Can I retire at age 40 with 832,000?

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 $832,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13%
1 years$68,706$68,094$67,497$66,914$66,345$65,516
2 years$34,013$33,379$32,765$32,170$31,593$30,759
3 years$22,450$21,814$21,201$20,612$20,044$19,230
4 years$16,670$16,035$15,429$14,850$14,295$13,509
5 years$13,202$12,572$11,974$11,406$10,867$10,110
6 years$10,892$10,266$9,677$9,121$8,599$7,872
7 years$9,242$8,621$8,041$7,499$6,993$6,297
8 years$8,005$7,390$6,820$6,291$5,801$5,136
9 years$7,043$6,434$5,874$5,358$4,886$4,250
10 years$6,275$5,672$5,121$4,619$4,163$3,557
11 years$5,646$5,049$4,508$4,020$3,580$3,003
12 years$5,123$4,532$4,001$3,526$3,103$2,554
13 years$4,680$4,095$3,575$3,113$2,705$2,185
14 years$4,301$3,723$3,212$2,763$2,372$1,878
15 years$3,973$3,401$2,900$2,464$2,088$1,621
16 years$3,686$3,120$2,629$2,207$1,845$1,404
17 years$3,433$2,873$2,392$1,983$1,636$1,219
18 years$3,209$2,655$2,184$1,787$1,455$1,061
19 years$3,008$2,461$1,999$1,614$1,297$926
20 years$2,828$2,287$1,835$1,462$1,158$809
21 years$2,665$2,130$1,688$1,327$1,037$709
22 years$2,517$1,988$1,555$1,207$929$621
23 years$2,382$1,860$1,436$1,099$834$545
24 years$2,258$1,742$1,328$1,002$750$479
25 years$2,145$1,635$1,230$915$675$421
26 years$2,041$1,537$1,141$837$608$370
27 years$1,944$1,446$1,060$766$548$326
28 years$1,854$1,363$985$702$494$287
29 years$1,771$1,286$917$644$446$253
30 years$1,694$1,214$854$591$403$223
31 years$1,621$1,148$796$542$365$197
32 years$1,553$1,086$743$499$330$174
33 years$1,490$1,028$693$458$299$154
34 years$1,430$975$648$422$270$136
35 years$1,374$925$606$388$245$120
36 years$1,321$878$567$358$222$106
37 years$1,272$833$530$330$201$94
38 years$1,224$792$497$304$182$83
39 years$1,180$753$465$280$165$73
40 years$1,137$717$436$258$150$65
41 years$1,097$682$409$238$136$57
42 years$1,059$650$384$220$123$51
43 years$1,023$619$360$203$112$45
44 years$989$590$338$187$102$40
45 years$956$563$317$173$92$35
46 years$924$537$298$160$84$31
47 years$894$512$280$148$76$27
48 years$866$489$263$137$69$24
49 years$838$467$247$126$63$21
50 years$812$446$232$117$57$19

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $832,000, adding $5,420 every year, while hoping to spend $44,154 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: 50/32/18 Blend
39$832,000$832,000$832,000$832,000
40$922,455$878,359$865,463$963,716
41$969,566$874,419$847,476$988,827
42$1,020,002$868,806$827,407$1,011,108
43$1,074,056$861,392$805,140$1,034,372
44$1,132,050$852,039$780,551$1,058,727
45$1,194,334$840,605$753,515$1,084,296
46$1,261,296$826,935$723,898$1,111,215
47$1,333,361$810,866$691,561$1,139,639
48$1,410,993$792,228$656,358$1,169,739
49$1,494,705$770,838$618,137$1,201,707
50$1,585,059$746,504$576,738$1,235,760
51$1,682,673$719,020$531,997$1,272,139
52$1,788,226$688,172$483,739$1,311,113
53$1,902,464$653,731$431,783$1,352,983
54$2,026,206$615,456$375,939$1,398,084
55$2,160,356$573,090$316,009$1,446,791
56$2,305,904$526,363$251,788$1,499,522
57$2,463,942$474,991$183,059$1,556,742
58$2,635,670$418,670$109,596$1,618,969
59$2,822,406$357,083$31,165$1,686,778
60$3,025,603$289,892$0$1,760,813
61$3,246,858$216,740$0$1,851,875
62$3,487,930$137,253$0$1,957,711
63$3,750,752$51,032$0$2,073,262
64$4,037,455$0$0$2,199,560
65$4,350,381$0$0$2,352,657
66$4,692,111$0$0$2,539,551
67$5,065,484$0$0$2,743,837
68$5,473,626$0$0$2,967,235
69$5,919,980$0$0$3,211,641
70$6,408,336$0$0$3,479,141
71$6,942,866$0$0$3,772,034
72$7,528,166$0$0$4,092,850
73$8,169,296$0$0$4,444,374
74$8,871,828$0$0$4,829,677
75$9,641,901$0$0$5,252,138
76$10,486,274$0$0$5,715,480
77$11,412,391$0$0$6,223,803
78$12,428,452$0$0$6,781,624
79$13,543,489$0$0$7,393,916
80$14,767,451$0$0$8,066,160
81$16,111,296$0$0$8,804,391
82$17,587,097$0$0$9,615,260
83$19,208,153$0$0$10,506,092
84$20,989,111$0$0$11,484,956
85$22,946,112$0$0$12,560,742
86$25,096,934$0$0$13,743,244
87$27,461,166$0$0$15,043,253
88$30,060,385$0$0$16,472,655
89$32,918,368$0$0$18,044,550
90$36,061,308$0$0$19,773,365
91$39,518,063$0$0$21,675,000
92$43,320,430$0$0$23,766,971
93$47,503,441$0$0$26,068,579
94$52,105,696$0$0$28,601,089
95$57,169,724$0$0$31,387,929
96$62,742,383$0$0$34,454,918
97$68,875,307$0$0$37,830,501
98$75,625,384$0$0$41,546,020
99$83,055,300$0$0$45,636,011
100$91,234,126$0$0$50,138,529