Can I retire at age 40 with 532,000?

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 $532,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.1%
1 years$43,932$43,541$43,159$42,786$42,422$42,049
2 years$21,749$21,343$20,951$20,570$20,201$19,825
3 years$14,355$13,948$13,557$13,180$12,816$12,449
4 years$10,659$10,253$9,866$9,495$9,141$8,785
5 years$8,442$8,039$7,656$7,293$6,949$6,606
6 years$6,964$6,564$6,187$5,832$5,498$5,169
7 years$5,909$5,513$5,142$4,795$4,472$4,155
8 years$5,119$4,725$4,361$4,023$3,710$3,406
9 years$4,504$4,114$3,756$3,426$3,124$2,834
10 years$4,012$3,627$3,274$2,954$2,662$2,385
11 years$3,610$3,229$2,883$2,570$2,289$2,025
12 years$3,276$2,898$2,558$2,255$1,984$1,732
13 years$2,993$2,619$2,286$1,990$1,730$1,490
14 years$2,750$2,380$2,054$1,767$1,516$1,289
15 years$2,540$2,174$1,854$1,576$1,335$1,119
16 years$2,357$1,995$1,681$1,411$1,180$975
17 years$2,195$1,837$1,530$1,268$1,046$852
18 years$2,052$1,698$1,396$1,142$930$747
19 years$1,923$1,574$1,278$1,032$829$656
20 years$1,808$1,462$1,173$935$741$577
21 years$1,704$1,362$1,079$849$663$508
22 years$1,609$1,271$995$772$594$449
23 years$1,523$1,189$918$703$533$396
24 years$1,444$1,114$849$641$479$351
25 years$1,372$1,045$787$585$431$311
26 years$1,305$983$730$535$389$275
27 years$1,243$925$677$490$350$244
28 years$1,186$871$630$449$316$217
29 years$1,132$822$586$412$285$192
30 years$1,083$776$546$378$258$171
31 years$1,037$734$509$347$233$152
32 years$993$694$475$319$211$135
33 years$953$658$443$293$191$120
34 years$915$623$414$270$173$107
35 years$879$591$387$248$157$95
36 years$845$561$362$229$142$85
37 years$813$533$339$211$129$75
38 years$783$506$318$194$117$67
39 years$754$482$298$179$106$60
40 years$727$458$279$165$96$53
41 years$702$436$261$152$87$48
42 years$677$415$245$141$79$42
43 years$654$396$230$130$72$38
44 years$632$377$216$120$65$34
45 years$611$360$203$111$59$30
46 years$591$343$191$102$54$27
47 years$572$328$179$94$49$24
48 years$554$313$168$87$44$21
49 years$536$299$158$81$40$19
50 years$519$285$149$75$36$17

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $532,000, adding $4,817 every year, while hoping to spend $54,692 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: 50/31/19 Blend
39$532,000$532,000$532,000$532,000
40$591,233$563,037$554,791$617,444
41$593,347$532,434$515,184$605,462
42$593,843$498,498$472,418$586,436
43$592,499$461,009$426,328$564,591
44$589,068$419,732$376,744$539,683
45$583,275$374,421$323,488$511,444
46$574,817$324,815$266,371$479,587
47$563,354$270,637$205,201$443,797
48$548,515$211,597$139,774$403,734
49$529,885$147,386$69,878$359,028
50$507,005$77,680$0$309,277
51$479,368$2,135$0$255,001
52$446,412$0$0$209,950
53$407,517$0$0$186,633
54$361,995$0$0$160,356
55$309,086$0$0$129,972
56$247,951$0$0$95,016
57$177,662$0$0$54,976
58$97,192$0$0$9,285
59$5,408$0$0$0
60$0$0$0$0
61$0$0$0$0
62$0$0$0$0
63$0$0$0$0
64$0$0$0$0
65$0$0$0$0
66$0$0$0$0
67$0$0$0$0
68$0$0$0$0
69$0$0$0$0
70$0$0$0$0
71$0$0$0$0
72$0$0$0$0
73$0$0$0$0
74$0$0$0$0
75$0$0$0$0
76$0$0$0$0
77$0$0$0$0
78$0$0$0$0
79$0$0$0$0
80$0$0$0$0
81$0$0$0$0
82$0$0$0$0
83$0$0$0$0
84$0$0$0$0
85$0$0$0$0
86$0$0$0$0
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