Can I retire at age 40 with 926,000?

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 $926,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.6%
1 years$76,468$75,787$75,123$74,474$73,841$70,995
2 years$37,856$37,151$36,467$35,805$35,162$32,329
3 years$24,986$24,278$23,597$22,940$22,308$19,577
4 years$18,553$17,847$17,172$16,527$15,910$13,302
5 years$14,694$13,992$13,326$12,695$12,095$9,616
6 years$12,122$11,426$10,770$10,152$9,570$7,222
7 years$10,286$9,595$8,950$8,346$7,783$5,565
8 years$8,909$8,225$7,590$7,002$6,457$4,367
9 years$7,839$7,161$6,537$5,964$5,438$3,473
10 years$6,984$6,312$5,699$5,141$4,633$2,789
11 years$6,284$5,620$5,018$4,474$3,985$2,258
12 years$5,701$5,044$4,453$3,924$3,453$1,839
13 years$5,209$4,558$3,978$3,465$3,011$1,505
14 years$4,787$4,143$3,575$3,076$2,640$1,237
15 years$4,422$3,785$3,227$2,743$2,324$1,019
16 years$4,103$3,473$2,926$2,456$2,054$842
17 years$3,821$3,198$2,663$2,207$1,821$697
18 years$3,571$2,955$2,431$1,989$1,619$578
19 years$3,348$2,739$2,225$1,797$1,443$480
20 years$3,147$2,545$2,042$1,627$1,289$399
21 years$2,966$2,371$1,878$1,477$1,154$332
22 years$2,801$2,213$1,731$1,343$1,034$277
23 years$2,651$2,070$1,598$1,223$928$231
24 years$2,514$1,939$1,478$1,115$834$192
25 years$2,387$1,820$1,369$1,019$751$160
26 years$2,271$1,710$1,270$931$676$134
27 years$2,164$1,610$1,179$853$610$112
28 years$2,064$1,517$1,096$781$550$93
29 years$1,971$1,431$1,020$716$497$78
30 years$1,885$1,351$950$657$449$65
31 years$1,804$1,277$886$604$406$54
32 years$1,729$1,209$827$555$367$45
33 years$1,658$1,145$772$510$332$38
34 years$1,592$1,085$721$469$301$32
35 years$1,530$1,029$674$432$272$27
36 years$1,471$977$631$398$247$22
37 years$1,415$928$590$367$224$19
38 years$1,363$882$553$338$203$15
39 years$1,313$838$518$312$184$13
40 years$1,266$798$485$287$167$11
41 years$1,221$759$455$265$151$9
42 years$1,179$723$427$245$137$8
43 years$1,139$689$401$226$125$6
44 years$1,100$657$376$209$113$5
45 years$1,064$626$353$193$103$4
46 years$1,029$597$332$178$93$4
47 years$995$570$312$164$85$3
48 years$964$544$293$152$77$3
49 years$933$520$275$140$70$2
50 years$904$496$259$130$63$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $926,000, adding $3,207 every year, while hoping to spend $49,220 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: 65/20/15 Blend
39$926,000$926,000$926,000$926,000
40$1,023,760$974,682$960,329$1,086,414
41$1,075,814$970,072$940,130$1,124,119
42$1,131,528$963,586$917,605$1,159,308
43$1,191,222$955,081$892,624$1,196,548
44$1,255,251$944,403$865,051$1,236,039
45$1,324,000$931,393$834,743$1,278,003
46$1,397,894$915,877$801,553$1,322,684
47$1,477,398$897,674$765,325$1,370,354
48$1,563,025$876,592$725,895$1,421,315
49$1,655,337$852,428$683,096$1,475,899
50$1,754,950$824,966$636,748$1,534,476
51$1,862,542$793,977$586,667$1,597,457
52$1,978,860$759,220$532,659$1,665,293
53$2,104,721$720,440$474,521$1,738,487
54$2,241,028$677,366$412,042$1,817,594
55$2,388,768$629,713$345,001$1,903,231
56$2,549,032$577,178$273,167$1,996,076
57$2,723,015$519,442$196,301$2,096,884
58$2,912,035$456,167$114,150$2,206,489
59$3,117,541$386,997$26,451$2,325,812
60$3,341,125$311,555$0$2,455,873
61$3,584,541$229,442$0$2,608,547
62$3,849,718$140,239$0$2,779,552
63$4,138,778$43,500$0$2,966,076
64$4,454,060$0$0$3,169,696
65$4,798,133$0$0$3,405,628
66$5,173,830$0$0$3,673,754
67$5,584,265$0$0$3,966,732
68$6,032,870$0$0$4,287,020
69$6,523,422$0$0$4,637,321
70$7,060,078$0$0$5,020,613
71$7,647,419$0$0$5,440,174
72$8,290,485$0$0$5,899,616
73$8,994,830$0$0$6,402,914
74$9,766,568$0$0$6,954,447
75$10,612,431$0$0$7,559,037
76$11,539,838$0$0$8,221,995
77$12,556,956$0$0$8,949,171
78$13,672,782$0$0$9,747,008
79$14,897,224$0$0$10,622,602
80$16,241,200$0$0$11,583,770
81$17,716,731$0$0$12,639,124
82$19,337,063$0$0$13,798,150
83$21,116,785$0$0$15,071,296
84$23,071,970$0$0$16,470,073
85$25,220,323$0$0$18,007,163
86$27,581,352$0$0$19,696,536
87$30,176,546$0$0$21,553,583
88$33,029,579$0$0$23,595,262
89$36,166,534$0$0$25,840,252
90$39,616,149$0$0$28,309,138
91$43,410,084$0$0$31,024,595
92$47,583,224$0$0$34,011,608
93$52,174,000$0$0$37,297,705
94$57,224,761$0$0$40,913,217
95$62,782,163$0$0$44,891,562
96$68,897,615$0$0$49,269,562
97$75,627,760$0$0$54,087,789
98$83,035,012$0$0$59,390,946
99$91,188,140$0$0$65,228,290
100$100,162,920$0$0$71,654,097