Can I retire at age 40 with 741,000?

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 $741,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.7%
1 years$61,191$60,646$60,114$59,595$59,088$58,181
2 years$30,293$29,728$29,182$28,652$28,137$27,226
3 years$19,994$19,428$18,882$18,357$17,851$16,964
4 years$14,846$14,282$13,742$13,225$12,732$11,875
5 years$11,758$11,197$10,664$10,158$9,679$8,854
6 years$9,700$9,143$8,618$8,124$7,658$6,868
7 years$8,231$7,678$7,162$6,679$6,228$5,472
8 years$7,129$6,582$6,074$5,603$5,167$4,445
9 years$6,273$5,731$5,231$4,772$4,351$3,664
10 years$5,588$5,051$4,561$4,114$3,708$3,053
11 years$5,029$4,497$4,015$3,580$3,189$2,567
12 years$4,562$4,036$3,563$3,140$2,763$2,173
13 years$4,168$3,647$3,184$2,772$2,410$1,850
14 years$3,831$3,315$2,861$2,461$2,112$1,583
15 years$3,538$3,029$2,583$2,195$1,860$1,360
16 years$3,283$2,779$2,342$1,965$1,644$1,172
17 years$3,058$2,559$2,131$1,766$1,457$1,013
18 years$2,858$2,365$1,945$1,591$1,296$877
19 years$2,679$2,192$1,781$1,438$1,155$762
20 years$2,518$2,037$1,634$1,302$1,032$662
21 years$2,373$1,897$1,503$1,182$923$577
22 years$2,242$1,771$1,385$1,075$828$503
23 years$2,121$1,656$1,279$979$743$439
24 years$2,011$1,552$1,183$893$668$383
25 years$1,910$1,456$1,096$815$601$335
26 years$1,817$1,369$1,016$745$541$293
27 years$1,731$1,288$944$682$488$257
28 years$1,652$1,214$877$625$440$225
29 years$1,577$1,145$816$573$398$197
30 years$1,508$1,081$760$526$359$173
31 years$1,444$1,022$709$483$325$152
32 years$1,384$967$661$444$294$133
33 years$1,327$916$618$408$266$117
34 years$1,274$868$577$376$241$103
35 years$1,224$823$539$346$218$90
36 years$1,177$782$505$319$198$79
37 years$1,132$742$472$293$179$70
38 years$1,090$705$442$270$162$61
39 years$1,051$671$414$249$147$54
40 years$1,013$638$388$230$134$47
41 years$977$608$364$212$121$41
42 years$943$579$342$196$110$36
43 years$911$551$321$181$100$32
44 years$880$525$301$167$91$28
45 years$851$501$283$154$82$25
46 years$823$478$265$142$75$22
47 years$797$456$249$132$68$19
48 years$771$435$234$122$62$17
49 years$747$416$220$112$56$15
50 years$723$397$207$104$51$13

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $741,000, adding $4,088 every year, while hoping to spend $45,416 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: 46/30/24 Blend
39$741,000$741,000$741,000$741,000
40$820,799$781,526$770,040$852,733
41$856,198$771,498$747,514$865,594
42$893,686$759,457$722,712$874,762
43$933,427$745,256$695,508$883,800
44$975,603$728,740$665,773$892,720
45$1,020,409$709,743$633,372$901,535
46$1,068,063$688,093$598,162$910,264
47$1,118,801$663,604$559,995$918,934
48$1,172,879$636,082$518,716$927,576
49$1,230,583$605,320$474,163$936,227
50$1,292,222$571,100$426,167$944,935
51$1,358,135$533,190$374,551$953,755
52$1,428,696$491,348$319,129$962,754
53$1,504,314$445,314$259,711$972,010
54$1,585,436$394,817$196,093$981,614
55$1,672,554$339,567$128,066$991,674
56$1,766,208$279,259$55,410$1,002,313
57$1,866,992$213,573$0$1,013,673
58$1,975,555$142,168$0$1,031,585
59$2,092,613$64,686$0$1,066,080
60$2,218,950$0$0$1,103,233
61$2,355,431$0$0$1,149,710
62$2,503,001$0$0$1,223,121
63$2,662,705$0$0$1,302,638
64$2,835,686$0$0$1,388,841
65$3,023,206$0$0$1,482,367
66$3,226,648$0$0$1,583,916
67$3,447,536$0$0$1,694,259
68$3,687,545$0$0$1,814,243
69$3,948,519$0$0$1,944,802
70$4,232,485$0$0$2,086,962
71$4,541,673$0$0$2,241,851
72$4,878,540$0$0$2,410,712
73$5,245,785$0$0$2,594,913
74$5,646,383$0$0$2,795,959
75$6,083,606$0$0$3,015,508
76$6,561,057$0$0$3,255,383
77$7,082,701$0$0$3,517,592
78$7,652,903$0$0$3,804,347
79$8,276,471$0$0$4,118,081
80$8,958,696$0$0$4,461,476
81$9,705,406$0$0$4,837,482
82$10,523,018$0$0$5,249,351
83$11,418,597$0$0$5,700,661
84$12,399,926$0$0$6,195,355
85$13,475,574$0$0$6,737,774
86$14,654,980$0$0$7,332,701
87$15,948,539$0$0$7,985,402
88$17,367,703$0$0$8,701,679
89$18,925,082$0$0$9,487,921
90$20,634,569$0$0$10,351,168
91$22,511,466$0$0$11,299,174
92$24,572,630$0$0$12,340,481
93$26,836,630$0$0$13,484,498
94$29,323,922$0$0$14,741,591
95$32,057,041$0$0$16,123,180
96$35,060,814$0$0$17,641,847
97$38,362,592$0$0$19,311,451
98$41,992,507$0$0$21,147,265
99$45,983,756$0$0$23,166,113
100$50,372,915$0$0$25,386,530