Can I retire at age 40 with 887,000?

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 $887,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.9%
1 years$73,248$72,595$71,959$71,337$70,731$69,021
2 years$36,261$35,586$34,931$34,297$33,681$31,969
3 years$23,934$23,256$22,603$21,974$21,369$19,707
4 years$17,772$17,095$16,449$15,831$15,240$13,643
5 years$14,075$13,403$12,765$12,160$11,585$10,056
6 years$11,612$10,945$10,316$9,724$9,167$7,708
7 years$9,853$9,191$8,573$7,995$7,455$6,066
8 years$8,534$7,879$7,270$6,707$6,185$4,865
9 years$7,509$6,860$6,262$5,713$5,209$3,957
10 years$6,689$6,047$5,459$4,924$4,438$3,253
11 years$6,019$5,383$4,806$4,286$3,817$2,697
12 years$5,461$4,831$4,265$3,759$3,308$2,251
13 years$4,990$4,366$3,811$3,319$2,884$1,889
14 years$4,585$3,969$3,424$2,946$2,528$1,592
15 years$4,236$3,625$3,092$2,627$2,226$1,347
16 years$3,930$3,326$2,803$2,352$1,967$1,143
17 years$3,660$3,063$2,551$2,114$1,745$972
18 years$3,421$2,831$2,328$1,905$1,551$829
19 years$3,207$2,623$2,131$1,721$1,383$708
20 years$3,015$2,438$1,956$1,559$1,235$605
21 years$2,841$2,271$1,799$1,415$1,105$518
22 years$2,683$2,120$1,658$1,286$991$444
23 years$2,539$1,983$1,531$1,172$889$381
24 years$2,408$1,857$1,416$1,068$799$327
25 years$2,287$1,743$1,312$976$719$281
26 years$2,175$1,638$1,216$892$648$242
27 years$2,072$1,542$1,130$817$584$208
28 years$1,977$1,453$1,050$748$527$179
29 years$1,888$1,371$977$686$476$154
30 years$1,806$1,294$910$630$430$133
31 years$1,728$1,224$849$578$389$114
32 years$1,656$1,158$792$532$352$99
33 years$1,588$1,096$739$489$318$85
34 years$1,525$1,039$691$450$288$73
35 years$1,465$986$646$414$261$63
36 years$1,409$936$604$381$236$54
37 years$1,356$889$565$351$214$47
38 years$1,305$844$529$324$194$40
39 years$1,258$803$496$299$176$35
40 years$1,213$764$465$275$160$30
41 years$1,170$727$436$254$145$26
42 years$1,129$693$409$234$132$22
43 years$1,091$660$384$216$119$19
44 years$1,054$629$360$200$108$17
45 years$1,019$600$338$185$98$14
46 years$985$572$318$170$89$12
47 years$954$546$298$158$81$11
48 years$923$521$280$146$74$9
49 years$894$498$264$135$67$8
50 years$866$476$248$124$61$7

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $887,000, adding $5,311 every year, while hoping to spend $35,214 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: 46/34/20 Blend
39$887,000$887,000$887,000$887,000
40$982,952$935,941$922,193$1,022,323
41$1,045,746$944,335$915,619$1,058,808
42$1,113,764$951,960$907,644$1,094,442
43$1,187,503$958,741$898,185$1,132,370
44$1,267,508$964,598$887,154$1,172,823
45$1,354,378$969,447$874,457$1,216,056
46$1,448,772$973,198$860,000$1,262,349
47$1,551,416$975,754$843,679$1,312,017
48$1,663,109$977,014$825,390$1,365,405
49$1,784,727$976,870$805,023$1,422,897
50$1,917,239$975,205$782,460$1,484,919
51$2,061,706$971,899$757,581$1,551,940
52$2,219,299$966,822$730,259$1,624,482
53$2,391,307$959,835$700,362$1,703,122
54$2,579,147$950,794$667,752$1,788,497
55$2,784,381$939,544$632,282$1,881,314
56$3,008,727$925,920$593,802$1,982,354
57$3,254,076$909,750$552,154$2,092,483
58$3,522,513$890,848$507,172$2,212,656
59$3,816,331$869,021$458,684$2,343,931
60$4,138,055$844,062$406,508$2,487,478
61$4,490,468$815,752$350,457$2,644,590
62$4,876,632$783,861$290,334$2,816,697
63$5,299,922$748,143$225,933$3,005,379
64$5,764,051$708,340$157,040$3,212,383
65$6,273,114$664,178$83,430$3,439,641
66$6,831,617$615,367$4,870$3,689,284
67$7,444,524$561,603$0$3,963,672
68$8,117,304$502,560$0$4,282,258
69$8,855,981$437,898$0$4,633,274
70$9,667,191$367,254$0$5,018,913
71$10,558,243$290,248$0$5,442,744
72$11,537,189$206,476$0$5,908,705
73$12,612,902$115,513$0$6,421,141
74$13,795,153$16,908$0$6,984,845
75$15,094,709$0$0$7,605,105
76$16,523,432$0$0$8,321,357
77$18,094,391$0$0$9,115,984
78$19,821,982$0$0$9,989,958
79$21,722,070$0$0$10,951,317
80$23,812,131$0$0$12,008,920
81$26,111,423$0$0$13,172,526
82$28,641,162$0$0$14,452,889
83$31,424,725$0$0$15,861,857
84$34,487,869$0$0$17,412,486
85$37,858,976$0$0$19,119,159
86$41,569,315$0$0$20,997,726
87$45,653,345$0$0$23,065,653
88$50,149,029$0$0$25,342,182
89$55,098,204$0$0$27,848,517
90$60,546,965$0$0$30,608,024
91$66,546,105$0$0$33,646,448
92$73,151,592$0$0$36,992,158
93$80,425,099$0$0$40,676,414
94$88,434,584$0$0$44,733,663
95$97,254,929$0$0$49,201,861
96$106,968,649$0$0$54,122,834
97$117,666,672$0$0$59,542,672
98$129,449,189$0$0$65,512,161
99$142,426,610$0$0$72,087,266
100$156,720,597$0$0$79,329,657