Can I retire at age 40 with 786,000?

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 $786,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.3%
1 years$64,907$64,329$63,765$63,214$62,677$61,311
2 years$32,132$31,534$30,954$30,392$29,846$28,477
3 years$21,209$20,608$20,029$19,472$18,936$17,606
4 years$15,748$15,149$14,576$14,029$13,505$12,225
5 years$12,472$11,877$11,312$10,775$10,266$9,040
6 years$10,289$9,698$9,142$8,617$8,123$6,951
7 years$8,731$8,145$7,597$7,085$6,606$5,489
8 years$7,562$6,981$6,443$5,943$5,481$4,418
9 years$6,654$6,079$5,549$5,062$4,616$3,606
10 years$5,928$5,358$4,838$4,364$3,933$2,976
11 years$5,334$4,770$4,259$3,798$3,382$2,477
12 years$4,839$4,281$3,780$3,331$2,931$2,075
13 years$4,421$3,869$3,377$2,941$2,556$1,749
14 years$4,063$3,517$3,034$2,611$2,240$1,480
15 years$3,753$3,213$2,740$2,328$1,973$1,257
16 years$3,482$2,948$2,484$2,085$1,743$1,071
17 years$3,243$2,715$2,260$1,873$1,546$915
18 years$3,031$2,508$2,063$1,688$1,375$784
19 years$2,842$2,325$1,889$1,525$1,225$672
20 years$2,671$2,160$1,733$1,381$1,094$578
21 years$2,517$2,012$1,594$1,254$979$497
22 years$2,378$1,878$1,469$1,140$878$428
23 years$2,250$1,757$1,357$1,038$788$369
24 years$2,134$1,646$1,255$947$708$318
25 years$2,026$1,545$1,162$865$637$275
26 years$1,928$1,452$1,078$791$574$237
27 years$1,836$1,366$1,001$724$518$205
28 years$1,752$1,287$930$663$467$177
29 years$1,673$1,215$866$608$422$154
30 years$1,600$1,147$807$558$381$133
31 years$1,532$1,084$752$512$344$115
32 years$1,468$1,026$702$471$312$100
33 years$1,408$972$655$433$282$86
34 years$1,351$921$612$399$255$75
35 years$1,298$873$572$367$231$65
36 years$1,248$829$535$338$210$56
37 years$1,201$787$501$311$190$49
38 years$1,157$748$469$287$172$42
39 years$1,115$712$440$265$156$37
40 years$1,075$677$412$244$142$32
41 years$1,037$644$386$225$128$27
42 years$1,001$614$362$208$117$24
43 years$966$585$340$192$106$21
44 years$934$557$319$177$96$18
45 years$903$532$300$164$87$16
46 years$873$507$282$151$79$13
47 years$845$484$264$140$72$12
48 years$818$462$249$129$65$10
49 years$792$441$234$119$59$9
50 years$767$421$220$110$54$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $786,000, adding $5,786 every year, while hoping to spend $38,249 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: 74/9/17 Blend
39$786,000$786,000$786,000$786,000
40$872,140$830,482$818,299$932,879
41$920,402$830,479$805,016$973,895
42$972,304$829,194$790,005$1,013,572
43$1,028,178$826,524$773,169$1,056,039
44$1,088,388$822,359$754,406$1,101,565
45$1,153,332$816,582$733,606$1,150,446
46$1,223,448$809,072$710,659$1,203,009
47$1,299,220$799,696$685,446$1,259,612
48$1,381,176$788,317$657,844$1,320,654
49$1,469,899$774,788$627,725$1,386,573
50$1,566,029$758,952$594,954$1,457,853
51$1,670,269$740,646$559,390$1,535,027
52$1,783,394$719,695$520,887$1,618,685
53$1,906,254$695,915$479,291$1,709,476
54$2,039,786$669,109$434,442$1,808,117
55$2,185,020$639,071$386,171$1,915,400
56$2,343,089$605,582$334,305$2,032,197
57$2,515,240$568,411$278,659$2,159,471
58$2,702,844$527,313$219,044$2,298,285
59$2,907,412$482,029$155,260$2,449,810
60$3,130,605$432,286$87,099$2,615,340
61$3,374,254$377,794$14,343$2,796,300
62$3,640,370$318,249$0$2,994,266
63$3,931,172$253,327$0$3,222,454
64$4,249,100$182,688$0$3,474,820
65$4,596,840$105,972$0$3,750,916
66$4,977,351$22,797$0$4,053,119
67$5,393,890$0$0$4,384,048
68$5,850,045$0$0$4,753,246
69$6,349,766$0$0$5,160,212
70$6,897,404$0$0$5,606,236
71$7,497,750$0$0$6,095,225
72$8,156,080$0$0$6,631,480
73$8,878,208$0$0$7,219,742
74$9,670,534$0$0$7,865,230
75$10,540,109$0$0$8,573,693
76$11,494,702$0$0$9,351,465
77$12,542,867$0$0$10,205,523
78$13,694,030$0$0$11,143,551
79$14,958,573$0$0$12,174,015
80$16,347,934$0$0$13,306,242
81$17,874,712$0$0$14,550,506
82$19,552,790$0$0$15,918,127
83$21,397,459$0$0$17,421,574
84$23,425,568$0$0$19,074,587
85$25,655,680$0$0$20,892,301
86$28,108,246$0$0$22,891,393
87$30,805,797$0$0$25,090,237
88$33,773,160$0$0$27,509,077
89$37,037,686$0$0$30,170,217
90$40,629,514$0$0$33,098,232
91$44,581,849$0$0$36,320,201
92$48,931,277$0$0$39,865,958
93$53,718,113$0$0$43,768,377
94$58,986,776$0$0$48,063,679
95$64,786,208$0$0$52,791,776
96$71,170,341$0$0$57,996,646
97$78,198,596$0$0$63,726,745
98$85,936,454$0$0$70,035,470
99$94,456,063$0$0$76,981,656
100$103,836,927$0$0$84,630,133