Can I retire at age 40 with 916,000?

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 $916,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13%
1 years$75,642$74,969$74,311$73,670$73,043$72,130
2 years$37,447$36,749$36,073$35,418$34,782$33,864
3 years$24,717$24,016$23,342$22,693$22,067$21,172
4 years$18,353$17,654$16,987$16,349$15,739$14,873
5 years$14,535$13,841$13,183$12,557$11,964$11,131
6 years$11,991$11,302$10,653$10,042$9,467$8,667
7 years$10,175$9,492$8,853$8,256$7,699$6,933
8 years$8,813$8,136$7,508$6,926$6,387$5,654
9 years$7,755$7,084$6,467$5,899$5,379$4,679
10 years$6,908$6,244$5,638$5,085$4,583$3,916
11 years$6,216$5,559$4,963$4,426$3,942$3,307
12 years$5,640$4,989$4,405$3,882$3,416$2,812
13 years$5,153$4,509$3,936$3,427$2,979$2,406
14 years$4,735$4,098$3,536$3,042$2,611$2,068
15 years$4,374$3,744$3,193$2,713$2,299$1,785
16 years$4,058$3,435$2,895$2,429$2,032$1,545
17 years$3,780$3,164$2,634$2,183$1,802$1,342
18 years$3,533$2,923$2,404$1,967$1,602$1,169
19 years$3,312$2,709$2,201$1,777$1,428$1,020
20 years$3,113$2,518$2,020$1,610$1,275$891
21 years$2,934$2,345$1,858$1,461$1,141$780
22 years$2,771$2,189$1,713$1,328$1,023$684
23 years$2,622$2,047$1,581$1,210$918$600
24 years$2,486$1,918$1,462$1,103$825$527
25 years$2,362$1,800$1,354$1,008$743$464
26 years$2,247$1,692$1,256$921$669$408
27 years$2,140$1,592$1,166$843$603$359
28 years$2,042$1,500$1,084$773$544$316
29 years$1,950$1,415$1,009$709$491$279
30 years$1,865$1,337$940$650$444$246
31 years$1,785$1,264$876$597$401$217
32 years$1,710$1,196$818$549$363$192
33 years$1,640$1,132$763$505$329$169
34 years$1,575$1,073$713$464$298$149
35 years$1,513$1,018$667$428$270$132
36 years$1,455$966$624$394$244$117
37 years$1,400$918$584$363$221$103
38 years$1,348$872$547$334$201$91
39 years$1,299$829$512$308$182$80
40 years$1,252$789$480$284$165$71
41 years$1,208$751$450$262$150$63
42 years$1,166$715$422$242$136$56
43 years$1,126$681$396$224$123$49
44 years$1,088$650$372$206$112$44
45 years$1,052$619$349$191$102$38
46 years$1,018$591$328$176$92$34
47 years$985$564$308$163$84$30
48 years$953$538$290$150$76$27
49 years$923$514$272$139$69$24
50 years$894$491$256$128$63$21

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $916,000, adding $5,293 every year, while hoping to spend $52,846 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: 29/48/23 Blend
39$916,000$916,000$916,000$916,000
40$1,014,892$966,344$952,146$1,036,910
41$1,062,183$957,467$927,815$1,045,521
42$1,112,527$946,384$900,898$1,049,739
43$1,166,179$932,931$871,252$1,053,175
44$1,223,418$916,934$838,729$1,055,797
45$1,284,553$898,209$803,172$1,057,572
46$1,349,918$876,562$764,419$1,058,472
47$1,419,882$851,786$722,299$1,058,469
48$1,494,849$823,663$676,635$1,057,542
49$1,575,262$791,960$627,240$1,055,670
50$1,661,607$756,435$573,921$1,052,840
51$1,754,417$716,827$516,475$1,049,044
52$1,854,280$672,863$454,688$1,044,281
53$1,961,837$624,254$388,341$1,038,559
54$2,077,795$570,693$317,201$1,031,894
55$2,202,930$511,857$241,027$1,024,314
56$2,338,094$447,404$159,567$1,015,859
57$2,484,225$376,972$72,558$1,006,585
58$2,642,353$300,180$0$996,563
59$2,813,608$216,624$0$990,865
60$2,999,236$125,879$0$1,003,948
61$3,200,606$27,495$0$1,018,198
62$3,419,221$0$0$1,033,857
63$3,656,738$0$0$1,092,928
64$3,914,978$0$0$1,173,072
65$4,195,944$0$0$1,260,404
66$4,501,840$0$0$1,355,625
67$4,835,092$0$0$1,459,509
68$5,198,368$0$0$1,572,906
69$5,594,606$0$0$1,696,751
70$6,027,040$0$0$1,832,077
71$6,499,228$0$0$1,980,016
72$7,015,089$0$0$2,141,819
73$7,578,935$0$0$2,318,861
74$8,195,515$0$0$2,512,656
75$8,870,057$0$0$2,724,873
76$9,608,318$0$0$2,957,347
77$10,416,638$0$0$3,212,101
78$11,301,997$0$0$3,491,364
79$12,272,082$0$0$3,797,587
80$13,335,361$0$0$4,133,473
81$14,501,157$0$0$4,501,999
82$15,779,741$0$0$4,906,442
83$17,182,423$0$0$5,350,413
84$18,721,663$0$0$5,837,890
85$20,411,184$0$0$6,373,254
86$22,266,104$0$0$6,961,332
87$24,303,074$0$0$7,607,441
88$26,540,439$0$0$8,317,439
89$28,998,407$0$0$9,097,779
90$31,699,238$0$0$9,955,571
91$34,667,459$0$0$10,898,646
92$37,930,088$0$0$11,935,635
93$41,516,891$0$0$13,076,045
94$45,460,663$0$0$14,330,350
95$49,797,534$0$0$15,710,091
96$54,567,313$0$0$17,227,985
97$59,813,858$0$0$18,898,040
98$65,585,492$0$0$20,735,695
99$71,935,457$0$0$22,757,957
100$78,922,416$0$0$24,983,568