Can I retire at age 40 with 707,000?

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 $707,000?

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$58,383$57,863$57,356$56,861$56,377$55,059
2 years$28,903$28,364$27,843$27,337$26,846$25,526
3 years$19,077$18,536$18,016$17,515$17,032$15,751
4 years$14,165$13,626$13,111$12,619$12,148$10,915
5 years$11,219$10,683$10,175$9,692$9,234$8,054
6 years$9,255$8,724$8,223$7,751$7,307$6,180
7 years$7,853$7,326$6,833$6,373$5,942$4,869
8 years$6,802$6,280$5,795$5,346$4,930$3,909
9 years$5,985$5,468$4,991$4,553$4,152$3,183
10 years$5,332$4,819$4,351$3,925$3,537$2,621
11 years$4,798$4,291$3,831$3,416$3,042$2,175
12 years$4,353$3,851$3,400$2,996$2,636$1,818
13 years$3,977$3,480$3,038$2,645$2,299$1,528
14 years$3,655$3,163$2,729$2,348$2,015$1,290
15 years$3,376$2,890$2,464$2,094$1,774$1,092
16 years$3,132$2,651$2,234$1,875$1,568$928
17 years$2,917$2,442$2,033$1,685$1,390$791
18 years$2,727$2,256$1,856$1,518$1,236$675
19 years$2,556$2,091$1,699$1,372$1,102$577
20 years$2,403$1,943$1,559$1,243$984$495
21 years$2,264$1,810$1,434$1,128$881$424
22 years$2,139$1,690$1,322$1,025$790$364
23 years$2,024$1,580$1,220$934$709$313
24 years$1,919$1,481$1,129$852$637$269
25 years$1,823$1,389$1,045$778$573$232
26 years$1,734$1,306$970$711$516$200
27 years$1,652$1,229$900$651$466$172
28 years$1,576$1,158$837$596$420$148
29 years$1,505$1,092$779$547$379$128
30 years$1,439$1,032$725$502$343$110
31 years$1,378$975$676$461$310$95
32 years$1,320$923$631$424$280$82
33 years$1,266$874$589$390$254$71
34 years$1,215$828$551$358$230$61
35 years$1,168$786$515$330$208$53
36 years$1,123$746$481$304$188$46
37 years$1,080$708$451$280$171$39
38 years$1,040$673$422$258$155$34
39 years$1,003$640$395$238$140$29
40 years$967$609$371$219$127$25
41 years$932$580$348$203$116$22
42 years$900$552$326$187$105$19
43 years$869$526$306$173$95$16
44 years$840$501$287$159$86$14
45 years$812$478$270$147$78$12
46 years$785$456$253$136$71$11
47 years$760$435$238$126$65$9
48 years$736$415$224$116$59$8
49 years$713$397$210$107$53$7
50 years$690$379$198$99$48$6

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $707,000, adding $5,282 every year, while hoping to spend $35,730 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: 47/42/11 Blend
39$707,000$707,000$707,000$707,000
40$784,562$747,091$736,133$818,804
41$826,571$745,682$722,777$841,561
42$871,668$743,007$707,776$862,120
43$920,129$738,965$691,037$883,626
44$972,258$733,451$672,464$906,177
45$1,028,391$726,352$651,954$929,886
46$1,088,894$717,550$629,401$954,879
47$1,154,169$706,919$604,694$981,295
48$1,224,660$694,323$577,717$1,009,294
49$1,300,853$679,623$548,348$1,039,049
50$1,383,284$662,668$516,461$1,070,759
51$1,472,539$643,299$481,923$1,104,642
52$1,569,265$621,348$444,595$1,140,943
53$1,674,173$596,637$404,331$1,179,936
54$1,788,044$568,977$360,982$1,221,926
55$1,911,737$538,170$314,388$1,267,251
56$2,046,199$504,005$264,384$1,316,290
57$2,192,469$466,259$210,799$1,369,465
58$2,351,691$424,696$153,451$1,427,244
59$2,525,126$379,068$92,154$1,490,147
60$2,714,158$329,112$26,710$1,558,756
61$2,920,312$274,549$0$1,633,713
62$3,145,267$215,085$0$1,720,797
63$3,390,871$150,411$0$1,819,416
64$3,659,158$80,198$0$1,927,340
65$3,952,365$4,102$0$2,045,576
66$4,272,960$0$0$2,175,240
67$4,623,654$0$0$2,353,729
68$5,007,437$0$0$2,551,213
69$5,427,599$0$0$2,767,498
70$5,887,765$0$0$3,004,460
71$6,391,923$0$0$3,264,165
72$6,944,469$0$0$3,548,887
73$7,550,243$0$0$3,861,132
74$8,214,575$0$0$4,203,658
75$8,943,336$0$0$4,579,507
76$9,742,994$0$0$4,992,024
77$10,620,671$0$0$5,444,899
78$11,584,213$0$0$5,942,193
79$12,642,264$0$0$6,488,381
80$13,804,345$0$0$7,088,394
81$15,080,945$0$0$7,747,661
82$16,483,616$0$0$8,472,164
83$18,025,090$0$0$9,268,496
84$19,719,388$0$0$10,143,918
85$21,581,961$0$0$11,106,428
86$23,629,828$0$0$12,164,841
87$25,881,743$0$0$13,328,867
88$28,358,366$0$0$14,609,205
89$31,082,461$0$0$16,017,642
90$34,079,106$0$0$17,567,167
91$37,375,936$0$0$19,272,088
92$41,003,396$0$0$21,148,173
93$44,995,033$0$0$23,212,794
94$49,387,810$0$0$25,485,093
95$54,222,453$0$0$27,986,161
96$59,543,839$0$0$30,739,238
97$65,401,412$0$0$33,769,932
98$71,849,658$0$0$37,106,457
99$78,948,609$0$0$40,779,907
100$86,764,417$0$0$44,824,538