Can I retire at age 40 with 825,000?

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 $825,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.6%
1 years$68,128$67,521$66,929$66,351$65,787$64,015
2 years$33,727$33,098$32,490$31,899$31,327$29,554
3 years$22,261$21,630$21,023$20,438$19,875$18,157
4 years$16,529$15,900$15,299$14,725$14,175$12,525
5 years$13,091$12,466$11,873$11,310$10,776$9,199
6 years$10,800$10,180$9,595$9,045$8,526$7,023
7 years$9,164$8,549$7,974$7,436$6,934$5,505
8 years$7,938$7,328$6,762$6,238$5,753$4,397
9 years$6,984$6,380$5,824$5,313$4,845$3,561
10 years$6,222$5,624$5,078$4,580$4,128$2,915
11 years$5,599$5,007$4,470$3,986$3,550$2,406
12 years$5,080$4,494$3,967$3,496$3,076$1,999
13 years$4,641$4,061$3,545$3,087$2,683$1,670
14 years$4,265$3,691$3,185$2,740$2,352$1,401
15 years$3,940$3,372$2,875$2,444$2,071$1,179
16 years$3,655$3,094$2,607$2,188$1,830$996
17 years$3,404$2,849$2,372$1,966$1,623$843
18 years$3,182$2,633$2,166$1,772$1,443$715
19 years$2,983$2,440$1,982$1,601$1,286$607
20 years$2,804$2,267$1,819$1,450$1,149$516
21 years$2,642$2,112$1,674$1,316$1,028$440
22 years$2,496$1,972$1,542$1,196$921$375
23 years$2,362$1,844$1,424$1,090$827$320
24 years$2,239$1,728$1,317$994$743$273
25 years$2,127$1,621$1,220$908$669$234
26 years$2,023$1,524$1,131$830$603$200
27 years$1,928$1,434$1,051$760$543$171
28 years$1,839$1,351$977$696$490$146
29 years$1,756$1,275$909$638$443$125
30 years$1,679$1,204$847$586$400$107
31 years$1,608$1,138$789$538$362$92
32 years$1,540$1,077$736$494$327$79
33 years$1,477$1,020$688$455$296$67
34 years$1,418$967$642$418$268$58
35 years$1,363$917$601$385$243$49
36 years$1,310$870$562$355$220$42
37 years$1,261$826$526$327$199$36
38 years$1,214$785$492$301$181$31
39 years$1,170$747$461$278$164$27
40 years$1,128$711$432$256$149$23
41 years$1,088$676$406$236$135$20
42 years$1,050$644$380$218$122$17
43 years$1,014$614$357$201$111$14
44 years$980$585$335$186$101$12
45 years$948$558$315$172$92$11
46 years$917$532$295$159$83$9
47 years$887$508$278$147$75$8
48 years$859$485$261$135$69$7
49 years$831$463$245$125$62$6
50 years$805$442$231$116$57$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $825,000, adding $4,051 every year, while hoping to spend $20,609 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: 71/12/17 Blend
39$825,000$825,000$825,000$825,000
40$913,329$869,604$856,816$974,260
41$984,560$890,286$863,592$1,035,979
42$1,062,367$911,292$869,903$1,100,668
43$1,147,397$932,614$875,714$1,170,962
44$1,240,366$954,246$880,985$1,247,414
45$1,342,059$976,180$885,674$1,330,629
46$1,453,343$998,407$889,738$1,421,278
47$1,575,172$1,020,917$893,131$1,520,096
48$1,708,595$1,043,697$895,807$1,627,896
49$1,854,768$1,066,735$897,713$1,745,573
50$2,014,967$1,090,017$898,799$1,874,111
51$2,190,592$1,113,527$899,007$2,014,597
52$2,383,190$1,137,247$898,281$2,168,226
53$2,594,460$1,161,157$896,559$2,336,317
54$2,826,279$1,185,237$893,777$2,520,323
55$3,080,709$1,209,463$889,868$2,721,844
56$3,360,024$1,233,810$884,762$2,942,643
57$3,666,730$1,258,250$878,385$3,184,664
58$4,003,585$1,282,754$870,659$3,450,049
59$4,373,630$1,307,287$861,505$3,741,158
60$4,780,211$1,331,816$850,837$4,060,590
61$5,227,019$1,356,301$838,566$4,411,212
62$5,718,117$1,380,702$824,600$4,796,183
63$6,257,982$1,404,973$808,841$5,218,982
64$6,851,547$1,429,067$791,188$5,683,445
65$7,504,246$1,452,932$771,534$6,193,799
66$8,222,066$1,476,513$749,767$6,754,702
67$9,011,603$1,499,749$725,772$7,371,287
68$9,880,127$1,522,577$699,425$8,049,212
69$10,835,644$1,544,928$670,600$8,794,710
70$11,886,978$1,566,727$639,163$9,614,654
71$13,043,850$1,587,897$604,976$10,516,615
72$14,316,972$1,608,353$567,891$11,508,937
73$15,718,145$1,628,005$527,758$12,600,818
74$17,260,375$1,646,756$484,417$13,802,391
75$18,957,990$1,664,504$437,701$15,124,827
76$20,826,779$1,681,138$387,438$16,580,435
77$22,884,139$1,696,543$333,446$18,182,779
78$25,149,241$1,710,593$275,536$19,946,811
79$27,643,207$1,723,155$213,510$21,889,006
80$30,389,312$1,734,088$147,161$24,027,522
81$33,413,205$1,743,242$76,274$26,382,369
82$36,743,147$1,750,456$625$28,975,599
83$40,410,280$1,755,560$0$31,831,517
84$44,448,919$1,758,373$0$34,991,437
85$48,896,879$1,758,703$0$38,471,411
86$53,795,826$1,756,345$0$42,303,900
87$59,191,677$1,751,083$0$46,524,804
88$65,135,029$1,742,687$0$51,173,681
89$71,681,635$1,730,911$0$56,294,122
90$78,892,934$1,715,498$0$61,934,165
91$86,836,628$1,696,173$0$68,146,749
92$95,587,323$1,672,644$0$74,990,206
93$105,227,229$1,644,603$0$82,528,824
94$115,846,941$1,611,722$0$90,833,442
95$127,546,289$1,573,657$0$99,982,127
96$140,435,284$1,530,039$0$110,060,905
97$154,635,153$1,480,482$0$121,164,580
98$170,279,486$1,424,573$0$133,397,622
99$187,515,495$1,361,879$0$146,875,157
100$206,505,404$1,291,939$0$161,724,054