Can I retire at age 40 with 962,000?

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 $962,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.6%
1 years$79,441$78,733$78,043$77,369$76,711$74,645
2 years$39,327$38,595$37,885$37,197$36,529$34,462
3 years$25,958$25,222$24,514$23,832$23,176$21,173
4 years$19,274$18,541$17,840$17,170$16,529$14,605
5 years$15,265$14,536$13,845$13,188$12,565$10,726
6 years$12,593$11,870$11,188$10,547$9,942$8,190
7 years$10,686$9,968$9,298$8,671$8,086$6,420
8 years$9,256$8,545$7,885$7,274$6,708$5,128
9 years$8,144$7,440$6,791$6,196$5,649$4,153
10 years$7,255$6,558$5,921$5,341$4,813$3,399
11 years$6,528$5,838$5,213$4,648$4,140$2,806
12 years$5,923$5,240$4,626$4,077$3,587$2,331
13 years$5,411$4,735$4,133$3,599$3,128$1,947
14 years$4,973$4,304$3,714$3,195$2,742$1,633
15 years$4,594$3,932$3,353$2,849$2,414$1,375
16 years$4,262$3,608$3,040$2,551$2,134$1,161
17 years$3,970$3,322$2,766$2,292$1,892$983
18 years$3,710$3,070$2,525$2,066$1,682$833
19 years$3,478$2,845$2,312$1,867$1,499$708
20 years$3,270$2,644$2,122$1,691$1,339$602
21 years$3,081$2,463$1,951$1,534$1,199$513
22 years$2,910$2,299$1,799$1,395$1,074$437
23 years$2,754$2,150$1,661$1,271$964$373
24 years$2,611$2,015$1,536$1,159$867$319
25 years$2,480$1,891$1,422$1,058$780$272
26 years$2,359$1,777$1,319$968$703$233
27 years$2,248$1,672$1,225$886$633$199
28 years$2,144$1,576$1,139$812$572$170
29 years$2,048$1,486$1,060$744$516$146
30 years$1,958$1,404$987$683$466$125
31 years$1,875$1,327$920$627$422$107
32 years$1,796$1,256$859$576$381$92
33 years$1,723$1,189$802$530$345$78
34 years$1,654$1,127$749$488$312$67
35 years$1,589$1,069$700$449$283$58
36 years$1,528$1,015$655$414$256$49
37 years$1,470$964$613$381$232$42
38 years$1,416$916$574$351$211$36
39 years$1,364$871$538$324$191$31
40 years$1,315$829$504$299$173$27
41 years$1,269$789$473$276$157$23
42 years$1,225$751$444$254$143$20
43 years$1,183$716$416$235$129$17
44 years$1,143$682$391$217$118$14
45 years$1,105$651$367$200$107$12
46 years$1,069$621$345$185$97$11
47 years$1,034$592$324$171$88$9
48 years$1,001$565$304$158$80$8
49 years$969$540$286$146$73$7
50 years$939$516$269$135$66$6

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $962,000, adding $3,788 every year, while hoping to spend $26,890 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: 52/42/6 Blend
39$962,000$962,000$962,000$962,000
40$1,064,031$1,013,045$998,134$1,117,659
41$1,143,952$1,034,074$1,002,961$1,175,480
42$1,231,123$1,055,231$1,007,048$1,235,076
43$1,326,256$1,076,496$1,010,343$1,299,234
44$1,430,133$1,097,844$1,012,789$1,368,390
45$1,543,617$1,119,249$1,014,328$1,443,021
46$1,667,656$1,140,682$1,014,898$1,523,656
47$1,803,295$1,162,113$1,014,434$1,610,875
48$1,951,683$1,183,509$1,012,870$1,705,319
49$2,114,087$1,204,833$1,010,133$1,807,693
50$2,291,901$1,226,047$1,006,150$1,918,775
51$2,486,661$1,247,109$1,000,842$2,039,421
52$2,700,058$1,267,975$994,127$2,170,575
53$2,933,953$1,288,595$985,920$2,313,278
54$3,190,398$1,308,917$976,130$2,468,676
55$3,471,651$1,328,887$964,663$2,638,035
56$3,780,201$1,348,444$951,421$2,822,747
57$4,118,788$1,367,525$936,300$3,024,349
58$4,490,431$1,386,060$919,193$3,244,532
59$4,898,454$1,403,976$899,985$3,485,164
60$5,346,521$1,421,195$878,559$3,748,301
61$5,838,666$1,437,634$854,790$4,036,211
62$6,379,334$1,453,202$828,550$4,351,394
63$6,973,421$1,467,804$799,701$4,696,605
64$7,626,322$1,481,338$768,104$5,074,882
65$8,343,980$1,493,697$733,608$5,489,574
66$9,132,942$1,504,764$696,060$5,944,371
67$10,000,421$1,514,417$655,297$6,443,345
68$10,954,365$1,522,523$611,150$6,990,979
69$12,003,528$1,528,945$563,442$7,592,220
70$13,157,559$1,533,534$511,988$8,252,519
71$14,427,085$1,536,133$456,594$8,977,886
72$15,823,818$1,536,573$397,060$9,774,945
73$17,360,660$1,534,678$333,175$10,650,999
74$19,051,829$1,530,259$264,718$11,614,098
75$20,912,989$1,523,115$191,459$12,673,117
76$22,961,400$1,513,034$113,160$13,837,837
77$25,216,081$1,499,791$29,569$15,119,043
78$27,697,987$1,483,146$0$16,528,622
79$30,430,208$1,462,847$0$18,083,494
80$33,438,187$1,438,624$0$19,796,554
81$36,749,959$1,410,193$0$21,681,847
82$40,396,415$1,377,253$0$23,756,942
83$44,411,596$1,339,485$0$26,041,205
84$48,833,010$1,296,551$0$28,555,981
85$53,701,988$1,248,093$0$31,324,797
86$59,064,074$1,193,733$0$34,373,585
87$64,969,454$1,133,070$0$37,730,927
88$71,473,429$1,065,682$0$41,428,326
89$78,636,938$991,120$0$45,500,505
90$86,527,132$908,910$0$49,985,737
91$95,218,006$818,554$0$54,926,202
92$104,791,100$719,520$0$60,368,393
93$115,336,267$611,251$0$66,363,554
94$126,952,519$493,156$0$72,968,162
95$139,748,966$364,610$0$80,244,467
96$153,845,840$224,956$0$88,261,077
97$169,375,633$73,496$0$97,093,607
98$186,484,347$0$0$106,825,399
99$205,332,871$0$0$117,590,135
100$226,098,498$0$0$129,487,345