Can I retire at age 40 with 524,000?

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 $524,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.2%
1 years$43,271$42,886$42,510$42,143$41,784$40,238
2 years$21,422$21,023$20,636$20,261$19,897$18,357
3 years$14,139$13,738$13,353$12,981$12,624$11,137
4 years$10,499$10,099$9,717$9,352$9,003$7,583
5 years$8,315$7,918$7,541$7,184$6,844$5,493
6 years$6,860$6,466$6,094$5,745$5,416$4,135
7 years$5,821$5,430$5,064$4,723$4,404$3,193
8 years$5,042$4,654$4,295$3,962$3,654$2,512
9 years$4,436$4,052$3,699$3,375$3,077$2,002
10 years$3,952$3,572$3,225$2,909$2,622$1,613
11 years$3,556$3,180$2,839$2,532$2,255$1,309
12 years$3,226$2,854$2,520$2,221$1,954$1,069
13 years$2,948$2,579$2,251$1,961$1,704$877
14 years$2,709$2,345$2,023$1,740$1,494$723
15 years$2,502$2,142$1,826$1,552$1,315$597
16 years$2,322$1,965$1,656$1,390$1,162$495
17 years$2,162$1,810$1,507$1,249$1,031$411
18 years$2,021$1,672$1,375$1,125$916$342
19 years$1,894$1,550$1,259$1,017$817$285
20 years$1,781$1,440$1,156$921$730$237
21 years$1,678$1,341$1,063$836$653$198
22 years$1,585$1,252$980$760$585$166
23 years$1,500$1,171$905$692$525$138
24 years$1,422$1,097$837$631$472$116
25 years$1,351$1,030$775$576$425$97
26 years$1,285$968$719$527$383$81
27 years$1,224$911$667$482$345$68
28 years$1,168$858$620$442$311$57
29 years$1,115$810$577$405$281$48
30 years$1,067$765$538$372$254$40
31 years$1,021$723$501$342$230$34
32 years$978$684$468$314$208$28
33 years$938$648$437$289$188$24
34 years$901$614$408$266$170$20
35 years$866$582$381$245$154$17
36 years$832$553$357$225$140$14
37 years$801$525$334$208$127$12
38 years$771$499$313$191$115$10
39 years$743$474$293$176$104$8
40 years$716$451$275$163$94$7
41 years$691$430$258$150$86$6
42 years$667$409$242$139$78$5
43 years$644$390$227$128$71$4
44 years$623$372$213$118$64$3
45 years$602$354$200$109$58$3
46 years$582$338$188$101$53$2
47 years$563$323$176$93$48$2
48 years$545$308$166$86$44$2
49 years$528$294$156$79$40$1
50 years$512$281$146$73$36$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $524,000, adding $2,106 every year, while hoping to spend $23,731 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: 73/5/22 Blend
39$524,000$524,000$524,000$524,000
40$579,620$551,848$543,726$618,670
41$613,492$553,639$536,692$646,724
42$650,023$554,723$528,626$674,402
43$689,460$555,039$519,469$704,131
44$732,074$554,524$509,160$736,112
45$778,160$553,111$497,632$770,565
46$828,048$550,729$484,818$807,735
47$882,095$547,301$470,646$847,890
48$940,697$542,746$455,040$891,327
49$1,004,288$536,981$437,924$938,372
50$1,073,346$529,914$419,215$989,388
51$1,148,397$521,449$398,828$1,044,773
52$1,230,018$511,484$376,674$1,104,965
53$1,318,845$499,913$352,658$1,170,450
54$1,415,580$486,621$326,684$1,241,763
55$1,520,990$471,487$298,650$1,319,495
56$1,635,925$454,383$268,448$1,404,294
57$1,761,317$435,176$235,969$1,496,881
58$1,898,192$413,720$201,095$1,598,048
59$2,047,681$389,866$163,705$1,708,666
60$2,211,028$363,453$123,672$1,829,702
61$2,389,602$334,311$80,865$1,962,217
62$2,584,913$302,263$35,144$2,107,385
63$2,798,619$267,119$0$2,266,498
64$3,032,549$228,680$0$2,444,186
65$3,288,718$186,734$0$2,647,831
66$3,569,341$141,058$0$2,870,946
67$3,876,861$91,417$0$3,115,482
68$4,213,967$37,562$0$3,383,591
69$4,583,620$0$0$3,677,639
70$4,989,082$0$0$4,001,380
71$5,433,946$0$0$4,358,873
72$5,922,169$0$0$4,751,235
73$6,458,111$0$0$5,181,972
74$7,046,573$0$0$5,654,947
75$7,692,845$0$0$6,174,414
76$8,402,754$0$0$6,745,061
77$9,182,719$0$0$7,372,051
78$10,039,810$0$0$8,061,072
79$10,981,820$0$0$8,818,391
80$12,017,330$0$0$9,650,911
81$13,155,795$0$0$10,566,240
82$14,407,635$0$0$11,572,757
83$15,784,325$0$0$12,679,694
84$17,298,511$0$0$13,897,225
85$18,964,127$0$0$15,236,556
86$20,796,522$0$0$16,710,035
87$22,812,610$0$0$18,331,269
88$25,031,026$0$0$20,115,249
89$27,472,304$0$0$22,078,492
90$30,159,068$0$0$24,239,197
91$33,116,247$0$0$26,617,418
92$36,371,308$0$0$29,235,251
93$39,954,517$0$0$32,117,043
94$43,899,223$0$0$35,289,621
95$48,242,174$0$0$38,782,546
96$53,023,861$0$0$42,628,392
97$58,288,900$0$0$46,863,049
98$64,086,457$0$0$51,526,069
99$70,470,705$0$0$56,661,030
100$77,501,341$0$0$62,315,955