Can I retire at age 40 with 858,000?

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 $858,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.5%
1 years$70,853$70,222$69,606$69,005$68,418$67,704
2 years$35,076$34,422$33,789$33,175$32,580$31,861
3 years$23,151$22,495$21,864$21,256$20,670$19,968
4 years$17,191$16,537$15,911$15,314$14,742$14,063
5 years$13,615$12,965$12,348$11,762$11,207$10,552
6 years$11,232$10,587$9,979$9,406$8,867$8,238
7 years$9,531$8,891$8,293$7,734$7,212$6,608
8 years$8,255$7,621$7,033$6,487$5,983$5,405
9 years$7,264$6,635$6,057$5,526$5,038$4,486
10 years$6,471$5,849$5,281$4,763$4,293$3,766
11 years$5,823$5,207$4,649$4,146$3,692$3,190
12 years$5,283$4,673$4,126$3,636$3,199$2,721
13 years$4,826$4,223$3,686$3,210$2,790$2,335
14 years$4,436$3,839$3,312$2,850$2,446$2,014
15 years$4,097$3,507$2,990$2,541$2,153$1,744
16 years$3,801$3,218$2,711$2,276$1,903$1,516
17 years$3,541$2,963$2,467$2,045$1,687$1,321
18 years$3,309$2,738$2,252$1,843$1,500$1,154
19 years$3,102$2,538$2,062$1,665$1,337$1,011
20 years$2,916$2,358$1,892$1,508$1,195$887
21 years$2,748$2,197$1,740$1,369$1,069$779
22 years$2,595$2,050$1,604$1,244$958$685
23 years$2,456$1,918$1,481$1,133$860$604
24 years$2,329$1,797$1,370$1,034$773$533
25 years$2,212$1,686$1,269$944$696$470
26 years$2,104$1,585$1,177$863$627$415
27 years$2,005$1,491$1,093$790$565$367
28 years$1,912$1,405$1,016$724$510$325
29 years$1,826$1,326$945$664$460$287
30 years$1,747$1,252$880$609$416$255
31 years$1,672$1,184$821$559$376$226
32 years$1,602$1,120$766$514$340$200
33 years$1,537$1,061$715$473$308$177
34 years$1,475$1,005$668$435$279$157
35 years$1,417$953$625$400$252$139
36 years$1,363$905$584$369$229$124
37 years$1,311$859$547$340$207$110
38 years$1,263$817$512$313$188$97
39 years$1,217$777$480$289$170$86
40 years$1,173$739$450$266$155$77
41 years$1,132$703$422$246$140$68
42 years$1,092$670$396$227$127$61
43 years$1,055$638$371$209$115$54
44 years$1,019$608$348$193$105$48
45 years$986$580$327$179$95$42
46 years$953$553$307$165$86$38
47 years$922$528$289$152$78$34
48 years$893$504$271$141$71$30
49 years$865$482$255$130$65$26
50 years$838$460$240$120$59$24

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $858,000, adding $4,789 every year, while hoping to spend $59,172 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: 82/11/7 Blend
39$858,000$858,000$858,000$858,000
40$950,456$904,982$891,683$1,027,353
41$984,444$886,367$858,596$1,059,729
42$1,019,915$864,858$822,417$1,086,864
43$1,056,959$840,248$782,980$1,114,833
44$1,095,672$812,323$740,113$1,143,684
45$1,136,156$780,853$693,632$1,173,472
46$1,178,525$745,595$643,350$1,204,257
47$1,222,899$706,294$589,067$1,236,105
48$1,269,411$662,679$530,577$1,269,089
49$1,318,203$614,462$467,663$1,303,290
50$1,369,430$561,341$400,100$1,338,795
51$1,423,261$502,996$327,653$1,375,705
52$1,479,878$439,087$250,073$1,414,126
53$1,539,480$369,257$167,106$1,454,180
54$1,602,284$293,128$78,481$1,496,000
55$1,668,527$210,301$0$1,539,732
56$1,738,465$120,353$0$1,586,742
57$1,812,378$22,841$0$1,642,341
58$1,890,573$0$0$1,700,884
59$1,973,384$0$0$1,772,627
60$2,061,176$0$0$1,851,625
61$2,154,348$0$0$1,935,474
62$2,253,335$0$0$2,024,568
63$2,358,616$0$0$2,119,337
64$2,470,711$0$0$2,220,253
65$2,590,193$0$0$2,327,831
66$2,717,687$0$0$2,442,638
67$2,853,880$0$0$2,565,292
68$2,999,522$0$0$2,696,472
69$3,155,438$0$0$2,836,923
70$3,322,532$0$0$2,987,460
71$3,501,794$0$0$3,148,978
72$3,694,312$0$0$3,322,461
73$3,901,280$0$0$3,508,985
74$4,124,008$0$0$3,709,736
75$4,363,936$0$0$3,926,013
76$4,622,644$0$0$4,159,243
77$4,901,867$0$0$4,410,995
78$5,203,515$0$0$4,682,992
79$5,529,683$0$0$4,977,129
80$5,882,676$0$0$5,295,486
81$6,265,026$0$0$5,640,352
82$6,679,519$0$0$6,014,244
83$7,129,217$0$0$6,419,927
84$7,617,489$0$0$6,860,446
85$8,148,038$0$0$7,339,147
86$8,724,941$0$0$7,859,712
87$9,352,681$0$0$8,426,191
88$10,036,191$0$0$9,043,042
89$10,780,900$0$0$9,715,169
90$11,592,780$0$0$10,447,970
91$12,478,408$0$0$11,247,386
92$13,445,020$0$0$12,119,953
93$14,500,581$0$0$13,072,871
94$15,653,860$0$0$14,114,062
95$16,914,512$0$0$15,252,249
96$18,293,165$0$0$16,497,035
97$19,801,522$0$0$17,858,994
98$21,452,469$0$0$19,349,771
99$23,260,195$0$0$20,982,185
100$25,240,325$0$0$22,770,355