Can I retire at age 40 with 856,000?

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 $856,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.4%
1 years$70,688$70,058$69,444$68,844$68,259$66,206
2 years$34,994$34,342$33,711$33,098$32,504$30,454
3 years$23,098$22,443$21,813$21,206$20,622$18,638
4 years$17,151$16,498$15,874$15,278$14,708$12,805
5 years$13,583$12,935$12,319$11,735$11,181$9,364
6 years$11,206$10,562$9,956$9,385$8,847$7,119
7 years$9,508$8,870$8,273$7,716$7,195$5,555
8 years$8,236$7,603$7,016$6,472$5,969$4,416
9 years$7,247$6,620$6,043$5,513$5,027$3,559
10 years$6,456$5,835$5,269$4,752$4,283$2,899
11 years$5,809$5,195$4,638$4,136$3,683$2,381
12 years$5,270$4,663$4,116$3,628$3,192$1,967
13 years$4,815$4,214$3,678$3,203$2,783$1,635
14 years$4,425$3,830$3,304$2,843$2,440$1,364
15 years$4,088$3,499$2,983$2,535$2,148$1,141
16 years$3,792$3,210$2,705$2,270$1,899$958
17 years$3,532$2,956$2,461$2,040$1,684$806
18 years$3,301$2,732$2,247$1,838$1,497$680
19 years$3,095$2,532$2,057$1,661$1,334$574
20 years$2,909$2,353$1,888$1,504$1,192$485
21 years$2,742$2,191$1,736$1,365$1,066$411
22 years$2,589$2,046$1,600$1,241$956$348
23 years$2,451$1,913$1,478$1,131$858$295
24 years$2,324$1,793$1,367$1,031$771$250
25 years$2,207$1,682$1,266$942$694$213
26 years$2,099$1,581$1,174$861$625$181
27 years$2,000$1,488$1,090$788$564$154
28 years$1,908$1,402$1,013$722$509$131
29 years$1,822$1,323$943$662$459$111
30 years$1,742$1,249$878$608$415$94
31 years$1,668$1,181$819$558$375$80
32 years$1,598$1,117$764$513$339$68
33 years$1,533$1,058$713$472$307$58
34 years$1,472$1,003$667$434$278$49
35 years$1,414$951$623$400$252$42
36 years$1,360$903$583$368$228$36
37 years$1,308$857$546$339$207$31
38 years$1,260$815$511$312$188$26
39 years$1,214$775$479$288$170$22
40 years$1,170$737$449$266$154$19
41 years$1,129$702$421$245$140$16
42 years$1,090$668$395$226$127$14
43 years$1,053$637$370$209$115$12
44 years$1,017$607$348$193$105$10
45 years$983$579$326$178$95$8
46 years$951$552$307$165$86$7
47 years$920$527$288$152$78$6
48 years$891$503$271$140$71$5
49 years$863$480$254$130$65$4
50 years$836$459$239$120$59$4

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $856,000, adding $6,083 every year, while hoping to spend $23,352 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: 37/44/19 Blend
39$856,000$856,000$856,000$856,000
40$949,587$904,219$890,951$979,075
41$1,021,598$923,679$895,951$1,020,445
42$1,100,172$943,310$900,336$1,062,456
43$1,185,953$963,096$904,061$1,107,349
44$1,279,652$983,019$907,078$1,155,396
45$1,382,048$1,003,059$909,337$1,206,897
46$1,494,003$1,023,194$910,786$1,262,182
47$1,616,463$1,043,403$911,370$1,321,616
48$1,750,471$1,063,659$911,030$1,385,601
49$1,897,176$1,083,935$909,706$1,454,581
50$2,057,842$1,104,202$907,335$1,529,046
51$2,233,861$1,124,427$903,850$1,609,534
52$2,426,767$1,144,575$899,181$1,696,643
53$2,638,248$1,164,611$893,254$1,791,028
54$2,870,165$1,184,492$885,994$1,893,415
55$3,124,566$1,204,176$877,318$2,004,603
56$3,403,707$1,223,617$867,145$2,125,475
57$3,710,075$1,242,764$855,384$2,257,003
58$4,046,407$1,261,563$841,943$2,400,261
59$4,415,719$1,279,958$826,726$2,556,434
60$4,821,332$1,297,886$809,632$2,726,827
61$5,266,908$1,315,282$790,554$2,912,881
62$5,756,476$1,332,075$769,382$3,116,187
63$6,294,480$1,348,190$745,999$3,338,498
64$6,885,811$1,363,545$720,284$3,581,747
65$7,535,861$1,378,056$692,111$3,848,069
66$8,250,569$1,391,631$661,347$4,139,816
67$9,036,477$1,404,171$627,852$4,459,585
68$9,900,795$1,415,573$591,483$4,810,238
69$10,851,466$1,425,725$552,086$5,194,933
70$11,897,239$1,434,510$509,505$5,617,152
71$13,047,758$1,441,801$463,574$6,080,737
72$14,313,645$1,447,465$414,119$6,589,923
73$15,706,605$1,451,359$360,961$7,149,382
74$17,239,536$1,453,333$303,910$7,764,266
75$18,926,648$1,453,225$242,771$8,440,257
76$20,783,598$1,450,866$177,336$9,183,620
77$22,827,641$1,446,074$107,392$10,001,263
78$25,077,785$1,438,656$32,714$10,900,806
79$27,554,978$1,428,409$0$11,890,650
80$30,282,301$1,415,117$0$12,989,582
81$33,285,189$1,398,550$0$14,205,990
82$36,591,664$1,378,466$0$15,544,548
83$40,232,609$1,354,605$0$17,017,729
84$44,242,050$1,326,697$0$18,639,281
85$48,657,485$1,294,450$0$20,424,358
86$53,520,231$1,257,561$0$22,389,667
87$58,875,817$1,215,703$0$24,553,621
88$64,774,413$1,168,536$0$26,936,518
89$71,271,303$1,115,694$0$29,560,731
90$78,427,408$1,056,795$0$32,450,923
91$86,309,859$991,433$0$35,634,277
92$94,992,629$919,178$0$39,140,758
93$104,557,236$839,577$0$43,003,392
94$115,093,507$752,148$0$47,258,584
95$126,700,427$656,386$0$51,946,460
96$139,487,075$551,754$0$57,111,248
97$153,573,653$437,686$0$62,801,697
98$169,092,616$313,583$0$69,071,538
99$186,189,930$178,815$0$75,979,993
100$205,026,440$32,714$0$83,592,340