Can I retire at age 40 with 992,000?

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 $992,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.4%
1 years$81,918$81,189$80,477$79,782$79,103$77,986
2 years$40,554$39,798$39,066$38,357$37,668$36,544
3 years$26,767$26,009$25,279$24,576$23,898$22,803
4 years$19,875$19,119$18,396$17,705$17,044$15,986
5 years$15,741$14,990$14,276$13,599$12,957$11,939
6 years$12,986$12,240$11,537$10,876$10,252$9,276
7 years$11,019$10,279$9,588$8,941$8,338$7,403
8 years$9,544$8,811$8,131$7,501$6,917$6,024
9 years$8,398$7,672$7,003$6,389$5,825$4,974
10 years$7,481$6,762$6,106$5,507$4,963$4,152
11 years$6,732$6,020$5,375$4,793$4,269$3,497
12 years$6,108$5,403$4,770$4,204$3,699$2,967
13 years$5,580$4,883$4,262$3,712$3,226$2,531
14 years$5,128$4,439$3,829$3,295$2,828$2,170
15 years$4,737$4,055$3,458$2,938$2,490$1,868
16 years$4,395$3,720$3,135$2,631$2,200$1,613
17 years$4,093$3,426$2,852$2,364$1,951$1,397
18 years$3,826$3,166$2,604$2,130$1,735$1,213
19 years$3,587$2,934$2,384$1,925$1,546$1,055
20 years$3,371$2,726$2,188$1,743$1,381$919
21 years$3,177$2,540$2,012$1,582$1,236$802
22 years$3,001$2,371$1,855$1,439$1,108$701
23 years$2,840$2,217$1,712$1,310$994$613
24 years$2,693$2,077$1,584$1,195$894$537
25 years$2,558$1,950$1,467$1,091$804$471
26 years$2,433$1,832$1,360$998$725$413
27 years$2,318$1,724$1,263$913$653$363
28 years$2,211$1,625$1,174$837$589$318
29 years$2,112$1,533$1,093$767$532$280
30 years$2,019$1,448$1,018$704$481$246
31 years$1,933$1,368$949$647$435$216
32 years$1,852$1,295$885$594$393$190
33 years$1,777$1,226$827$547$356$167
34 years$1,705$1,162$772$503$322$147
35 years$1,639$1,102$722$463$292$130
36 years$1,576$1,046$676$426$264$114
37 years$1,516$994$632$393$240$101
38 years$1,460$944$592$362$217$89
39 years$1,407$898$555$334$197$78
40 years$1,356$854$520$308$179$69
41 years$1,308$813$488$284$162$61
42 years$1,263$775$457$262$147$53
43 years$1,220$738$429$242$134$47
44 years$1,179$703$403$224$121$41
45 years$1,139$671$378$206$110$37
46 years$1,102$640$355$191$100$32
47 years$1,066$611$334$176$91$28
48 years$1,032$583$314$163$82$25
49 years$1,000$557$295$150$75$22
50 years$969$532$277$139$68$19

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $992,000, adding $3,875 every year, while hoping to spend $35,192 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: 85/7/8 Blend
39$992,000$992,000$992,000$992,000
40$1,097,181$1,044,605$1,029,229$1,189,161
41$1,171,650$1,058,347$1,026,264$1,263,525
42$1,252,534$1,071,582$1,022,021$1,340,020
43$1,340,453$1,084,250$1,016,418$1,422,953
44$1,436,084$1,096,283$1,009,373$1,512,949
45$1,540,175$1,107,611$1,000,797$1,610,694
46$1,653,548$1,118,159$990,599$1,716,945
47$1,777,107$1,127,847$978,682$1,832,537
48$1,911,849$1,136,588$964,945$1,958,388
49$2,058,869$1,144,293$949,282$2,095,509
50$2,219,374$1,150,863$931,583$2,245,013
51$2,394,691$1,156,196$911,732$2,408,127
52$2,586,282$1,160,182$889,607$2,586,203
53$2,795,756$1,162,704$865,083$2,780,729
54$3,024,885$1,163,639$838,025$2,993,344
55$3,275,620$1,162,854$808,295$3,225,856
56$3,550,109$1,160,210$775,749$3,480,254
57$3,850,718$1,155,558$740,235$3,758,731
58$4,180,052$1,148,741$701,593$4,063,702
59$4,540,980$1,139,591$659,659$4,397,830
60$4,936,660$1,127,932$614,258$4,764,045
61$5,370,575$1,113,575$565,211$5,165,581
62$5,846,555$1,096,322$512,327$5,605,995
63$6,368,822$1,075,961$455,409$6,089,212
64$6,942,028$1,052,269$394,251$6,619,554
65$7,571,294$1,025,009$328,637$7,201,784
66$8,262,261$993,930$258,342$7,841,150
67$9,021,147$958,767$183,131$8,543,435
68$9,854,796$919,239$102,759$9,315,012
69$10,770,754$875,050$16,969$10,162,904
70$11,777,328$825,885$0$11,094,850
71$12,883,673$771,411$0$12,125,743
72$14,099,874$711,277$0$13,260,574
73$15,437,044$645,112$0$14,508,273
74$16,907,423$572,522$0$15,880,279
75$18,524,498$493,094$0$17,389,193
76$20,303,128$406,388$0$19,048,905
77$22,259,687$311,941$0$20,874,713
78$24,412,213$209,263$0$22,883,481
79$26,780,580$97,839$0$25,093,787
80$29,386,688$0$0$27,526,102
81$32,254,666$0$0$30,204,750
82$35,411,099$0$0$33,161,123
83$38,885,281$0$0$36,415,123
84$42,709,491$0$0$39,996,986
85$46,919,295$0$0$43,940,026
86$51,553,882$0$0$48,280,951
87$56,656,434$0$0$53,060,211
88$62,274,535$0$0$58,322,375
89$68,460,615$0$0$64,116,555
90$75,272,448$0$0$70,496,869
91$82,773,698$0$0$77,522,948
92$91,034,514$0$0$85,260,502
93$100,132,196$0$0$93,781,938
94$110,151,926$0$0$103,167,044
95$121,187,565$0$0$113,503,741
96$133,342,543$0$0$124,888,911
97$146,730,835$0$0$137,429,313
98$161,478,035$0$0$151,242,591
99$177,722,540$0$0$166,458,381
100$195,616,857$0$0$183,219,537