Can I retire at age 40 with 694,000?

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 $694,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.2%
1 years$57,310$56,799$56,301$55,815$55,341$54,157
2 years$28,371$27,843$27,331$26,834$26,353$25,166
3 years$18,726$18,196$17,685$17,193$16,719$15,566
4 years$13,905$13,376$12,870$12,387$11,924$10,814
5 years$11,013$10,487$9,988$9,514$9,065$8,001
6 years$9,085$8,563$8,072$7,608$7,173$6,156
7 years$7,709$7,191$6,707$6,255$5,833$4,864
8 years$6,677$6,164$5,688$5,247$4,839$3,916
9 years$5,875$5,367$4,899$4,470$4,075$3,199
10 years$5,234$4,731$4,271$3,853$3,472$2,641
11 years$4,710$4,212$3,761$3,353$2,986$2,200
12 years$4,273$3,780$3,337$2,941$2,588$1,844
13 years$3,904$3,416$2,982$2,597$2,257$1,555
14 years$3,588$3,105$2,679$2,305$1,978$1,317
15 years$3,314$2,837$2,419$2,056$1,742$1,120
16 years$3,075$2,603$2,193$1,841$1,539$955
17 years$2,864$2,397$1,996$1,654$1,365$816
18 years$2,676$2,215$1,822$1,490$1,214$699
19 years$2,509$2,053$1,668$1,347$1,082$600
20 years$2,359$1,907$1,531$1,220$966$516
21 years$2,223$1,777$1,408$1,107$865$444
22 years$2,099$1,658$1,297$1,006$775$383
23 years$1,987$1,551$1,198$917$696$331
24 years$1,884$1,453$1,108$836$625$285
25 years$1,789$1,364$1,026$763$563$247
26 years$1,702$1,282$952$698$507$213
27 years$1,621$1,206$884$639$457$184
28 years$1,547$1,137$822$585$412$160
29 years$1,477$1,072$765$537$372$138
30 years$1,413$1,013$712$493$336$120
31 years$1,352$957$664$453$304$104
32 years$1,296$906$619$416$275$90
33 years$1,243$858$578$382$249$78
34 years$1,193$813$540$352$225$68
35 years$1,146$771$505$324$204$59
36 years$1,102$732$473$298$185$51
37 years$1,061$695$442$275$168$44
38 years$1,021$661$414$253$152$38
39 years$984$628$388$234$138$33
40 years$949$598$364$215$125$29
41 years$915$569$341$199$113$25
42 years$884$542$320$183$103$22
43 years$853$516$300$169$93$19
44 years$825$492$282$156$85$16
45 years$797$469$265$144$77$14
46 years$771$448$249$133$70$12
47 years$746$427$234$123$63$11
48 years$722$408$219$114$58$9
49 years$699$389$206$105$52$8
50 years$678$372$194$97$48$7

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $694,000, adding $6,152 every year, while hoping to spend $43,508 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: 61/20/19 Blend
39$694,000$694,000$694,000$694,000
40$771,134$734,352$723,595$814,030
41$803,497$724,043$701,543$833,418
42$837,704$711,771$677,294$849,190
43$873,895$697,393$650,729$865,404
44$912,226$680,759$621,723$882,107
45$952,867$661,710$590,144$899,354
46$996,002$640,076$555,856$917,208
47$1,041,834$615,680$518,718$935,740
48$1,090,585$588,332$478,578$955,029
49$1,142,496$557,832$435,282$975,167
50$1,197,834$523,969$388,667$996,254
51$1,256,888$486,518$338,563$1,018,407
52$1,319,977$445,245$284,791$1,041,754
53$1,387,451$399,897$227,168$1,066,443
54$1,459,691$350,212$165,498$1,092,636
55$1,537,117$295,910$99,580$1,120,518
56$1,620,189$236,697$29,202$1,150,295
57$1,709,413$172,259$0$1,182,198
58$1,805,343$102,270$0$1,225,791
59$1,908,587$26,380$0$1,278,980
60$2,019,814$0$0$1,336,212
61$2,139,757$0$0$1,410,173
62$2,269,222$0$0$1,496,313
63$2,409,097$0$0$1,589,423
64$2,560,353$0$0$1,690,155
65$2,724,062$0$0$1,799,228
66$2,901,400$0$0$1,917,432
67$3,093,659$0$0$2,045,635
68$3,302,264$0$0$2,184,792
69$3,528,777$0$0$2,335,954
70$3,774,919$0$0$2,500,277
71$4,042,583$0$0$2,679,031
72$4,333,852$0$0$2,873,616
73$4,651,016$0$0$3,085,570
74$4,996,597$0$0$3,316,587
75$5,373,370$0$0$3,568,531
76$5,784,387$0$0$3,843,453
77$6,233,010$0$0$4,143,612
78$6,722,940$0$0$4,471,492
79$7,258,249$0$0$4,829,831
80$7,843,420$0$0$5,221,642
81$8,483,391$0$0$5,650,241
82$9,183,597$0$0$6,119,281
83$9,950,024$0$0$6,632,784
84$10,789,262$0$0$7,195,178
85$11,708,568$0$0$7,811,341
86$12,715,936$0$0$8,486,643
87$13,820,168$0$0$9,227,000
88$15,030,959$0$0$10,038,927
89$16,358,986$0$0$10,929,600
90$17,816,010$0$0$11,906,923
91$19,414,986$0$0$12,979,601
92$21,170,182$0$0$14,157,226
93$23,097,316$0$0$15,450,359
94$25,213,703$0$0$16,870,639
95$27,538,416$0$0$18,430,884
96$30,092,466$0$0$20,145,217
97$32,899,001$0$0$22,029,194
98$35,983,522$0$0$24,099,956
99$39,374,121$0$0$26,376,385
100$43,101,751$0$0$28,879,284