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

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 $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%12.1%
1 years$1,023,980$1,014,859$1,005,960$997,275$988,793$980,099
2 years$506,921$497,480$488,330$479,459$470,854$462,093
3 years$334,590$325,109$315,982$307,194$298,729$290,173
4 years$248,442$238,989$229,954$221,316$213,056$204,770
5 years$196,766$187,371$178,454$169,992$161,962$153,971
6 years$162,327$153,002$144,217$135,944$128,155$120,469
7 years$137,738$128,491$119,845$111,767$104,224$96,847
8 years$119,304$110,140$101,638$93,759$86,464$79,395
9 years$104,974$95,897$87,541$79,861$72,815$66,052
10 years$93,517$84,529$76,320$68,841$62,042$55,581
11 years$84,149$75,251$67,191$59,913$53,358$47,194
12 years$76,348$67,541$59,630$52,551$46,239$40,366
13 years$69,752$61,037$53,276$46,395$40,322$34,733
14 years$64,103$55,481$47,869$41,184$35,346$30,034
15 years$59,212$50,683$43,219$36,729$31,121$26,079
16 years$54,937$46,501$39,184$32,887$27,505$22,725
17 years$51,168$42,826$35,656$29,549$24,388$19,861
18 years$47,822$39,573$32,549$26,629$21,684$17,403
19 years$44,832$36,676$29,797$24,062$19,328$15,282
20 years$42,144$34,081$27,347$21,793$17,264$13,446
21 years$39,715$31,745$25,154$19,778$15,449$11,849
22 years$37,510$29,633$23,183$17,983$13,848$10,458
23 years$35,499$27,715$21,405$16,377$12,431$9,241
24 years$33,659$25,967$19,796$14,937$11,173$8,175
25 years$31,969$24,369$18,335$13,641$10,054$7,238
26 years$30,411$22,903$17,005$12,473$9,056$6,415
27 years$28,972$21,554$15,791$11,417$8,165$5,689
28 years$27,637$20,310$14,680$10,460$7,368$5,049
29 years$26,397$19,160$13,661$9,592$6,653$4,483
30 years$25,241$18,095$12,724$8,803$6,011$3,983
31 years$24,162$17,106$11,863$8,085$5,435$3,540
32 years$23,153$16,186$11,068$7,431$4,916$3,148
33 years$22,207$15,328$10,334$6,833$4,449$2,800
34 years$21,318$14,527$9,656$6,287$4,028$2,492
35 years$20,482$13,779$9,027$5,787$3,648$2,218
36 years$19,694$13,078$8,445$5,330$3,306$1,974
37 years$18,951$12,421$7,904$4,911$2,996$1,758
38 years$18,248$11,805$7,402$4,527$2,716$1,566
39 years$17,583$11,225$6,935$4,174$2,463$1,395
40 years$16,953$10,680$6,500$3,850$2,234$1,243
41 years$16,355$10,166$6,095$3,552$2,027$1,107
42 years$15,787$9,682$5,717$3,278$1,839$987
43 years$15,247$9,225$5,365$3,026$1,669$879
44 years$14,733$8,793$5,036$2,794$1,515$784
45 years$14,243$8,385$4,729$2,580$1,375$699
46 years$13,776$7,999$4,441$2,383$1,249$623
47 years$13,330$7,634$4,172$2,202$1,134$555
48 years$12,904$7,287$3,921$2,035$1,030$495
49 years$12,497$6,959$3,685$1,880$935$442
50 years$12,107$6,648$3,465$1,738$850$394

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 $3,966 every year, while hoping to spend $23,720 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: 46/38/16 Blend
39$12,400,000$12,400,000$12,400,000$12,400,000
40$13,668,891$13,011,691$12,819,491$14,235,295
41$15,037,880$13,624,026$13,223,706$15,242,273
