Can I retire at age 40 with 950,000?

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 $950,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.8%
1 years$78,450$77,751$77,070$76,404$75,754$74,870
2 years$38,837$38,113$37,412$36,733$36,073$35,183
3 years$25,634$24,908$24,208$23,535$22,887$22,018
4 years$19,034$18,310$17,617$16,956$16,323$15,483
5 years$15,075$14,355$13,672$13,024$12,408$11,599
6 years$12,436$11,722$11,049$10,415$9,818$9,041
7 years$10,552$9,844$9,182$8,563$7,985$7,240
8 years$9,140$8,438$7,787$7,183$6,624$5,912
9 years$8,042$7,347$6,707$6,118$5,579$4,898
10 years$7,165$6,476$5,847$5,274$4,753$4,104
11 years$6,447$5,765$5,148$4,590$4,088$3,470
12 years$5,849$5,175$4,568$4,026$3,543$2,955
13 years$5,344$4,676$4,082$3,554$3,089$2,531
14 years$4,911$4,251$3,667$3,155$2,708$2,178
15 years$4,536$3,883$3,311$2,814$2,384$1,883
16 years$4,209$3,563$3,002$2,520$2,107$1,633
17 years$3,920$3,281$2,732$2,264$1,868$1,420
18 years$3,664$3,032$2,494$2,040$1,661$1,238
19 years$3,435$2,810$2,283$1,843$1,481$1,082
20 years$3,229$2,611$2,095$1,670$1,323$947
21 years$3,043$2,432$1,927$1,515$1,184$830
22 years$2,874$2,270$1,776$1,378$1,061$729
23 years$2,720$2,123$1,640$1,255$952$640
24 years$2,579$1,989$1,517$1,144$856$564
25 years$2,449$1,867$1,405$1,045$770$496
26 years$2,330$1,755$1,303$956$694$437
27 years$2,220$1,651$1,210$875$626$386
28 years$2,117$1,556$1,125$801$564$340
29 years$2,022$1,468$1,047$735$510$301
30 years$1,934$1,386$975$674$461$266
31 years$1,851$1,311$909$619$416$235
32 years$1,774$1,240$848$569$377$207
33 years$1,701$1,174$792$523$341$183
34 years$1,633$1,113$740$482$309$162
35 years$1,569$1,056$692$443$280$144
36 years$1,509$1,002$647$408$253$127
37 years$1,452$952$606$376$230$112
38 years$1,398$904$567$347$208$100
39 years$1,347$860$531$320$189$88
40 years$1,299$818$498$295$171$78
41 years$1,253$779$467$272$155$69
42 years$1,209$742$438$251$141$61
43 years$1,168$707$411$232$128$54
44 years$1,129$674$386$214$116$48
45 years$1,091$642$362$198$105$43
46 years$1,055$613$340$183$96$38
47 years$1,021$585$320$169$87$33
48 years$989$558$300$156$79$30
49 years$957$533$282$144$72$26
50 years$928$509$265$133$65$23

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $950,000, adding $3,351 every year, while hoping to spend $25,143 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: 44/32/24 Blend
39$950,000$950,000$950,000$950,000
40$1,050,357$1,000,007$985,282$1,089,131
41$1,130,741$1,022,255$991,537$1,139,200
42$1,218,482$1,044,751$997,158$1,190,748
43$1,314,303$1,067,480$1,002,099$1,246,124
44$1,419,002$1,090,426$1,006,309$1,305,699
45$1,533,454$1,113,571$1,009,735$1,369,877
46$1,658,627$1,136,897$1,012,322$1,439,108
47$1,795,584$1,160,381$1,014,011$1,513,886
48$1,945,495$1,184,002$1,014,742$1,594,754
49$2,109,650$1,207,732$1,014,451$1,682,315
50$2,289,469$1,231,546$1,013,069$1,777,231
51$2,486,516$1,255,412$1,010,528$1,880,232
52$2,702,512$1,279,299$1,006,752$1,992,125
53$2,939,354$1,303,171$1,001,664$2,113,798
54$3,199,132$1,326,990$995,184$2,246,231
55$3,484,146$1,350,715$987,225$2,390,505
56$3,796,930$1,374,301$977,698$2,547,811
57$4,140,277$1,397,701$966,511$2,719,465
58$4,517,260$1,420,864$953,565$2,906,916
59$4,931,269$1,443,735$938,757$3,111,763
60$5,386,033$1,466,253$921,980$3,335,768
61$5,885,665$1,488,355$903,123$3,580,875
62$6,434,692$1,509,974$882,066$3,849,229
63$7,038,103$1,531,035$858,689$4,143,193
64$7,701,395$1,551,462$832,860$4,465,375
65$8,430,624$1,571,169$804,447$4,818,649
66$9,232,459$1,590,068$773,308$5,206,185
67$10,114,252$1,608,064$739,296$5,631,479
68$11,084,101$1,625,054$702,257$6,098,385
69$12,150,927$1,640,930$662,031$6,611,152
70$13,324,562$1,655,575$618,449$7,174,468
71$14,615,835$1,668,866$571,335$7,793,498
72$16,036,682$1,680,673$520,506$8,473,941
73$17,600,251$1,690,853$465,771$9,222,076
74$19,321,031$1,699,259$406,928$10,044,830
75$21,214,985$1,705,732$343,770$10,949,839
76$23,299,704$1,710,103$276,076$11,945,520
77$25,594,569$1,712,193$203,620$13,041,154
78$28,120,936$1,711,812$126,163$14,246,976
79$30,902,339$1,708,758$43,456$15,574,264
80$33,964,705$1,702,815$0$17,035,456
81$37,336,609$1,693,756$0$18,655,738
82$41,049,533$1,681,340$0$20,451,370
83$45,138,170$1,665,311$0$22,427,948
84$49,640,748$1,645,395$0$24,603,916
85$54,599,391$1,621,306$0$26,999,603
86$60,060,517$1,592,739$0$29,637,412
87$66,075,275$1,559,369$0$32,542,036
88$72,700,030$1,520,854$0$35,740,689
89$79,996,889$1,476,832$0$39,263,363
90$88,034,294$1,426,919$0$43,143,115
91$96,887,662$1,370,709$0$47,416,376
92$106,640,101$1,307,771$0$52,123,299
93$117,383,191$1,237,650$0$57,308,135
94$129,217,848$1,159,867$0$63,019,655
95$142,255,279$1,073,912$0$69,311,608
96$156,618,031$979,247$0$76,243,235
97$172,441,144$875,304$0$83,879,822
98$189,873,429$761,482$0$92,293,322
99$209,078,871$637,146$0$101,563,034
100$230,238,175$501,626$0$111,776,352