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%19.2%
1 years$117,262$116,218$115,199$114,204$113,233$109,042
2 years$58,051$56,969$55,922$54,906$53,920$49,745
3 years$38,316$37,230$36,185$35,179$34,209$30,182
4 years$28,451$27,368$26,333$25,344$24,398$20,549
5 years$22,533$21,457$20,436$19,467$18,547$14,885
6 years$18,589$17,521$16,515$15,568$14,676$11,205
7 years$15,773$14,714$13,724$12,799$11,935$8,654
8 years$13,662$12,613$11,639$10,737$9,902$6,807
9 years$12,021$10,982$10,025$9,145$8,339$5,426
10 years$10,709$9,680$8,740$7,883$7,105$4,370
11 years$9,636$8,617$7,694$6,861$6,110$3,547
12 years$8,743$7,735$6,829$6,018$5,295$2,896
13 years$7,988$6,990$6,101$5,313$4,617$2,377
14 years$7,341$6,354$5,482$4,716$4,048$1,958
15 years$6,781$5,804$4,949$4,206$3,564$1,618
16 years$6,291$5,325$4,487$3,766$3,150$1,341
17 years$5,860$4,904$4,083$3,384$2,793$1,114
18 years$5,476$4,532$3,727$3,049$2,483$926
19 years$5,134$4,200$3,412$2,755$2,213$772
20 years$4,826$3,903$3,132$2,496$1,977$643
21 years$4,548$3,635$2,880$2,265$1,769$537
22 years$4,295$3,393$2,655$2,059$1,586$449
23 years$4,065$3,174$2,451$1,875$1,424$375
24 years$3,855$2,974$2,267$1,711$1,280$314
25 years$3,661$2,791$2,100$1,562$1,151$263
26 years$3,483$2,623$1,947$1,428$1,037$220
27 years$3,318$2,468$1,808$1,307$935$184
28 years$3,165$2,326$1,681$1,198$844$154
29 years$3,023$2,194$1,564$1,098$762$129
30 years$2,891$2,072$1,457$1,008$688$108
31 years$2,767$1,959$1,358$926$622$91
32 years$2,651$1,854$1,267$851$563$76
33 years$2,543$1,755$1,183$782$509$64
34 years$2,441$1,664$1,106$720$461$54
35 years$2,346$1,578$1,034$663$418$45
36 years$2,255$1,498$967$610$379$38
37 years$2,170$1,422$905$562$343$32
38 years$2,090$1,352$848$518$311$26
39 years$2,014$1,285$794$478$282$22
40 years$1,941$1,223$744$441$256$19
41 years$1,873$1,164$698$407$232$16
42 years$1,808$1,109$655$375$211$13
43 years$1,746$1,056$614$347$191$11
44 years$1,687$1,007$577$320$173$9
45 years$1,631$960$541$295$158$8
46 years$1,578$916$509$273$143$6
47 years$1,527$874$478$252$130$5
48 years$1,478$835$449$233$118$5
49 years$1,431$797$422$215$107$4
50 years$1,386$761$397$199$97$3

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 $2,501 every year, while hoping to spend $58,056 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: 57/26/17 Blend
39$1,420,000$1,420,000$1,420,000$1,420,000
40$1,567,420$1,492,160$1,470,150$1,649,631
41$1,665,525$1,503,504$1,457,629$1,717,077
42$1,771,692$1,513,459$1,442,742$1,784,013
43$1,886,681$1,521,895$1,425,350$1,855,641
44$2,011,328$1,528,673$1,405,305$1,932,422
45$2,146,553$1,533,648$1,382,453$2,014,868
46$2,293,369$1,536,665$1,356,633$2,103,544
47$2,452,888$1,537,556$1,327,675$2,199,074
48$2,626,334$1,536,148$1,295,403$2,302,148
49$2,815,054$1,532,253$1,259,633$2,413,528
50$3,020,530$1,525,674$1,220,171$2,534,059
51$3,244,392$1,516,200$1,176,815$2,664,671
52$3,488,434$1,503,608$1,129,353$2,806,394
53$3,754,632$1,487,662$1,077,564$2,960,365
54$4,045,159$1,468,112$1,021,216$3,127,841
55$4,362,408$1,444,692$960,070$3,310,210
56$4,709,012$1,417,121$893,871$3,509,005
57$5,087,872$1,385,100$822,356$3,725,921
58$5,502,179$1,348,315$745,249$3,962,829
59$5,955,449$1,306,430$662,263$4,221,794
60$6,451,552$1,259,092$573,096$4,505,100
61$6,994,750$1,205,927$477,434$4,815,265
62$7,589,736$1,146,539$374,950$5,155,073
63$8,241,679$1,080,509$265,300$5,527,596
64$8,956,270$1,007,394$148,127$5,936,226
65$9,739,778$926,725$23,059$6,384,708
66$10,599,108$838,007$0$6,877,174
67$11,541,865$740,718$0$7,438,217
68$12,576,426$634,303$0$8,058,610
69$13,712,016$518,178$0$8,739,802
70$14,958,799$391,726$0$9,488,009
71$16,327,971$254,295$0$10,310,083
72$17,831,864$105,197$0$11,213,585
73$19,484,066$0$0$12,206,849
74$21,299,543$0$0$13,315,173
75$23,294,784$0$0$14,566,450
76$25,487,954$0$0$15,941,991
77$27,899,066$0$0$17,454,365
78$30,550,169$0$0$19,117,418
79$33,465,554$0$0$20,946,409
80$36,671,986$0$0$22,958,146
81$40,198,951$0$0$25,171,148
82$44,078,939$0$0$27,605,822
83$48,347,747$0$0$30,284,650
84$53,044,814$0$0$33,232,405
85$58,213,599$0$0$36,476,379
86$63,901,983$0$0$40,046,649
87$70,162,727$0$0$43,976,351
88$77,053,963$0$0$48,301,998
89$84,639,745$0$0$53,063,824
90$92,990,656$0$0$58,306,158
91$102,184,465$0$0$64,077,850
92$112,306,869$0$0$70,432,726
93$123,452,296$0$0$77,430,095
94$135,724,794$0$0$85,135,313
95$149,239,019$0$0$93,620,394
96$164,121,310$0$0$102,964,694
97$180,510,881$0$0$113,255,655
98$198,561,138$0$0$124,589,635
99$218,441,123$0$0$137,072,810
100$240,337,109$0$0$150,822,183