Can I retire at age 40 with 1,120,000?

Use the below retirement simulation to view the chances of a successful retirement.
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 $1,120,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.3%
1 years$92,489$91,665$90,861$90,076$89,310$88,085
2 years$45,786$44,934$44,107$43,306$42,529$41,296
3 years$30,221$29,365$28,540$27,747$26,982$25,781
4 years$22,440$21,586$20,770$19,990$19,244$18,083
5 years$17,772$16,924$16,118$15,354$14,629$13,512
6 years$14,662$13,820$13,026$12,279$11,575$10,504
7 years$12,441$11,606$10,825$10,095$9,414$8,388
8 years$10,776$9,948$9,180$8,469$7,810$6,829
9 years$9,482$8,662$7,907$7,213$6,577$5,642
10 years$8,447$7,635$6,893$6,218$5,604$4,713
11 years$7,601$6,797$6,069$5,411$4,819$3,972
12 years$6,896$6,100$5,386$4,747$4,176$3,372
13 years$6,300$5,513$4,812$4,191$3,642$2,879
14 years$5,790$5,011$4,324$3,720$3,193$2,469
15 years$5,348$4,578$3,904$3,317$2,811$2,127
16 years$4,962$4,200$3,539$2,970$2,484$1,838
17 years$4,622$3,868$3,221$2,669$2,203$1,593
18 years$4,319$3,574$2,940$2,405$1,959$1,384
19 years$4,049$3,313$2,691$2,173$1,746$1,205
20 years$3,807$3,078$2,470$1,968$1,559$1,051
21 years$3,587$2,867$2,272$1,786$1,395$918
22 years$3,388$2,677$2,094$1,624$1,251$803
23 years$3,206$2,503$1,933$1,479$1,123$703
24 years$3,040$2,345$1,788$1,349$1,009$616
25 years$2,888$2,201$1,656$1,232$908$540
26 years$2,747$2,069$1,536$1,127$818$474
27 years$2,617$1,947$1,426$1,031$737$417
28 years$2,496$1,834$1,326$945$665$366
29 years$2,384$1,731$1,234$866$601$322
30 years$2,280$1,634$1,149$795$543$283
31 years$2,182$1,545$1,071$730$491$249
32 years$2,091$1,462$1,000$671$444$220
33 years$2,006$1,384$933$617$402$193
34 years$1,925$1,312$872$568$364$170
35 years$1,850$1,245$815$523$330$150
36 years$1,779$1,181$763$481$299$132
37 years$1,712$1,122$714$444$271$117
38 years$1,648$1,066$669$409$245$103
39 years$1,588$1,014$626$377$222$91
40 years$1,531$965$587$348$202$80
41 years$1,477$918$551$321$183$70
42 years$1,426$874$516$296$166$62
43 years$1,377$833$485$273$151$55
44 years$1,331$794$455$252$137$48
45 years$1,286$757$427$233$124$43
46 years$1,244$723$401$215$113$38
47 years$1,204$689$377$199$102$33
48 years$1,166$658$354$184$93$29
49 years$1,129$629$333$170$84$26
50 years$1,094$600$313$157$77$23

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,120,000, adding $3,675 every year, while hoping to spend $48,369 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: 68/13/19 Blend
39$1,120,000$1,120,000$1,120,000$1,120,000
40$1,238,031$1,178,671$1,161,311$1,316,196
41$1,312,846$1,184,961$1,148,750$1,375,187
42$1,393,671$1,189,939$1,134,148$1,433,698
43$1,481,067$1,193,489$1,117,385$1,496,519
44$1,575,654$1,195,487$1,098,335$1,564,072
45$1,678,109$1,195,804$1,076,867$1,636,822
46$1,789,179$1,194,302$1,052,845$1,715,282
47$1,909,686$1,190,833$1,026,126$1,800,020
48$2,040,531$1,185,241$996,558$1,891,662
49$2,182,708$1,177,361$963,986$1,990,899
50$2,337,310$1,167,017$928,245$2,098,493
51$2,505,538$1,154,024$889,164$2,215,286
52$2,688,715$1,138,183$846,563$2,342,208
53$2,888,296$1,119,285$800,255$2,480,282
54$3,105,881$1,097,110$750,043$2,630,641
55$3,343,235$1,071,422$695,723$2,794,534
56$3,602,296$1,041,973$637,080$2,973,338
57$3,885,199$1,008,499$573,892$3,168,574
58$4,194,297$970,722$505,924$3,381,919
59$4,532,175$928,348$432,933$3,615,226
60$4,901,684$881,064$354,663$3,870,536
61$5,305,961$828,541$270,849$4,150,104
62$5,748,459$770,430$181,213$4,456,416
63$6,232,983$706,362$85,465$4,792,216
64$6,763,721$635,947$0$5,160,529
65$7,345,286$558,774$0$5,568,084
66$7,982,758$474,407$0$6,033,885
67$8,681,732$382,385$0$6,544,717
68$9,448,370$282,224$0$7,105,131
69$10,289,461$173,410$0$7,720,144
70$11,212,479$55,400$0$8,395,282
71$12,225,661$0$0$9,136,640
72$13,338,076$0$0$9,961,284
73$14,559,718$0$0$10,875,671
74$15,901,593$0$0$11,880,122
75$17,375,829$0$0$12,983,725
76$18,995,783$0$0$14,196,487
77$20,776,173$0$0$15,529,437
78$22,733,211$0$0$16,994,722
79$24,884,760$0$0$18,605,727
80$27,250,499$0$0$20,377,197
81$29,852,109$0$0$22,325,377
82$32,713,479$0$0$24,468,168
83$35,860,926$0$0$26,825,291
84$39,323,449$0$0$29,418,472
85$43,132,998$0$0$32,271,654
86$47,324,776$0$0$35,411,214
87$51,937,570$0$0$38,866,217
88$57,014,116$0$0$42,668,686
89$62,601,507$0$0$46,853,907
90$68,751,628$0$0$51,460,761
91$75,521,651$0$0$56,532,089
92$82,974,574$0$0$62,115,095
93$91,179,810$0$0$68,261,795
94$100,213,849$0$0$75,029,504
95$110,160,971$0$0$82,481,376
96$121,114,046$0$0$90,687,004
97$133,175,410$0$0$99,723,071
98$146,457,826$0$0$109,674,075
99$161,085,553$0$0$120,633,128
100$177,195,512$0$0$132,702,832