Can I retire at age 40 with 1,000,000?

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 $1,000,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.5%
1 years$82,579$81,843$81,126$80,425$79,741$77,625
2 years$40,881$40,119$39,381$38,666$37,972$35,854
3 years$26,983$26,218$25,482$24,774$24,091$22,039
4 years$20,036$19,273$18,545$17,848$17,182$15,210
5 years$15,868$15,111$14,391$13,709$13,061$11,176
6 years$13,091$12,339$11,630$10,963$10,335$8,538
7 years$11,108$10,362$9,665$9,013$8,405$6,697
8 years$9,621$8,882$8,197$7,561$6,973$5,352
9 years$8,466$7,734$7,060$6,440$5,872$4,337
10 years$7,542$6,817$6,155$5,552$5,003$3,553
11 years$6,786$6,069$5,419$4,832$4,303$2,934
12 years$6,157$5,447$4,809$4,238$3,729$2,439
13 years$5,625$4,922$4,296$3,742$3,252$2,039
14 years$5,170$4,474$3,860$3,321$2,850$1,712
15 years$4,775$4,087$3,485$2,962$2,510$1,442
16 years$4,430$3,750$3,160$2,652$2,218$1,218
17 years$4,126$3,454$2,875$2,383$1,967$1,032
18 years$3,857$3,191$2,625$2,148$1,749$876
19 years$3,615$2,958$2,403$1,940$1,559$744
20 years$3,399$2,748$2,205$1,757$1,392$634
21 years$3,203$2,560$2,029$1,595$1,246$540
22 years$3,025$2,390$1,870$1,450$1,117$461
23 years$2,863$2,235$1,726$1,321$1,002$394
24 years$2,714$2,094$1,596$1,205$901$336
25 years$2,578$1,965$1,479$1,100$811$288
26 years$2,453$1,847$1,371$1,006$730$246
27 years$2,336$1,738$1,273$921$658$211
28 years$2,229$1,638$1,184$844$594$180
29 years$2,129$1,545$1,102$774$537$155
30 years$2,036$1,459$1,026$710$485$132
31 years$1,949$1,380$957$652$438$114
32 years$1,867$1,305$893$599$396$97
33 years$1,791$1,236$833$551$359$83
34 years$1,719$1,172$779$507$325$72
35 years$1,652$1,111$728$467$294$61
36 years$1,588$1,055$681$430$267$53
37 years$1,528$1,002$637$396$242$45
38 years$1,472$952$597$365$219$39
39 years$1,418$905$559$337$199$33
40 years$1,367$861$524$310$180$29
41 years$1,319$820$492$286$163$24
42 years$1,273$781$461$264$148$21
43 years$1,230$744$433$244$135$18
44 years$1,188$709$406$225$122$15
45 years$1,149$676$381$208$111$13
46 years$1,111$645$358$192$101$11
47 years$1,075$616$336$178$91$10
48 years$1,041$588$316$164$83$8
49 years$1,008$561$297$152$75$7
50 years$976$536$279$140$69$6

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,000,000, adding $2,577 every year, while hoping to spend $54,671 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: 64/24/12 Blend
39$1,000,000$1,000,000$1,000,000$1,000,000
40$1,104,658$1,051,658$1,036,158$1,172,148
41$1,159,164$1,045,020$1,012,700$1,210,940
42$1,217,397$1,036,224$986,624$1,246,710
43$1,279,679$1,025,107$957,784$1,284,414
44$1,346,365$1,011,496$926,028$1,324,239
45$1,417,842$995,207$891,197$1,366,393
46$1,494,535$976,045$853,125$1,411,105
47$1,576,911$953,804$811,639$1,458,632
48$1,665,482$928,267$766,555$1,509,258
49$1,760,811$899,202$717,684$1,563,298
50$1,863,515$866,364$664,828$1,621,101
51$1,974,272$829,495$607,779$1,683,055
52$2,093,828$788,321$546,320$1,749,590
53$2,223,002$742,552$480,225$1,821,182
54$2,362,693$691,881$409,257$1,898,361
55$2,513,890$635,986$333,169$1,981,711
56$2,677,681$574,523$251,704$2,071,881
57$2,855,260$507,131$164,592$2,169,591
58$3,047,943$433,427$71,552$2,275,635
59$3,257,175$353,007$0$2,390,897
60$3,484,547$265,444$0$2,519,904
61$3,731,807$170,287$0$2,670,194
62$4,000,881$67,061$0$2,833,832
63$4,293,886$0$0$3,012,185
64$4,613,152$0$0$3,218,578
65$4,961,244$0$0$3,462,978
66$5,340,984$0$0$3,729,664
67$5,755,480$0$0$4,020,827
68$6,208,149$0$0$4,338,876
69$6,702,758$0$0$4,686,466
70$7,243,450$0$0$5,066,519
71$7,834,788$0$0$5,482,250
72$8,481,797$0$0$5,937,204
73$9,190,009$0$0$6,435,279
74$9,965,515$0$0$6,980,770
75$10,815,023$0$0$7,578,409
76$11,745,922$0$0$8,233,403
77$12,766,346$0$0$8,951,489
78$13,885,258$0$0$9,738,986
79$15,112,526$0$0$10,602,852
80$16,459,022$0$0$11,550,754
81$17,936,717$0$0$12,591,133
82$19,558,803$0$0$13,733,290
83$21,339,806$0$0$14,987,470
84$23,295,730$0$0$16,364,958
85$25,444,206$0$0$17,878,185
86$27,804,654$0$0$19,540,848
87$30,398,470$0$0$21,368,034
88$33,249,223$0$0$23,376,365
89$36,382,882$0$0$25,584,152
90$39,828,055$0$0$28,011,570
91$43,616,260$0$0$30,680,847
92$47,782,223$0$0$33,616,471
93$52,364,202$0$0$36,845,423
94$57,404,352$0$0$40,397,431
95$62,949,116$0$0$44,305,248
96$69,049,665$0$0$48,604,961
97$75,762,383$0$0$53,336,333
98$83,149,391$0$0$58,543,175
99$91,279,141$0$0$64,273,762
100$100,227,053$0$0$70,581,282