Can I retire at age 40 with 783,000?

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 $783,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.2%
1 years$64,659$64,083$63,522$62,973$62,438$61,353
2 years$32,010$31,413$30,836$30,276$29,732$28,643
3 years$21,128$20,529$19,953$19,398$18,863$17,803
4 years$15,688$15,091$14,520$13,975$13,453$12,431
5 years$12,425$11,832$11,268$10,734$10,227$9,245
6 years$10,250$9,661$9,107$8,584$8,092$7,152
7 years$8,697$8,114$7,568$7,058$6,581$5,682
8 years$7,533$6,955$6,418$5,920$5,460$4,603
9 years$6,629$6,055$5,528$5,043$4,598$3,782
10 years$5,905$5,338$4,819$4,347$3,918$3,142
11 years$5,314$4,752$4,243$3,783$3,369$2,633
12 years$4,821$4,265$3,765$3,318$2,920$2,222
13 years$4,404$3,854$3,364$2,930$2,546$1,886
14 years$4,048$3,503$3,023$2,601$2,232$1,608
15 years$3,739$3,200$2,729$2,319$1,965$1,377
16 years$3,469$2,936$2,474$2,077$1,737$1,182
17 years$3,231$2,704$2,252$1,866$1,540$1,018
18 years$3,020$2,499$2,055$1,682$1,369$879
19 years$2,831$2,316$1,882$1,519$1,220$760
20 years$2,661$2,152$1,727$1,376$1,090$658
21 years$2,508$2,005$1,588$1,249$976$571
22 years$2,369$1,871$1,464$1,136$874$496
23 years$2,242$1,750$1,352$1,034$785$431
24 years$2,125$1,640$1,250$943$706$375
25 years$2,019$1,539$1,158$861$635$327
26 years$1,920$1,446$1,074$788$572$285
27 years$1,829$1,361$997$721$516$249
28 years$1,745$1,283$927$661$465$217
29 years$1,667$1,210$863$606$420$189
30 years$1,594$1,143$803$556$380$165
31 years$1,526$1,080$749$511$343$144
32 years$1,462$1,022$699$469$310$126
33 years$1,402$968$653$431$281$110
34 years$1,346$917$610$397$254$96
35 years$1,293$870$570$365$230$84
36 years$1,244$826$533$337$209$74
37 years$1,197$784$499$310$189$65
38 years$1,152$745$467$286$172$56
39 years$1,110$709$438$264$156$49
40 years$1,070$674$410$243$141$43
41 years$1,033$642$385$224$128$38
42 years$997$611$361$207$116$33
43 years$963$583$339$191$105$29
44 years$930$555$318$176$96$25
45 years$899$529$299$163$87$22
46 years$870$505$280$150$79$19
47 years$842$482$263$139$72$17
48 years$815$460$248$128$65$15
49 years$789$439$233$119$59$13
50 years$764$420$219$110$54$11

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $783,000, adding $5,590 every year, while hoping to spend $42,117 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: 42/33/25 Blend
39$783,000$783,000$783,000$783,000
40$868,632$827,133$814,997$898,553
41$912,420$822,850$797,487$916,221
42$959,264$816,946$777,979$930,913
43$1,009,429$809,297$756,361$945,996
44$1,063,209$799,771$732,518$961,531
45$1,120,925$788,229$706,326$977,586
46$1,182,930$774,523$677,659$994,240
47$1,249,612$758,497$646,383$1,011,586
48$1,321,395$739,986$612,360$1,029,726
49$1,398,746$718,814$575,442$1,048,777
50$1,482,177$694,795$535,479$1,068,874
51$1,572,253$667,734$492,311$1,090,169
52$1,669,591$637,421$445,772$1,112,833
53$1,774,872$603,638$395,688$1,137,060
54$1,888,844$566,151$341,879$1,163,069
55$2,012,329$524,715$284,154$1,191,107
56$2,146,230$479,069$222,317$1,221,450
57$2,291,541$428,939$156,160$1,254,410
58$2,449,355$374,034$85,469$1,290,338
59$2,620,875$314,047$10,017$1,329,625
60$2,807,422$248,654$0$1,372,711
61$3,010,453$177,512$0$1,438,893
62$3,231,569$100,260$0$1,513,991
63$3,472,531$16,514$0$1,596,010
64$3,735,278$0$0$1,685,709
65$4,021,945$0$0$1,810,846
66$4,334,880$0$0$1,954,088
67$4,676,669$0$0$2,110,636
68$5,050,160$0$0$2,281,804
69$5,458,485$0$0$2,469,042
70$5,905,096$0$0$2,673,944
71$6,393,791$0$0$2,898,268
72$6,928,754$0$0$3,143,947
73$7,514,591$0$0$3,413,113
74$8,156,375$0$0$3,708,111
75$8,859,693$0$0$4,031,524
76$9,630,698$0$0$4,386,200
77$10,476,165$0$0$4,775,271
78$11,403,559$0$0$5,202,190
79$12,421,100$0$0$5,670,760
80$13,537,844$0$0$6,185,169
81$14,763,763$0$0$6,750,032
82$16,109,846$0$0$7,370,431
83$17,588,194$0$0$8,051,966
84$19,212,142$0$0$8,800,804
85$20,996,375$0$0$9,623,742
86$22,957,075$0$0$10,528,264
87$25,112,067$0$0$11,522,619
88$27,480,989$0$0$12,615,893
89$30,085,478$0$0$13,818,097
90$32,949,369$0$0$15,140,261
91$36,098,925$0$0$16,594,536
92$39,563,081$0$0$18,194,310
93$43,373,715$0$0$19,954,337
94$47,565,953$0$0$21,890,868
95$52,178,495$0$0$24,021,814
96$57,253,982$0$0$26,366,905
97$62,839,396$0$0$28,947,884
98$68,986,507$0$0$31,788,706
99$75,752,354$0$0$34,915,769
100$83,199,788$0$0$38,358,158