Can I retire at age 40 with 726,000?

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 $726,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.1%
1 years$59,952$59,418$58,897$58,389$57,892$56,447
2 years$29,679$29,127$28,591$28,072$27,568$26,121
3 years$19,590$19,035$18,500$17,986$17,490$16,087
4 years$14,546$13,992$13,463$12,958$12,474$11,125
5 years$11,520$10,970$10,448$9,953$9,483$8,192
6 years$9,504$8,958$8,444$7,959$7,503$6,272
7 years$8,064$7,523$7,017$6,544$6,102$4,930
8 years$6,985$6,449$5,951$5,489$5,062$3,949
9 years$6,146$5,615$5,125$4,676$4,263$3,208
10 years$5,475$4,949$4,468$4,031$3,632$2,634
11 years$4,927$4,406$3,934$3,508$3,124$2,181
12 years$4,470$3,954$3,491$3,077$2,707$1,818
13 years$4,084$3,574$3,119$2,716$2,361$1,524
14 years$3,753$3,248$2,803$2,411$2,069$1,283
15 years$3,467$2,967$2,530$2,150$1,822$1,084
16 years$3,216$2,723$2,294$1,925$1,610$918
17 years$2,996$2,507$2,088$1,730$1,428$780
18 years$2,800$2,317$1,906$1,559$1,270$664
19 years$2,625$2,147$1,745$1,409$1,132$566
20 years$2,467$1,995$1,601$1,276$1,011$483
21 years$2,325$1,859$1,473$1,158$905$413
22 years$2,196$1,735$1,357$1,053$811$354
23 years$2,078$1,623$1,253$959$728$303
24 years$1,971$1,520$1,159$875$654$260
25 years$1,872$1,427$1,074$799$589$223
26 years$1,781$1,341$996$730$530$191
27 years$1,696$1,262$925$668$478$164
28 years$1,618$1,189$859$612$431$141
29 years$1,545$1,122$800$562$390$121
30 years$1,478$1,059$745$515$352$104
31 years$1,415$1,002$695$473$318$90
32 years$1,356$948$648$435$288$77
33 years$1,300$897$605$400$260$66
34 years$1,248$851$565$368$236$57
35 years$1,199$807$529$339$214$49
36 years$1,153$766$494$312$194$42
37 years$1,110$727$463$288$175$36
38 years$1,068$691$433$265$159$31
39 years$1,029$657$406$244$144$27
40 years$993$625$381$225$131$23
41 years$958$595$357$208$119$20
42 years$924$567$335$192$108$17
43 years$893$540$314$177$98$15
44 years$863$515$295$164$89$13
45 years$834$491$277$151$81$11
46 years$807$468$260$140$73$9
47 years$780$447$244$129$66$8
48 years$756$427$230$119$60$7
49 years$732$407$216$110$55$6
50 years$709$389$203$102$50$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $726,000, adding $5,567 every year, while hoping to spend $41,042 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: 84/5/11 Blend
39$726,000$726,000$726,000$726,000
40$805,794$767,316$756,063$871,579
41$844,317$761,246$737,723$909,372
42$885,393$753,504$717,393$944,805
43$929,241$743,963$694,963$982,473
44$976,097$732,490$670,318$1,022,578
45$1,026,223$718,946$643,337$1,065,339
46$1,079,904$703,181$613,896$1,111,000
47$1,137,455$685,038$581,862$1,159,828
48$1,199,219$664,348$547,098$1,212,116
49$1,265,573$640,935$509,460$1,268,189
50$1,336,933$614,613$468,798$1,328,405
51$1,413,754$585,182$424,956$1,393,155
52$1,496,534$552,433$377,769$1,462,873
53$1,585,823$516,145$327,067$1,538,036
54$1,682,224$476,083$272,671$1,619,170
55$1,786,399$431,999$214,393$1,706,855
56$1,899,076$383,632$152,040$1,801,727
57$2,021,056$330,704$85,408$1,904,492
58$2,153,219$272,923$14,284$2,015,923
59$2,296,532$209,981$0$2,136,876
60$2,452,058$141,551$0$2,275,524
61$2,620,969$67,287$0$2,427,932
62$2,804,551$0$0$2,593,594
63$3,004,220$0$0$2,774,525
64$3,221,533$0$0$2,975,486
65$3,458,206$0$0$3,194,360
66$3,716,123$0$0$3,432,894
67$3,997,362$0$0$3,693,009
68$4,304,205$0$0$3,976,819
69$4,639,169$0$0$4,286,652
70$5,005,021$0$0$4,625,070
71$5,404,809$0$0$4,994,894
72$5,841,887$0$0$5,399,229
73$6,319,949$0$0$5,841,495
74$6,843,063$0$0$6,325,455
75$7,415,706$0$0$6,855,255
76$8,042,811$0$0$7,435,460
77$8,729,807$0$0$8,071,096
78$9,482,676$0$0$8,767,699
79$10,308,004$0$0$9,531,367
80$11,213,045$0$0$10,368,813
81$12,205,790$0$0$11,287,434
82$13,295,039$0$0$12,295,377
83$14,490,485$0$0$13,401,613
84$15,802,806$0$0$14,616,026
85$17,243,764$0$0$15,949,504
86$18,826,316$0$0$17,414,041
87$20,564,734$0$0$19,022,847
88$22,474,742$0$0$20,790,477
89$24,573,662$0$0$22,732,966
90$26,880,576$0$0$24,867,977
91$29,416,508$0$0$27,214,972
92$32,204,619$0$0$29,795,389
93$35,270,429$0$0$32,632,850
94$38,642,050$0$0$35,753,379
95$42,350,459$0$0$39,185,650
96$46,429,783$0$0$42,961,254
97$50,917,625$0$0$47,114,997
98$55,855,416$0$0$51,685,230
99$61,288,803$0$0$56,714,209
100$67,268,084$0$0$62,248,491