Can I retire at age 40 with 982,000?

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 $982,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.5%
1 years$81,093$80,370$79,666$78,978$78,306$75,318
2 years$40,145$39,397$38,673$37,970$37,289$34,314
3 years$26,497$25,747$25,024$24,328$23,657$20,789
4 years$19,675$18,926$18,211$17,527$16,873$14,132
5 years$15,583$14,839$14,132$13,462$12,826$10,221
6 years$12,855$12,117$11,421$10,766$10,149$7,681
7 years$10,908$10,176$9,491$8,851$8,254$5,922
8 years$9,448$8,722$8,049$7,425$6,847$4,650
9 years$8,313$7,594$6,933$6,325$5,767$3,700
10 years$7,406$6,694$6,044$5,452$4,913$2,974
11 years$6,664$5,959$5,321$4,745$4,226$2,409
12 years$6,046$5,349$4,722$4,162$3,662$1,963
13 years$5,524$4,834$4,219$3,674$3,193$1,608
14 years$5,077$4,394$3,791$3,262$2,799$1,322
15 years$4,689$4,014$3,423$2,909$2,465$1,090
16 years$4,351$3,683$3,103$2,604$2,178$901
17 years$4,052$3,392$2,824$2,340$1,931$747
18 years$3,787$3,134$2,578$2,109$1,717$620
19 years$3,550$2,904$2,360$1,906$1,531$515
20 years$3,338$2,699$2,166$1,726$1,367$429
21 years$3,145$2,514$1,992$1,566$1,223$357
22 years$2,971$2,347$1,836$1,424$1,097$298
23 years$2,811$2,195$1,695$1,297$984$248
24 years$2,666$2,056$1,568$1,183$885$207
25 years$2,532$1,930$1,452$1,080$796$173
26 years$2,408$1,814$1,347$988$717$144
27 years$2,294$1,707$1,251$904$647$121
28 years$2,189$1,608$1,163$828$583$101
29 years$2,090$1,517$1,082$760$527$84
30 years$1,999$1,433$1,008$697$476$70
31 years$1,913$1,355$939$640$430$59
32 years$1,834$1,282$877$588$389$49
33 years$1,759$1,214$818$541$352$41
34 years$1,688$1,150$765$498$319$34
35 years$1,622$1,091$715$458$289$29
36 years$1,560$1,036$669$422$262$24
37 years$1,501$984$626$389$237$20
38 years$1,445$935$586$358$215$17
39 years$1,392$889$549$331$195$14
40 years$1,343$846$515$305$177$12
41 years$1,295$805$483$281$161$10
42 years$1,250$767$453$260$146$8
43 years$1,207$731$425$240$132$7
44 years$1,167$696$399$221$120$6
45 years$1,128$664$374$204$109$5
46 years$1,091$633$352$189$99$4
47 years$1,056$605$330$174$90$3
48 years$1,022$577$311$161$82$3
49 years$990$551$292$149$74$2
50 years$959$526$274$138$67$2

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $982,000, adding $3,803 every year, while hoping to spend $58,034 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: 69/19/12 Blend
39$982,000$982,000$982,000$982,000
40$1,086,087$1,034,041$1,018,820$1,157,959
41$1,135,120$1,022,961$991,203$1,195,107
42$1,187,209$1,009,393$960,715$1,228,392
43$1,242,606$993,155$927,200$1,263,289
44$1,301,583$974,051$890,492$1,299,947
45$1,364,441$951,876$850,421$1,338,533
46$1,431,509$926,412$806,804$1,379,230
47$1,503,146$897,430$759,456$1,422,243
48$1,579,747$864,684$708,178$1,467,799
49$1,661,745$827,918$652,766$1,516,151
50$1,749,614$786,857$593,005$1,567,578
51$1,843,875$741,213$528,670$1,622,391
52$1,945,098$690,680$459,528$1,680,934
53$2,053,909$634,934$385,334$1,743,589
54$2,170,997$573,636$305,832$1,810,779
55$2,297,118$506,423$220,756$1,882,975
56$2,433,100$432,913$129,827$1,960,696
57$2,579,855$352,705$32,755$2,044,520
58$2,738,384$265,371$0$2,135,085
59$2,909,788$170,463$0$2,242,170
60$3,095,276$67,505$0$2,362,553
61$3,296,177$0$0$2,492,948
62$3,513,953$0$0$2,643,561
63$3,750,212$0$0$2,822,314
64$4,006,722$0$0$3,016,436
65$4,285,425$0$0$3,227,406
66$4,588,463$0$0$3,456,848
67$4,918,186$0$0$3,706,551
68$5,277,185$0$0$3,978,483
69$5,668,308$0$0$4,274,808
70$6,094,691$0$0$4,597,910
71$6,559,783$0$0$4,950,411
72$7,067,383$0$0$5,335,199
73$7,621,671$0$0$5,755,449
74$8,227,249$0$0$6,214,661
75$8,889,183$0$0$6,716,685
76$9,613,051$0$0$7,265,762
77$10,404,994$0$0$7,866,560
78$11,271,775$0$0$8,524,220
79$12,220,841$0$0$9,244,402
80$13,260,390$0$0$10,033,340
81$14,399,453$0$0$10,897,898
82$15,647,976$0$0$11,845,639
83$17,016,911$0$0$12,884,887
84$18,518,323$0$0$14,024,816
85$20,165,497$0$0$15,275,526
86$21,973,069$0$0$16,648,143
87$23,957,161$0$0$18,154,925
88$26,135,530$0$0$19,809,372
89$28,527,736$0$0$21,626,356
90$31,155,328$0$0$23,622,259
91$34,042,045$0$0$25,815,130
92$37,214,036$0$0$28,224,851
93$40,700,110$0$0$30,873,326
94$44,532,007$0$0$33,784,686
95$48,744,693$0$0$36,985,516
96$53,376,691$0$0$40,505,107
97$58,470,444$0$0$44,375,729
98$64,072,714$0$0$48,632,936
99$70,235,021$0$0$53,315,901
100$77,014,131$0$0$58,467,784