Can I retire at age 40 with 925,000?

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 $925,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.1%
1 years$76,386$75,705$75,041$74,393$73,761$71,059
2 years$37,815$37,110$36,428$35,766$35,124$32,432
3 years$24,959$24,252$23,571$22,916$22,284$19,687
4 years$18,533$17,828$17,154$16,509$15,893$13,410
5 years$14,678$13,977$13,312$12,681$12,082$9,719
6 years$12,109$11,413$10,758$10,141$9,560$7,320
7 years$10,275$9,585$8,940$8,337$7,775$5,657
8 years$8,900$8,216$7,582$6,994$6,450$4,452
9 years$7,831$7,154$6,530$5,957$5,432$3,551
10 years$6,976$6,306$5,693$5,135$4,628$2,862
11 years$6,277$5,613$5,012$4,469$3,980$2,324
12 years$5,695$5,038$4,448$3,920$3,449$1,899
13 years$5,203$4,553$3,974$3,461$3,008$1,560
14 years$4,782$4,139$3,571$3,072$2,637$1,286
15 years$4,417$3,781$3,224$2,740$2,322$1,064
16 years$4,098$3,469$2,923$2,453$2,052$882
17 years$3,817$3,195$2,660$2,204$1,819$733
18 years$3,567$2,952$2,428$1,986$1,618$610
19 years$3,344$2,736$2,223$1,795$1,442$509
20 years$3,144$2,542$2,040$1,626$1,288$424
21 years$2,963$2,368$1,876$1,475$1,152$355
22 years$2,798$2,211$1,729$1,341$1,033$296
23 years$2,648$2,067$1,597$1,222$927$248
24 years$2,511$1,937$1,477$1,114$833$208
25 years$2,385$1,818$1,368$1,018$750$174
26 years$2,269$1,708$1,269$930$676$146
27 years$2,161$1,608$1,178$852$609$122
28 years$2,062$1,515$1,095$780$550$102
29 years$1,969$1,429$1,019$716$496$86
30 years$1,883$1,350$949$657$448$72
31 years$1,802$1,276$885$603$405$60
32 years$1,727$1,207$826$554$367$51
33 years$1,657$1,143$771$510$332$43
34 years$1,590$1,084$720$469$300$36
35 years$1,528$1,028$673$432$272$30
36 years$1,469$976$630$398$247$25
37 years$1,414$927$590$366$223$21
38 years$1,361$881$552$338$203$18
39 years$1,312$837$517$311$184$15
40 years$1,265$797$485$287$167$12
41 years$1,220$758$455$265$151$10
42 years$1,178$722$426$245$137$9
43 years$1,137$688$400$226$125$7
44 years$1,099$656$376$208$113$6
45 years$1,062$626$353$192$103$5
46 years$1,028$597$331$178$93$4
47 years$994$569$311$164$85$4
48 years$963$544$292$152$77$3
49 years$932$519$275$140$70$3
50 years$903$496$258$130$63$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $925,000, adding $3,335 every year, while hoping to spend $51,290 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: 32/39/29 Blend
39$925,000$925,000$925,000$925,000
40$1,022,790$973,765$959,428$1,046,397
41$1,072,542$966,907$936,996$1,057,979
42$1,125,651$957,995$912,094$1,065,703
43$1,182,403$946,872$884,585$1,073,030
44$1,243,114$933,375$854,325$1,079,961
45$1,308,132$917,331$821,165$1,086,502
46$1,377,835$898,554$784,948$1,092,665
47$1,452,641$876,850$745,511$1,098,468
48$1,533,006$852,011$702,681$1,103,937
49$1,619,433$823,820$656,281$1,109,106
50$1,712,472$792,044$606,123$1,114,018
51$1,812,729$756,439$552,013$1,118,728
52$1,920,868$716,744$493,746$1,123,303
53$2,037,619$672,687$431,109$1,127,825
54$2,163,784$623,977$363,879$1,132,392
55$2,300,246$570,308$291,825$1,137,120
56$2,447,973$511,355$214,703$1,142,145
57$2,608,031$446,776$132,260$1,147,627
58$2,781,591$376,210$44,232$1,153,752
59$2,969,942$299,273$0$1,160,735
60$3,174,501$215,562$0$1,184,206
61$3,396,826$124,650$0$1,224,676
62$3,638,631$26,087$0$1,268,862
63$3,901,804$0$0$1,317,234
64$4,188,419$0$0$1,404,908
65$4,500,761$0$0$1,512,782
66$4,841,343$0$0$1,630,542
67$5,212,932$0$0$1,759,163
68$5,618,573$0$0$1,899,715
69$6,061,618$0$0$2,053,380
70$6,545,756$0$0$2,221,454
71$7,075,051$0$0$2,405,370
72$7,653,976$0$0$2,606,700
73$8,287,455$0$0$2,827,179
74$8,980,911$0$0$3,068,717
75$9,740,316$0$0$3,333,417
76$10,572,245$0$0$3,623,595
77$11,483,942$0$0$3,941,800
78$12,483,382$0$0$4,290,844
79$13,579,348$0$0$4,673,820
80$14,781,518$0$0$5,094,137
81$16,100,546$0$0$5,555,549
82$17,548,172$0$0$6,062,192
83$19,137,325$0$0$6,618,622
84$20,882,247$0$0$7,229,857
85$22,798,628$0$0$7,901,427
86$24,903,752$0$0$8,639,422
87$27,216,657$0$0$9,450,552
88$29,758,320$0$0$10,342,209
89$32,551,847$0$0$11,322,538
90$35,622,697$0$0$12,400,511
91$38,998,917$0$0$13,586,015
92$42,711,405$0$0$14,889,940
93$46,794,208$0$0$16,324,288
94$51,284,833$0$0$17,902,279
95$56,224,606$0$0$19,638,483
96$61,659,062$0$0$21,548,949
97$67,638,367$0$0$23,651,365
98$74,217,799$0$0$25,965,216
99$81,458,263$0$0$28,511,974
100$89,426,867$0$0$31,315,298