Can I retire at age 40 with 1,540,000?

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 $1,540,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.3%
1 years$127,172$126,039$124,934$123,855$122,802$120,619
2 years$62,956$61,784$60,647$59,546$58,477$56,285
3 years$41,554$40,376$39,243$38,152$37,100$34,967
4 years$30,855$29,681$28,559$27,486$26,460$24,403
5 years$24,437$23,270$22,163$21,112$20,115$18,139
6 years$20,160$19,002$17,911$16,883$15,916$14,025
7 years$17,106$15,958$14,884$13,881$12,944$11,137
8 years$14,817$13,679$12,623$11,644$10,738$9,016
9 years$13,037$11,910$10,872$9,918$9,043$7,403
10 years$11,614$10,498$9,478$8,550$7,705$6,147
11 years$10,451$9,346$8,345$7,441$6,627$5,148
12 years$9,482$8,388$7,406$6,527$5,743$4,342
13 years$8,663$7,580$6,617$5,762$5,008$3,683
14 years$7,961$6,890$5,945$5,115$4,390$3,138
15 years$7,354$6,295$5,368$4,562$3,865$2,685
16 years$6,823$5,775$4,866$4,084$3,416$2,304
17 years$6,355$5,319$4,428$3,670$3,029$1,983
18 years$5,939$4,915$4,042$3,307$2,693$1,710
19 years$5,568$4,555$3,701$2,988$2,400$1,478
20 years$5,234$4,233$3,396$2,707$2,144$1,279
21 years$4,932$3,943$3,124$2,456$1,919$1,109
22 years$4,658$3,680$2,879$2,233$1,720$962
23 years$4,409$3,442$2,658$2,034$1,544$836
24 years$4,180$3,225$2,459$1,855$1,388$727
25 years$3,970$3,026$2,277$1,694$1,249$633
26 years$3,777$2,844$2,112$1,549$1,125$551
27 years$3,598$2,677$1,961$1,418$1,014$480
28 years$3,432$2,522$1,823$1,299$915$419
29 years$3,278$2,380$1,697$1,191$826$365
30 years$3,135$2,247$1,580$1,093$747$319
31 years$3,001$2,124$1,473$1,004$675$278
32 years$2,875$2,010$1,375$923$611$243
33 years$2,758$1,904$1,283$849$553$212
34 years$2,648$1,804$1,199$781$500$185
35 years$2,544$1,711$1,121$719$453$162
36 years$2,446$1,624$1,049$662$411$141
37 years$2,354$1,543$982$610$372$124
38 years$2,266$1,466$919$562$337$108
39 years$2,184$1,394$861$518$306$94
40 years$2,105$1,326$807$478$277$83
41 years$2,031$1,263$757$441$252$72
42 years$1,961$1,202$710$407$228$63
43 years$1,894$1,146$666$376$207$55
44 years$1,830$1,092$625$347$188$48
45 years$1,769$1,041$587$320$171$42
46 years$1,711$993$552$296$155$37
47 years$1,656$948$518$273$141$32
48 years$1,603$905$487$253$128$28
49 years$1,552$864$458$234$116$25
50 years$1,504$826$430$216$106$22

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,540,000, adding $4,679 every year, while hoping to spend $32,227 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: 61/19/20 Blend
39$1,540,000$1,540,000$1,540,000$1,540,000
40$1,701,906$1,620,286$1,596,416$1,796,596
41$1,841,212$1,665,391$1,615,607$1,906,257
42$1,993,646$1,711,626$1,634,361$2,021,902
43$2,160,514$1,759,012$1,652,628$2,147,382
44$2,343,254$1,807,571$1,670,358$2,283,656
45$2,543,447$1,857,324$1,687,497$2,431,782
46$2,762,838$1,908,292$1,703,987$2,592,923
47$3,003,345$1,960,496$1,719,769$2,768,362
48$3,267,083$2,013,957$1,734,778$2,959,512
49$3,556,381$2,068,695$1,748,947$3,167,927
50$3,873,802$2,124,732$1,762,208$3,395,322
51$4,222,172$2,182,086$1,774,484$3,643,584
52$4,604,603$2,240,778$1,785,699$3,914,793
53$5,024,523$2,300,827$1,795,770$4,211,241
54$5,485,708$2,362,251$1,804,612$4,535,451
55$5,992,317$2,425,068$1,812,133$4,890,205
56$6,548,933$2,489,295$1,818,239$5,278,567
57$7,160,604$2,554,950$1,822,830$5,703,913
58$7,832,891$2,622,049$1,825,800$6,169,964
59$8,571,921$2,690,604$1,827,040$6,680,818
60$9,384,445$2,760,632$1,826,434$7,240,993
61$10,277,899$2,832,144$1,823,860$7,855,464
62$11,260,477$2,905,151$1,819,192$8,529,716
63$12,341,207$2,979,664$1,812,295$9,269,791
64$13,530,034$3,055,691$1,803,031$10,082,350
65$14,837,917$3,133,240$1,791,252$10,974,729
66$16,276,930$3,212,314$1,776,805$11,955,014
67$17,860,377$3,292,918$1,759,528$13,032,117
68$19,602,917$3,375,053$1,739,254$14,215,856
69$21,520,700$3,458,716$1,715,805$15,517,051
70$23,631,524$3,543,905$1,688,996$16,947,628
71$25,954,996$3,630,613$1,658,634$18,520,726
72$28,512,724$3,718,831$1,624,517$20,250,827
73$31,328,515$3,808,547$1,586,431$22,153,888
74$34,428,603$3,899,745$1,544,156$24,247,495
75$37,841,893$3,992,406$1,497,458$26,551,029
76$41,600,240$4,086,507$1,446,096$29,085,845
77$45,738,739$4,182,021$1,389,816$31,875,481
78$50,296,066$4,278,916$1,328,350$34,945,873
79$55,314,839$4,377,156$1,261,423$38,325,605
80$60,842,015$4,476,700$1,188,745$42,046,176
81$66,929,344$4,577,502$1,110,010$46,142,299
82$73,633,845$4,679,508$1,024,904$50,652,231
83$81,018,354$4,782,660$933,094$55,618,129
84$89,152,108$4,886,893$834,236$61,086,452
85$98,111,407$4,992,134$727,967$67,108,403
86$107,980,327$5,098,305$613,910$73,740,404
87$118,851,516$5,205,317$491,671$81,044,637
88$130,827,067$5,313,074$360,838$89,089,629
89$144,019,484$5,421,472$220,983$97,950,895
90$158,552,742$5,530,394$71,657$107,711,660
91$174,563,456$5,639,717$0$118,463,636
92$192,202,169$5,749,304$0$130,326,612
93$211,634,779$5,859,008$0$143,410,791
94$233,044,096$5,968,669$0$157,823,723
95$256,631,574$6,078,115$0$173,700,793
96$282,619,210$6,187,158$0$191,191,195
97$311,251,639$6,295,598$0$210,459,335
98$342,798,441$6,403,217$0$231,686,388
99$377,556,689$6,509,782$0$255,072,004
100$415,853,753$6,615,042$0$280,836,197