Can I retire at age 40 with 12,400,000?

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 $12,400,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.8%
1 years$1,023,980$1,014,859$1,005,960$997,275$988,793$973,214
2 years$506,921$497,480$488,330$479,459$470,854$455,198
3 years$334,590$325,109$315,982$307,194$298,729$283,484
4 years$248,442$238,989$229,954$221,316$213,056$198,340
5 years$196,766$187,371$178,454$169,992$161,962$147,816
6 years$162,327$153,002$144,217$135,944$128,155$114,597
7 years$137,738$128,491$119,845$111,767$104,224$91,257
8 years$119,304$110,140$101,638$93,759$86,464$74,086
9 years$104,974$95,897$87,541$79,861$72,815$61,020
10 years$93,517$84,529$76,320$68,841$62,042$50,821
11 years$84,149$75,251$67,191$59,913$53,358$42,699
12 years$76,348$67,541$59,630$52,551$46,239$36,128
13 years$69,752$61,037$53,276$46,395$40,322$30,744
14 years$64,103$55,481$47,869$41,184$35,346$26,286
15 years$59,212$50,683$43,219$36,729$31,121$22,563
16 years$54,937$46,501$39,184$32,887$27,505$19,431
17 years$51,168$42,826$35,656$29,549$24,388$16,780
18 years$47,822$39,573$32,549$26,629$21,684$14,525
19 years$44,832$36,676$29,797$24,062$19,328$12,599
20 years$42,144$34,081$27,347$21,793$17,264$10,946
21 years$39,715$31,745$25,154$19,778$15,449$9,525
22 years$37,510$29,633$23,183$17,983$13,848$8,298
23 years$35,499$27,715$21,405$16,377$12,431$7,238
24 years$33,659$25,967$19,796$14,937$11,173$6,319
25 years$31,969$24,369$18,335$13,641$10,054$5,521
26 years$30,411$22,903$17,005$12,473$9,056$4,828
27 years$28,972$21,554$15,791$11,417$8,165$4,224
28 years$27,637$20,310$14,680$10,460$7,368$3,697
29 years$26,397$19,160$13,661$9,592$6,653$3,238
30 years$25,241$18,095$12,724$8,803$6,011$2,837
31 years$24,162$17,106$11,863$8,085$5,435$2,487
32 years$23,153$16,186$11,068$7,431$4,916$2,180
33 years$22,207$15,328$10,334$6,833$4,449$1,912
34 years$21,318$14,527$9,656$6,287$4,028$1,677
35 years$20,482$13,779$9,027$5,787$3,648$1,472
36 years$19,694$13,078$8,445$5,330$3,306$1,292
37 years$18,951$12,421$7,904$4,911$2,996$1,134
38 years$18,248$11,805$7,402$4,527$2,716$995
39 years$17,583$11,225$6,935$4,174$2,463$874
40 years$16,953$10,680$6,500$3,850$2,234$767
41 years$16,355$10,166$6,095$3,552$2,027$674
42 years$15,787$9,682$5,717$3,278$1,839$592
43 years$15,247$9,225$5,365$3,026$1,669$520
44 years$14,733$8,793$5,036$2,794$1,515$456
45 years$14,243$8,385$4,729$2,580$1,375$401
46 years$13,776$7,999$4,441$2,383$1,249$352
47 years$13,330$7,634$4,172$2,202$1,134$309
48 years$12,904$7,287$3,921$2,035$1,030$272
49 years$12,497$6,959$3,685$1,880$935$239
50 years$12,107$6,648$3,465$1,738$850$210

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $12,400,000, adding $4,177 every year, while hoping to spend $30,838 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: 68/11/21 Blend
39$12,400,000$12,400,000$12,400,000$12,400,000
40$13,669,109$13,011,909$12,819,709$14,526,500
41$15,030,546$13,616,681$13,216,357$15,705,615
