Can I retire at age 40 with 940,000?

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 $940,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.3%
1 years$77,624$76,933$76,258$75,600$74,957$74,236
2 years$38,428$37,712$37,019$36,346$35,694$34,967
3 years$25,364$24,645$23,953$23,287$22,646$21,936
4 years$18,834$18,117$17,432$16,777$16,151$15,465
5 years$14,916$14,204$13,528$12,886$12,278$11,616
6 years$12,305$11,599$10,933$10,305$9,715$9,079
7 years$10,441$9,740$9,085$8,473$7,901$7,290
8 years$9,044$8,349$7,705$7,108$6,555$5,970
9 years$7,958$7,270$6,636$6,054$5,520$4,961
10 years$7,089$6,408$5,786$5,219$4,703$4,169
11 years$6,379$5,704$5,094$4,542$4,045$3,536
12 years$5,788$5,120$4,520$3,984$3,505$3,020
13 years$5,288$4,627$4,039$3,517$3,057$2,596
14 years$4,859$4,206$3,629$3,122$2,679$2,242
15 years$4,489$3,842$3,276$2,784$2,359$1,944
16 years$4,165$3,525$2,970$2,493$2,085$1,691
17 years$3,879$3,246$2,703$2,240$1,849$1,476
18 years$3,625$3,000$2,467$2,019$1,644$1,292
19 years$3,399$2,780$2,259$1,824$1,465$1,133
20 years$3,195$2,584$2,073$1,652$1,309$995
21 years$3,011$2,406$1,907$1,499$1,171$876
22 years$2,843$2,246$1,757$1,363$1,050$772
23 years$2,691$2,101$1,623$1,242$942$681
24 years$2,552$1,968$1,501$1,132$847$601
25 years$2,423$1,847$1,390$1,034$762$532
26 years$2,305$1,736$1,289$946$687$470
27 years$2,196$1,634$1,197$865$619$417
28 years$2,095$1,540$1,113$793$559$369
29 years$2,001$1,452$1,036$727$504$327
30 years$1,913$1,372$965$667$456$290
31 years$1,832$1,297$899$613$412$258
32 years$1,755$1,227$839$563$373$229
33 years$1,683$1,162$783$518$337$203
34 years$1,616$1,101$732$477$305$180
35 years$1,553$1,045$684$439$277$160
36 years$1,493$991$640$404$251$142
37 years$1,437$942$599$372$227$127
38 years$1,383$895$561$343$206$113
39 years$1,333$851$526$316$187$100
40 years$1,285$810$493$292$169$89
41 years$1,240$771$462$269$154$79
42 years$1,197$734$433$248$139$70
43 years$1,156$699$407$229$127$63
44 years$1,117$667$382$212$115$56
45 years$1,080$636$358$196$104$50
46 years$1,044$606$337$181$95$44
47 years$1,011$579$316$167$86$39
48 years$978$552$297$154$78$35
49 years$947$528$279$143$71$31
50 years$918$504$263$132$64$28

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $940,000, adding $6,487 every year, while hoping to spend $24,456 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: 75/15/10 Blend
39$940,000$940,000$940,000$940,000
40$1,042,571$992,751$978,181$1,118,406
41$1,122,893$1,015,375$984,929$1,191,902
42$1,210,587$1,038,288$991,084$1,268,694
43$1,306,381$1,061,478$996,599$1,352,160
44$1,411,073$1,084,932$1,001,427$1,442,954
45$1,525,545$1,108,636$1,005,517$1,541,796
46$1,650,765$1,132,573$1,008,816$1,649,478
47$1,787,800$1,156,726$1,011,268$1,766,875
48$1,937,825$1,181,076$1,012,816$1,894,949
49$2,102,135$1,205,600$1,013,396$2,034,758
50$2,282,154$1,230,275$1,012,946$2,187,471
51$2,479,451$1,255,076$1,011,397$2,354,374
52$2,695,754$1,279,974$1,008,678$2,536,883
53$2,932,968$1,304,940$1,004,716$2,736,560
54$3,193,188$1,329,939$999,431$2,955,123
55$3,478,724$1,354,937$992,743$3,194,467
56$3,792,119$1,379,895$984,566$3,456,681
57$4,136,176$1,404,770$974,809$3,744,063
58$4,513,980$1,429,518$963,379$4,059,148
59$4,928,931$1,454,089$950,177$4,404,728
60$5,384,775$1,478,432$935,101$4,783,881
61$5,885,637$1,502,491$918,042$5,199,995
62$6,436,063$1,526,204$898,888$5,656,806
63$7,041,060$1,549,507$877,519$6,158,432
64$7,706,146$1,572,330$853,814$6,709,408
65$8,437,397$1,594,599$827,641$7,314,732
66$9,241,511$1,616,233$798,866$7,979,913
67$10,125,865$1,637,148$767,348$8,711,020
68$11,098,586$1,657,252$732,937$9,514,741
69$12,168,632$1,676,447$695,481$10,398,449
70$13,345,869$1,694,630$654,816$11,370,264
71$14,641,170$1,711,688$610,774$12,439,138
72$16,066,512$1,727,505$563,178$13,614,934
73$17,635,096$1,741,952$511,844$14,908,524
74$19,361,464$1,754,896$456,580$16,331,885
75$21,261,641$1,766,193$397,182$17,898,219
76$23,353,283$1,775,691$333,443$19,622,073
77$25,655,845$1,783,228$265,140$21,519,479
78$28,190,766$1,788,630$192,047$23,608,105
79$30,981,666$1,791,715$113,922$25,907,421
80$34,054,574$1,792,287$30,517$28,438,882
81$37,438,172$1,790,141$0$31,226,134
82$41,164,062$1,785,054$0$34,301,477
83$45,267,070$1,776,796$0$37,691,266
84$49,785,570$1,765,117$0$41,423,920
85$54,761,846$1,749,755$0$45,534,344
86$60,242,493$1,730,433$0$50,061,008
87$66,278,858$1,706,854$0$55,046,299
88$72,927,518$1,678,707$0$60,536,933
89$80,250,820$1,645,659$0$66,584,385
90$88,317,467$1,607,359$0$73,245,383
91$97,203,165$1,563,436$0$80,582,441
92$106,991,340$1,513,497$0$88,664,447
93$117,773,922$1,457,124$0$97,567,317
94$129,652,217$1,393,877$0$107,374,709
95$142,737,855$1,323,290$0$118,178,814
96$157,153,855$1,244,869$0$130,081,227
97$173,035,773$1,158,093$0$143,193,905
98$190,532,992$1,062,409$0$157,640,226
99$209,810,125$957,236$0$173,556,150
100$231,048,574$841,956$0$191,091,509