Can I retire at age 40 with 900,000?

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 $900,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.5%
1 years$74,321$73,659$73,013$72,383$71,767$69,029
2 years$36,793$36,107$35,443$34,799$34,175$31,448
3 years$24,285$23,597$22,934$22,296$21,682$19,053
4 years$18,032$17,346$16,690$16,063$15,464$12,952
5 years$14,281$13,599$12,952$12,338$11,755$9,368
6 years$11,782$11,105$10,467$9,867$9,302$7,040
7 years$9,997$9,326$8,698$8,112$7,565$5,428
8 years$8,659$7,994$7,377$6,805$6,276$4,262
9 years$7,619$6,960$6,354$5,796$5,285$3,391
10 years$6,787$6,135$5,539$4,997$4,503$2,726
11 years$6,108$5,462$4,877$4,348$3,873$2,208
12 years$5,541$4,902$4,328$3,814$3,356$1,799
13 years$5,063$4,430$3,867$3,367$2,927$1,474
14 years$4,653$4,027$3,474$2,989$2,565$1,212
15 years$4,298$3,679$3,137$2,666$2,259$999
16 years$3,987$3,375$2,844$2,387$1,996$826
17 years$3,714$3,108$2,588$2,145$1,770$684
18 years$3,471$2,872$2,362$1,933$1,574$568
19 years$3,254$2,662$2,163$1,746$1,403$472
20 years$3,059$2,474$1,985$1,582$1,253$393
21 years$2,883$2,304$1,826$1,436$1,121$327
22 years$2,722$2,151$1,683$1,305$1,005$273
23 years$2,577$2,012$1,554$1,189$902$227
24 years$2,443$1,885$1,437$1,084$811$190
25 years$2,320$1,769$1,331$990$730$158
26 years$2,207$1,662$1,234$905$657$132
27 years$2,103$1,564$1,146$829$593$111
28 years$2,006$1,474$1,065$759$535$92
29 years$1,916$1,391$991$696$483$77
30 years$1,832$1,313$924$639$436$65
31 years$1,754$1,242$861$587$394$54
32 years$1,680$1,175$803$539$357$45
33 years$1,612$1,113$750$496$323$38
34 years$1,547$1,054$701$456$292$32
35 years$1,487$1,000$655$420$265$26
36 years$1,429$949$613$387$240$22
37 years$1,375$902$574$356$217$18
38 years$1,324$857$537$329$197$15
39 years$1,276$815$503$303$179$13
40 years$1,230$775$472$279$162$11
41 years$1,187$738$442$258$147$9
42 years$1,146$703$415$238$133$8
43 years$1,107$670$389$220$121$6
44 years$1,069$638$366$203$110$5
45 years$1,034$609$343$187$100$4
46 years$1,000$581$322$173$91$4
47 years$968$554$303$160$82$3
48 years$937$529$285$148$75$3
49 years$907$505$267$136$68$2
50 years$879$482$251$126$62$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $900,000, adding $2,727 every year, while hoping to spend $42,720 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: 68/13/19 Blend
39$900,000$900,000$900,000$900,000
40$994,613$946,913$932,963$1,057,424
41$1,050,610$947,858$918,763$1,100,689
42$1,110,886$947,417$902,656$1,142,752
43$1,175,834$945,478$884,533$1,187,720
44$1,245,884$941,921$864,279$1,235,875
45$1,321,506$936,618$841,775$1,287,530
46$1,403,222$929,434$816,896$1,343,033
47$1,491,600$920,226$789,512$1,402,764
48$1,587,269$908,842$759,486$1,467,147
49$1,690,917$895,122$726,675$1,536,649
50$1,803,301$878,894$690,930$1,611,784
51$1,925,257$859,979$652,095$1,693,123
52$2,057,699$838,184$610,006$1,781,293
53$2,201,636$813,307$564,494$1,876,990
54$2,358,178$785,134$515,379$1,980,980
55$2,528,544$753,437$462,476$2,094,111
56$2,714,078$717,977$405,591$2,217,317
57$2,916,255$678,500$344,520$2,351,633
58$3,136,703$634,737$279,051$2,498,197
59$3,377,211$586,403$208,964$2,658,269
60$3,639,749$533,199$134,026$2,833,239
61$3,926,484$474,807$53,997$3,024,641
62$4,239,804$410,891$0$3,234,169
63$4,582,337$341,097$0$3,470,059
64$4,956,975$265,050$0$3,740,104
65$5,366,904$182,356$0$4,035,678
66$5,815,632$92,595$0$4,359,351
67$6,307,022$0$0$4,713,959
68$6,845,326$0$0$5,103,293
69$7,435,229$0$0$5,544,514
70$8,081,890$0$0$6,028,241
71$8,790,992$0$0$6,558,731
72$9,568,791$0$0$7,140,673
73$10,422,181$0$0$7,779,230
74$11,358,754$0$0$8,480,092
75$12,386,873$0$0$9,249,525
76$13,515,750$0$0$10,094,430
77$14,755,533$0$0$11,022,412
78$16,117,402$0$0$12,041,845
79$17,613,670$0$0$13,161,958
80$19,257,905$0$0$14,392,916
81$21,065,052$0$0$15,745,917
82$23,051,578$0$0$17,233,299
83$25,235,623$0$0$18,868,655
84$27,637,173$0$0$20,666,961
85$30,278,249$0$0$22,644,715
86$33,183,109$0$0$24,820,097
87$36,378,485$0$0$27,213,135
88$39,893,825$0$0$29,845,896
89$43,761,580$0$0$32,742,695
90$48,017,501$0$0$35,930,322
91$52,700,982$0$0$39,438,294
92$57,855,427$0$0$43,299,137
93$63,528,662$0$0$47,548,688
94$69,773,385$0$0$52,226,433
95$76,647,660$0$0$57,375,883
96$84,215,470$0$0$63,044,981
97$92,547,313$0$0$69,286,555
98$101,720,872$0$0$76,158,816
99$111,821,748$0$0$83,725,906
100$122,944,261$0$0$92,058,504