Can I retire at age 40 with 798,000?

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 $798,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.6%
1 years$65,898$65,311$64,738$64,179$63,634$61,671
2 years$32,623$32,015$31,426$30,856$30,302$28,341
3 years$21,533$20,922$20,335$19,769$19,225$17,328
4 years$15,988$15,380$14,799$14,243$13,711$11,893
5 years$12,663$12,058$11,484$10,940$10,423$8,688
6 years$10,447$9,846$9,281$8,749$8,247$6,598
7 years$8,864$8,269$7,713$7,193$6,707$5,143
8 years$7,678$7,088$6,541$6,034$5,564$4,083
9 years$6,756$6,171$5,634$5,139$4,686$3,287
10 years$6,018$5,440$4,912$4,430$3,993$2,674
11 years$5,415$4,843$4,324$3,856$3,434$2,193
12 years$4,913$4,347$3,838$3,382$2,976$1,810
13 years$4,489$3,928$3,429$2,986$2,595$1,502
14 years$4,125$3,570$3,081$2,650$2,275$1,251
15 years$3,811$3,262$2,781$2,364$2,003$1,046
16 years$3,535$2,993$2,522$2,116$1,770$877
17 years$3,293$2,756$2,295$1,902$1,569$737
18 years$3,078$2,547$2,095$1,714$1,395$620
19 years$2,885$2,360$1,918$1,548$1,244$523
20 years$2,712$2,193$1,760$1,402$1,111$441
21 years$2,556$2,043$1,619$1,273$994$373
22 years$2,414$1,907$1,492$1,157$891$316
23 years$2,285$1,784$1,378$1,054$800$267
24 years$2,166$1,671$1,274$961$719$226
25 years$2,057$1,568$1,180$878$647$192
26 years$1,957$1,474$1,094$803$583$163
27 years$1,864$1,387$1,016$735$525$138
28 years$1,779$1,307$945$673$474$117
29 years$1,699$1,233$879$617$428$99
30 years$1,624$1,165$819$567$387$84
31 years$1,555$1,101$763$520$350$72
32 years$1,490$1,042$712$478$316$61
33 years$1,429$986$665$440$286$52
34 years$1,372$935$621$405$259$44
35 years$1,318$887$581$372$235$37
36 years$1,267$842$543$343$213$32
37 years$1,220$799$509$316$193$27
38 years$1,174$760$476$291$175$23
39 years$1,132$722$446$269$159$20
40 years$1,091$687$418$248$144$17
41 years$1,053$654$392$229$130$14
42 years$1,016$623$368$211$118$12
43 years$981$594$345$195$107$10
44 years$948$566$324$180$98$9
45 years$917$540$304$166$89$7
46 years$887$515$286$153$80$6
47 years$858$491$269$142$73$5
48 years$830$469$252$131$66$5
49 years$804$448$237$121$60$4
50 years$779$428$223$112$55$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $798,000, adding $2,563 every year, while hoping to spend $42,342 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: 81/14/5 Blend
39$798,000$798,000$798,000$798,000
40$882,040$839,746$827,377$953,165
41$926,956$835,842$810,042$996,137
42$975,035$830,327$790,708$1,037,374
43$1,026,554$823,079$769,262$1,081,321
44$1,081,818$813,965$745,588$1,128,227
45$1,141,162$802,848$719,563$1,178,362
46$1,204,952$789,579$691,060$1,232,028
47$1,273,591$774,002$659,945$1,289,552
48$1,347,522$755,953$626,078$1,351,300
49$1,427,231$735,257$589,313$1,417,671
50$1,513,252$711,727$549,498$1,489,108
51$1,606,171$685,169$506,474$1,566,096
52$1,706,632$655,374$460,072$1,649,172
53$1,815,344$622,123$410,120$1,738,929
54$1,933,086$585,184$356,436$1,836,016
55$2,060,713$544,311$298,830$1,941,153
56$2,199,168$499,244$237,103$2,055,132
57$2,349,486$449,709$171,048$2,178,827
58$2,512,805$395,417$100,450$2,313,199
59$2,690,378$336,059$25,082$2,459,312
60$2,883,584$271,313$0$2,618,335
61$3,093,938$200,836$0$2,794,513
62$3,323,110$124,267$0$2,987,936
63$3,572,935$41,225$0$3,198,847
64$3,845,435$0$0$3,428,991
65$4,142,834$0$0$3,687,793
66$4,467,580$0$0$3,977,347
67$4,822,369$0$0$4,293,708
68$5,210,168$0$0$4,639,524
69$5,634,244$0$0$5,017,710
70$6,098,193$0$0$5,431,477
71$6,605,977$0$0$5,884,361
72$7,161,957$0$0$6,380,253
73$7,770,935$0$0$6,923,440
74$8,438,200$0$0$7,518,643
75$9,169,577$0$0$8,171,061
76$9,971,480$0$0$8,886,419
77$10,850,977$0$0$9,671,024
78$11,815,847$0$0$10,531,821
79$12,874,664$0$0$11,476,462
80$14,036,868$0$0$12,513,373
81$15,312,860$0$0$13,651,839
82$16,714,097$0$0$14,902,084
83$18,253,198$0$0$16,275,373
84$19,944,068$0$0$17,784,116
85$21,802,020$0$0$19,441,984
86$23,843,929$0$0$21,264,036
87$26,088,384$0$0$23,266,866
88$28,555,862$0$0$25,468,751
89$31,268,927$0$0$27,889,833
90$34,252,435$0$0$30,552,297
91$37,533,775$0$0$33,480,590
92$41,143,121$0$0$36,701,646
93$45,113,719$0$0$40,245,140
94$49,482,198$0$0$44,143,768
95$54,288,920$0$0$48,433,555
96$59,578,352$0$0$53,154,194
97$65,399,493$0$0$58,349,422
98$71,806,331$0$0$64,067,429
99$78,858,353$0$0$70,361,312
100$86,621,107$0$0$77,289,581