Can I retire at age 40 with 672,000?

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 $672,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.7%
1 years$55,493$54,999$54,517$54,046$53,586$51,706
2 years$27,472$26,960$26,464$25,984$25,517$23,642
3 years$18,133$17,619$17,124$16,648$16,189$14,379
4 years$13,464$12,952$12,462$11,994$11,546$9,814
5 years$10,663$10,154$9,671$9,212$8,777$7,128
6 years$8,797$8,292$7,816$7,367$6,945$5,380
7 years$7,464$6,963$6,495$6,057$5,648$4,167
8 years$6,465$5,969$5,508$5,081$4,686$3,288
9 years$5,689$5,197$4,744$4,328$3,946$2,629
10 years$5,068$4,581$4,136$3,731$3,362$2,124
11 years$4,560$4,078$3,641$3,247$2,892$1,729
12 years$4,138$3,660$3,232$2,848$2,506$1,417
13 years$3,780$3,308$2,887$2,514$2,185$1,167
14 years$3,474$3,007$2,594$2,232$1,916$965
15 years$3,209$2,747$2,342$1,990$1,687$800
16 years$2,977$2,520$2,124$1,782$1,491$665
17 years$2,773$2,321$1,932$1,601$1,322$555
18 years$2,592$2,145$1,764$1,443$1,175$463
19 years$2,430$1,988$1,615$1,304$1,047$387
20 years$2,284$1,847$1,482$1,181$936$324
21 years$2,152$1,720$1,363$1,072$837$272
22 years$2,033$1,606$1,256$975$750$228
23 years$1,924$1,502$1,160$888$674$191
24 years$1,824$1,407$1,073$809$606$161
25 years$1,733$1,321$994$739$545$135
26 years$1,648$1,241$922$676$491$113
27 years$1,570$1,168$856$619$442$95
28 years$1,498$1,101$796$567$399$80
29 years$1,431$1,038$740$520$361$68
30 years$1,368$981$690$477$326$57
31 years$1,309$927$643$438$295$48
32 years$1,255$877$600$403$266$40
33 years$1,203$831$560$370$241$34
34 years$1,155$787$523$341$218$29
35 years$1,110$747$489$314$198$24
36 years$1,067$709$458$289$179$20
37 years$1,027$673$428$266$162$17
38 years$989$640$401$245$147$14
39 years$953$608$376$226$133$12
40 years$919$579$352$209$121$10
41 years$886$551$330$192$110$9
42 years$856$525$310$178$100$7
43 years$826$500$291$164$90$6
44 years$798$477$273$151$82$5
45 years$772$454$256$140$75$4
46 years$747$434$241$129$68$4
47 years$722$414$226$119$61$3
48 years$699$395$212$110$56$3
49 years$677$377$200$102$51$2
50 years$656$360$188$94$46$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $672,000, adding $3,033 every year, while hoping to spend $48,970 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: 64/7/29 Blend
39$672,000$672,000$672,000$672,000
40$743,673$708,057$697,641$785,338
41$767,423$690,648$668,908$796,531
42$791,956$670,744$637,571$803,108
43$817,297$648,173$603,492$809,242
44$843,477$622,749$566,525$814,897
45$870,526$594,278$526,518$820,034
46$898,477$562,554$483,313$824,614
47$927,361$527,359$436,743$828,594
48$957,215$488,463$386,637$831,930
49$988,074$445,621$332,813$834,577
50$1,019,978$398,577$275,083$836,486
51$1,052,966$347,058$213,248$837,606
52$1,087,082$290,776$147,105$837,886
53$1,122,368$229,428$76,437$837,268
54$1,158,872$162,693$1,020$835,697
55$1,196,643$90,231$0$833,111
56$1,235,733$11,685$0$854,036
57$1,276,197$0$0$875,754
58$1,318,093$0$0$903,608
59$1,361,481$0$0$933,389
60$1,406,427$0$0$964,243
61$1,452,998$0$0$996,217
62$1,501,268$0$0$1,029,361
63$1,551,313$0$0$1,063,729
64$1,603,215$0$0$1,099,378
65$1,657,063$0$0$1,136,368
66$1,712,948$0$0$1,174,764
67$1,770,969$0$0$1,214,635
68$1,831,232$0$0$1,256,054
69$1,893,851$0$0$1,299,100
70$1,958,945$0$0$1,343,857
71$2,026,644$0$0$1,390,415
72$2,097,087$0$0$1,438,871
73$2,170,423$0$0$1,489,328
74$2,246,811$0$0$1,541,898
75$2,326,423$0$0$1,596,701
76$2,409,445$0$0$1,653,866
77$2,496,075$0$0$1,713,532
78$2,586,529$0$0$1,775,850
79$2,681,038$0$0$1,840,982
80$2,779,854$0$0$1,909,103
81$2,883,248$0$0$1,980,403
82$2,991,513$0$0$2,055,087
83$3,104,967$0$0$2,133,380
84$3,223,956$0$0$2,215,521
85$3,348,854$0$0$2,301,773
86$3,480,067$0$0$2,392,421
87$3,618,037$0$0$2,487,776
88$3,763,245$0$0$2,588,174
89$3,916,213$0$0$2,693,981
90$4,077,511$0$0$2,805,598
91$4,247,760$0$0$2,923,460
92$4,427,635$0$0$3,048,042
93$4,617,876$0$0$3,179,862
94$4,819,288$0$0$3,319,488
95$5,032,752$0$0$3,467,537
96$5,259,228$0$0$3,624,684
97$5,499,769$0$0$3,791,670
98$5,755,525$0$0$3,969,302
99$6,027,752$0$0$4,158,465
100$6,317,830$0$0$4,360,128