Can I retire at age 40 with 1,640,000?

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 $1,640,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.4%
1 years$135,430$134,223$133,046$131,898$130,776$128,398
2 years$67,044$65,796$64,586$63,412$62,274$59,887
3 years$44,252$42,998$41,791$40,629$39,509$37,187
4 years$32,858$31,608$30,413$29,271$28,178$25,939
5 years$26,024$24,781$23,602$22,483$21,421$19,271
6 years$21,469$20,236$19,074$17,980$16,950$14,892
7 years$18,217$16,994$15,850$14,782$13,784$11,819
8 years$15,779$14,567$13,442$12,400$11,436$9,562
9 years$13,884$12,683$11,578$10,562$9,630$7,847
10 years$12,368$11,180$10,094$9,105$8,206$6,512
11 years$11,129$9,953$8,887$7,924$7,057$5,450
12 years$10,098$8,933$7,887$6,950$6,116$4,594
13 years$9,225$8,073$7,046$6,136$5,333$3,894
14 years$8,478$7,338$6,331$5,447$4,675$3,316
15 years$7,831$6,703$5,716$4,858$4,116$2,834
16 years$7,266$6,150$5,182$4,350$3,638$2,431
17 years$6,767$5,664$4,716$3,908$3,225$2,090
18 years$6,325$5,234$4,305$3,522$2,868$1,801
19 years$5,929$4,851$3,941$3,182$2,556$1,556
20 years$5,574$4,507$3,617$2,882$2,283$1,346
21 years$5,253$4,199$3,327$2,616$2,043$1,166
22 years$4,961$3,919$3,066$2,378$1,832$1,011
23 years$4,695$3,666$2,831$2,166$1,644$878
24 years$4,452$3,434$2,618$1,976$1,478$763
25 years$4,228$3,223$2,425$1,804$1,330$663
26 years$4,022$3,029$2,249$1,650$1,198$577
27 years$3,832$2,851$2,088$1,510$1,080$502
28 years$3,655$2,686$1,941$1,383$974$438
29 years$3,491$2,534$1,807$1,269$880$381
30 years$3,338$2,393$1,683$1,164$795$333
31 years$3,196$2,262$1,569$1,069$719$290
32 years$3,062$2,141$1,464$983$650$253
33 years$2,937$2,027$1,367$904$588$221
34 years$2,819$1,921$1,277$831$533$193
35 years$2,709$1,822$1,194$765$483$168
36 years$2,605$1,730$1,117$705$437$147
37 years$2,506$1,643$1,045$650$396$128
38 years$2,413$1,561$979$599$359$112
39 years$2,325$1,485$917$552$326$98
40 years$2,242$1,412$860$509$295$85
41 years$2,163$1,345$806$470$268$75
42 years$2,088$1,281$756$434$243$65
43 years$2,017$1,220$710$400$221$57
44 years$1,949$1,163$666$370$200$50
45 years$1,884$1,109$625$341$182$44
46 years$1,822$1,058$587$315$165$38
47 years$1,763$1,010$552$291$150$33
48 years$1,707$964$519$269$136$29
49 years$1,653$920$487$249$124$25
50 years$1,601$879$458$230$112$22

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,640,000, adding $4,057 every year, while hoping to spend $28,991 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: 40/46/14 Blend
39$1,640,000$1,640,000$1,640,000$1,640,000
40$1,811,465$1,724,545$1,699,125$1,876,217
41$1,965,388$1,778,201$1,725,199$1,976,114
42$2,134,040$1,833,515$1,751,176$2,080,971
43$2,318,892$1,890,537$1,777,020$2,193,777
44$2,521,565$1,949,320$1,802,696$2,315,266
45$2,743,844$2,009,916$1,828,166$2,446,244
46$2,987,696$2,072,382$1,853,389$2,587,601
47$3,255,286$2,136,773$1,878,323$2,740,311
48$3,548,999$2,203,150$1,902,921$2,905,448
49$3,871,465$2,271,572$1,927,137$3,084,193
50$4,225,576$2,342,101$1,950,918$3,277,844
51$4,614,523$2,414,801$1,974,211$3,487,830
52$5,041,817$2,489,739$1,996,960$3,715,723
53$5,511,328$2,566,982$2,019,104$3,963,254
54$6,027,319$2,646,601$2,040,580$4,232,325
55$6,594,488$2,728,666$2,061,321$4,525,033
56$7,218,008$2,813,253$2,081,258$4,843,684
57$7,903,579$2,900,437$2,100,315$5,190,816
58$8,657,483$2,990,297$2,118,414$5,569,226
59$9,486,639$3,082,915$2,135,474$5,981,989
60$10,398,671$3,178,372$2,151,407$6,432,496
61$11,401,979$3,276,755$2,166,122$6,924,476
62$12,505,817$3,378,153$2,179,523$7,462,038
63$13,720,383$3,482,655$2,191,510$8,049,706
64$15,056,912$3,590,355$2,201,976$8,692,463
65$16,527,784$3,701,350$2,210,809$9,395,796
66$18,146,640$3,815,738$2,217,893$10,165,749
67$19,928,510$3,933,621$2,223,105$11,008,978
68$21,889,954$4,055,105$2,226,315$11,932,815
69$24,049,220$4,180,296$2,227,387$12,945,338
70$26,426,416$4,309,306$2,226,180$14,055,441
71$29,043,698$4,442,249$2,222,544$15,272,925
72$31,925,478$4,579,242$2,216,323$16,608,587
73$35,098,659$4,720,407$2,207,352$18,074,317
74$38,592,883$4,865,868$2,195,459$19,683,219
75$42,440,814$5,015,752$2,180,463$21,449,726
76$46,678,444$5,170,192$2,162,177$23,389,741
77$51,345,436$5,329,322$2,140,400$25,520,783
78$56,485,494$5,493,281$2,114,927$27,862,153
79$62,146,776$5,662,214$2,085,539$30,435,119
80$68,382,352$5,836,267$2,052,009$33,263,112
81$75,250,699$6,015,592$2,014,098$36,371,947
82$82,816,258$6,200,344$1,971,559$39,790,069
83$91,150,039$6,390,683$1,924,129$43,548,820
84$100,330,291$6,586,775$1,871,535$47,682,730
85$110,443,242$6,788,787$1,813,492$52,229,851
86$121,583,910$6,996,896$1,749,702$57,232,107
87$133,857,004$7,211,278$1,679,851$62,735,695
88$147,377,906$7,432,119$1,603,614$68,791,517
89$162,273,766$7,659,606$1,520,649$75,455,664
90$178,684,698$7,893,935$1,430,599$82,789,939
91$196,765,104$8,135,305$1,333,091$90,862,447
92$216,685,131$8,383,920$1,227,735$99,748,229
93$238,632,274$8,639,993$1,114,125$109,529,978
94$262,813,152$8,903,739$991,834$120,298,815
95$289,455,452$9,175,380$860,419$132,155,146
96$318,810,080$9,455,145$719,415$145,209,615
97$351,153,531$9,743,270$568,337$159,584,144
98$386,790,495$10,039,994$406,681$175,413,085
99$426,056,738$10,345,566$233,917$192,844,485
100$469,322,266$10,660,240$49,494$212,041,488