Can I retire at age 40 with 551,000?

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 $551,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.7%
1 years$45,501$45,096$44,700$44,314$43,938$42,228
2 years$22,525$22,106$21,699$21,305$20,923$19,221
3 years$14,868$14,446$14,041$13,650$13,274$11,634
4 years$11,040$10,620$10,218$9,834$9,467$7,901
5 years$8,743$8,326$7,930$7,554$7,197$5,708
6 years$7,213$6,799$6,408$6,041$5,695$4,285
7 years$6,120$5,710$5,325$4,966$4,631$3,300
8 years$5,301$4,894$4,516$4,166$3,842$2,588
9 years$4,665$4,261$3,890$3,549$3,236$2,057
10 years$4,155$3,756$3,391$3,059$2,757$1,651
11 years$3,739$3,344$2,986$2,662$2,371$1,336
12 years$3,393$3,001$2,650$2,335$2,055$1,087
13 years$3,099$2,712$2,367$2,062$1,792$889
14 years$2,848$2,465$2,127$1,830$1,571$730
15 years$2,631$2,252$1,920$1,632$1,383$601
16 years$2,441$2,066$1,741$1,461$1,222$496
17 years$2,274$1,903$1,584$1,313$1,084$411
18 years$2,125$1,758$1,446$1,183$964$340
19 years$1,992$1,630$1,324$1,069$859$282
20 years$1,873$1,514$1,215$968$767$235
21 years$1,765$1,411$1,118$879$686$195
22 years$1,667$1,317$1,030$799$615$162
23 years$1,577$1,232$951$728$552$135
24 years$1,496$1,154$880$664$496$113
25 years$1,421$1,083$815$606$447$94
26 years$1,351$1,018$756$554$402$78
27 years$1,287$958$702$507$363$65
28 years$1,228$903$652$465$327$54
29 years$1,173$851$607$426$296$45
30 years$1,122$804$565$391$267$38
31 years$1,074$760$527$359$241$32
32 years$1,029$719$492$330$218$26
33 years$987$681$459$304$198$22
34 years$947$646$429$279$179$18
35 years$910$612$401$257$162$15
36 years$875$581$375$237$147$13
37 years$842$552$351$218$133$11
38 years$811$525$329$201$121$9
39 years$781$499$308$185$109$7
40 years$753$475$289$171$99$6
41 years$727$452$271$158$90$5
42 years$702$430$254$146$82$4
43 years$678$410$238$134$74$4
44 years$655$391$224$124$67$3
45 years$633$373$210$115$61$3
46 years$612$355$197$106$55$2
47 years$592$339$185$98$50$2
48 years$573$324$174$90$46$1
49 years$555$309$164$84$42$1
50 years$538$295$154$77$38$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $551,000, adding $5,111 every year, while hoping to spend $20,815 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: 38/49/13 Blend
39$551,000$551,000$551,000$551,000
40$612,474$583,271$574,730$633,151
41$652,799$589,704$571,837$654,796
42$696,540$595,755$568,149$675,774
43$744,023$601,383$563,618$697,991
44$795,607$606,544$558,192$721,566
45$851,687$611,193$551,820$746,634
46$912,697$615,279$544,444$773,345
47$979,115$618,751$536,006$801,864
48$1,051,468$621,553$526,445$832,375
49$1,130,334$623,626$515,697$865,080
50$1,216,351$624,906$503,696$900,206
51$1,310,218$625,326$490,369$938,002
52$1,412,709$624,816$475,645$978,744
53$1,524,673$623,299$459,447$1,022,740
54$1,647,045$620,696$441,694$1,070,329
55$1,780,855$616,921$422,301$1,121,888
56$1,927,236$611,884$401,183$1,177,832
57$2,087,438$605,490$378,246$1,238,624
58$2,262,834$597,637$353,395$1,304,774
59$2,454,938$588,216$326,529$1,376,848
60$2,665,418$577,115$297,544$1,455,470
61$2,896,110$564,213$266,330$1,541,333
62$3,149,034$549,381$232,774$1,635,202
63$3,426,419$532,484$196,755$1,737,926
64$3,730,717$513,379$158,150$1,850,439
65$4,064,630$491,914$116,827$1,973,779
66$4,431,133$467,929$72,652$2,109,091
67$4,833,505$441,253$25,482$2,257,641
68$5,275,356$411,708$0$2,420,829
69$5,760,665$379,104$0$2,603,651
70$6,293,812$343,240$0$2,808,365
71$6,879,625$303,903$0$3,033,346
72$7,523,423$260,870$0$3,280,704
73$8,231,063$213,903$0$3,552,771
74$9,009,000$162,754$0$3,852,123
75$9,864,346$107,156$0$4,181,599
76$10,804,934$46,832$0$4,544,338
77$11,839,397$0$0$4,943,802
78$12,977,244$0$0$5,393,797
79$14,228,954$0$0$5,916,686
80$15,606,071$0$0$6,492,049
81$17,121,316$0$0$7,125,214
82$18,788,704$0$0$7,822,047
83$20,623,677$0$0$8,589,015
84$22,643,251$0$0$9,433,240
85$24,866,174$0$0$10,362,572
86$27,313,104$0$0$11,385,662
87$30,006,805$0$0$12,512,039
88$32,972,358$0$0$13,752,205
89$36,237,401$0$0$15,117,732
90$39,832,386$0$0$16,621,371
91$43,790,871$0$0$18,277,173
92$48,149,832$0$0$20,100,620
93$52,950,015$0$0$22,108,772
94$58,236,317$0$0$24,320,430
95$64,058,211$0$0$26,756,308
96$70,470,215$0$0$29,439,235
97$77,532,403$0$0$32,394,364
98$85,310,972$0$0$35,649,415
99$93,878,868$0$0$39,234,932
100$103,316,475$0$0$43,184,574