Can I retire at age 40 with 995,000?

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 $995,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.3%
1 years$82,166$81,434$80,720$80,023$79,343$77,614
2 years$40,676$39,919$39,185$38,473$37,782$36,049
3 years$26,848$26,087$25,355$24,650$23,971$22,287
4 years$19,935$19,177$18,452$17,759$17,096$15,476
5 years$15,789$15,035$14,319$13,640$12,996$11,443
6 years$13,025$12,277$11,572$10,908$10,283$8,799
7 years$11,052$10,310$9,617$8,968$8,363$6,949
8 years$9,573$8,838$8,156$7,523$6,938$5,592
9 years$8,423$7,695$7,024$6,408$5,843$4,565
10 years$7,504$6,783$6,124$5,524$4,978$3,767
11 years$6,752$6,038$5,392$4,808$4,282$3,135
12 years$6,126$5,420$4,785$4,217$3,710$2,627
13 years$5,597$4,898$4,275$3,723$3,235$2,214
14 years$5,144$4,452$3,841$3,305$2,836$1,873
15 years$4,751$4,067$3,468$2,947$2,497$1,592
16 years$4,408$3,731$3,144$2,639$2,207$1,356
17 years$4,106$3,436$2,861$2,371$1,957$1,159
18 years$3,837$3,175$2,612$2,137$1,740$992
19 years$3,597$2,943$2,391$1,931$1,551$851
20 years$3,382$2,735$2,194$1,749$1,385$731
21 years$3,187$2,547$2,018$1,587$1,240$629
22 years$3,010$2,378$1,860$1,443$1,111$542
23 years$2,849$2,224$1,718$1,314$997$467
24 years$2,701$2,084$1,588$1,199$897$403
25 years$2,565$1,955$1,471$1,095$807$348
26 years$2,440$1,838$1,365$1,001$727$301
27 years$2,325$1,730$1,267$916$655$260
28 years$2,218$1,630$1,178$839$591$225
29 years$2,118$1,537$1,096$770$534$194
30 years$2,025$1,452$1,021$706$482$168
31 years$1,939$1,373$952$649$436$146
32 years$1,858$1,299$888$596$394$126
33 years$1,782$1,230$829$548$357$109
34 years$1,711$1,166$775$504$323$95
35 years$1,644$1,106$724$464$293$82
36 years$1,580$1,049$678$428$265$71
37 years$1,521$997$634$394$240$62
38 years$1,464$947$594$363$218$53
39 years$1,411$901$556$335$198$46
40 years$1,360$857$522$309$179$40
41 years$1,312$816$489$285$163$35
42 years$1,267$777$459$263$148$30
43 years$1,223$740$430$243$134$26
44 years$1,182$706$404$224$122$23
45 years$1,143$673$379$207$110$20
46 years$1,105$642$356$191$100$17
47 years$1,070$613$335$177$91$15
48 years$1,035$585$315$163$83$13
49 years$1,003$558$296$151$75$11
50 years$971$533$278$139$68$10

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $995,000, adding $2,426 every year, while hoping to spend $37,884 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: 79/15/6 Blend
39$995,000$995,000$995,000$995,000
40$1,098,992$1,046,257$1,030,835$1,185,086
41$1,170,781$1,057,216$1,025,060$1,252,801
42$1,248,623$1,067,441$1,017,821$1,321,843
43$1,333,095$1,076,858$1,009,030$1,396,437
44$1,424,832$1,085,386$998,594$1,477,117
45$1,524,533$1,092,937$986,415$1,564,473
46$1,632,965$1,099,422$972,390$1,659,152
47$1,750,976$1,104,741$956,413$1,761,869
48$1,879,493$1,108,792$938,371$1,873,410
49$2,019,542$1,111,463$918,147$1,994,643
50$2,172,249$1,112,638$895,619$2,126,520
51$2,338,854$1,112,193$870,657$2,270,096
52$2,520,720$1,109,994$843,128$2,426,528
53$2,719,351$1,105,901$812,890$2,597,094
54$2,936,401$1,099,766$779,797$2,783,201
55$3,173,689$1,091,429$743,696$2,986,399
56$3,433,220$1,080,724$704,425$3,208,399
57$3,717,202$1,067,473$661,816$3,451,082
58$4,028,064$1,051,487$615,695$3,716,525
59$4,368,483$1,032,567$565,877$4,007,014
60$4,741,406$1,010,500$512,171$4,325,070
61$5,150,078$985,063$454,378$4,673,472
62$5,598,074$956,019$392,287$5,055,280
63$6,089,330$923,116$325,681$5,473,869
64$6,628,182$886,089$254,332$5,932,958
65$7,219,406$844,657$178,002$6,436,646
66$7,868,261$798,522$96,441$6,989,451
67$8,580,544$747,369$9,391$7,596,350
68$9,362,635$690,865$0$8,262,833
69$10,221,565$628,660$0$9,000,293
70$11,165,082$560,381$0$9,811,040
71$12,201,715$485,634$0$10,701,838
72$13,340,866$404,006$0$11,680,806
73$14,592,889$315,057$0$12,756,889
74$15,969,193$218,325$0$13,939,946
75$17,482,347$113,319$0$15,240,844
76$19,146,197$0$0$16,671,555
77$20,976,002$0$0$18,245,355
78$22,988,568$0$0$19,996,953
79$25,202,415$0$0$21,923,767
80$27,637,950$0$0$24,043,560
81$30,317,652$0$0$26,375,905
82$33,266,295$0$0$28,942,366
83$36,511,170$0$0$31,766,703
84$40,082,352$0$0$34,875,098
85$44,012,976$0$0$38,296,397
86$48,339,554$0$0$42,062,386
87$53,102,316$0$0$46,208,088
88$58,345,592$0$0$50,772,095
89$64,118,227$0$0$55,796,930
90$70,474,045$0$0$61,329,450
91$77,472,353$0$0$67,421,286
92$85,178,502$0$0$74,129,330
93$93,664,503$0$0$81,516,274
94$103,009,707$0$0$89,651,197
95$113,301,551$0$0$98,610,220
96$124,636,386$0$0$108,477,224
97$137,120,384$0$0$119,344,638
98$150,870,539$0$0$131,314,315
99$166,015,772$0$0$144,498,489
100$182,698,147$0$0$159,020,838