Can I retire at age 40 with 703,000?

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 $703,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.4%
1 years$58,053$57,536$57,031$56,539$56,058$54,592
2 years$28,739$28,204$27,685$27,182$26,694$25,227
3 years$18,969$18,432$17,914$17,416$16,936$15,514
4 years$14,085$13,549$13,037$12,547$12,079$10,713
5 years$11,155$10,623$10,117$9,637$9,182$7,876
6 years$9,203$8,674$8,176$7,707$7,266$6,020
7 years$7,809$7,285$6,794$6,336$5,909$4,724
8 years$6,764$6,244$5,762$5,316$4,902$3,778
9 years$5,951$5,437$4,963$4,528$4,128$3,063
10 years$5,302$4,792$4,327$3,903$3,517$2,511
11 years$4,771$4,266$3,809$3,397$3,025$2,075
12 years$4,328$3,829$3,381$2,979$2,621$1,726
13 years$3,954$3,460$3,020$2,630$2,286$1,444
14 years$3,634$3,145$2,714$2,335$2,004$1,213
15 years$3,357$2,873$2,450$2,082$1,764$1,022
16 years$3,115$2,636$2,221$1,864$1,559$864
17 years$2,901$2,428$2,021$1,675$1,383$733
18 years$2,711$2,244$1,845$1,510$1,229$622
19 years$2,542$2,079$1,689$1,364$1,096$529
20 years$2,389$1,932$1,550$1,236$979$451
21 years$2,252$1,800$1,426$1,121$876$385
22 years$2,127$1,680$1,314$1,020$785$329
23 years$2,013$1,571$1,214$928$705$281
24 years$1,908$1,472$1,122$847$633$240
25 years$1,812$1,382$1,039$773$570$206
26 years$1,724$1,298$964$707$513$176
27 years$1,643$1,222$895$647$463$151
28 years$1,567$1,151$832$593$418$129
29 years$1,497$1,086$774$544$377$111
30 years$1,431$1,026$721$499$341$95
31 years$1,370$970$673$458$308$82
32 years$1,313$918$627$421$279$70
33 years$1,259$869$586$387$252$60
34 years$1,209$824$547$356$228$52
35 years$1,161$781$512$328$207$44
36 years$1,117$741$479$302$187$38
37 years$1,074$704$448$278$170$33
38 years$1,035$669$420$257$154$28
39 years$997$636$393$237$140$24
40 years$961$605$369$218$127$21
41 years$927$576$346$201$115$18
42 years$895$549$324$186$104$15
43 years$864$523$304$172$95$13
44 years$835$499$286$158$86$11
45 years$807$475$268$146$78$10
46 years$781$454$252$135$71$8
47 years$756$433$237$125$64$7
48 years$732$413$222$115$58$6
49 years$708$395$209$107$53$5
50 years$686$377$196$99$48$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $703,000, adding $2,204 every year, while hoping to spend $33,243 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: 63/13/24 Blend
39$703,000$703,000$703,000$703,000
40$776,979$739,720$728,824$820,900
41$820,861$740,596$717,869$851,729
42$868,104$740,401$705,433$881,505
43$919,017$739,047$691,432$913,284
44$973,938$736,441$675,775$947,268
45$1,033,238$732,485$658,372$983,677
46$1,097,325$727,073$639,124$1,022,757
47$1,166,647$720,096$617,930$1,064,779
48$1,241,699$711,434$594,685$1,110,043
49$1,323,021$700,963$569,276$1,158,881
50$1,411,211$688,552$541,588$1,211,659
51$1,506,923$674,060$511,500$1,268,785
52$1,610,878$657,338$478,884$1,330,706
53$1,723,870$638,229$443,609$1,397,919
54$1,846,770$616,568$405,535$1,470,973
55$1,980,539$592,178$364,519$1,550,475
56$2,126,232$564,873$320,408$1,637,094
57$2,285,012$534,455$273,046$1,731,573
58$2,458,157$500,718$222,267$1,834,728
59$2,647,075$463,439$167,899$1,947,466
60$2,853,316$422,387$109,763$2,070,786
61$3,078,585$377,314$47,671$2,205,791
62$3,324,759$327,962$0$2,353,702
63$3,593,907$274,054$0$2,520,626
64$3,888,303$215,300$0$2,716,628
65$4,210,454$151,394$0$2,931,184
66$4,563,118$82,011$0$3,166,167
67$4,949,336$6,808$0$3,423,637
68$5,372,452$0$0$3,705,868
69$5,836,152$0$0$4,026,036
70$6,344,494$0$0$4,378,146
71$6,901,948$0$0$4,764,326
72$7,513,438$0$0$5,187,995
73$8,184,385$0$0$5,652,916
74$8,920,763$0$0$6,163,235
75$9,729,151$0$0$6,723,519
76$10,616,797$0$0$7,338,798
77$11,591,684$0$0$8,014,614
78$12,662,606$0$0$8,757,072
79$13,839,252$0$0$9,572,898
80$15,132,296$0$0$10,469,499
81$16,553,495$0$0$11,455,039
82$18,115,805$0$0$12,538,510
83$19,833,496$0$0$13,729,820
84$21,722,293$0$0$15,039,883
85$23,799,520$0$0$16,480,726
86$26,084,262$0$0$18,065,598
87$28,597,550$0$0$19,809,097
88$31,362,553$0$0$21,727,310
89$34,404,800$0$0$23,837,957
90$37,752,419$0$0$26,160,565
91$41,436,402$0$0$28,716,650
92$45,490,899$0$0$31,529,919
93$49,953,536$0$0$34,626,493
94$54,865,773$0$0$38,035,153
95$60,273,292$0$0$41,787,615
96$66,226,432$0$0$45,918,824
97$72,780,658$0$0$50,467,285
98$79,997,087$0$0$55,475,429
99$87,943,065$0$0$60,990,008
100$96,692,801$0$0$67,062,542