Can I retire at age 40 with 632,000?

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 $632,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.5%
1 years$52,190$51,725$51,272$50,829$50,397$49,258
2 years$25,837$25,355$24,889$24,437$23,998$22,858
3 years$17,053$16,570$16,105$15,657$15,226$14,118
4 years$12,663$12,181$11,720$11,280$10,859$9,793
5 years$10,029$9,550$9,095$8,664$8,255$7,234
6 years$8,273$7,798$7,350$6,929$6,532$5,557
7 years$7,020$6,549$6,108$5,697$5,312$4,383
8 years$6,081$5,614$5,180$4,779$4,407$3,523
9 years$5,350$4,888$4,462$4,070$3,711$2,873
10 years$4,766$4,308$3,890$3,509$3,162$2,368
11 years$4,289$3,835$3,425$3,054$2,720$1,968
12 years$3,891$3,442$3,039$2,678$2,357$1,647
13 years$3,555$3,111$2,715$2,365$2,055$1,386
14 years$3,267$2,828$2,440$2,099$1,801$1,171
15 years$3,018$2,583$2,203$1,872$1,586$994
16 years$2,800$2,370$1,997$1,676$1,402$845
17 years$2,608$2,183$1,817$1,506$1,243$721
18 years$2,437$2,017$1,659$1,357$1,105$617
19 years$2,285$1,869$1,519$1,226$985$528
20 years$2,148$1,737$1,394$1,111$880$453
21 years$2,024$1,618$1,282$1,008$787$389
22 years$1,912$1,510$1,182$917$706$335
23 years$1,809$1,413$1,091$835$634$288
24 years$1,716$1,323$1,009$761$569$248
25 years$1,629$1,242$935$695$512$214
26 years$1,550$1,167$867$636$462$185
27 years$1,477$1,099$805$582$416$159
28 years$1,409$1,035$748$533$376$137
29 years$1,345$977$696$489$339$119
30 years$1,286$922$649$449$306$103
31 years$1,231$872$605$412$277$89
32 years$1,180$825$564$379$251$77
33 years$1,132$781$527$348$227$66
34 years$1,087$740$492$320$205$57
35 years$1,044$702$460$295$186$50
36 years$1,004$667$430$272$168$43
37 years$966$633$403$250$153$37
38 years$930$602$377$231$138$32
39 years$896$572$353$213$126$28
40 years$864$544$331$196$114$24
41 years$834$518$311$181$103$21
42 years$805$493$291$167$94$18
43 years$777$470$273$154$85$16
44 years$751$448$257$142$77$13
45 years$726$427$241$132$70$12
46 years$702$408$226$121$64$10
47 years$679$389$213$112$58$9
48 years$658$371$200$104$52$8
49 years$637$355$188$96$48$7
50 years$617$339$177$89$43$6

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $632,000, adding $5,803 every year, while hoping to spend $21,955 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: 66/25/9 Blend
39$632,000$632,000$632,000$632,000
40$702,450$668,954$659,158$747,156
41$750,740$678,373$657,880$787,053
42$803,219$687,517$655,823$827,490
43$860,293$696,351$652,938$871,112
44$922,405$704,834$649,174$918,227
45$990,045$712,926$644,476$969,174
46$1,063,751$720,581$638,787$1,024,329
47$1,144,116$727,751$632,049$1,084,105
48$1,231,792$734,387$624,199$1,148,957
49$1,327,497$740,434$615,171$1,219,386
50$1,432,020$745,834$604,898$1,295,947
51$1,546,232$750,526$593,308$1,379,248
52$1,671,091$754,444$580,327$1,469,963
53$1,807,650$757,520$565,875$1,568,833
54$1,957,070$759,678$549,872$1,676,675
55$2,120,630$760,841$532,231$1,794,390
56$2,299,737$760,925$512,864$1,922,973
57$2,495,941$759,841$491,676$2,063,518
58$2,710,949$757,496$468,570$2,217,233
59$2,946,642$753,789$443,442$2,385,451
60$3,205,089$748,615$416,188$2,569,639
61$3,488,571$741,860$386,693$2,771,416
62$3,799,601$733,406$354,842$2,992,567
63$4,140,944$723,127$320,513$3,235,061
64$4,515,648$710,888$283,579$3,501,065
65$4,927,070$696,548$243,905$3,792,974
66$5,378,909$679,956$201,353$4,113,424
67$5,875,237$660,953$155,778$4,465,323
68$6,420,542$639,371$107,027$4,851,876
69$7,019,769$615,032$54,944$5,276,619
70$7,678,363$587,746$0$5,743,447
71$8,402,325$557,315$0$6,256,717
72$9,198,266$523,526$0$6,826,740
73$10,073,468$486,158$0$7,453,472
74$11,035,955$444,973$0$8,142,687
75$12,094,568$399,723$0$8,900,749
76$13,259,048$350,143$0$9,734,674
77$14,540,125$295,955$0$10,652,194
78$15,949,626$236,864$0$11,661,832
79$17,500,577$172,560$0$12,772,982
80$19,207,334$102,713$0$13,995,998
81$21,085,714$26,978$0$15,342,294
82$23,153,144$0$0$16,824,449
83$25,428,828$0$0$18,471,462
84$27,933,924$0$0$20,292,730
85$30,691,748$0$0$22,297,790
86$33,727,990$0$0$24,505,324
87$37,070,958$0$0$26,935,921
88$40,751,844$0$0$29,612,267
89$44,805,019$0$0$32,559,360
90$49,268,357$0$0$35,804,746
91$54,183,592$0$0$39,378,778
92$59,596,712$0$0$43,314,903
93$65,558,392$0$0$47,649,976
94$72,124,471$0$0$52,424,610
95$79,356,484$0$0$57,683,559
96$87,322,234$0$0$63,476,137
97$96,096,439$0$0$69,856,687
98$105,761,434$0$0$76,885,092
99$116,407,948$0$0$84,627,339
100$128,135,960$0$0$93,156,145