Can I retire at age 40 with 805,000?

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 $805,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.8%
1 years$66,476$65,884$65,306$64,742$64,192$61,669
2 years$32,909$32,296$31,702$31,126$30,568$28,057
3 years$21,721$21,106$20,513$19,943$19,393$16,974
4 years$16,129$15,515$14,928$14,368$13,831$11,521
5 years$12,774$12,164$11,585$11,036$10,514$8,320
6 years$10,538$9,933$9,362$8,825$8,320$6,242
7 years$8,942$8,342$7,780$7,256$6,766$4,804
8 years$7,745$7,150$6,598$6,087$5,613$3,765
9 years$6,815$6,226$5,683$5,185$4,727$2,991
10 years$6,071$5,488$4,955$4,469$4,028$2,399
11 years$5,463$4,885$4,362$3,889$3,464$1,940
12 years$4,956$4,385$3,871$3,412$3,002$1,578
13 years$4,528$3,963$3,459$3,012$2,618$1,289
14 years$4,162$3,602$3,108$2,674$2,295$1,058
15 years$3,844$3,290$2,806$2,384$2,020$871
16 years$3,566$3,019$2,544$2,135$1,786$718
17 years$3,322$2,780$2,315$1,918$1,583$594
18 years$3,105$2,569$2,113$1,729$1,408$492
19 years$2,910$2,381$1,934$1,562$1,255$408
20 years$2,736$2,213$1,775$1,415$1,121$338
21 years$2,578$2,061$1,633$1,284$1,003$281
22 years$2,435$1,924$1,505$1,167$899$234
23 years$2,305$1,799$1,390$1,063$807$195
24 years$2,185$1,686$1,285$970$725$162
25 years$2,075$1,582$1,190$886$653$135
26 years$1,974$1,487$1,104$810$588$112
27 years$1,881$1,399$1,025$741$530$94
28 years$1,794$1,319$953$679$478$78
29 years$1,714$1,244$887$623$432$65
30 years$1,639$1,175$826$572$390$54
31 years$1,569$1,110$770$525$353$45
32 years$1,503$1,051$719$482$319$38
33 years$1,442$995$671$444$289$32
34 years$1,384$943$627$408$261$26
35 years$1,330$895$586$376$237$22
36 years$1,279$849$548$346$215$18
37 years$1,230$806$513$319$194$15
38 years$1,185$766$481$294$176$13
39 years$1,141$729$450$271$160$11
40 years$1,101$693$422$250$145$9
41 years$1,062$660$396$231$132$7
42 years$1,025$629$371$213$119$6
43 years$990$599$348$196$108$5
44 years$956$571$327$181$98$4
45 years$925$544$307$168$89$4
46 years$894$519$288$155$81$3
47 years$865$496$271$143$74$3
48 years$838$473$255$132$67$2
49 years$811$452$239$122$61$2
50 years$786$432$225$113$55$1

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $805,000, adding $3,448 every year, while hoping to spend $23,170 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: 21/49/30 Blend
39$805,000$805,000$805,000$805,000
40$890,667$848,002$835,524$900,856
41$956,862$864,901$838,861$927,461
42$1,029,033$881,852$841,534$953,748
43$1,107,764$898,832$843,495$981,348
44$1,193,699$915,819$844,696$1,010,385
45$1,287,547$932,785$845,084$1,040,992
46$1,390,089$949,703$844,607$1,073,319
47$1,502,184$966,544$843,206$1,107,532
48$1,624,776$983,275$840,823$1,143,815
49$1,758,908$999,860$837,396$1,182,372
50$1,905,727$1,016,263$832,859$1,223,429
51$2,066,494$1,032,443$827,142$1,267,235
52$2,242,601$1,048,357$820,176$1,314,068
53$2,435,578$1,063,958$811,884$1,364,236
54$2,647,112$1,079,198$802,187$1,418,078
55$2,879,061$1,094,021$791,003$1,475,972
56$3,133,469$1,108,373$778,246$1,538,335
57$3,412,591$1,122,191$763,825$1,605,630
58$3,718,907$1,135,410$747,646$1,678,367
59$4,055,152$1,147,962$729,608$1,757,113
60$4,424,337$1,159,771$709,610$1,842,494
61$4,829,779$1,170,760$687,541$1,935,205
62$5,275,132$1,180,842$663,289$2,036,012
63$5,764,422$1,189,930$636,736$2,145,764
64$6,302,083$1,197,926$607,756$2,265,400
65$6,893,000$1,204,729$576,221$2,395,957
66$7,542,556$1,210,231$541,994$2,538,585
67$8,256,681$1,214,317$504,935$2,694,551
68$9,041,907$1,216,863$464,895$2,865,259
69$9,905,432$1,217,740$421,720$3,052,259
70$10,855,186$1,216,809$375,248$3,257,267
71$11,899,907$1,213,924$325,310$3,482,176
72$13,049,219$1,208,929$271,730$3,729,079
73$14,313,731$1,201,657$214,324$4,000,288
74$15,705,127$1,191,934$152,899$4,298,359
75$17,236,285$1,179,574$87,257$4,626,114
76$18,921,392$1,164,379$17,186$4,986,669
77$20,776,081$1,146,140$0$5,383,468
78$22,817,576$1,124,636$0$5,838,746
79$25,064,857$1,099,632$0$6,345,337
80$27,538,837$1,070,879$0$6,902,444
81$30,262,561$1,038,114$0$7,515,263
82$33,261,419$1,001,058$0$8,189,529
83$36,563,391$959,417$0$8,931,562
84$40,199,307$912,879$0$9,748,338
85$44,203,140$861,114$0$10,647,547
86$48,612,324$803,773$0$11,637,672
87$53,468,110$740,486$0$12,728,070
88$58,815,952$670,864$0$13,929,058
89$64,705,938$594,495$0$15,252,015
90$71,193,261$510,943$0$16,709,489
91$78,338,741$419,747$0$18,315,316
92$86,209,399$320,421$0$20,084,758
93$94,879,088$212,452$0$22,034,638
94$104,429,189$95,296$0$24,183,512
95$114,949,383$0$0$26,551,837
96$126,538,491$0$0$29,179,219
97$139,305,412$0$0$32,130,454
98$153,370,150$0$0$35,381,926
99$168,864,942$0$0$38,964,234
100$185,935,510$0$0$42,911,099