Can I retire at age 40 with 1,620,000?

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 $1,620,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.6%
1 years$133,778$132,586$131,424$130,289$129,181$124,203
2 years$66,227$64,993$63,798$62,639$61,515$56,559
3 years$43,713$42,474$41,282$40,133$39,028$34,249
4 years$32,458$31,223$30,042$28,914$27,835$23,271
5 years$25,707$24,479$23,314$22,209$21,160$16,822
6 years$21,207$19,989$18,841$17,760$16,743$12,635
7 years$17,995$16,787$15,657$14,602$13,616$9,736
8 years$15,586$14,389$13,279$12,249$11,296$7,640
9 years$13,714$12,528$11,437$10,434$9,513$6,075
10 years$12,217$11,043$9,971$8,994$8,106$4,880
11 years$10,994$9,831$8,778$7,827$6,971$3,951
12 years$9,974$8,824$7,790$6,866$6,041$3,218
13 years$9,113$7,974$6,960$6,061$5,268$2,633
14 years$8,375$7,248$6,254$5,381$4,618$2,163
15 years$7,736$6,622$5,646$4,798$4,066$1,783
16 years$7,177$6,075$5,119$4,297$3,593$1,473
17 years$6,685$5,595$4,658$3,860$3,186$1,220
18 years$6,248$5,170$4,252$3,479$2,833$1,011
19 years$5,857$4,791$3,893$3,144$2,525$840
20 years$5,506$4,452$3,573$2,847$2,255$698
21 years$5,189$4,147$3,286$2,584$2,018$581
22 years$4,900$3,871$3,029$2,349$1,809$484
23 years$4,638$3,621$2,797$2,140$1,624$403
24 years$4,397$3,392$2,586$1,951$1,460$336
25 years$4,177$3,184$2,395$1,782$1,314$281
26 years$3,973$2,992$2,222$1,630$1,183$234
27 years$3,785$2,816$2,063$1,492$1,067$195
28 years$3,611$2,653$1,918$1,367$963$163
29 years$3,449$2,503$1,785$1,253$869$136
30 years$3,298$2,364$1,662$1,150$785$114
31 years$3,157$2,235$1,550$1,056$710$95
32 years$3,025$2,115$1,446$971$642$80
33 years$2,901$2,003$1,350$893$581$66
34 years$2,785$1,898$1,261$821$526$56
35 years$2,676$1,800$1,179$756$477$46
36 years$2,573$1,709$1,103$696$432$39
37 years$2,476$1,623$1,033$642$391$32
38 years$2,384$1,542$967$591$355$27
39 years$2,297$1,467$906$545$322$23
40 years$2,215$1,395$849$503$292$19
41 years$2,137$1,328$796$464$265$16
42 years$2,062$1,265$747$428$240$13
43 years$1,992$1,205$701$395$218$11
44 years$1,925$1,149$658$365$198$9
45 years$1,861$1,095$618$337$180$8
46 years$1,800$1,045$580$311$163$6
47 years$1,742$997$545$288$148$5
48 years$1,686$952$512$266$135$5
49 years$1,633$909$481$246$122$4
50 years$1,582$868$453$227$111$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,620,000, adding $5,389 every year, while hoping to spend $41,916 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: 35/50/15 Blend
39$1,620,000$1,620,000$1,620,000$1,620,000
40$1,790,799$1,704,939$1,679,829$1,845,004
41$1,928,862$1,743,882$1,691,505$1,923,763
42$2,079,603$1,783,330$1,702,167$2,004,338
43$2,244,270$1,823,260$1,711,737$2,090,372
44$2,424,238$1,863,653$1,720,134$2,182,371
45$2,621,022$1,904,483$1,727,269$2,280,893
46$2,836,287$1,945,724$1,733,053$2,386,552
47$3,071,869$1,987,345$1,737,391$2,500,025
48$3,329,787$2,029,313$1,740,182$2,622,059
49$3,612,268$2,071,592$1,741,321$2,753,478
50$3,921,762$2,114,142$1,740,697$2,895,188
51$4,260,966$2,156,920$1,738,195$3,048,190
52$4,632,854$2,199,878$1,733,694$3,213,586
53$5,040,699$2,242,965$1,727,066$3,392,592
54$5,488,105$2,286,126$1,718,178$3,586,549
55$5,979,045$2,329,299$1,706,890$3,796,936
56$6,517,891$2,372,418$1,693,054$4,025,382
57$7,109,463$2,415,414$1,676,519$4,273,684
58$7,759,067$2,458,208$1,657,121$4,543,826
59$8,472,552$2,500,720$1,634,694$4,837,993
60$9,256,356$2,542,859$1,609,061$5,158,595
61$10,117,576$2,584,531$1,580,036$5,508,290
62$11,064,028$2,625,632$1,547,426$5,890,009
63$12,104,324$2,666,053$1,511,030$6,306,985
64$13,247,950$2,705,675$1,470,635$6,762,783
65$14,505,360$2,744,372$1,426,020$7,261,332
66$15,888,068$2,782,007$1,376,953$7,806,969
67$17,408,762$2,818,437$1,323,192$8,404,472
68$19,081,420$2,853,504$1,264,483$9,059,113
69$20,921,443$2,887,045$1,200,562$9,776,705
70$22,945,801$2,918,881$1,131,151$10,563,656
71$25,173,190$2,948,824$1,055,962$11,427,034
72$27,624,211$2,976,671$974,693$12,374,632
73$30,321,562$3,002,209$887,026$13,415,044
74$33,290,252$3,025,209$792,632$14,557,745
75$36,557,840$3,045,426$691,167$15,813,183
76$40,154,688$3,062,601$582,270$17,192,877
77$44,114,256$3,076,457$465,566$18,709,529
78$48,473,409$3,086,703$340,661$20,377,145
79$53,272,770$3,093,024$207,147$22,211,164
80$58,557,100$3,095,090$64,594$24,228,613
81$64,375,723$3,092,548$0$26,448,260
82$70,782,988$3,085,025$0$28,904,811
83$77,838,784$3,072,122$0$31,619,014
84$85,609,104$3,053,419$0$34,605,752
85$94,166,664$3,028,469$0$37,892,838
86$103,591,597$2,996,797$0$41,510,929
87$113,972,201$2,957,901$0$45,493,818
88$125,405,776$2,911,249$0$49,878,753
89$137,999,540$2,856,275$0$54,706,792
90$151,871,643$2,792,382$0$60,023,192
91$167,152,280$2,718,938$0$65,877,835
92$183,984,917$2,635,271$0$72,325,705
93$202,527,652$2,540,672$0$79,427,407
94$222,954,698$2,434,391$0$87,249,741
95$245,458,033$2,315,632$0$95,866,336
96$270,249,211$2,183,556$0$105,358,346
97$297,561,353$2,037,274$0$115,815,220
98$327,651,356$1,875,845$0$127,335,548
99$360,802,310$1,698,277$0$140,027,998
100$397,326,173$1,503,519$0$154,012,339