Can I retire at age 40 with 945,000?

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 $945,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14%
1 years$78,037$77,342$76,664$76,002$75,356$74,107
2 years$38,632$37,913$37,215$36,539$35,884$34,630
3 years$25,499$24,776$24,081$23,411$22,766$21,545
4 years$18,934$18,213$17,525$16,866$16,237$15,059
5 years$14,996$14,279$13,600$12,955$12,343$11,211
6 years$12,371$11,660$10,991$10,360$9,767$8,682
7 years$10,497$9,792$9,133$8,518$7,943$6,906
8 years$9,092$8,394$7,746$7,145$6,589$5,600
9 years$8,000$7,308$6,671$6,086$5,549$4,607
10 years$7,127$6,442$5,816$5,246$4,728$3,832
11 years$6,413$5,735$5,121$4,566$4,066$3,216
12 years$5,818$5,147$4,544$4,005$3,524$2,717
13 years$5,316$4,652$4,060$3,536$3,073$2,309
14 years$4,885$4,228$3,648$3,139$2,694$1,972
15 years$4,513$3,863$3,294$2,799$2,372$1,690
16 years$4,187$3,544$2,986$2,506$2,096$1,454
17 years$3,900$3,264$2,717$2,252$1,859$1,254
18 years$3,645$3,016$2,481$2,029$1,653$1,084
19 years$3,417$2,795$2,271$1,834$1,473$938
20 years$3,212$2,597$2,084$1,661$1,316$814
21 years$3,027$2,419$1,917$1,507$1,177$707
22 years$2,859$2,258$1,767$1,370$1,055$615
23 years$2,705$2,112$1,631$1,248$947$536
24 years$2,565$1,979$1,509$1,138$852$467
25 years$2,436$1,857$1,397$1,040$766$407
26 years$2,318$1,745$1,296$951$690$356
27 years$2,208$1,643$1,203$870$622$311
28 years$2,106$1,548$1,119$797$561$272
29 years$2,012$1,460$1,041$731$507$237
30 years$1,924$1,379$970$671$458$208
31 years$1,841$1,304$904$616$414$182
32 years$1,764$1,233$843$566$375$159
33 years$1,692$1,168$788$521$339$139
34 years$1,625$1,107$736$479$307$122
35 years$1,561$1,050$688$441$278$107
36 years$1,501$997$644$406$252$94
37 years$1,444$947$602$374$228$82
38 years$1,391$900$564$345$207$72
39 years$1,340$855$529$318$188$63
40 years$1,292$814$495$293$170$55
41 years$1,246$775$464$271$154$48
42 years$1,203$738$436$250$140$42
43 years$1,162$703$409$231$127$37
44 years$1,123$670$384$213$115$33
45 years$1,085$639$360$197$105$29
46 years$1,050$610$338$182$95$25
47 years$1,016$582$318$168$86$22
48 years$983$555$299$155$78$19
49 years$952$530$281$143$71$17
50 years$923$507$264$132$65$15

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $945,000, adding $5,473 every year, while hoping to spend $52,709 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: 75/13/12 Blend
39$945,000$945,000$945,000$945,000
40$1,047,035$996,950$982,303$1,122,664
41$1,097,751$989,719$959,128$1,166,083
42$1,151,873$980,367$933,410$1,206,504
43$1,209,693$968,734$905,009$1,249,342
44$1,271,532$954,651$873,776$1,294,821
45$1,337,739$937,940$839,558$1,343,187
46$1,408,699$918,410$802,194$1,394,712
47$1,484,834$895,860$761,516$1,449,697
48$1,566,607$870,077$717,347$1,508,473
49$1,654,526$840,836$669,503$1,571,408
50$1,749,149$807,898$617,792$1,638,905
51$1,851,088$771,011$562,014$1,711,413
52$1,961,016$729,907$501,958$1,789,424
53$2,079,671$684,305$437,406$1,873,484
54$2,207,866$633,904$368,128$1,964,195
55$2,346,494$578,391$293,885$2,062,222
56$2,496,534$517,430$214,428$2,168,300
57$2,659,065$450,669$129,496$2,283,239
58$2,835,273$377,735$38,818$2,407,935
59$3,026,461$298,234$0$2,543,377
60$3,234,063$211,750$0$2,698,076
61$3,459,656$117,844$0$2,871,604
62$3,704,975$16,052$0$3,060,357
63$3,971,927$0$0$3,265,843
64$4,262,614$0$0$3,503,193
65$4,579,345$0$0$3,764,346
66$4,924,665$0$0$4,049,108
67$5,301,371$0$0$4,359,790
68$5,712,544$0$0$4,698,938
69$6,161,576$0$0$5,069,355
70$6,652,199$0$0$5,474,124
71$7,188,523$0$0$5,916,642
72$7,775,073$0$0$6,400,649
73$8,416,830$0$0$6,930,260
74$9,119,281$0$0$7,510,008
75$9,888,466$0$0$8,144,887
76$10,731,037$0$0$8,840,392
77$11,654,319$0$0$9,602,577
78$12,666,380$0$0$10,438,110
79$13,776,107$0$0$11,354,333
80$14,993,285$0$0$12,359,334
81$16,328,693$0$0$13,462,022
82$17,794,205$0$0$14,672,208
83$19,402,899$0$0$16,000,700
84$21,169,181$0$0$17,459,405
85$23,108,919$0$0$19,061,436
86$25,239,597$0$0$20,821,241
87$27,580,470$0$0$22,754,735
88$30,152,756$0$0$24,879,453
89$32,979,826$0$0$27,214,709
90$36,087,428$0$0$29,781,785
91$39,503,932$0$0$32,604,124
92$43,260,590$0$0$35,707,556
93$47,391,835$0$0$39,120,540
94$51,935,605$0$0$42,874,429
95$56,933,699$0$0$47,003,767
96$62,432,169$0$0$51,546,617
97$68,481,757$0$0$56,544,914
98$75,138,371$0$0$62,044,864
99$82,463,610$0$0$68,097,379
100$90,525,350$0$0$74,758,555