Can I retire at age 40 with 475,000?

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 $475,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.8%
1 years$39,225$38,876$38,535$38,202$37,877$36,389
2 years$19,418$19,057$18,706$18,366$18,037$16,555
3 years$12,817$12,454$12,104$11,768$11,443$10,016
4 years$9,517$9,155$8,809$8,478$8,161$6,798
5 years$7,537$7,178$6,836$6,512$6,204$4,909
6 years$6,218$5,861$5,524$5,208$4,909$3,683
7 years$5,276$4,922$4,591$4,281$3,992$2,835
8 years$4,570$4,219$3,893$3,592$3,312$2,222
9 years$4,021$3,673$3,353$3,059$2,789$1,765
10 years$3,582$3,238$2,924$2,637$2,377$1,416
11 years$3,223$2,883$2,574$2,295$2,044$1,145
12 years$2,925$2,587$2,284$2,013$1,771$931
13 years$2,672$2,338$2,041$1,777$1,545$761
14 years$2,456$2,125$1,834$1,578$1,354$624
15 years$2,268$1,941$1,656$1,407$1,192$514
16 years$2,104$1,781$1,501$1,260$1,054$424
17 years$1,960$1,640$1,366$1,132$934$350
18 years$1,832$1,516$1,247$1,020$831$290
19 years$1,717$1,405$1,141$922$740$241
20 years$1,614$1,306$1,048$835$661$200
21 years$1,521$1,216$964$758$592$166
22 years$1,437$1,135$888$689$530$138
23 years$1,360$1,062$820$627$476$115
24 years$1,289$995$758$572$428$96
25 years$1,225$933$702$523$385$80
26 years$1,165$877$651$478$347$66
27 years$1,110$826$605$437$313$55
28 years$1,059$778$562$401$282$46
29 years$1,011$734$523$367$255$38
30 years$967$693$487$337$230$32
31 years$926$655$454$310$208$27
32 years$887$620$424$285$188$22
33 years$851$587$396$262$170$19
34 years$817$556$370$241$154$16
35 years$785$528$346$222$140$13
36 years$754$501$323$204$127$11
37 years$726$476$303$188$115$9
38 years$699$452$284$173$104$8
39 years$674$430$266$160$94$6
40 years$649$409$249$147$86$5
41 years$626$389$233$136$78$4
42 years$605$371$219$126$70$4
43 years$584$353$206$116$64$3
44 years$564$337$193$107$58$3
45 years$546$321$181$99$53$2
46 years$528$306$170$91$48$2
47 years$511$292$160$84$43$1
48 years$494$279$150$78$39$1
49 years$479$267$141$72$36$1
50 years$464$255$133$67$33$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $475,000, adding $2,301 every year, while hoping to spend $23,614 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: 82/11/7 Blend
39$475,000$475,000$475,000$475,000
40$525,823$500,648$493,286$568,395
41$554,332$500,055$484,686$595,979
42$584,958$498,641$475,006$622,862
43$617,890$496,342$464,186$651,648
44$653,340$493,088$452,161$682,513
45$691,537$488,805$438,865$715,653
46$732,735$483,417$424,228$751,281
47$777,210$476,841$408,175$789,635
48$825,268$468,989$390,632$830,975
49$877,245$459,769$371,518$875,586
50$933,509$449,083$350,749$923,786
51$994,466$436,827$328,238$975,922
52$1,060,561$422,891$303,894$1,032,377
53$1,132,285$407,159$277,621$1,093,576
54$1,210,176$389,508$249,319$1,159,982
55$1,294,828$369,808$218,885$1,232,110
56$1,386,893$347,921$186,210$1,310,525
57$1,487,088$323,700$151,180$1,395,852
58$1,596,202$296,994$113,676$1,488,776
59$1,715,106$267,637$73,575$1,590,056
60$1,844,754$235,459$30,748$1,700,527
61$1,986,201$200,278$0$1,821,108
62$2,140,602$161,901$0$1,953,933
63$2,309,235$120,125$0$2,101,525
64$2,493,503$74,737$0$2,262,829
65$2,694,951$25,510$0$2,439,215
66$2,915,280$0$0$2,632,195
67$3,156,365$0$0$2,846,795
68$3,420,267$0$0$3,085,097
69$3,709,259$0$0$3,346,066
70$4,025,843$0$0$3,631,961
71$4,372,772$0$0$3,945,273
72$4,753,081$0$0$4,288,742
73$5,170,112$0$0$4,665,388
74$5,627,545$0$0$5,078,537
75$6,129,433$0$0$5,531,852
76$6,680,243$0$0$6,029,366
77$7,284,891$0$0$6,575,525
78$7,948,797$0$0$7,175,224
79$8,677,927$0$0$7,833,855
80$9,478,857$0$0$8,557,359
81$10,358,829$0$0$9,352,282
82$11,325,822$0$0$10,225,831
83$12,388,625$0$0$11,185,951
84$13,556,923$0$0$12,241,391
85$14,841,383$0$0$13,401,791
86$16,253,761$0$0$14,677,774
87$17,807,006$0$0$16,081,040
88$19,515,386$0$0$17,624,483
89$21,394,620$0$0$19,322,306
90$23,462,030$0$0$21,190,162
91$25,736,697$0$0$23,245,294
92$28,239,649$0$0$25,506,702
93$30,994,054$0$0$27,995,322
94$34,025,437$0$0$30,734,218
95$37,361,926$0$0$33,748,809
96$41,034,513$0$0$37,067,098
97$45,077,346$0$0$40,719,944
98$49,528,053$0$0$44,741,348
99$54,428,097$0$0$49,168,776
100$59,823,162$0$0$54,043,512