Can I retire at age 40 with 1,420,000?

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 $1,420,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.5%
1 years$117,262$116,218$115,199$114,204$113,233$111,128
2 years$58,051$56,969$55,922$54,906$53,920$51,808
3 years$38,316$37,230$36,185$35,179$34,209$32,155
4 years$28,451$27,368$26,333$25,344$24,398$22,418
5 years$22,533$21,457$20,436$19,467$18,547$16,646
6 years$18,589$17,521$16,515$15,568$14,676$12,856
7 years$15,773$14,714$13,724$12,799$11,935$10,198
8 years$13,662$12,613$11,639$10,737$9,902$8,246
9 years$12,021$10,982$10,025$9,145$8,339$6,763
10 years$10,709$9,680$8,740$7,883$7,105$5,609
11 years$9,636$8,617$7,694$6,861$6,110$4,691
12 years$8,743$7,735$6,829$6,018$5,295$3,952
13 years$7,988$6,990$6,101$5,313$4,617$3,347
14 years$7,341$6,354$5,482$4,716$4,048$2,848
15 years$6,781$5,804$4,949$4,206$3,564$2,433
16 years$6,291$5,325$4,487$3,766$3,150$2,085
17 years$5,860$4,904$4,083$3,384$2,793$1,792
18 years$5,476$4,532$3,727$3,049$2,483$1,543
19 years$5,134$4,200$3,412$2,755$2,213$1,332
20 years$4,826$3,903$3,132$2,496$1,977$1,151
21 years$4,548$3,635$2,880$2,265$1,769$996
22 years$4,295$3,393$2,655$2,059$1,586$863
23 years$4,065$3,174$2,451$1,875$1,424$749
24 years$3,855$2,974$2,267$1,711$1,280$650
25 years$3,661$2,791$2,100$1,562$1,151$565
26 years$3,483$2,623$1,947$1,428$1,037$491
27 years$3,318$2,468$1,808$1,307$935$427
28 years$3,165$2,326$1,681$1,198$844$372
29 years$3,023$2,194$1,564$1,098$762$324
30 years$2,891$2,072$1,457$1,008$688$282
31 years$2,767$1,959$1,358$926$622$246
32 years$2,651$1,854$1,267$851$563$214
33 years$2,543$1,755$1,183$782$509$187
34 years$2,441$1,664$1,106$720$461$163
35 years$2,346$1,578$1,034$663$418$142
36 years$2,255$1,498$967$610$379$124
37 years$2,170$1,422$905$562$343$108
38 years$2,090$1,352$848$518$311$94
39 years$2,014$1,285$794$478$282$82
40 years$1,941$1,223$744$441$256$72
41 years$1,873$1,164$698$407$232$63
42 years$1,808$1,109$655$375$211$55
43 years$1,746$1,056$614$347$191$48
44 years$1,687$1,007$577$320$173$42
45 years$1,631$960$541$295$158$36
46 years$1,578$916$509$273$143$32
47 years$1,527$874$478$252$130$28
48 years$1,478$835$449$233$118$24
49 years$1,431$797$422$215$107$21
50 years$1,386$761$397$199$97$19

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,420,000, adding $4,025 every year, while hoping to spend $54,513 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: 58/20/22 Blend
39$1,420,000$1,420,000$1,420,000$1,420,000
40$1,568,992$1,493,732$1,471,722$1,650,530
41$1,671,028$1,508,923$1,463,023$1,721,701
42$1,781,644$1,523,032$1,452,206$1,793,042
43$1,901,659$1,535,948$1,439,142$1,869,634
44$2,031,971$1,547,552$1,423,696$1,951,995
45$2,173,569$1,557,720$1,405,728$2,040,701
46$2,327,543$1,566,317$1,385,089$2,136,383
47$2,495,088$1,573,203$1,361,625$2,239,744
48$2,677,523$1,578,225$1,335,175$2,351,556
49$2,876,295$1,581,223$1,305,568$2,472,674
50$3,093,001$1,582,027$1,272,629$2,604,042
51$3,329,395$1,580,454$1,236,170$2,746,701
52$3,587,410$1,576,314$1,195,999$2,901,801
53$3,869,173$1,569,400$1,151,912$3,070,614
54$4,177,025$1,559,497$1,103,697$3,254,543
55$4,513,544$1,546,374$1,051,133$3,455,136
56$4,881,566$1,529,788$993,987$3,674,104
57$5,284,218$1,509,480$932,018$3,913,335
58$5,724,940$1,485,176$864,972$4,174,912
59$6,207,520$1,456,585$792,584$4,461,137
60$6,736,129$1,423,400$714,578$4,774,548
61$7,315,364$1,385,296$630,666$5,117,950
62$7,950,283$1,341,928$540,545$5,494,435
63$8,646,459$1,292,930$443,901$5,907,416
64$9,410,031$1,237,916$340,405$6,360,663
65$10,247,759$1,176,479$229,713$6,858,332
66$11,167,088$1,108,184$111,466$7,405,010
67$12,176,223$1,032,577$0$8,005,761
68$13,284,196$949,172$0$8,669,624
69$14,500,962$857,459$0$9,427,453
70$15,837,485$756,899$0$10,259,949
71$17,305,841$646,920$0$11,174,712
72$18,919,337$526,919$0$12,180,118
73$20,692,631$396,260$0$13,285,403
74$22,641,872$254,269$0$14,500,746
75$24,784,852$100,237$0$15,837,369
76$27,141,170$0$0$17,307,641
77$29,732,424$0$0$18,939,855
78$32,582,405$0$0$20,759,435
79$35,717,329$0$0$22,761,076
80$39,166,077$0$0$24,963,236
81$42,960,474$0$0$27,386,253
82$47,135,582$0$0$30,052,535
83$51,730,035$0$0$32,986,774
84$56,786,401$0$0$36,216,176
85$62,351,583$0$0$39,770,716
86$68,477,262$0$0$43,683,425
87$75,220,384$0$0$47,990,696
88$82,643,695$0$0$52,732,634
89$90,816,335$0$0$57,953,427
90$99,814,488$0$0$63,701,765
91$109,722,102$0$0$70,031,302
92$120,631,678$0$0$77,001,158
93$132,645,146$0$0$84,676,480
94$145,874,822$0$0$93,129,052
95$160,444,470$0$0$102,437,978
96$176,490,472$0$0$112,690,421
97$194,163,106$0$0$123,982,432
98$213,627,973$0$0$136,419,853
99$235,067,553$0$0$150,119,313
100$258,682,931$0$0$165,209,334