Can I retire at age 40 with 1,220,000?

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 $1,220,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.6%
1 years$100,746$99,849$98,974$98,119$97,285$95,049
2 years$49,874$48,946$48,045$47,173$46,326$44,086
3 years$32,919$31,987$31,089$30,224$29,391$27,216
4 years$24,443$23,513$22,625$21,775$20,962$18,870
5 years$19,359$18,435$17,558$16,725$15,935$13,931
6 years$15,971$15,053$14,189$13,375$12,609$10,695
7 years$13,552$12,642$11,791$10,996$10,254$8,431
8 years$11,738$10,836$10,000$9,225$8,507$6,773
9 years$10,328$9,435$8,613$7,857$7,164$5,519
10 years$9,201$8,317$7,509$6,773$6,104$4,546
11 years$8,279$7,404$6,611$5,895$5,250$3,776
12 years$7,512$6,645$5,867$5,170$4,549$3,158
13 years$6,863$6,005$5,242$4,565$3,967$2,656
14 years$6,307$5,459$4,710$4,052$3,478$2,243
15 years$5,826$4,987$4,252$3,614$3,062$1,902
16 years$5,405$4,575$3,855$3,236$2,706$1,617
17 years$5,034$4,213$3,508$2,907$2,399$1,378
18 years$4,705$3,893$3,202$2,620$2,133$1,178
19 years$4,411$3,608$2,932$2,367$1,902$1,008
20 years$4,146$3,353$2,691$2,144$1,699$864
21 years$3,907$3,123$2,475$1,946$1,520$742
22 years$3,690$2,915$2,281$1,769$1,362$637
23 years$3,493$2,727$2,106$1,611$1,223$548
24 years$3,312$2,555$1,948$1,470$1,099$472
25 years$3,145$2,398$1,804$1,342$989$406
26 years$2,992$2,253$1,673$1,227$891$350
27 years$2,850$2,121$1,554$1,123$803$302
28 years$2,719$1,998$1,444$1,029$725$261
29 years$2,597$1,885$1,344$944$655$225
30 years$2,483$1,780$1,252$866$591$194
31 years$2,377$1,683$1,167$795$535$168
32 years$2,278$1,592$1,089$731$484$145
33 years$2,185$1,508$1,017$672$438$125
34 years$2,097$1,429$950$619$396$108
35 years$2,015$1,356$888$569$359$93
36 years$1,938$1,287$831$524$325$81
37 years$1,864$1,222$778$483$295$70
38 years$1,795$1,161$728$445$267$60
39 years$1,730$1,104$682$411$242$52
40 years$1,668$1,051$640$379$220$45
41 years$1,609$1,000$600$349$199$39
42 years$1,553$953$563$323$181$34
43 years$1,500$908$528$298$164$29
44 years$1,450$865$495$275$149$25
45 years$1,401$825$465$254$135$22
46 years$1,355$787$437$234$123$19
47 years$1,312$751$411$217$112$16
48 years$1,270$717$386$200$101$14
49 years$1,230$685$363$185$92$12
50 years$1,191$654$341$171$84$11

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,220,000, adding $2,194 every year, while hoping to spend $48,814 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: 65/24/11 Blend
39$1,220,000$1,220,000$1,220,000$1,220,000
40$1,346,703$1,282,043$1,263,133$1,430,825
41$1,432,129$1,292,926$1,253,510$1,498,092
42$1,524,633$1,302,705$1,241,929$1,565,631
43$1,624,884$1,311,276$1,228,272$1,638,185
44$1,733,620$1,318,527$1,212,418$1,716,237
45$1,851,651$1,324,337$1,194,236$1,800,326
46$1,979,870$1,328,580$1,173,593$1,891,042
47$2,119,257$1,331,120$1,150,348$1,989,038
48$2,270,890$1,331,814$1,124,354$2,095,033
49$2,435,957$1,330,509$1,095,456$2,209,823
50$2,615,764$1,327,044$1,063,494$2,334,285
51$2,811,749$1,321,246$1,028,298$2,469,384
52$3,025,494$1,312,933$989,692$2,616,190
53$3,258,739$1,301,911$947,491$2,775,879
54$3,513,401$1,287,976$901,503$2,949,751
55$3,791,590$1,270,909$851,526$3,139,240
56$4,095,630$1,250,481$797,349$3,345,928
57$4,428,076$1,226,446$738,752$3,571,559
58$4,791,744$1,198,547$675,505$3,818,060
59$5,189,735$1,166,508$607,367$4,087,555
60$5,625,461$1,130,041$534,087$4,382,388
61$6,102,683$1,088,837$455,404$4,705,144
62$6,625,539$1,042,573$371,042$5,058,677
63$7,198,588$990,903$280,716$5,446,131
64$7,826,851$933,465$184,128$5,870,980
65$8,515,859$869,873$80,965$6,337,051
66$9,271,701$799,722$0$6,848,568
67$10,101,087$722,580$0$7,413,610
68$11,011,406$637,995$0$8,044,259
69$12,010,798$545,485$0$8,736,713
70$13,108,229$444,543$0$9,497,265
71$14,313,576$334,634$0$10,332,856
72$15,637,720$215,190$0$11,251,137
73$17,092,648$85,615$0$12,260,543
74$18,691,565$0$0$13,370,375
75$20,449,019$0$0$14,605,337
76$22,381,037$0$0$15,987,909
77$24,505,276$0$0$17,508,127
78$26,841,191$0$0$19,179,925
79$29,410,216$0$0$21,018,655
80$32,235,964$0$0$23,041,231
81$35,344,455$0$0$25,266,287
82$38,764,355$0$0$27,714,356
83$42,527,250$0$0$30,408,063
84$46,667,941$0$0$33,372,333
85$51,224,775$0$0$36,634,631
86$56,240,002$0$0$40,225,222
87$61,760,177$0$0$44,177,449
88$67,836,596$0$0$48,528,055
89$74,525,782$0$0$53,317,525
90$81,890,014$0$0$58,590,468
91$89,997,921$0$0$64,396,040
92$98,925,120$0$0$70,788,404
93$108,754,937$0$0$77,827,245
94$119,579,188$0$0$85,578,328
95$131,499,048$0$0$94,114,121
96$144,626,000$0$0$103,514,480
97$159,082,894$0$0$113,867,398
98$175,005,101$0$0$125,269,838
99$192,541,788$0$0$137,828,649
100$211,857,332$0$0$151,661,568