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%16.4%
1 years$135,430$134,223$133,046$131,898$130,776$127,356
2 years$67,044$65,796$64,586$63,412$62,274$58,852
3 years$44,252$42,998$41,791$40,629$39,509$36,192
4 years$32,858$31,608$30,413$29,271$28,178$24,991
5 years$26,024$24,781$23,602$22,483$21,421$18,373
6 years$21,469$20,236$19,074$17,980$16,950$14,044
7 years$18,217$16,994$15,850$14,782$13,784$11,021
8 years$15,779$14,567$13,442$12,400$11,436$8,813
9 years$13,884$12,683$11,578$10,562$9,630$7,146
10 years$12,368$11,180$10,094$9,105$8,206$5,857
11 years$11,129$9,953$8,887$7,924$7,057$4,841
12 years$10,098$8,933$7,887$6,950$6,116$4,027
13 years$9,225$8,073$7,046$6,136$5,333$3,368
14 years$8,478$7,338$6,331$5,447$4,675$2,829
15 years$7,831$6,703$5,716$4,858$4,116$2,385
16 years$7,266$6,150$5,182$4,350$3,638$2,017
17 years$6,767$5,664$4,716$3,908$3,225$1,709
18 years$6,325$5,234$4,305$3,522$2,868$1,452
19 years$5,929$4,851$3,941$3,182$2,556$1,235
20 years$5,574$4,507$3,617$2,882$2,283$1,052
21 years$5,253$4,199$3,327$2,616$2,043$898
22 years$4,961$3,919$3,066$2,378$1,832$767
23 years$4,695$3,666$2,831$2,166$1,644$655
24 years$4,452$3,434$2,618$1,976$1,478$560
25 years$4,228$3,223$2,425$1,804$1,330$480
26 years$4,022$3,029$2,249$1,650$1,198$411
27 years$3,832$2,851$2,088$1,510$1,080$352
28 years$3,655$2,686$1,941$1,383$974$302
29 years$3,491$2,534$1,807$1,269$880$259
30 years$3,338$2,393$1,683$1,164$795$222
31 years$3,196$2,262$1,569$1,069$719$190
32 years$3,062$2,141$1,464$983$650$163
33 years$2,937$2,027$1,367$904$588$140
34 years$2,819$1,921$1,277$831$533$120
35 years$2,709$1,822$1,194$765$483$103
36 years$2,605$1,730$1,117$705$437$89
37 years$2,506$1,643$1,045$650$396$76
38 years$2,413$1,561$979$599$359$65
39 years$2,325$1,485$917$552$326$56
40 years$2,242$1,412$860$509$295$48
41 years$2,163$1,345$806$470$268$41
42 years$2,088$1,281$756$434$243$36
43 years$2,017$1,220$710$400$221$31
44 years$1,949$1,163$666$370$200$26
45 years$1,884$1,109$625$341$182$23
46 years$1,822$1,058$587$315$165$19
47 years$1,763$1,010$552$291$150$17
48 years$1,707$964$519$269$136$14
49 years$1,653$920$487$249$124$12
50 years$1,601$879$458$230$112$11

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 $5,675 every year, while hoping to spend $40,790 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: 56/32/12 Blend
39$1,640,000$1,640,000$1,640,000$1,640,000
40$1,813,134$1,726,214$1,700,794$1,908,859
41$1,954,673$1,767,398$1,714,370$2,015,498
42$2,109,282$1,809,233$1,727,034$2,126,630
43$2,278,252$1,851,708$1,738,712$2,246,719
44$2,463,001$1,894,810$1,749,327$2,376,628
45$2,665,095$1,938,523$1,758,797$2,517,307
46$2,886,254$1,982,830$1,767,036$2,669,803
47$3,128,376$2,027,712$1,773,956$2,835,268
48$3,393,547$2,073,147$1,779,460$3,014,970
49$3,684,067$2,119,109$1,783,450$3,210,310
50$4,002,467$2,165,571$1,785,821$3,422,827
51$4,351,538$2,212,503$1,786,465$3,654,218
52$4,734,349$2,259,870$1,785,266$3,906,353
53$5,154,284$2,307,635$1,782,104$4,181,293
54$5,615,069$2,355,758$1,776,853$4,481,307
55$6,120,808$2,404,192$1,769,379$4,808,898
56$6,676,022$2,452,889$1,759,545$5,166,820
57$7,285,691$2,501,795$1,747,204$5,558,113
58$7,955,301$2,550,852$1,732,205$5,986,122
59$8,690,895$2,599,997$1,714,387$6,454,537
60$9,499,130$2,649,161$1,693,583$6,967,422
61$10,387,341$2,698,269$1,669,617$7,529,256
62$11,363,607$2,747,242$1,642,307$8,144,977
63$12,436,830$2,795,992$1,611,459$8,820,024
64$13,616,817$2,844,426$1,576,873$9,560,395
65$14,914,373$2,892,443$1,538,339$10,372,696
66$16,341,401$2,939,935$1,495,636$11,264,211
67$17,911,019$2,986,786$1,448,534$12,242,967
68$19,637,675$3,032,871$1,396,792$13,317,809
69$21,537,291$3,078,055$1,340,159$14,498,487
70$23,627,411$3,122,196$1,278,370$15,795,745
71$25,927,362$3,165,139$1,211,150$17,221,428
72$28,458,442$3,206,720$1,138,213$18,788,586
73$31,244,116$3,246,762$1,059,256$20,511,606
74$34,310,241$3,285,079$973,966$22,406,340
75$37,685,306$3,321,468$882,015$24,490,264
76$41,400,704$3,355,716$783,059$26,782,636
77$45,491,024$3,387,595$676,740$29,304,681
78$49,994,382$3,416,860$562,684$32,079,792
79$54,952,775$3,443,253$440,500$35,133,753
80$60,412,482$3,466,496$309,780$38,494,979
81$66,424,496$3,486,295$170,099$42,194,788
82$73,045,009$3,502,338$21,012$46,267,698
83$80,335,939$3,514,291$0$50,751,749
84$88,365,514$3,521,801$0$55,706,551
85$97,208,918$3,524,491$0$61,164,650
86$106,948,998$3,521,961$0$67,174,347
87$117,677,046$3,513,788$0$73,791,836
88$129,493,662$3,499,520$0$81,079,048
89$142,509,700$3,478,681$0$89,104,232
90$156,847,315$3,450,762$0$97,942,604
91$172,641,119$3,415,227$0$107,677,052
92$190,039,444$3,371,505$0$118,398,926
93$209,205,751$3,318,992$0$130,208,896
94$230,320,162$3,257,047$0$143,217,904
95$253,581,170$3,184,993$0$157,548,216
96$279,207,503$3,102,112$0$173,334,573
97$307,440,195$3,007,643$0$190,725,465
98$338,544,858$2,900,780$0$209,884,537
99$372,814,189$2,780,673$0$230,992,131
100$410,570,730$2,646,420$0$254,246,991