Can I retire at age 40 with 1,380,000?

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 $1,380,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.1%
1 years$113,959$112,944$111,954$110,987$110,043$107,296
2 years$56,415$55,365$54,346$53,359$52,401$49,651
3 years$37,237$36,181$35,166$34,188$33,246$30,578
4 years$27,649$26,597$25,592$24,630$23,711$21,147
5 years$21,898$20,853$19,860$18,918$18,025$15,571
6 years$18,065$17,028$16,050$15,129$14,262$11,922
7 years$15,329$14,300$13,338$12,439$11,599$9,371
8 years$13,277$12,258$11,311$10,434$9,623$7,507
9 years$11,683$10,672$9,742$8,888$8,104$6,099
10 years$10,407$9,407$8,494$7,661$6,905$5,008
11 years$9,365$8,375$7,478$6,668$5,938$4,147
12 years$8,497$7,517$6,636$5,848$5,146$3,456
13 years$7,763$6,793$5,929$5,163$4,487$2,897
14 years$7,134$6,175$5,327$4,583$3,934$2,438
15 years$6,590$5,641$4,810$4,088$3,463$2,060
16 years$6,114$5,175$4,361$3,660$3,061$1,745
17 years$5,695$4,766$3,968$3,288$2,714$1,483
18 years$5,322$4,404$3,622$2,964$2,413$1,262
19 years$4,989$4,082$3,316$2,678$2,151$1,076
20 years$4,690$3,793$3,043$2,425$1,921$919
21 years$4,420$3,533$2,799$2,201$1,719$786
22 years$4,174$3,298$2,580$2,001$1,541$672
23 years$3,951$3,084$2,382$1,823$1,383$576
24 years$3,746$2,890$2,203$1,662$1,243$494
25 years$3,558$2,712$2,041$1,518$1,119$424
26 years$3,384$2,549$1,893$1,388$1,008$364
27 years$3,224$2,399$1,757$1,271$909$312
28 years$3,076$2,260$1,634$1,164$820$268
29 years$2,938$2,132$1,520$1,068$740$231
30 years$2,809$2,014$1,416$980$669$198
31 years$2,689$1,904$1,320$900$605$171
32 years$2,577$1,801$1,232$827$547$147
33 years$2,471$1,706$1,150$760$495$126
34 years$2,372$1,617$1,075$700$448$109
35 years$2,279$1,533$1,005$644$406$93
36 years$2,192$1,455$940$593$368$80
37 years$2,109$1,382$880$547$333$69
38 years$2,031$1,314$824$504$302$60
39 years$1,957$1,249$772$464$274$51
40 years$1,887$1,189$723$428$249$44
41 years$1,820$1,131$678$395$226$38
42 years$1,757$1,078$636$365$205$33
43 years$1,697$1,027$597$337$186$28
44 years$1,640$979$560$311$169$24
45 years$1,585$933$526$287$153$21
46 years$1,533$890$494$265$139$18
47 years$1,484$850$464$245$126$16
48 years$1,436$811$436$226$115$13
49 years$1,391$774$410$209$104$12
50 years$1,347$740$386$193$95$10

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,380,000, adding $3,295 every year, while hoping to spend $50,900 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: 59/28/13 Blend
39$1,380,000$1,380,000$1,380,000$1,380,000
40$1,524,159$1,451,019$1,429,629$1,608,983
41$1,625,466$1,467,962$1,423,364$1,683,489
42$1,735,400$1,484,028$1,415,184$1,758,720
43$1,854,788$1,499,123$1,404,969$1,839,542
44$1,984,539$1,513,142$1,392,598$1,926,501
45$2,125,651$1,525,976$1,377,940$2,020,196
46$2,279,226$1,537,507$1,360,859$2,121,291
47$2,446,473$1,547,611$1,341,214$2,230,516
48$2,628,725$1,556,156$1,318,857$2,348,679
49$2,827,447$1,562,999$1,293,630$2,476,671
50$3,044,252$1,567,992$1,265,372$2,615,474
51$3,280,916$1,570,974$1,233,913$2,766,174
52$3,539,394$1,571,775$1,199,073$2,929,968
53$3,821,837$1,570,217$1,160,666$3,108,176
54$4,130,613$1,566,107$1,118,498$3,302,258
55$4,468,332$1,559,243$1,072,364$3,513,821
56$4,837,865$1,549,408$1,022,051$3,744,641
57$5,242,373$1,536,376$967,336$3,996,678
58$5,685,340$1,519,902$907,986$4,272,093
59$6,170,598$1,499,731$843,757$4,573,270
60$6,702,372$1,475,591$774,396$4,902,843
61$7,285,311$1,447,192$699,636$5,263,713
62$7,924,538$1,414,230$619,199$5,659,085
63$8,625,694$1,376,380$532,795$6,092,493
64$9,394,993$1,333,301$440,121$6,567,835
65$10,239,279$1,284,629$340,862$7,089,414
66$11,166,091$1,229,981$234,687$7,661,973
67$12,183,734$1,168,952$121,250$8,290,747
68$13,301,355$1,101,111$192$8,981,510
69$14,529,032$1,026,004$0$9,740,630
70$15,877,867$943,152$0$10,593,026
71$17,360,090$852,047$0$11,529,743
72$18,989,174$752,152$0$12,559,357
73$20,779,962$642,900$0$13,691,352
74$22,748,809$523,692$0$14,936,185
75$24,913,730$393,896$0$16,305,383
76$27,294,577$252,844$0$17,811,657
77$29,913,219$99,828$0$19,469,019
78$32,793,752$0$0$21,292,915
79$35,962,725$0$0$23,320,680
80$39,449,389$0$0$25,585,700
81$43,285,975$0$0$28,078,171
82$47,507,995$0$0$30,821,180
83$52,154,576$0$0$33,840,166
84$57,268,833$0$0$37,163,158
85$62,898,270$0$0$40,821,041
86$69,095,232$0$0$44,847,846
87$75,917,397$0$0$49,281,072
88$83,428,318$0$0$54,162,037
89$91,698,024$0$0$59,536,270
90$100,803,680$0$0$65,453,942
91$110,830,316$0$0$71,970,332
92$121,871,626$0$0$79,146,357
93$134,030,852$0$0$87,049,141
94$147,421,762$0$0$95,752,649
95$162,169,717$0$0$105,338,386
96$178,412,859$0$0$115,896,167
97$196,303,408$0$0$127,524,958
98$216,009,105$0$0$140,333,819
99$237,714,789$0$0$154,442,925
100$261,624,146$0$0$169,984,705