42$16,529,817$14,250,053$13,625,260$16,991,024
43$18,180,947$14,913,395$14,046,796$18,396,433
44$19,999,393$15,608,140$14,481,352$19,933,674
45$22,002,186$16,335,794$14,929,333$21,615,771
46$24,208,094$17,097,933$15,391,150$23,457,060
47$26,637,797$17,896,209$15,867,232$25,473,320
48$29,314,086$18,732,357$16,358,017$27,681,926
49$32,262,071$19,608,191$16,863,959$30,102,003
50$35,509,427$20,525,616$17,385,526$32,754,610
51$39,086,646$21,486,629$17,923,199$35,662,932
52$43,027,332$22,493,323$18,477,475$38,852,499
53$47,368,515$23,547,890$19,048,865$42,351,425
54$52,150,999$24,652,632$19,637,897$46,190,666
55$57,419,749$25,809,959$20,245,115$50,404,315
56$63,224,316$27,022,400$20,871,079$55,029,916
57$69,619,303$28,292,604$21,516,367$60,108,817
58$76,664,881$29,623,351$22,181,574$65,686,559
59$84,427,358$31,017,554$22,867,315$71,813,298
60$92,979,800$32,478,266$23,574,223$78,544,279
61$102,402,729$34,008,690$24,302,948$85,940,352
62$112,784,874$35,612,183$25,054,164$94,068,540
63$124,224,016$37,292,264$25,828,563$103,002,674
64$136,827,905$39,052,625$26,626,859$112,824,078
65$150,715,282$40,897,134$27,449,790$123,622,338
66$166,016,995$42,829,849$28,298,112$135,496,139
67$182,877,240$44,855,022$29,172,610$148,554,197
68$201,454,914$46,977,113$30,074,088$162,916,272
69$221,925,123$49,200,800$31,003,378$178,714,303
70$244,480,830$51,530,984$31,961,335$196,093,640
71$269,334,679$53,972,806$32,948,844$215,214,414
72$296,720,999$56,531,657$33,966,814$236,253,042
73$326,898,022$59,213,189$35,016,183$259,403,888
74$360,150,312$62,023,327$36,097,917$284,881,088
75$396,791,459$64,968,286$37,213,013$312,920,567
76$437,167,037$68,054,580$38,362,497$343,782,259
77$481,657,863$71,289,043$39,547,430$377,752,551
78$530,683,597$74,678,839$40,768,901$415,146,984
79$584,706,700$78,231,478$42,028,035$456,313,218
80$644,236,801$81,954,837$43,325,991$501,634,309
81$709,835,507$85,857,177$44,663,964$551,532,317
82$782,121,708$89,947,158$46,043,186$606,472,279
83$861,777,416$94,233,861$47,464,926$666,966,592
84$949,554,203$98,726,811$48,930,492$733,579,836
85$1,046,280,300$103,435,994$50,441,232$806,934,102
86$1,152,868,414$108,371,881$51,998,536$887,714,843
87$1,270,324,342$113,545,453$53,603,837$976,677,344
88$1,399,756,471$118,968,226$55,258,612$1,074,653,833
89$1,542,386,236$124,652,274$56,964,381$1,182,561,331
90$1,699,559,658$130,610,261$58,722,713$1,301,410,293
91$1,872,760,044$136,855,466$60,535,225$1,432,314,134
92$2,063,621,997$143,401,812$62,403,584$1,576,499,727
93$2,273,946,843$150,263,903$64,329,506$1,735,318,974
94$2,505,719,638$157,457,051$66,314,761$1,910,261,547
95$2,761,127,910$164,997,315$68,361,175$2,102,968,942
96$3,042,582,309$172,901,536$70,470,626$2,315,249,954
97$3,352,739,367$181,187,373$72,645,054$2,549,097,742
98$3,694,526,574$189,873,347$74,886,456$2,806,708,621
99$4,071,170,022$198,978,878$77,196,890$3,090,502,783
100$4,486,224,857$208,524,336$79,578,478$3,403,147,123