Can I retire at age 40 with 541,000?

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 $541,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.6%
1 years$44,675$44,277$43,889$43,510$43,140$42,850
2 years$22,116$21,705$21,305$20,918$20,543$20,251
3 years$14,598$14,184$13,786$13,403$13,033$12,748
4 years$10,839$10,427$10,033$9,656$9,295$9,018
5 years$8,585$8,175$7,786$7,417$7,066$6,799
6 years$7,082$6,675$6,292$5,931$5,591$5,334
7 years$6,009$5,606$5,229$4,876$4,547$4,300
8 years$5,205$4,805$4,434$4,091$3,772$3,535
9 years$4,580$4,184$3,819$3,484$3,177$2,950
10 years$4,080$3,688$3,330$3,003$2,707$2,489
11 years$3,671$3,283$2,931$2,614$2,328$2,120
12 years$3,331$2,947$2,602$2,293$2,017$1,819
13 years$3,043$2,663$2,324$2,024$1,759$1,570
14 years$2,797$2,421$2,088$1,797$1,542$1,362
15 years$2,583$2,211$1,886$1,602$1,358$1,187
16 years$2,397$2,029$1,710$1,435$1,200$1,038
17 years$2,232$1,868$1,556$1,289$1,064$910
18 years$2,086$1,727$1,420$1,162$946$800
19 years$1,956$1,600$1,300$1,050$843$705
20 years$1,839$1,487$1,193$951$753$623
21 years$1,733$1,385$1,097$863$674$551
22 years$1,637$1,293$1,011$785$604$488
23 years$1,549$1,209$934$715$542$433
24 years$1,469$1,133$864$652$487$384
25 years$1,395$1,063$800$595$439$342
26 years$1,327$999$742$544$395$304
27 years$1,264$940$689$498$356$271
28 years$1,206$886$640$456$321$241
29 years$1,152$836$596$419$290$215
30 years$1,101$789$555$384$262$192
31 years$1,054$746$518$353$237$171
32 years$1,010$706$483$324$214$153
33 years$969$669$451$298$194$137
34 years$930$634$421$274$176$122
35 years$894$601$394$253$159$109
36 years$859$571$368$233$144$97
37 years$827$542$345$214$131$87
38 years$796$515$323$197$119$78
39 years$767$490$303$182$107$70
40 years$740$466$284$168$97$62
41 years$714$444$266$155$88$56
42 years$689$422$249$143$80$50
43 years$665$402$234$132$73$45
44 years$643$384$220$122$66$40
45 years$621$366$206$113$60$36
46 years$601$349$194$104$54$32
47 years$582$333$182$96$49$29
48 years$563$318$171$89$45$26
49 years$545$304$161$82$41$23
50 years$528$290$151$76$37$21

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $541,000, adding $6,351 every year, while hoping to spend $29,781 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: 47/27/26 Blend
39$541,000$541,000$541,000$541,000
40$602,733$574,060$565,675$626,315
41$632,525$570,502$552,938$639,988
42$664,358$565,772$538,776$651,400
43$698,408$559,780$523,111$663,201
44$734,869$552,433$505,859$675,443
45$773,954$543,630$486,933$688,184
46$815,895$533,266$466,243$701,492
47$860,949$521,229$443,695$715,440
48$909,396$507,400$419,189$730,115
49$961,544$491,652$392,622$745,612
50$1,017,733$473,854$363,886$762,041
51$1,078,333$453,864$332,868$779,524
52$1,143,753$431,534$299,449$798,198
53$1,214,443$406,706$263,507$818,219
54$1,290,894$379,212$224,913$839,760
55$1,373,650$348,878$183,532$863,016
56$1,463,305$315,517$139,224$888,205
57$1,560,517$278,931$91,842$915,572
58$1,666,004$238,914$41,233$945,389
59$1,780,560$195,244$0$977,963
60$1,905,057$147,691$0$1,017,178
61$2,040,453$96,008$0$1,072,309
62$2,187,803$39,936$0$1,132,378
63$2,348,269$0$0$1,197,907
64$2,523,127$0$0$1,275,656
65$2,713,784$0$0$1,373,423
66$2,921,786$0$0$1,480,143
67$3,148,838$0$0$1,596,697
68$3,396,814$0$0$1,724,056
69$3,667,777$0$0$1,863,287
70$3,963,999$0$0$2,015,566
71$4,287,983$0$0$2,182,187
72$4,642,482$0$0$2,364,576
73$5,030,529$0$0$2,564,303
74$5,455,465$0$0$2,783,096
75$5,920,966$0$0$3,022,859
76$6,431,084$0$0$3,285,688
77$6,990,278$0$0$3,573,892
78$7,603,461$0$0$3,890,015
79$8,276,045$0$0$4,236,857
80$9,013,988$0$0$4,617,504
81$9,823,856$0$0$5,035,354
82$10,712,880$0$0$5,494,151
83$11,689,024$0$0$5,998,019
84$12,761,063$0$0$6,551,501
85$13,938,662$0$0$7,159,601
86$15,232,469$0$0$7,827,832
87$16,654,215$0$0$8,562,269
88$18,216,822$0$0$9,369,601
89$19,934,527$0$0$10,257,202
90$21,823,015$0$0$11,233,194
91$23,899,566$0$0$12,306,523
92$26,183,220$0$0$13,487,050
93$28,694,952$0$0$14,785,637
94$31,457,873$0$0$16,214,251
95$34,497,448$0$0$17,786,078
96$37,841,732$0$0$19,515,649
97$41,521,638$0$0$21,418,970
98$45,571,225$0$0$23,513,680
99$50,028,023$0$0$25,819,216
100$54,933,384$0$0$28,356,991