Can I retire at age 40 with 806,000?

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 $806,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.7%
1 years$66,559$65,966$65,387$64,823$64,272$63,813
2 years$32,950$32,336$31,741$31,165$30,606$30,143
3 years$21,748$21,132$20,539$19,968$19,417$18,966
4 years$16,149$15,534$14,947$14,386$13,849$13,411
5 years$12,790$12,179$11,599$11,049$10,528$10,105
6 years$10,551$9,945$9,374$8,836$8,330$7,923
7 years$8,953$8,352$7,790$7,265$6,775$6,384
8 years$7,755$7,159$6,606$6,094$5,620$5,245
9 years$6,823$6,233$5,690$5,191$4,733$4,374
10 years$6,079$5,494$4,961$4,475$4,033$3,689
11 years$5,470$4,891$4,367$3,894$3,468$3,140
12 years$4,963$4,390$3,876$3,416$3,006$2,693
13 years$4,534$3,967$3,463$3,016$2,621$2,323
14 years$4,167$3,606$3,111$2,677$2,297$2,014
15 years$3,849$3,294$2,809$2,387$2,023$1,754
16 years$3,571$3,023$2,547$2,138$1,788$1,532
17 years$3,326$2,784$2,318$1,921$1,585$1,343
18 years$3,108$2,572$2,116$1,731$1,409$1,180
19 years$2,914$2,384$1,937$1,564$1,256$1,039
20 years$2,739$2,215$1,778$1,417$1,122$917
21 years$2,581$2,063$1,635$1,286$1,004$810
22 years$2,438$1,926$1,507$1,169$900$717
23 years$2,307$1,801$1,391$1,065$808$636
24 years$2,188$1,688$1,287$971$726$564
25 years$2,078$1,584$1,192$887$654$501
26 years$1,977$1,489$1,105$811$589$446
27 years$1,883$1,401$1,026$742$531$396
28 years$1,796$1,320$954$680$479$353
29 years$1,716$1,245$888$624$432$314
30 years$1,641$1,176$827$572$391$280
31 years$1,571$1,112$771$526$353$250
32 years$1,505$1,052$719$483$320$223
33 years$1,443$996$672$444$289$199
34 years$1,386$944$628$409$262$178
35 years$1,331$896$587$376$237$159
36 years$1,280$850$549$346$215$142
37 years$1,232$807$514$319$195$127
38 years$1,186$767$481$294$177$113
39 years$1,143$730$451$271$160$101
40 years$1,102$694$423$250$145$90
41 years$1,063$661$396$231$132$81
42 years$1,026$629$372$213$120$72
43 years$991$600$349$197$108$65
44 years$958$572$327$182$98$58
45 years$926$545$307$168$89$52
46 years$895$520$289$155$81$46
47 years$866$496$271$143$74$41
48 years$839$474$255$132$67$37
49 years$812$452$240$122$61$33
50 years$787$432$225$113$55$30

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $806,000, adding $2,704 every year, while hoping to spend $24,656 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: 41/42/17 Blend
39$806,000$806,000$806,000$806,000
40$891,001$848,283$835,790$922,963
41$955,650$863,615$837,555$961,214
42$1,026,066$878,872$838,553$999,983
43$1,102,812$894,024$838,732$1,041,423
44$1,186,507$909,040$838,038$1,085,792
45$1,277,832$923,884$836,414$1,133,371
46$1,377,536$938,520$833,799$1,184,472
47$1,486,446$952,908$830,132$1,239,440
48$1,605,469$967,006$825,347$1,298,655
49$1,735,605$980,768$819,375$1,362,537
50$1,877,956$994,145$812,143$1,431,550
51$2,033,735$1,007,086$803,577$1,506,205
52$2,204,276$1,019,533$793,598$1,587,066
53$2,391,051$1,031,428$782,121$1,674,758
54$2,595,677$1,042,707$769,061$1,769,968
55$2,819,938$1,053,302$754,327$1,873,458
56$3,065,798$1,063,141$737,824$1,986,064
57$3,335,421$1,072,145$719,451$2,108,714
58$3,631,187$1,080,234$699,107$2,242,428
59$3,955,721$1,087,319$676,680$2,388,336
60$4,311,914$1,093,307$652,058$2,547,682
61$4,702,949$1,098,098$625,121$2,721,839
62$5,132,333$1,101,588$595,746$2,912,324
63$5,603,929$1,103,664$563,802$3,120,811
64$6,121,992$1,104,207$529,152$3,349,145
65$6,691,212$1,103,089$491,655$3,599,364
66$7,316,753$1,100,178$451,163$3,873,718
67$8,004,305$1,095,329$407,519$4,174,685
68$8,760,136$1,088,392$360,563$4,505,005
69$9,591,152$1,079,206$310,125$4,867,696
70$10,504,963$1,067,601$256,028$5,266,090
71$11,509,952$1,053,396$198,087$5,703,864
72$12,615,354$1,036,399$136,110$6,185,072
73$13,831,345$1,016,408$69,895$6,714,187
74$15,169,139$993,208$0$7,296,144
75$16,641,087$966,572$0$7,936,526
76$18,260,803$936,258$0$8,654,735
77$20,043,282$902,013$0$9,444,743
78$22,005,051$863,565$0$10,313,899
79$24,164,317$820,630$0$11,270,302
80$26,541,142$772,906$0$12,322,884
81$29,157,634$720,074$0$13,481,493
82$32,038,150$661,796$0$14,756,984
83$35,209,533$597,714$0$16,161,328
84$38,701,356$527,453$0$17,707,720
85$42,546,209$450,613$0$19,410,710
86$46,780,002$366,774$0$21,286,337
87$51,442,307$275,490$0$23,352,282
88$56,576,724$176,291$0$25,628,039
89$62,231,302$68,681$0$28,135,098
90$68,458,986$0$0$30,897,149
91$75,318,116$0$0$33,962,429
92$82,872,981$0$0$37,373,732
93$91,194,423$0$0$41,131,323
94$100,360,507$0$0$45,270,471
95$110,457,256$0$0$49,830,040
96$121,579,462$0$0$54,852,857
97$133,831,584$0$0$60,386,117
98$147,328,729$0$0$66,481,824
99$162,197,742$0$0$73,197,288
100$178,578,401$0$0$80,595,660