Can I retire at age 40 with 1,890,000?

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 $1,890,000?

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$156,074$154,684$153,328$152,004$150,711$147,008
2 years$77,265$75,826$74,431$73,079$71,767$68,059
3 years$50,998$49,553$48,162$46,822$45,532$41,935
4 years$37,867$36,427$35,049$33,733$32,474$29,016
5 years$29,991$28,559$27,200$25,910$24,686$21,376
6 years$24,742$23,320$21,981$20,720$19,533$16,375
7 years$20,994$19,585$18,267$17,035$15,886$12,880
8 years$18,184$16,788$15,492$14,291$13,179$10,324
9 years$16,000$14,617$13,343$12,172$11,098$8,392
10 years$14,254$12,884$11,633$10,493$9,456$6,895
11 years$12,826$11,470$10,241$9,132$8,133$5,713
12 years$11,637$10,295$9,089$8,010$7,048$4,765
13 years$10,632$9,303$8,120$7,071$6,146$3,996
14 years$9,771$8,456$7,296$6,277$5,387$3,366
15 years$9,025$7,725$6,587$5,598$4,743$2,846
16 years$8,373$7,088$5,972$5,013$4,192$2,413
17 years$7,799$6,527$5,435$4,504$3,717$2,051
18 years$7,289$6,032$4,961$4,059$3,305$1,747
19 years$6,833$5,590$4,542$3,667$2,946$1,491
20 years$6,424$5,195$4,168$3,322$2,631$1,274
21 years$6,053$4,839$3,834$3,015$2,355$1,090
22 years$5,717$4,517$3,534$2,741$2,111$934
23 years$5,411$4,224$3,263$2,496$1,895$801
24 years$5,130$3,958$3,017$2,277$1,703$687
25 years$4,873$3,714$2,795$2,079$1,532$590
26 years$4,635$3,491$2,592$1,901$1,380$507
27 years$4,416$3,285$2,407$1,740$1,245$436
28 years$4,212$3,096$2,237$1,594$1,123$375
29 years$4,023$2,920$2,082$1,462$1,014$322
30 years$3,847$2,758$1,939$1,342$916$277
31 years$3,683$2,607$1,808$1,232$828$239
32 years$3,529$2,467$1,687$1,133$749$205
33 years$3,385$2,336$1,575$1,041$678$177
34 years$3,249$2,214$1,472$958$614$152
35 years$3,122$2,100$1,376$882$556$131
36 years$3,002$1,993$1,287$812$504$113
37 years$2,888$1,893$1,205$749$457$97
38 years$2,781$1,799$1,128$690$414$84
39 years$2,680$1,711$1,057$636$375$72
40 years$2,584$1,628$991$587$341$62
41 years$2,493$1,550$929$541$309$54
42 years$2,406$1,476$871$500$280$46
43 years$2,324$1,406$818$461$254$40
44 years$2,246$1,340$768$426$231$34
45 years$2,171$1,278$721$393$210$30
46 years$2,100$1,219$677$363$190$26
47 years$2,032$1,164$636$336$173$22
48 years$1,967$1,111$598$310$157$19
49 years$1,905$1,061$562$287$143$16
50 years$1,845$1,013$528$265$129$14

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,890,000, adding $4,751 every year, while hoping to spend $23,109 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: 55/21/24 Blend
39$1,890,000$1,890,000$1,890,000$1,890,000
40$2,087,681$1,987,511$1,958,216$2,188,523
41$2,276,036$2,060,311$1,999,228$2,331,090
42$2,482,830$2,135,904$2,040,840$2,483,459
43$2,709,917$2,214,402$2,083,047$2,648,917
44$2,959,343$2,295,922$2,125,844$2,828,729
45$3,233,361$2,380,587$2,169,224$3,024,286
46$3,534,452$2,468,524$2,213,181$3,237,117
47$3,865,349$2,559,865$2,257,706$3,468,906
48$4,229,065$2,654,749$2,302,789$3,721,509
49$4,628,918$2,753,320$2,348,421$3,996,964
50$5,068,563$2,855,728$2,394,589$4,297,518
51$5,552,028$2,962,130$2,441,279$4,625,642
52$6,083,751$3,072,690$2,488,478$4,984,060
53$6,668,620$3,187,578$2,536,168$5,375,768
54$7,312,021$3,306,972$2,584,332$5,804,065
55$8,019,891$3,431,056$2,632,950$6,272,585
56$8,798,767$3,560,026$2,682,001$6,785,329
57$9,655,856$3,694,081$2,731,463$7,346,701
58$10,599,095$3,833,434$2,781,309$7,961,555
59$11,637,233$3,978,302$2,831,513$8,635,234
60$12,779,907$4,128,915$2,882,045$9,373,622
61$14,037,737$4,285,512$2,932,874$10,183,201
62$15,422,427$4,448,342$2,983,965$11,071,111
63$16,946,869$4,617,665$3,035,282$12,045,215
64$18,625,271$4,793,753$3,086,786$13,114,174
65$20,473,291$4,976,889$3,138,435$14,287,530
66$22,508,178$5,167,367$3,190,184$15,575,793
67$24,748,941$5,365,498$3,241,985$16,990,539
68$27,216,528$5,571,602$3,293,786$18,544,524
69$29,934,019$5,786,016$3,345,533$20,251,797
70$32,926,848$6,009,090$3,397,168$22,127,837
71$36,223,043$6,241,191$3,448,629$24,189,696
72$39,853,485$6,482,701$3,499,850$26,456,161
73$43,852,207$6,734,020$3,550,761$28,947,928
74$48,256,708$6,995,564$3,601,288$31,687,800
75$53,108,314$7,267,768$3,651,352$34,700,900
76$58,452,560$7,551,086$3,700,871$38,014,908
77$64,339,626$7,845,994$3,749,755$41,660,320
78$70,824,807$8,152,987$3,797,911$45,670,736
79$77,969,037$8,472,583$3,845,240$50,083,179
80$85,839,461$8,805,322$3,891,638$54,938,438
81$94,510,072$9,151,769$3,936,994$60,281,458
82$104,062,408$9,512,514$3,981,192$66,161,759
83$114,586,320$9,888,174$4,024,108$72,633,907
84$126,180,821$10,279,391$4,065,613$79,758,022
85$138,955,023$10,686,839$4,105,568$87,600,352
86$153,029,161$11,111,220$4,143,831$96,233,890
87$168,535,735$11,553,269$4,180,248$105,739,069
88$185,620,753$12,013,752$4,214,660$116,204,514
89$204,445,116$12,493,472$4,246,897$127,727,881
90$225,186,132$12,993,266$4,276,782$140,416,779
91$248,039,191$13,514,010$4,304,128$154,389,779
92$273,219,611$14,056,619$4,328,739$169,777,539
93$300,964,667$14,622,049$4,350,407$186,724,031
94$331,535,833$15,211,299$4,368,916$205,387,901
95$365,221,250$15,825,416$4,384,037$225,943,965
96$402,338,446$16,465,489$4,395,531$248,584,858
97$443,237,332$17,132,663$4,403,145$273,522,850
98$488,303,505$17,828,129$4,406,616$300,991,851
99$537,961,892$18,553,136$4,405,667$331,249,612
100$592,680,753$19,308,988$4,400,005$364,580,165