Can I retire at age 40 with 883,000?

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 $883,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.1%
1 years$72,917$72,268$71,634$71,016$70,412$68,934
2 years$36,098$35,425$34,774$34,142$33,529$32,047
3 years$23,826$23,151$22,501$21,875$21,272$19,832
4 years$17,691$17,018$16,375$15,760$15,172$13,785
5 years$14,012$13,343$12,708$12,105$11,533$10,204
6 years$11,559$10,895$10,270$9,681$9,126$7,855
7 years$9,808$9,150$8,534$7,959$7,422$6,210
8 years$8,496$7,843$7,238$6,677$6,157$5,003
9 years$7,475$6,829$6,234$5,687$5,185$4,089
10 years$6,659$6,019$5,435$4,902$4,418$3,379
11 years$5,992$5,359$4,785$4,266$3,800$2,815
12 years$5,437$4,810$4,246$3,742$3,293$2,362
13 years$4,967$4,346$3,794$3,304$2,871$1,993
14 years$4,565$3,951$3,409$2,933$2,517$1,689
15 years$4,216$3,609$3,078$2,615$2,216$1,437
16 years$3,912$3,311$2,790$2,342$1,959$1,226
17 years$3,644$3,050$2,539$2,104$1,737$1,049
18 years$3,405$2,818$2,318$1,896$1,544$900
19 years$3,192$2,612$2,122$1,713$1,376$773
20 years$3,001$2,427$1,947$1,552$1,229$665
21 years$2,828$2,261$1,791$1,408$1,100$573
22 years$2,671$2,110$1,651$1,281$986$494
23 years$2,528$1,974$1,524$1,166$885$427
24 years$2,397$1,849$1,410$1,064$796$369
25 years$2,277$1,735$1,306$971$716$319
26 years$2,166$1,631$1,211$888$645$276
27 years$2,063$1,535$1,124$813$581$239
28 years$1,968$1,446$1,045$745$525$207
29 years$1,880$1,364$973$683$474$179
30 years$1,797$1,289$906$627$428$155
31 years$1,721$1,218$845$576$387$135
32 years$1,649$1,153$788$529$350$117
33 years$1,581$1,092$736$487$317$101
34 years$1,518$1,034$688$448$287$88
35 years$1,459$981$643$412$260$76
36 years$1,402$931$601$380$235$66
37 years$1,349$885$563$350$213$58
38 years$1,299$841$527$322$193$50
39 years$1,252$799$494$297$175$43
40 years$1,207$761$463$274$159$38
41 years$1,165$724$434$253$144$33
42 years$1,124$689$407$233$131$28
43 years$1,086$657$382$215$119$25
44 years$1,049$626$359$199$108$21
45 years$1,014$597$337$184$98$19
46 years$981$570$316$170$89$16
47 years$949$544$297$157$81$14
48 years$919$519$279$145$73$12
49 years$890$496$262$134$67$11
50 years$862$473$247$124$60$9

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $883,000, adding $2,674 every year, while hoping to spend $57,084 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: 50/22/28 Blend
39$883,000$883,000$883,000$883,000
40$975,824$929,025$915,339$1,016,764
41$1,014,621$913,811$885,266$1,030,446
42$1,055,463$895,937$852,272$1,039,413
43$1,098,496$875,214$816,199$1,048,044
44$1,143,883$851,441$776,883$1,056,333
45$1,191,801$824,402$734,149$1,064,279
46$1,242,439$793,873$687,818$1,071,882
47$1,296,009$759,614$637,701$1,079,149
48$1,352,738$721,371$583,601$1,086,089
49$1,412,877$678,878$525,311$1,092,720
50$1,476,698$631,850$462,616$1,099,064
51$1,544,499$579,989$395,291$1,105,152
52$1,616,607$522,977$323,103$1,111,022
53$1,693,379$460,481$245,805$1,116,724
54$1,775,206$392,147$163,142$1,122,317
55$1,862,516$317,601$74,846$1,127,873
56$1,955,778$236,449$0$1,133,481
57$2,055,507$148,275$0$1,145,033
58$2,162,265$52,637$0$1,181,100
59$2,276,671$0$0$1,219,530
60$2,399,403$0$0$1,272,911
61$2,531,205$0$0$1,343,985
62$2,672,893$0$0$1,420,458
63$2,825,364$0$0$1,502,822
64$2,989,601$0$0$1,591,617
65$3,166,687$0$0$1,687,438
66$3,357,807$0$0$1,790,937
67$3,564,268$0$0$1,902,832
68$3,787,502$0$0$2,023,910
69$4,029,087$0$0$2,155,038
70$4,290,753$0$0$2,297,169
71$4,574,407$0$0$2,451,351
72$4,882,142$0$0$2,618,735
73$5,216,262$0$0$2,800,588
74$5,579,301$0$0$2,998,305
75$5,974,046$0$0$3,213,419
76$6,403,563$0$0$3,447,617
77$6,871,226$0$0$3,702,756
78$7,380,747$0$0$3,980,878
79$7,936,212$0$0$4,284,233
80$8,542,117$0$0$4,615,296
81$9,203,412$0$0$4,976,789
82$9,925,544$0$0$5,371,714
83$10,714,509$0$0$5,803,370
84$11,576,911$0$0$6,275,393
85$12,520,018$0$0$6,791,785
86$13,551,832$0$0$7,356,953
87$14,681,168$0$0$7,975,748
88$15,917,727$0$0$8,653,515
89$17,272,197$0$0$9,396,137
90$18,756,344$0$0$10,210,096
91$20,383,130$0$0$11,102,528
92$22,166,827$0$0$12,081,295
93$24,123,157$0$0$13,155,056
94$26,269,436$0$0$14,333,346
95$28,624,734$0$0$15,626,670
96$31,210,061$0$0$17,046,600
97$34,048,559$0$0$18,605,883
98$37,165,717$0$0$20,318,558
99$40,589,618$0$0$22,200,096
100$44,351,197$0$0$24,267,535