Can I retire at age 40 with 678,000?

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 $678,000?

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$55,989$55,490$55,003$54,528$54,065$51,961
2 years$27,717$27,201$26,701$26,216$25,745$23,651
3 years$18,295$17,776$17,277$16,797$16,334$14,315
4 years$13,584$13,067$12,573$12,101$11,649$9,722
5 years$10,759$10,245$9,757$9,295$8,856$7,024
6 years$8,876$8,366$7,885$7,433$7,007$5,272
7 years$7,531$7,026$6,553$6,111$5,699$4,060
8 years$6,523$6,022$5,557$5,126$4,728$3,184
9 years$5,740$5,243$4,787$4,367$3,981$2,531
10 years$5,113$4,622$4,173$3,764$3,392$2,032
11 years$4,601$4,115$3,674$3,276$2,917$1,644
12 years$4,174$3,693$3,260$2,873$2,528$1,338
13 years$3,814$3,337$2,913$2,537$2,205$1,094
14 years$3,505$3,034$2,617$2,252$1,933$898
15 years$3,238$2,771$2,363$2,008$1,702$740
16 years$3,004$2,543$2,142$1,798$1,504$611
17 years$2,798$2,342$1,950$1,616$1,333$505
18 years$2,615$2,164$1,780$1,456$1,186$419
19 years$2,451$2,005$1,629$1,316$1,057$347
20 years$2,304$1,863$1,495$1,192$944$289
21 years$2,172$1,736$1,375$1,081$845$240
22 years$2,051$1,620$1,268$983$757$200
23 years$1,941$1,515$1,170$895$680$166
24 years$1,840$1,420$1,082$817$611$139
25 years$1,748$1,332$1,003$746$550$116
26 years$1,663$1,252$930$682$495$96
27 years$1,584$1,179$863$624$446$80
28 years$1,511$1,111$803$572$403$67
29 years$1,443$1,048$747$524$364$56
30 years$1,380$989$696$481$329$47
31 years$1,321$935$649$442$297$39
32 years$1,266$885$605$406$269$33
33 years$1,214$838$565$374$243$27
34 years$1,166$794$528$344$220$23
35 years$1,120$753$494$316$199$19
36 years$1,077$715$462$291$181$16
37 years$1,036$679$432$269$164$13
38 years$998$645$405$248$149$11
39 years$961$614$379$228$135$9
40 years$927$584$355$210$122$8
41 years$894$556$333$194$111$6
42 years$863$529$313$179$101$5
43 years$834$504$293$165$91$4
44 years$806$481$275$153$83$4
45 years$779$458$259$141$75$3
46 years$753$437$243$130$68$3
47 years$729$417$228$120$62$2
48 years$706$398$214$111$56$2
49 years$683$381$202$103$51$2
50 years$662$363$189$95$46$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $678,000, adding $4,384 every year, while hoping to spend $35,337 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: 59/24/17 Blend
39$678,000$678,000$678,000$678,000
40$751,678$715,744$705,235$792,477
41$790,751$713,217$691,262$818,060
42$832,625$709,382$675,637$841,667
43$877,548$704,138$658,266$866,598
44$925,794$697,376$639,054$892,986
45$977,661$688,983$617,898$920,980
46$1,033,477$678,838$594,692$950,743
47$1,093,604$666,813$569,327$982,460
48$1,158,437$652,773$541,684$1,016,332
49$1,228,411$636,572$511,645$1,052,586
50$1,304,005$618,060$479,081$1,091,472
51$1,385,744$597,076$443,860$1,133,267
52$1,474,205$573,448$405,845$1,178,280
53$1,570,023$546,996$364,890$1,226,854
54$1,673,897$517,530$320,845$1,279,367
55$1,786,593$484,848$273,552$1,336,240
56$1,908,956$448,736$222,847$1,397,940
57$2,041,914$408,968$168,556$1,464,982
58$2,186,488$365,307$110,502$1,537,941
59$2,343,802$317,499$48,497$1,617,449
60$2,515,093$265,280$0$1,704,210
61$2,701,720$208,366$0$1,802,207
62$2,905,181$146,462$0$1,918,693
63$3,127,124$79,252$0$2,045,852
64$3,369,361$6,407$0$2,184,780
65$3,633,890$0$0$2,336,688
66$3,922,908$0$0$2,522,037
67$4,238,833$0$0$2,726,546
68$4,584,331$0$0$2,950,254
69$4,962,333$0$0$3,195,066
70$5,376,069$0$0$3,463,081
71$5,829,094$0$0$3,756,611
72$6,325,326$0$0$4,078,200
73$6,869,075$0$0$4,430,651
74$7,465,091$0$0$4,817,052
75$8,118,605$0$0$5,240,801
76$8,835,379$0$0$5,705,643
77$9,621,756$0$0$6,215,703
78$10,484,726$0$0$6,775,524
79$11,431,989$0$0$7,390,110
80$12,472,023$0$0$8,064,973
81$13,614,171$0$0$8,806,186
82$14,868,724$0$0$9,620,438
83$16,247,017$0$0$10,515,099
84$17,761,538$0$0$11,498,287
85$19,426,047$0$0$12,578,945
86$21,255,699$0$0$13,766,926
87$23,267,195$0$0$15,073,088
88$25,478,930$0$0$16,509,388
89$27,911,175$0$0$18,089,005
90$30,586,260$0$0$19,826,457
91$33,528,791$0$0$21,737,737
92$36,765,876$0$0$23,840,472
93$40,327,384$0$0$26,154,078
94$44,246,224$0$0$28,699,952
95$48,558,658$0$0$31,501,666
96$53,304,638$0$0$34,585,196
97$58,528,188$0$0$37,979,163
98$64,277,814$0$0$41,715,102
99$70,606,964$0$0$45,827,761
100$77,574,531$0$0$50,355,430