Can I retire at age 40 with 800,000?

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 $800,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.8%
1 years$66,063$65,475$64,901$64,340$63,793$63,048
2 years$32,705$32,095$31,505$30,933$30,378$29,628
3 years$21,586$20,975$20,386$19,819$19,273$18,542
4 years$16,029$15,419$14,836$14,278$13,746$13,038
5 years$12,695$12,088$11,513$10,967$10,449$9,768
6 years$10,473$9,871$9,304$8,771$8,268$7,614
7 years$8,886$8,290$7,732$7,211$6,724$6,097
8 years$7,697$7,106$6,557$6,049$5,578$4,978
9 years$6,773$6,187$5,648$5,152$4,698$4,125
10 years$6,033$5,453$4,924$4,441$4,003$3,456
11 years$5,429$4,855$4,335$3,865$3,442$2,922
12 years$4,926$4,357$3,847$3,390$2,983$2,488
13 years$4,500$3,938$3,437$2,993$2,601$2,131
14 years$4,136$3,579$3,088$2,657$2,280$1,834
15 years$3,820$3,270$2,788$2,370$2,008$1,585
16 years$3,544$3,000$2,528$2,122$1,775$1,375
17 years$3,301$2,763$2,300$1,906$1,573$1,196
18 years$3,085$2,553$2,100$1,718$1,399$1,043
19 years$2,892$2,366$1,922$1,552$1,247$911
20 years$2,719$2,199$1,764$1,406$1,114$797
21 years$2,562$2,048$1,623$1,276$997$699
22 years$2,420$1,912$1,496$1,160$893$614
23 years$2,290$1,788$1,381$1,057$802$539
24 years$2,172$1,675$1,277$964$721$475
25 years$2,063$1,572$1,183$880$649$418
26 years$1,962$1,478$1,097$805$584$368
27 years$1,869$1,391$1,019$737$527$325
28 years$1,783$1,310$947$675$475$287
29 years$1,703$1,236$881$619$429$253
30 years$1,628$1,167$821$568$388$224
31 years$1,559$1,104$765$522$351$198
32 years$1,494$1,044$714$479$317$175
33 years$1,433$989$667$441$287$154
34 years$1,375$937$623$406$260$137
35 years$1,321$889$582$373$235$121
36 years$1,271$844$545$344$213$107
37 years$1,223$801$510$317$193$95
38 years$1,177$762$478$292$175$84
39 years$1,134$724$447$269$159$74
40 years$1,094$689$419$248$144$66
41 years$1,055$656$393$229$131$58
42 years$1,019$625$369$211$119$52
43 years$984$595$346$195$108$46
44 years$951$567$325$180$98$41
45 years$919$541$305$166$89$36
46 years$889$516$287$154$81$32
47 years$860$492$269$142$73$28
48 years$833$470$253$131$66$25
49 years$806$449$238$121$60$22
50 years$781$429$224$112$55$20

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $800,000, adding $2,697 every year, while hoping to spend $59,742 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: 33/40/27 Blend
39$800,000$800,000$800,000$800,000
40$884,382$841,982$829,582$906,227
41$911,024$819,674$793,808$900,707
42$938,381$794,271$754,833$889,245
43$966,463$765,557$712,487$875,722
44$995,279$733,307$666,593$859,995
45$1,024,837$697,278$616,963$841,914
46$1,055,143$657,217$563,404$821,321
47$1,086,202$612,855$505,712$798,049
48$1,118,017$563,908$443,676$771,920
49$1,150,590$510,074$377,074$742,747
50$1,183,919$451,036$305,675$710,331
51$1,218,000$386,459$229,236$674,464
52$1,252,827$315,986$147,507$634,923
53$1,288,391$239,245$60,223$591,474
54$1,324,676$155,837$0$543,871
55$1,361,667$65,347$0$501,335
56$1,399,339$0$0$473,238
57$1,437,665$0$0$456,384
58$1,476,612$0$0$468,454
59$1,516,139$0$0$480,670
60$1,556,199$0$0$493,011
61$1,596,735$0$0$505,456
62$1,637,683$0$0$517,978
63$1,678,967$0$0$530,547
64$1,720,501$0$0$543,131
65$1,762,185$0$0$555,689
66$1,803,905$0$0$568,179
67$1,845,534$0$0$580,551
68$1,886,923$0$0$592,749
69$1,927,909$0$0$604,710
70$1,968,304$0$0$616,364
71$2,007,897$0$0$627,630
72$2,046,451$0$0$638,420
73$2,083,701$0$0$648,634
74$2,119,349$0$0$658,160
75$2,153,060$0$0$666,874
76$2,184,463$0$0$674,637
77$2,213,140$0$0$681,293
78$2,238,627$0$0$686,670
79$2,260,406$0$0$690,576
80$2,277,899$0$0$692,797
81$2,290,465$0$0$693,096
82$2,297,390$0$0$691,209
83$2,297,880$0$0$686,843
84$2,291,054$0$0$679,673
85$2,275,933$0$0$669,339
86$2,251,433$0$0$655,442
87$2,216,349$0$0$637,539
88$2,169,348$0$0$615,140
89$2,108,951$0$0$587,703
90$2,033,521$0$0$554,626
91$1,941,244$0$0$515,245
92$1,830,116$0$0$468,824
93$1,697,914$0$0$414,552
94$1,542,183$0$0$351,527
95$1,360,207$0$0$278,756
96$1,148,982$0$0$195,141
97$905,188$0$0$99,468
98$625,156$0$0$0
99$304,832$0$0$0
100$0$0$0$0