Can I retire at age 40 with 754,000?

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 $754,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.5%
1 years$62,265$61,710$61,169$60,641$60,125$59,497
2 years$30,824$30,250$29,694$29,154$28,631$27,999
3 years$20,345$19,769$19,214$18,679$18,165$17,548
4 years$15,107$14,532$13,983$13,457$12,955$12,358
5 years$11,965$11,393$10,851$10,337$9,848$9,273
6 years$9,871$9,304$8,769$8,266$7,793$7,240
7 years$8,375$7,813$7,287$6,796$6,338$5,807
8 years$7,254$6,697$6,180$5,701$5,258$4,750
9 years$6,383$5,831$5,323$4,856$4,428$3,942
10 years$5,686$5,140$4,641$4,186$3,773$3,309
11 years$5,117$4,576$4,086$3,643$3,245$2,803
12 years$4,642$4,107$3,626$3,195$2,812$2,391
13 years$4,241$3,711$3,240$2,821$2,452$2,052
14 years$3,898$3,374$2,911$2,504$2,149$1,770
15 years$3,600$3,082$2,628$2,233$1,892$1,533
16 years$3,341$2,828$2,383$2,000$1,672$1,332
17 years$3,111$2,604$2,168$1,797$1,483$1,161
18 years$2,908$2,406$1,979$1,619$1,319$1,014
19 years$2,726$2,230$1,812$1,463$1,175$888
20 years$2,563$2,072$1,663$1,325$1,050$779
21 years$2,415$1,930$1,530$1,203$939$685
22 years$2,281$1,802$1,410$1,093$842$602
23 years$2,159$1,685$1,302$996$756$531
24 years$2,047$1,579$1,204$908$679$468
25 years$1,944$1,482$1,115$829$611$413
26 years$1,849$1,393$1,034$758$551$365
27 years$1,762$1,311$960$694$496$323
28 years$1,681$1,235$893$636$448$285
29 years$1,605$1,165$831$583$405$253
30 years$1,535$1,100$774$535$366$224
31 years$1,469$1,040$721$492$330$198
32 years$1,408$984$673$452$299$176
33 years$1,350$932$628$415$271$156
34 years$1,296$883$587$382$245$138
35 years$1,245$838$549$352$222$123
36 years$1,198$795$514$324$201$109
37 years$1,152$755$481$299$182$96
38 years$1,110$718$450$275$165$86
39 years$1,069$683$422$254$150$76
40 years$1,031$649$395$234$136$67
41 years$994$618$371$216$123$60
42 years$960$589$348$199$112$53
43 years$927$561$326$184$101$47
44 years$896$535$306$170$92$42
45 years$866$510$288$157$84$37
46 years$838$486$270$145$76$33
47 years$811$464$254$134$69$29
48 years$785$443$238$124$63$26
49 years$760$423$224$114$57$23
50 years$736$404$211$106$52$21

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $754,000, adding $6,173 every year, while hoping to spend $48,791 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: 38/32/30 Blend
39$754,000$754,000$754,000$754,000
40$837,275$797,313$785,626$861,432
41$870,764$784,469$760,032$866,967
42$906,034$769,359$731,944$868,062
43$943,214$751,822$701,229$868,330
44$982,447$731,686$667,745$867,730
45$1,023,886$708,769$631,345$866,221
46$1,067,701$682,878$591,873$863,759
47$1,114,076$653,808$549,170$860,304
48$1,163,211$621,344$503,067$855,815
49$1,215,327$585,258$453,388$850,253
50$1,270,662$545,307$399,948$843,581
51$1,329,480$501,238$342,557$835,763
52$1,392,067$452,779$281,013$826,768
53$1,458,738$399,645$215,107$816,565
54$1,529,837$341,535$144,621$805,131
55$1,605,741$278,131$69,326$792,446
56$1,686,863$209,095$0$778,495
57$1,773,655$134,073$0$766,803
58$1,866,613$52,688$0$777,752
59$1,966,284$0$0$789,221
60$2,073,262$0$0$813,806
61$2,188,205$0$0$860,225
62$2,311,831$0$0$910,228
63$2,444,930$0$0$964,141
64$2,588,371$0$0$1,022,328
65$2,743,105$0$0$1,085,185
66$2,910,179$0$0$1,153,148
67$3,090,745$0$0$1,226,698
68$3,286,065$0$0$1,306,361
69$3,497,531$0$0$1,392,719
70$3,726,668$0$0$1,486,407
71$3,975,158$0$0$1,588,129
72$4,244,848$0$0$1,698,654
73$4,537,769$0$0$1,818,832
74$4,856,157$0$0$1,949,595
75$5,202,469$0$0$2,091,972
76$5,579,411$0$0$2,247,092
77$5,989,959$0$0$2,416,199
78$6,437,389$0$0$2,600,662
79$6,925,305$0$0$2,801,987
80$7,457,675$0$0$3,021,833
81$8,038,865$0$0$3,262,026
82$8,673,682$0$0$3,524,576
83$9,367,418$0$0$3,811,695
84$10,125,900$0$0$4,125,820
85$10,955,541$0$0$4,469,634
86$11,863,405$0$0$4,846,091
87$12,857,269$0$0$5,258,444
88$13,945,697$0$0$5,710,275
89$15,138,119$0$0$6,205,531
90$16,444,922$0$0$6,748,556
91$17,877,544$0$0$7,344,136
92$19,448,584$0$0$7,997,544
93$21,171,917$0$0$8,714,584
94$23,062,827$0$0$9,501,654
95$25,138,148$0$0$10,365,797
96$27,416,424$0$0$11,314,774
97$29,918,080$0$0$12,357,135
98$32,665,619$0$0$13,502,296
99$35,683,827$0$0$14,760,633
100$39,000,011$0$0$16,143,575