Can I retire at age 40 with 639,000?

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 $639,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.7%
1 years$52,768$52,298$51,839$51,392$50,955$49,763
2 years$26,123$25,636$25,165$24,708$24,264$23,071
3 years$17,242$16,754$16,283$15,830$15,394$14,236
4 years$12,803$12,316$11,850$11,405$10,979$9,865
5 years$10,140$9,656$9,196$8,760$8,346$7,279
6 years$8,365$7,885$7,432$7,005$6,604$5,585
7 years$7,098$6,621$6,176$5,760$5,371$4,400
8 years$6,148$5,676$5,238$4,832$4,456$3,533
9 years$5,410$4,942$4,511$4,115$3,752$2,877
10 years$4,819$4,356$3,933$3,548$3,197$2,368
11 years$4,336$3,878$3,463$3,087$2,750$1,966
12 years$3,934$3,481$3,073$2,708$2,383$1,643
13 years$3,594$3,145$2,745$2,391$2,078$1,381
14 years$3,303$2,859$2,467$2,122$1,821$1,166
15 years$3,051$2,612$2,227$1,893$1,604$987
16 years$2,831$2,396$2,019$1,695$1,417$839
17 years$2,637$2,207$1,837$1,523$1,257$715
18 years$2,464$2,039$1,677$1,372$1,117$610
19 years$2,310$1,890$1,536$1,240$996$522
20 years$2,172$1,756$1,409$1,123$890$447
21 years$2,047$1,636$1,296$1,019$796$383
22 years$1,933$1,527$1,195$927$714$329
23 years$1,829$1,428$1,103$844$641$283
24 years$1,735$1,338$1,020$770$576$243
25 years$1,647$1,256$945$703$518$209
26 years$1,567$1,180$876$643$467$180
27 years$1,493$1,111$814$588$421$155
28 years$1,424$1,047$756$539$380$134
29 years$1,360$987$704$494$343$115
30 years$1,301$932$656$454$310$100
31 years$1,245$882$611$417$280$86
32 years$1,193$834$570$383$253$74
33 years$1,144$790$533$352$229$64
34 years$1,099$749$498$324$208$55
35 years$1,055$710$465$298$188$48
36 years$1,015$674$435$275$170$41
37 years$977$640$407$253$154$36
38 years$940$608$381$233$140$31
39 years$906$578$357$215$127$27
40 years$874$550$335$198$115$23
41 years$843$524$314$183$104$20
42 years$814$499$295$169$95$17
43 years$786$475$276$156$86$15
44 years$759$453$260$144$78$13
45 years$734$432$244$133$71$11
46 years$710$412$229$123$64$10
47 years$687$393$215$113$58$8
48 years$665$376$202$105$53$7
49 years$644$359$190$97$48$6
50 years$624$343$179$90$44$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $639,000, adding $6,666 every year, while hoping to spend $53,187 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: 51/33/16 Blend
39$639,000$639,000$639,000$639,000
40$711,054$677,187$667,282$743,884
41$726,991$653,779$633,046$743,745
42$742,771$627,441$595,880$737,481
43$758,322$597,973$555,630$729,500
44$773,562$565,165$512,135$719,655
45$788,400$528,793$465,226$707,791
46$802,734$488,621$414,728$693,738
47$816,448$444,399$360,457$677,316
48$829,414$395,863$302,221$658,330
49$841,487$342,733$239,818$636,567
50$852,508$284,716$173,041$611,803
51$862,296$221,499$101,670$583,792
52$870,651$152,754$25,477$552,270
53$877,352$78,133$0$516,952
54$882,149$0$0$487,065
55$884,768$0$0$458,996
56$884,903$0$0$457,866
57$882,212$0$0$455,111
58$876,320$0$0$450,516
59$866,806$0$0$443,847
60$853,206$0$0$434,839
61$835,006$0$0$423,202
62$811,634$0$0$408,615
63$782,460$0$0$390,721
64$746,783$0$0$369,126
65$703,829$0$0$343,391
66$652,741$0$0$313,036
67$592,572$0$0$277,524
68$522,273$0$0$236,266
69$440,685$0$0$188,608
70$346,527$0$0$133,829
71$238,383$0$0$71,131
72$114,689$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