Can I retire at age 40 with 807,000?

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 $807,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.5%
1 years$66,641$66,048$65,469$64,903$64,351$63,946
2 years$32,991$32,376$31,781$31,203$30,643$30,234
3 years$21,775$21,158$20,564$19,992$19,441$19,042
4 years$16,169$15,554$14,966$14,403$13,866$13,478
5 years$12,806$12,194$11,614$11,063$10,541$10,166
6 years$10,564$9,957$9,386$8,847$8,340$7,980
7 years$8,964$8,362$7,800$7,274$6,783$6,436
8 years$7,764$7,168$6,615$6,102$5,627$5,295
9 years$6,832$6,241$5,697$5,197$4,739$4,420
10 years$6,086$5,501$4,967$4,480$4,038$3,733
11 years$5,476$4,897$4,373$3,899$3,473$3,181
12 years$4,969$4,396$3,881$3,420$3,009$2,731
13 years$4,539$3,972$3,467$3,019$2,624$2,359
14 years$4,172$3,611$3,115$2,680$2,300$2,048
15 years$3,854$3,298$2,813$2,390$2,025$1,786
16 years$3,575$3,026$2,550$2,140$1,790$1,562
17 years$3,330$2,787$2,321$1,923$1,587$1,371
18 years$3,112$2,575$2,118$1,733$1,411$1,207
19 years$2,918$2,387$1,939$1,566$1,258$1,064
20 years$2,743$2,218$1,780$1,418$1,124$940
21 years$2,585$2,066$1,637$1,287$1,005$832
22 years$2,441$1,929$1,509$1,170$901$738
23 years$2,310$1,804$1,393$1,066$809$655
24 years$2,191$1,690$1,288$972$727$582
25 years$2,081$1,586$1,193$888$654$518
26 years$1,979$1,491$1,107$812$589$461
27 years$1,885$1,403$1,028$743$531$411
28 years$1,799$1,322$955$681$479$366
29 years$1,718$1,247$889$624$433$327
30 years$1,643$1,178$828$573$391$292
31 years$1,572$1,113$772$526$354$261
32 years$1,507$1,053$720$484$320$233
33 years$1,445$998$673$445$290$208
34 years$1,387$945$628$409$262$186
35 years$1,333$897$588$377$237$167
36 years$1,282$851$550$347$215$149
37 years$1,233$808$514$320$195$133
38 years$1,188$768$482$295$177$119
39 years$1,144$731$451$272$160$107
40 years$1,103$695$423$251$145$96
41 years$1,064$662$397$231$132$86
42 years$1,027$630$372$213$120$77
43 years$992$600$349$197$109$69
44 years$959$572$328$182$99$62
45 years$927$546$308$168$90$55
46 years$897$521$289$155$81$50
47 years$868$497$272$143$74$44
48 years$840$474$255$132$67$40
49 years$813$453$240$122$61$36
50 years$788$433$225$113$55$32

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $807,000, adding $2,893 every year, while hoping to spend $31,073 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: 65/8/27 Blend
39$807,000$807,000$807,000$807,000
40$892,298$849,527$837,019$943,775
41$950,251$858,093$831,997$987,461
42$1,013,074$866,036$825,766$1,031,472
43$1,081,230$873,295$818,252$1,078,890
44$1,155,231$879,801$809,379$1,130,054
45$1,235,636$885,483$799,065$1,185,338
46$1,323,064$890,265$787,226$1,245,153
47$1,418,193$894,064$773,775$1,309,956
48$1,521,771$896,796$758,619$1,380,248
49$1,634,620$898,367$741,661$1,456,584
50$1,757,645$898,681$722,800$1,539,576
51$1,891,841$897,633$701,931$1,629,899
52$2,038,306$895,114$678,942$1,728,298
53$2,198,245$891,006$653,719$1,835,595
54$2,372,987$885,187$626,139$1,952,698
55$2,563,994$877,523$596,077$2,080,608
56$2,772,876$867,876$563,400$2,220,430
57$3,001,405$856,099$527,971$2,373,382
58$3,251,535$842,033$489,643$2,540,810
59$3,525,412$825,514$448,268$2,724,197
60$3,825,406$806,365$403,686$2,925,179
61$4,154,121$784,401$355,733$3,145,562
62$4,514,429$759,424$304,238$3,387,339
63$4,909,490$731,226$249,020$3,652,705
64$5,342,788$699,586$189,891$3,944,084
65$5,818,156$664,269$126,657$4,264,150
66$6,339,820$625,031$59,112$4,615,851
67$6,912,432$581,608$0$5,002,438
68$7,541,119$533,724$0$5,431,234
69$8,231,525$481,089$0$5,920,874
70$8,989,870$423,392$0$6,458,739
71$9,823,007$360,309$0$7,049,710
72$10,738,483$291,493$0$7,699,163
73$11,744,615$216,582$0$8,413,024
74$12,850,561$135,191$0$9,197,822
75$14,066,416$46,913$0$10,060,752
76$15,403,300$0$0$11,009,742
77$16,873,461$0$0$12,057,814
78$18,490,398$0$0$13,215,123
79$20,268,982$0$0$14,488,192
80$22,225,598$0$0$15,888,756
81$24,378,297$0$0$17,429,744
82$26,746,970$0$0$19,125,403
83$29,353,535$0$0$20,991,431
84$32,222,137$0$0$23,045,124
85$35,379,385$0$0$25,305,540
86$38,854,596$0$0$27,793,677
87$42,680,073$0$0$30,532,674
88$46,891,412$0$0$33,548,025
89$51,527,834$0$0$36,867,825
90$56,632,556$0$0$40,523,028
91$62,253,199$0$0$44,547,744
92$68,442,238$0$0$48,979,559
93$75,257,494$0$0$53,859,890
94$82,762,681$0$0$59,234,374
95$91,028,009$0$0$65,153,300
96$100,130,842$0$0$71,672,082
97$110,156,429$0$0$78,851,783
98$121,198,713$0$0$86,759,693
99$133,361,208$0$0$95,469,958
100$146,757,985$0$0$105,064,284