Can I retire at age 40 with 1,240,000?

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 $1,240,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.6%
1 years$102,398$101,486$100,596$99,727$98,879$96,216
2 years$50,692$49,748$48,833$47,946$47,085$44,421
3 years$33,459$32,511$31,598$30,719$29,873$27,291
4 years$24,844$23,899$22,995$22,132$21,306$18,826
5 years$19,677$18,737$17,845$16,999$16,196$13,826
6 years$16,233$15,300$14,422$13,594$12,815$10,556
7 years$13,774$12,849$11,985$11,177$10,422$8,275
8 years$11,930$11,014$10,164$9,376$8,646$6,609
9 years$10,497$9,590$8,754$7,986$7,282$5,353
10 years$9,352$8,453$7,632$6,884$6,204$4,382
11 years$8,415$7,525$6,719$5,991$5,336$3,617
12 years$7,635$6,754$5,963$5,255$4,624$3,005
13 years$6,975$6,104$5,328$4,640$4,032$2,510
14 years$6,410$5,548$4,787$4,118$3,535$2,105
15 years$5,921$5,068$4,322$3,673$3,112$1,772
16 years$5,494$4,650$3,918$3,289$2,750$1,496
17 years$5,117$4,283$3,566$2,955$2,439$1,267
18 years$4,782$3,957$3,255$2,663$2,168$1,074
19 years$4,483$3,668$2,980$2,406$1,933$912
20 years$4,214$3,408$2,735$2,179$1,726$776
21 years$3,971$3,174$2,515$1,978$1,545$661
22 years$3,751$2,963$2,318$1,798$1,385$564
23 years$3,550$2,771$2,141$1,638$1,243$481
24 years$3,366$2,597$1,980$1,494$1,117$411
25 years$3,197$2,437$1,834$1,364$1,005$351
26 years$3,041$2,290$1,701$1,247$906$300
27 years$2,897$2,155$1,579$1,142$817$257
28 years$2,764$2,031$1,468$1,046$737$220
29 years$2,640$1,916$1,366$959$665$188
30 years$2,524$1,810$1,272$880$601$161
31 years$2,416$1,711$1,186$809$543$138
32 years$2,315$1,619$1,107$743$492$118
33 years$2,221$1,533$1,033$683$445$101
34 years$2,132$1,453$966$629$403$87
35 years$2,048$1,378$903$579$365$74
36 years$1,969$1,308$844$533$331$64
37 years$1,895$1,242$790$491$300$55
38 years$1,825$1,180$740$453$272$47
39 years$1,758$1,123$693$417$246$40
40 years$1,695$1,068$650$385$223$34
41 years$1,635$1,017$609$355$203$29
42 years$1,579$968$572$328$184$25
43 years$1,525$922$536$303$167$22
44 years$1,473$879$504$279$152$19
45 years$1,424$839$473$258$138$16
46 years$1,378$800$444$238$125$14
47 years$1,333$763$417$220$113$12
48 years$1,290$729$392$203$103$10
49 years$1,250$696$369$188$94$9
50 years$1,211$665$346$174$85$7

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,240,000, adding $5,776 every year, while hoping to spend $32,476 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: 72/10/18 Blend
39$1,240,000$1,240,000$1,240,000$1,240,000
40$1,372,438$1,306,718$1,287,498$1,465,032
41$1,477,872$1,336,193$1,296,075$1,556,794
42$1,592,973$1,366,024$1,303,851$1,652,787
43$1,718,691$1,396,193$1,310,764$1,757,082
44$1,856,073$1,426,683$1,316,751$1,870,497
45$2,006,275$1,457,473$1,321,744$1,993,932
46$2,170,564$1,488,539$1,325,673$2,128,380
47$2,350,341$1,519,856$1,328,461$2,274,932
48$2,547,143$1,551,396$1,330,032$2,434,795
49$2,762,667$1,583,130$1,330,304$2,609,293
50$2,998,779$1,615,023$1,329,189$2,799,890
51$3,257,536$1,647,041$1,326,598$3,008,196
52$3,541,201$1,679,143$1,322,436$3,235,986
53$3,852,270$1,711,287$1,316,604$3,485,217
54$4,193,488$1,743,427$1,308,997$3,758,043
55$4,567,882$1,775,512$1,299,506$4,056,839
56$4,978,784$1,807,490$1,288,017$4,384,224
57$5,429,864$1,839,302$1,274,410$4,743,081
58$5,925,167$1,870,884$1,258,560$5,136,589
59$6,469,146$1,902,170$1,240,334$5,568,251
60$7,066,710$1,933,086$1,219,595$6,041,927
61$7,723,262$1,963,556$1,196,200$6,561,872
62$8,444,759$1,993,494$1,169,997$7,132,773
63$9,237,761$2,022,812$1,140,828$7,759,798
64$10,109,496$2,051,413$1,108,529$8,448,641
65$11,067,926$2,079,194$1,072,926$9,205,576
66$12,121,825$2,106,045$1,033,840$10,037,520
67$13,280,858$2,131,848$991,081$10,952,095
68$14,555,675$2,156,478$944,451$11,957,701
69$15,958,009$2,179,800$893,745$13,063,594
70$17,500,786$2,201,671$838,746$14,279,977
71$19,198,251$2,221,938$779,229$15,618,094
72$21,066,098$2,240,438$714,959$17,090,336
73$23,121,619$2,256,998$645,688$18,710,359
74$25,383,866$2,271,433$571,161$20,493,214
75$27,873,833$2,283,546$491,107$22,455,487
76$30,614,653$2,293,128$405,248$24,615,459
77$33,631,813$2,299,957$313,290$26,993,276
78$36,953,399$2,303,797$214,926$29,611,140
79$40,610,358$2,304,395$109,839$32,493,521
80$44,636,790$2,301,486$0$35,667,384
81$49,070,270$2,294,786$0$39,162,892
82$53,952,201$2,283,993$0$43,034,897
83$59,328,207$2,268,791$0$47,298,445
84$65,248,561$2,248,839$0$51,993,391
85$71,768,661$2,223,779$0$57,163,651
86$78,949,551$2,193,230$0$62,857,619
87$86,858,497$2,156,790$0$69,128,623
88$95,569,622$2,114,032$0$76,035,432
89$105,164,606$2,064,502$0$83,642,806
90$115,733,456$2,007,722$0$92,022,107
91$127,375,353$1,943,185$0$101,251,978
92$140,199,591$1,870,354$0$111,419,080
93$154,326,609$1,788,660$0$122,618,913
94$169,889,122$1,697,503$0$134,956,716
95$187,033,379$1,596,247$0$148,548,461
96$205,920,540$1,484,220$0$163,521,948
97$226,728,199$1,360,712$0$180,018,012
98$249,652,059$1,224,969$0$198,191,851
99$274,907,775$1,076,200$0$218,214,493
100$302,732,998$913,563$0$240,274,408