Can I retire at age 40 with 565,000?

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 $565,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.4%
1 years$46,657$46,242$45,836$45,440$45,054$44,235
2 years$23,098$22,667$22,251$21,846$21,454$20,632
3 years$15,245$14,813$14,398$13,997$13,611$12,812
4 years$11,320$10,889$10,478$10,084$9,708$8,936
5 years$8,966$8,537$8,131$7,746$7,380$6,639
6 years$7,396$6,971$6,571$6,194$5,839$5,130
7 years$6,276$5,855$5,461$5,093$4,749$4,072
8 years$5,436$5,018$4,631$4,272$3,940$3,294
9 years$4,783$4,370$3,989$3,639$3,318$2,704
10 years$4,261$3,852$3,477$3,137$2,827$2,243
11 years$3,834$3,429$3,062$2,730$2,431$1,878
12 years$3,479$3,077$2,717$2,394$2,107$1,583
13 years$3,178$2,781$2,427$2,114$1,837$1,341
14 years$2,921$2,528$2,181$1,877$1,611$1,142
15 years$2,698$2,309$1,969$1,674$1,418$977
16 years$2,503$2,119$1,785$1,498$1,253$837
17 years$2,331$1,951$1,625$1,346$1,111$720
18 years$2,179$1,803$1,483$1,213$988$621
19 years$2,043$1,671$1,358$1,096$881$536
20 years$1,920$1,553$1,246$993$787$464
21 years$1,810$1,446$1,146$901$704$402
22 years$1,709$1,350$1,056$819$631$348
23 years$1,618$1,263$975$746$566$302
24 years$1,534$1,183$902$681$509$263
25 years$1,457$1,110$835$622$458$228
26 years$1,386$1,044$775$568$413$199
27 years$1,320$982$719$520$372$173
28 years$1,259$925$669$477$336$151
29 years$1,203$873$622$437$303$131
30 years$1,150$824$580$401$274$115
31 years$1,101$779$541$368$248$100
32 years$1,055$737$504$339$224$87
33 years$1,012$698$471$311$203$76
34 years$971$662$440$286$184$66
35 years$933$628$411$264$166$58
36 years$897$596$385$243$151$51
37 years$863$566$360$224$137$44
38 years$831$538$337$206$124$39
39 years$801$511$316$190$112$34
40 years$772$487$296$175$102$29
41 years$745$463$278$162$92$26
42 years$719$441$261$149$84$22
43 years$695$420$244$138$76$20
44 years$671$401$229$127$69$17
45 years$649$382$215$118$63$15
46 years$628$364$202$109$57$13
47 years$607$348$190$100$52$11
48 years$588$332$179$93$47$10
49 years$569$317$168$86$43$9
50 years$552$303$158$79$39$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $565,000, adding $2,678 every year, while hoping to spend $47,762 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: 58/15/27 Blend
39$565,000$565,000$565,000$565,000
40$625,392$595,447$586,690$656,924
41$638,364$573,806$555,526$657,161
42$651,058$549,503$521,716$652,137
43$663,395$522,358$485,124$645,666
44$675,288$492,180$445,602$637,619
45$686,637$458,767$402,999$627,859
46$697,331$421,904$357,157$616,239
47$707,247$381,365$307,909$602,597
48$716,246$336,912$255,084$586,760
49$724,174$288,291$198,500$568,537
50$730,860$235,237$137,970$547,726
51$736,110$177,467$73,295$524,105
52$739,714$114,683$4,271$497,433
53$741,434$46,571$0$467,451
54$741,006$0$0$453,865
55$738,139$0$0$443,481
56$732,509$0$0$438,991
57$723,755$0$0$432,476
58$711,479$0$0$423,681
59$695,239$0$0$412,322
60$674,544$0$0$398,086
61$648,854$0$0$380,624
62$617,566$0$0$359,552
63$580,016$0$0$334,444
64$535,470$0$0$304,829
65$483,112$0$0$270,185
66$422,045$0$0$229,938
67$351,273$0$0$183,449
68$269,697$0$0$130,015
69$176,102$0$0$68,858
70$69,145$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