Can I retire at age 40 with 1,560,000?

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 $1,560,000?

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 years$128,823$127,676$126,556$125,464$124,397$121,340
2 years$63,774$62,586$61,435$60,319$59,236$56,176
3 years$42,094$40,901$39,753$38,647$37,582$34,613
4 years$31,256$30,066$28,930$27,843$26,804$23,950
5 years$24,754$23,572$22,451$21,386$20,376$17,644
6 years$20,422$19,249$18,143$17,103$16,123$13,516
7 years$17,328$16,165$15,077$14,061$13,112$10,631
8 years$15,009$13,856$12,787$11,795$10,878$8,521
9 years$13,206$12,064$11,013$10,047$9,161$6,926
10 years$11,765$10,634$9,602$8,661$7,805$5,691
11 years$10,586$9,467$8,453$7,537$6,713$4,715
12 years$9,605$8,497$7,502$6,611$5,817$3,933
13 years$8,775$7,679$6,702$5,837$5,073$3,299
14 years$8,065$6,980$6,022$5,181$4,447$2,778
15 years$7,449$6,376$5,437$4,621$3,915$2,349
16 years$6,911$5,850$4,930$4,137$3,460$1,992
17 years$6,437$5,388$4,486$3,717$3,068$1,693
18 years$6,016$4,979$4,095$3,350$2,728$1,442
19 years$5,640$4,614$3,749$3,027$2,432$1,231
20 years$5,302$4,288$3,440$2,742$2,172$1,052
21 years$4,996$3,994$3,164$2,488$1,944$900
22 years$4,719$3,728$2,917$2,262$1,742$771
23 years$4,466$3,487$2,693$2,060$1,564$661
24 years$4,235$3,267$2,491$1,879$1,406$567
25 years$4,022$3,066$2,307$1,716$1,265$487
26 years$3,826$2,881$2,139$1,569$1,139$418
27 years$3,645$2,712$1,987$1,436$1,027$360
28 years$3,477$2,555$1,847$1,316$927$309
29 years$3,321$2,411$1,719$1,207$837$266
30 years$3,175$2,276$1,601$1,108$756$229
31 years$3,040$2,152$1,492$1,017$684$197
32 years$2,913$2,036$1,392$935$618$170
33 years$2,794$1,928$1,300$860$560$146
34 years$2,682$1,828$1,215$791$507$126
35 years$2,577$1,733$1,136$728$459$108
36 years$2,478$1,645$1,062$671$416$93
37 years$2,384$1,563$994$618$377$80
38 years$2,296$1,485$931$569$342$69
39 years$2,212$1,412$872$525$310$60
40 years$2,133$1,344$818$484$281$51
41 years$2,058$1,279$767$447$255$44
42 years$1,986$1,218$719$412$231$38
43 years$1,918$1,161$675$381$210$33
44 years$1,854$1,106$634$351$191$28
45 years$1,792$1,055$595$325$173$24
46 years$1,733$1,006$559$300$157$21
47 years$1,677$960$525$277$143$18
48 years$1,623$917$493$256$130$16
49 years$1,572$875$464$237$118$13
50 years$1,523$836$436$219$107$12

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,560,000, adding $5,761 every year, while hoping to spend $49,610 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: 54/21/25 Blend
39$1,560,000$1,560,000$1,560,000$1,560,000
40$1,725,062$1,642,382$1,618,202$1,806,015
41$1,848,234$1,670,075$1,619,628$1,890,112
42$1,982,307$1,697,461$1,619,438$1,976,002
43$2,128,340$1,724,474$1,617,526$2,068,487
44$2,287,499$1,751,042$1,613,782$2,168,215
45$2,461,067$1,777,086$1,608,087$2,275,902
46$2,650,457$1,802,525$1,600,319$2,392,340
47$2,857,223$1,827,268$1,590,350$2,518,401
48$3,083,077$1,851,221$1,578,043$2,655,046
49$3,329,902$1,874,282$1,563,259$2,803,339
50$3,599,772$1,896,342$1,545,848$2,964,452
51$3,894,970$1,917,284$1,525,656$3,139,677
52$4,218,012$1,936,986$1,502,520$3,330,442
53$4,571,665$1,955,314$1,476,270$3,538,322
54$4,958,979$1,972,128$1,446,729$3,765,053
55$5,383,310$1,987,277$1,413,709$4,012,554
56$5,848,356$2,000,602$1,377,017$4,282,937
57$6,358,189$2,011,933$1,336,448$4,578,538
58$6,917,293$2,021,087$1,291,789$4,901,929
59$7,530,610$2,027,873$1,242,816$5,255,951
60$8,203,579$2,032,086$1,189,297$5,643,736
61$8,942,194$2,033,507$1,130,988$6,068,739
62$9,753,055$2,031,907$1,067,634$6,534,773
63$10,643,436$2,027,039$998,969$7,046,042
64$11,621,345$2,018,643$924,713$7,607,184
65$12,695,608$2,006,443$844,577$8,223,313
66$13,875,946$1,990,144$758,256$8,900,073
67$15,173,068$1,969,437$665,433$9,643,686
68$16,598,772$1,943,990$565,776$10,461,015
69$18,166,057$1,913,456$458,940$11,359,627
70$19,889,242$1,877,463$344,562$12,347,871
71$21,784,106$1,835,619$222,265$13,434,952
72$23,868,029$1,787,509$91,656$14,631,019
73$26,160,163$1,732,692$0$15,947,268
74$28,681,610$1,670,704$0$17,408,772
75$31,455,617$1,601,051$0$19,043,330
76$34,507,800$1,523,213$0$20,841,595
77$37,866,383$1,436,638$0$22,820,239
78$41,562,463$1,340,742$0$24,997,640
79$45,630,305$1,234,909$0$27,394,050
80$50,107,663$1,118,486$0$30,031,793
81$55,036,139$990,786$0$32,935,470
82$60,461,570$851,080$0$36,132,198
83$66,434,465$698,598$0$39,651,864
84$73,010,479$532,528$0$43,527,405
85$80,250,937$352,010$0$47,795,125
86$88,223,413$156,139$0$52,495,036
87$97,002,368$0$0$57,671,236
88$106,669,852$0$0$63,385,277
89$117,316,277$0$0$69,717,859
90$129,041,269$0$0$76,692,184
91$141,954,610$0$0$84,373,578
92$156,177,273$0$0$92,834,026
93$171,842,561$0$0$102,152,851
94$189,097,368$0$0$112,417,464
95$208,103,561$0$0$123,724,185
96$229,039,511$0$0$136,179,157
97$252,101,773$0$0$149,899,341
98$277,506,944$0$0$165,013,627
99$305,493,702$0$0$181,664,043
100$336,325,062$0$0$200,007,100