42$16,545,711$14,265,570$13,640,667$16,331,360
43$18,206,520$14,937,730$14,070,777$17,512,375
44$20,035,887$15,641,980$14,514,449$18,793,871
45$22,050,976$16,379,866$14,972,112$20,185,237
46$24,270,704$17,153,008$15,444,206$21,696,781
47$26,715,916$17,963,106$15,931,187$23,339,822
48$29,409,582$18,811,941$16,433,525$25,126,792
49$32,377,015$19,701,381$16,951,703$27,071,348
50$35,646,106$20,633,385$17,486,221$29,188,491
51$39,247,594$21,610,006$18,037,595$31,494,708
52$43,215,350$22,633,397$18,606,355$34,008,114
53$47,586,699$23,705,817$19,193,051$36,748,621
54$52,402,772$24,829,631$19,798,248$39,738,117
55$57,708,894$26,007,323$20,422,529$43,000,663
56$63,555,014$27,241,494$21,066,496$46,562,717
57$69,996,171$28,534,874$21,730,770$50,453,370
58$77,093,022$29,890,323$22,415,992$54,704,615
59$84,912,404$31,310,843$23,122,821$59,351,641
60$93,527,973$32,799,579$23,851,940$64,433,151
61$103,020,898$34,359,829$24,604,051$69,991,722
62$113,480,623$35,995,054$25,379,880$76,074,195
63$125,005,715$37,708,880$26,180,175$82,732,105
64$137,704,793$39,505,111$27,005,706$90,022,156
65$151,697,555$41,387,734$27,857,270$98,006,748
66$167,115,905$43,360,933$28,735,688$106,754,548
67$184,105,201$45,429,092$29,641,807$116,341,130
68$202,825,624$47,596,810$30,576,501$126,849,670
69$223,453,694$49,868,910$31,540,669$138,371,721
70$246,183,932$52,250,448$32,535,243$151,008,059
71$271,230,701$54,746,727$33,561,181$164,869,621
72$298,830,224$57,363,308$34,619,473$180,078,535
73$329,242,819$60,106,023$35,711,137$196,769,254
74$362,755,354$62,980,986$36,837,228$215,089,808
75$399,683,955$65,994,609$37,998,830$235,203,185
76$440,376,992$69,153,618$39,197,064$257,288,845
77$485,218,364$72,465,065$40,433,085$281,544,397
78$534,631,129$75,936,344$41,708,085$308,187,443
79$589,081,491$79,575,212$43,023,292$337,457,607
80$649,083,206$83,389,801$44,379,976$369,618,772
81$715,202,432$87,388,639$45,779,444$404,961,552
82$788,063,069$91,580,673$47,223,045$443,806,003
83$868,352,657$95,975,280$48,712,171$486,504,622
84$956,828,858$100,582,299$50,248,259$533,445,643
85$1,054,326,615$105,412,044$51,832,789$585,056,670
86$1,161,766,031$110,475,336$53,467,289$641,808,690
87$1,280,161,057$115,783,519$55,153,334$704,220,477
88$1,410,629,066$121,348,492$56,892,552$772,863,461
89$1,554,401,396$127,182,733$58,686,617$848,367,085
90$1,712,834,981$133,299,330$60,537,262$931,424,708
91$1,887,425,157$139,712,006$62,446,269$1,022,800,112
92$2,079,819,784$146,435,155$64,415,479$1,123,334,672
93$2,291,834,796$153,483,871$66,446,792$1,233,955,254
94$2,525,471,352$160,873,987$68,542,166$1,355,682,918
95$2,782,934,722$168,622,105$70,703,621$1,489,642,514
96$3,066,655,113$176,745,638$72,933,242$1,637,073,248
97$3,379,310,607$185,262,846$75,233,177$1,799,340,329
98$3,723,852,446$194,192,883$77,605,646$1,977,947,801
99$4,103,532,896$203,555,835$80,052,936$2,174,552,688
100$4,521,935,948$213,372,767$82,577,406$2,390,980,576