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%11.7%
1 years$113,959$112,944$111,954$110,987$110,043$109,258
2 years$56,415$55,365$54,346$53,359$52,401$51,610
3 years$37,237$36,181$35,166$34,188$33,246$32,472
4 years$27,649$26,597$25,592$24,630$23,711$22,961
5 years$21,898$20,853$19,860$18,918$18,025$17,301
6 years$18,065$17,028$16,050$15,129$14,262$13,566
7 years$15,329$14,300$13,338$12,439$11,599$10,930
8 years$13,277$12,258$11,311$10,434$9,623$8,981
9 years$11,683$10,672$9,742$8,888$8,104$7,489
10 years$10,407$9,407$8,494$7,661$6,905$6,317
11 years$9,365$8,375$7,478$6,668$5,938$5,377
12 years$8,497$7,517$6,636$5,848$5,146$4,611
13 years$7,763$6,793$5,929$5,163$4,487$3,977
14 years$7,134$6,175$5,327$4,583$3,934$3,448
15 years$6,590$5,641$4,810$4,088$3,463$3,002
16 years$6,114$5,175$4,361$3,660$3,061$2,623
17 years$5,695$4,766$3,968$3,288$2,714$2,299
18 years$5,322$4,404$3,622$2,964$2,413$2,020
19 years$4,989$4,082$3,316$2,678$2,151$1,779
20 years$4,690$3,793$3,043$2,425$1,921$1,570
21 years$4,420$3,533$2,799$2,201$1,719$1,388
22 years$4,174$3,298$2,580$2,001$1,541$1,228
23 years$3,951$3,084$2,382$1,823$1,383$1,089
24 years$3,746$2,890$2,203$1,662$1,243$966
25 years$3,558$2,712$2,041$1,518$1,119$858
26 years$3,384$2,549$1,893$1,388$1,008$763
27 years$3,224$2,399$1,757$1,271$909$679
28 years$3,076$2,260$1,634$1,164$820$604
29 years$2,938$2,132$1,520$1,068$740$538
30 years$2,809$2,014$1,416$980$669$480
31 years$2,689$1,904$1,320$900$605$428
32 years$2,577$1,801$1,232$827$547$382
33 years$2,471$1,706$1,150$760$495$341
34 years$2,372$1,617$1,075$700$448$304
35 years$2,279$1,533$1,005$644$406$272
36 years$2,192$1,455$940$593$368$243
37 years$2,109$1,382$880$547$333$217
38 years$2,031$1,314$824$504$302$194
39 years$1,957$1,249$772$464$274$173
40 years$1,887$1,189$723$428$249$155
41 years$1,820$1,131$678$395$226$138
42 years$1,757$1,078$636$365$205$124
43 years$1,697$1,027$597$337$186$111
44 years$1,640$979$560$311$169$99
45 years$1,585$933$526$287$153$89
46 years$1,533$890$494$265$139$79
47 years$1,484$850$464$245$126$71
48 years$1,436$811$436$226$115$63
49 years$1,391$774$410$209$104$57
50 years$1,347$740$386$193$95$51

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 $6,700 every year, while hoping to spend $53,433 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: 56/30/14 Blend
39$1,380,000$1,380,000$1,380,000$1,380,000
40$1,527,671$1,454,531$1,433,141$1,607,330
41$1,626,641$1,468,951$1,424,299$1,676,543
42$1,733,915$1,482,286$1,413,370$1,745,497
43$1,850,284$1,494,428$1,400,227$1,819,371
44$1,976,618$1,505,259$1,384,739$1,898,647
45$2,113,871$1,514,655$1,366,767$1,983,856
46$2,263,097$1,522,485$1,346,165$2,075,585
47$2,425,453$1,528,607$1,322,781$2,174,481
48$2,602,213$1,532,871$1,296,457$2,281,261
49$2,794,776$1,535,120$1,267,026$2,396,715
50$3,004,686$1,535,183$1,234,314$2,521,717
51$3,233,639$1,532,883$1,198,139$2,657,232
52$3,483,504$1,528,027$1,158,310$2,804,324
53$3,756,335$1,520,415$1,114,628$2,964,171
54$4,054,398$1,509,831$1,066,884$3,138,071
55$4,380,182$1,496,048$1,014,860$3,327,459
56$4,736,432$1,478,826$958,329$3,533,920
57$5,126,167$1,457,908$897,053$3,759,203
58$5,552,715$1,433,024$830,782$4,005,239
59$6,019,735$1,403,886$759,257$4,274,161
60$6,531,263$1,370,191$682,207$4,568,321
61$7,091,737$1,331,616$599,347$4,890,320
62$7,706,051$1,287,821$510,381$5,243,025
63$8,379,589$1,238,445$415,000$5,629,603
64$9,118,285$1,183,107$312,880$6,053,547
65$9,928,673$1,121,403$203,685$6,518,716
66$10,817,951$1,052,905$87,062$7,029,365
67$11,794,047$977,162$0$7,590,193
68$12,865,694$893,697$0$8,211,968
69$14,042,511$802,005$0$8,909,068
70$15,335,096$701,552$0$9,674,845
71$16,755,122$591,774$0$10,516,324
72$18,315,451$472,077$0$11,441,256
73$20,030,249$341,830$0$12,458,184
74$21,915,124$200,371$0$13,576,531
75$23,987,274$46,996$0$14,806,689
76$26,265,642$0$0$16,160,116
77$28,771,101$0$0$17,688,740
78$31,526,648$0$0$19,387,149
79$34,557,618$0$0$21,255,461
80$37,891,928$0$0$23,310,902
81$41,560,335$0$0$25,572,451
82$45,596,727$0$0$28,061,019
83$50,038,444$0$0$30,799,646
84$54,926,628$0$0$33,813,719
85$60,306,612$0$0$37,131,213
86$66,228,343$0$0$40,782,948
87$72,746,861$0$0$44,802,887
88$79,922,809$0$0$49,228,453
89$87,823,011$0$0$54,100,879
90$96,521,097$0$0$59,465,604
91$106,098,203$0$0$65,372,694
92$116,643,730$0$0$71,877,316
93$128,256,191$0$0$79,040,264
94$141,044,140$0$0$86,928,523
95$155,127,193$0$0$95,615,908
96$170,637,158$0$0$105,183,759
97$187,719,280$0$0$115,721,703
98$206,533,609$0$0$127,328,507
99$227,256,508$0$0$140,113,006
100$250,082,321$0$0$154,195,128