Can I retire at age 40 with 1,320,000?

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 $1,320,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.3%
1 years$109,004$108,033$107,086$106,161$105,259$102,965
2 years$53,963$52,958$51,984$51,039$50,123$47,824
3 years$35,618$34,608$33,637$32,701$31,800$29,567
4 years$26,447$25,441$24,479$23,559$22,680$20,531
5 years$20,946$19,946$18,997$18,096$17,241$15,181
6 years$17,280$16,287$15,352$14,471$13,642$11,674
7 years$14,662$13,678$12,758$11,898$11,095$9,218
8 years$12,700$11,725$10,820$9,981$9,204$7,419
9 years$11,175$10,208$9,319$8,501$7,751$6,056
10 years$9,955$8,998$8,124$7,328$6,604$4,997
11 years$8,958$8,011$7,153$6,378$5,680$4,159
12 years$8,127$7,190$6,348$5,594$4,922$3,485
13 years$7,425$6,498$5,671$4,939$4,292$2,937
14 years$6,824$5,906$5,096$4,384$3,763$2,485
15 years$6,303$5,395$4,601$3,910$3,313$2,111
16 years$5,848$4,950$4,171$3,501$2,928$1,799
17 years$5,447$4,559$3,796$3,146$2,596$1,537
18 years$5,091$4,213$3,465$2,835$2,308$1,316
19 years$4,772$3,904$3,172$2,561$2,057$1,129
20 years$4,486$3,628$2,911$2,320$1,838$970
21 years$4,228$3,379$2,678$2,105$1,645$834
22 years$3,993$3,154$2,468$1,914$1,474$719
23 years$3,779$2,950$2,279$1,743$1,323$620
24 years$3,583$2,764$2,107$1,590$1,189$535
25 years$3,403$2,594$1,952$1,452$1,070$462
26 years$3,237$2,438$1,810$1,328$964$399
27 years$3,084$2,294$1,681$1,215$869$345
28 years$2,942$2,162$1,563$1,114$784$298
29 years$2,810$2,040$1,454$1,021$708$258
30 years$2,687$1,926$1,355$937$640$223
31 years$2,572$1,821$1,263$861$579$193
32 years$2,465$1,723$1,178$791$523$167
33 years$2,364$1,632$1,100$727$474$145
34 years$2,269$1,546$1,028$669$429$125
35 years$2,180$1,467$961$616$388$109
36 years$2,096$1,392$899$567$352$94
37 years$2,017$1,322$841$523$319$82
38 years$1,943$1,257$788$482$289$71
39 years$1,872$1,195$738$444$262$61
40 years$1,805$1,137$692$410$238$53
41 years$1,741$1,082$649$378$216$46
42 years$1,681$1,031$609$349$196$40
43 years$1,623$982$571$322$178$35
44 years$1,568$936$536$297$161$30
45 years$1,516$893$503$275$146$26
46 years$1,466$852$473$254$133$23
47 years$1,419$813$444$234$121$20
48 years$1,374$776$417$217$110$17
49 years$1,330$741$392$200$100$15
50 years$1,289$708$369$185$90$13

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,320,000, adding $2,279 every year, while hoping to spend $48,850 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: 51/37/12 Blend
39$1,320,000$1,320,000$1,320,000$1,320,000
40$1,456,991$1,387,031$1,366,571$1,526,514
41$1,553,628$1,403,019$1,360,375$1,590,293
42$1,658,485$1,418,154$1,352,334$1,654,223
43$1,772,348$1,432,341$1,342,335$1,722,608
44$1,896,083$1,445,482$1,330,259$1,795,881
45$2,030,643$1,457,470$1,315,982$1,874,522
46$2,177,074$1,468,191$1,299,373$1,959,058
47$2,336,529$1,477,526$1,280,296$2,050,074
48$2,510,277$1,485,347$1,258,607$2,148,215
49$2,699,712$1,491,516$1,234,158$2,254,195
50$2,906,372$1,495,889$1,206,791$2,368,801
51$3,131,946$1,498,312$1,176,343$2,492,903
52$3,378,297$1,498,622$1,142,643$2,627,463
53$3,647,472$1,496,643$1,105,510$2,773,543
54$3,941,728$1,492,193$1,064,759$2,932,316
55$4,263,548$1,485,073$1,020,192$3,105,076
56$4,615,666$1,475,078$971,604$3,293,256
57$5,001,093$1,461,986$918,782$3,498,434
58$5,423,144$1,445,563$861,501$3,722,356
59$5,885,471$1,425,561$799,527$3,966,950
60$6,392,093$1,401,718$732,615$4,234,341
61$6,947,440$1,373,756$660,511$4,526,881
62$7,556,387$1,341,378$582,947$4,847,161
63$8,224,307$1,304,275$499,644$5,198,046
64$8,957,116$1,262,113$410,312$5,582,697
65$9,761,330$1,214,545$314,645$6,004,601
66$10,644,127$1,161,199$212,328$6,467,612
67$11,613,415$1,101,685$103,027$6,975,980
68$12,677,903$1,035,587$0$7,534,397
69$13,847,186$962,467$0$8,149,783
70$15,131,834$881,864$0$8,840,302
71$16,543,492$793,286$0$9,599,102
72$18,094,987$696,216$0$10,433,191
73$19,800,453$590,108$0$11,350,299
74$21,675,460$474,383$0$12,358,954
75$23,737,161$348,432$0$13,468,559
76$26,004,456$211,610$0$14,689,485
77$28,498,167$63,236$0$16,033,170
78$31,241,236$0$0$17,512,229
79$34,258,941$0$0$19,180,234
80$37,579,131$0$0$21,043,917
81$41,232,492$0$0$23,094,776
82$45,252,835$0$0$25,351,810
83$49,677,414$0$0$27,835,954
84$54,547,277$0$0$30,570,277
85$59,907,653$0$0$33,580,194
86$65,808,380$0$0$36,893,713
87$72,304,369$0$0$40,541,694
88$79,456,131$0$0$44,558,141
89$87,330,339$0$0$48,980,523
90$96,000,462$0$0$53,850,128
91$105,547,454$0$0$59,212,450
92$116,060,519$0$0$65,117,623
93$127,637,955$0$0$71,620,886
94$140,388,075$0$0$78,783,111
95$154,430,237$0$0$86,671,376
96$169,895,960$0$0$95,359,594
97$186,930,172$0$0$104,929,214
98$205,692,576$0$0$115,469,989
99$226,359,155$0$0$127,080,818
100$249,123,831$0$0$139,870,689