Can I retire at age 40 with 826,000?

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 $826,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.9%
1 years$68,210$67,603$67,010$66,431$65,866$65,070
2 years$33,767$33,139$32,529$31,938$31,365$30,564
3 years$22,288$21,656$21,048$20,463$19,899$19,118
4 years$16,549$15,920$15,318$14,743$14,192$13,437
5 years$13,107$12,481$11,887$11,324$10,789$10,061
6 years$10,813$10,192$9,607$9,056$8,537$7,838
7 years$9,175$8,559$7,983$7,445$6,943$6,273
8 years$7,947$7,337$6,770$6,246$5,760$5,119
9 years$6,993$6,388$5,831$5,320$4,850$4,239
10 years$6,229$5,631$5,084$4,586$4,133$3,550
11 years$5,605$5,013$4,476$3,991$3,554$2,999
12 years$5,086$4,499$3,972$3,501$3,080$2,552
13 years$4,646$4,066$3,549$3,091$2,686$2,185
14 years$4,270$3,696$3,189$2,743$2,354$1,879
15 years$3,944$3,376$2,879$2,447$2,073$1,623
16 years$3,659$3,098$2,610$2,191$1,832$1,407
17 years$3,408$2,853$2,375$1,968$1,625$1,222
18 years$3,186$2,636$2,168$1,774$1,444$1,065
19 years$2,986$2,443$1,985$1,603$1,287$930
20 years$2,807$2,270$1,822$1,452$1,150$813
21 years$2,646$2,115$1,676$1,317$1,029$712
22 years$2,499$1,974$1,544$1,198$922$625
23 years$2,365$1,846$1,426$1,091$828$549
24 years$2,242$1,730$1,319$995$744$483
25 years$2,130$1,623$1,221$909$670$425
26 years$2,026$1,526$1,133$831$603$374
27 years$1,930$1,436$1,052$761$544$330
28 years$1,841$1,353$978$697$491$291
29 years$1,758$1,276$910$639$443$256
30 years$1,681$1,205$848$586$400$226
31 years$1,610$1,139$790$539$362$200
32 years$1,542$1,078$737$495$327$177
33 years$1,479$1,021$688$455$296$156
34 years$1,420$968$643$419$268$138
35 years$1,364$918$601$386$243$122
36 years$1,312$871$563$355$220$108
37 years$1,262$827$527$327$200$95
38 years$1,216$786$493$302$181$84
39 years$1,171$748$462$278$164$75
40 years$1,129$711$433$256$149$66
41 years$1,089$677$406$237$135$58
42 years$1,052$645$381$218$123$52
43 years$1,016$615$357$202$111$46
44 years$981$586$335$186$101$41
45 years$949$559$315$172$92$36
46 years$918$533$296$159$83$32
47 years$888$508$278$147$76$28
48 years$860$485$261$136$69$25
49 years$832$464$245$125$62$22
50 years$806$443$231$116$57$20

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $826,000, adding $5,628 every year, while hoping to spend $52,329 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: 60/23/17 Blend
39$826,000$826,000$826,000$826,000
40$916,057$872,279$859,476$966,704
41$953,817$859,343$832,591$988,632
42$993,675$844,020$803,051$1,006,236
43$1,035,790$826,136$770,713$1,024,227
44$1,080,334$805,510$735,425$1,042,649
45$1,127,496$781,948$697,030$1,061,553
46$1,177,484$755,247$655,364$1,080,997
47$1,230,522$725,189$610,254$1,101,048
48$1,286,858$691,546$561,519$1,121,783
49$1,346,760$654,075$508,974$1,143,288
50$1,410,525$612,520$452,420$1,165,663
51$1,478,476$566,610$391,653$1,189,020
52$1,550,966$516,060$326,459$1,213,487
53$1,628,383$460,565$256,614$1,239,207
54$1,711,152$399,807$181,884$1,266,344
55$1,799,739$333,447$102,026$1,295,082
56$1,894,654$261,127$16,786$1,325,626
57$1,996,457$182,471$0$1,358,211
58$2,105,764$97,081$0$1,406,554
59$2,223,249$4,534$0$1,461,616
60$2,349,652$0$0$1,520,733
61$2,485,787$0$0$1,608,526
62$2,632,546$0$0$1,704,459
63$2,790,911$0$0$1,808,030
64$2,961,959$0$0$1,919,951
65$3,146,875$0$0$2,041,005
66$3,346,960$0$0$2,172,051
67$3,563,646$0$0$2,314,033
68$3,798,506$0$0$2,467,991
69$4,053,269$0$0$2,635,068
70$4,329,838$0$0$2,816,520
71$4,630,307$0$0$3,013,729
72$4,956,976$0$0$3,228,216
73$5,312,379$0$0$3,461,654
74$5,699,301$0$0$3,715,884
75$6,120,808$0$0$3,992,931
76$6,580,275$0$0$4,295,024
77$7,081,414$0$0$4,624,618
78$7,628,313$0$0$4,984,413
79$8,225,470$0$0$5,377,382
80$8,877,839$0$0$5,806,797
81$9,590,869$0$0$6,276,261
82$10,370,565$0$0$6,789,741
83$11,223,535$0$0$7,351,606
84$12,157,056$0$0$7,966,664
85$13,179,141$0$0$8,640,212
86$14,298,613$0$0$9,378,081
87$15,525,191$0$0$10,186,695
88$16,869,575$0$0$11,073,127
89$18,343,551$0$0$12,045,168
90$19,960,102$0$0$13,111,398
91$21,733,525$0$0$14,281,269
92$23,679,567$0$0$15,565,191
93$25,815,576$0$0$16,974,630
94$28,160,661$0$0$18,522,219
95$30,735,868$0$0$20,221,871
96$33,564,386$0$0$22,088,916
97$36,671,756$0$0$24,140,237
98$40,086,118$0$0$26,394,439
99$43,838,470$0$0$28,872,014
100$47,962,965$0$0$31,595,539