,890
9 years$3,166$2,892$2,640$2,409$2,196$1,519
10 years$2,821$2,549$2,302$2,076$1,871$1,233
11 years$2,538$2,270$2,027$1,807$1,609$1,010
12 years$2,303$2,037$1,799$1,585$1,395$832
13 years$2,104$1,841$1,607$1,399$1,216$689
14 years$1,933$1,673$1,444$1,242$1,066$572
15 years$1,786$1,529$1,304$1,108$939$477
16 years$1,657$1,403$1,182$992$830$399
17 years$1,543$1,292$1,075$891$736$335
18 years$1,442$1,194$982$803$654$281
19 years$1,352$1,106$899$726$583$237
20 years$1,271$1,028$825$657$521$199
21 years$1,198$957$759$597$466$168
22 years$1,131$894$699$542$418$142
23 years$1,071$836$646$494$375$120
24 years$1,015$783$597$451$337$101
25 years$964$735$553$411$303$86
26 years$917$691$513$376$273$72
27 years$874$650$476$344$246$61
28 years$834$613$443$315$222$52
29 years$796$578$412$289$201$44
30 years$761$546$384$266$181$37
31 years$729$516$358$244$164$32
32 years$698$488$334$224$148$27
33 years$670$462$312$206$134$23
34 years$643$438$291$190$121$19
35 years$618$416$272$175$110$16
36 years$594$394$255$161$100$14
37 years$572$375$238$148$90$12
38 years$550$356$223$137$82$10
39 years$530$339$209$126$74$8
40 years$511$322$196$116$67$7
41 years$493$307$184$107$61$6
42 years$476$292$172$99$55$5
43 years$460$278$162$91$50$4
44 years$444$265$152$84$46$4
45 years$430$253$143$78$41$3
46 years$416$241$134$72$38$3
47 years$402$230$126$66$34$2
48 years$389$220$118$61$31$2
49 years$377$210$111$57$28$2
50 years$365$200$105$52$26$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $374,000, adding $3,960 every year, while hoping to spend $27,839 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: 48/30/22 Blend
39$374,000$374,000$374,000$374,000
40$416,233$396,411$390,614$433,445
41$429,068$386,214$374,079$435,660
42$442,279$374,585$356,057$434,957
43$455,876$361,424$336,469$433,622
44$469,867$346,625$315,232$431,607
45$484,260$330,077$292,259$428,862
46$499,066$311,662$267,461$425,335
47$514,292$291,255$240,742$420,970
48$529,947$268,724$212,005$415,706
49$546,040$243,929$181,145$409,481
50$562,579$216,724$148,056$402,230
51$579,571$186,953$112,625$393,880
52$597,024$154,450$74,735$384,359
53$614,944$119,043$34,263$373,587
54$633,339$80,546$0$361,480
55$652,214$38,767$0$350,046
56$671,574$0$0$345,816
57$691,422$0$0$342,818
58$711,763$0$0$352,855
59$732,598$0$0$363,131
60$753,927$0$0$373,645
61$775,749$0$0$384,397
62$798,063$0$0$395,382
63$820,863$0$0$406,600
64$844,143$0$0$418,044
65$867,893$0$0$429,710
66$892,101$0$0$441,590
67$916,753$0$0$453,676
68$941,830$0$0$465,956
69$967,308$0$0$478,418
70$993,162$0$0$491,046
71$1,019,360$0$0$503,823
72$1,045,864$0$0$516,728
73$1,072,630$0$0$529,737
74$1,099,610$0$0$542,823
75$1,126,746$0$0$555,953
76$1,153,971$0$0$569,093
77$1,181,210$0$0$582,200
78$1,208,378$0$0$595,228
79$1,235,377$0$0$608,125
80$1,262,099$0$0$620,832
81$1,288,419$0$0$633,281
82$1,314,197$0$0$645,397
83$1,339,277$0$0$657,095
84$1,363,482$0$0$668,282
85$1,386,616$0$0$678,851
86$1,408,457$0$0$688,684
87$1,428,759$0$0$697,649
88$1,447,246$0$0$705,597
89$1,463,611$0$0$712,365
90$1,477,509$0$0$717,770
91$1,488,561$0$0$721,607
92$1,496,341$0$0$723,650
93$1,500,377$0$0$723,647
94$1,500,144$0$0$721,319
95$1,495,059$0$0$716,355
96$1,484,476$0$0$708,411
97$1,467,676$0$0$697,105
98$1,443,863$0$0$682,013
99$1,412,156$0$0$662,667
100$1,371,577$0$0$638,546