Can I retire at age 40 with 1,940,000?

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 $1,940,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.2%
1 years$160,203$158,776$157,384$156,025$154,698$153,274
2 years$79,309$77,832$76,400$75,012$73,666$72,231
3 years$52,347$50,864$49,436$48,061$46,737$45,336
4 years$38,869$37,390$35,977$34,625$33,333$31,976
5 years$30,784$29,314$27,919$26,596$25,339$24,031
6 years$25,396$23,937$22,563$21,269$20,050$18,792
7 years$21,549$20,103$18,750$17,486$16,306$15,099
8 years$18,665$17,232$15,901$14,669$13,527$12,371
9 years$16,423$15,003$13,696$12,494$11,392$10,286
10 years$14,631$13,225$11,940$10,770$9,707$8,650
11 years$13,165$11,773$10,512$9,373$8,348$7,340
12 years$11,945$10,567$9,329$8,222$7,234$6,274
13 years$10,913$9,549$8,335$7,259$6,308$5,395
14 years$10,029$8,680$7,489$6,443$5,530$4,662
15 years$9,264$7,929$6,762$5,746$4,869$4,046
16 years$8,595$7,275$6,130$5,145$4,303$3,523
17 years$8,005$6,700$5,578$4,623$3,816$3,077
18 years$7,482$6,191$5,092$4,166$3,393$2,694
19 years$7,014$5,738$4,662$3,765$3,024$2,364
20 years$6,593$5,332$4,278$3,409$2,701$2,078
21 years$6,213$4,967$3,935$3,094$2,417$1,830
22 years$5,868$4,636$3,627$2,813$2,167$1,614
23 years$5,554$4,336$3,349$2,562$1,945$1,425
24 years$5,266$4,063$3,097$2,337$1,748$1,260
25 years$5,002$3,813$2,869$2,134$1,573$1,115
26 years$4,758$3,583$2,660$1,951$1,417$987
27 years$4,533$3,372$2,470$1,786$1,277$875
28 years$4,324$3,178$2,297$1,637$1,153$776
29 years$4,130$2,998$2,137$1,501$1,041$688
30 years$3,949$2,831$1,991$1,377$940$611
31 years$3,780$2,676$1,856$1,265$850$543
32 years$3,622$2,532$1,732$1,163$769$482
33 years$3,474$2,398$1,617$1,069$696$428
34 years$3,335$2,273$1,511$984$630$381
35 years$3,204$2,156$1,412$905$571$339
36 years$3,081$2,046$1,321$834$517$301
37 years$2,965$1,943$1,237$768$469$268
38 years$2,855$1,847$1,158$708$425$239
39 years$2,751$1,756$1,085$653$385$212
40 years$2,652$1,671$1,017$602$350$189
41 years$2,559$1,591$954$556$317$168
42 years$2,470$1,515$894$513$288$150
43 years$2,385$1,443$839$473$261$133
44 years$2,305$1,376$788$437$237$119
45 years$2,228$1,312$740$404$215$106
46 years$2,155$1,251$695$373$195$94
47 years$2,086$1,194$653$345$177$84
48 years$2,019$1,140$613$318$161$75
49 years$1,955$1,089$577$294$146$67
50 years$1,894$1,040$542$272$133$59

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,940,000, adding $3,122 every year, while hoping to spend $53,065 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: 75/12/13 Blend
39$1,940,000$1,940,000$1,940,000$1,940,000
40$2,141,100$2,038,280$2,008,210$2,295,732
41$2,303,032$2,081,695$2,019,025$2,441,663
42$2,479,702$2,125,459$2,028,423$2,594,606
43$2,672,558$2,169,533$2,036,301$2,760,767
44$2,883,192$2,213,874$2,042,551$2,941,442
45$3,113,360$2,258,436$2,047,058$3,138,060
46$3,364,991$2,303,167$2,049,703$3,352,194
47$3,640,212$2,348,014$2,050,360$3,585,578
48$3,941,363$2,392,916$2,048,897$3,840,121
49$4,271,022$2,437,809$2,045,174$4,117,926
50$4,632,026$2,482,622$2,039,048$4,421,312
51$5,027,502$2,527,280$2,030,365$4,752,832
52$5,460,891$2,571,700$2,018,967$5,115,299
53$5,935,985$2,615,796$2,004,684$5,511,812
54$6,456,957$2,659,472$1,987,343$5,945,788
55$7,028,407$2,702,626$1,966,759$6,420,989
56$7,655,399$2,745,150$1,942,741$6,941,562
57$8,343,512$2,786,925$1,915,085$7,512,076
58$9,098,892$2,827,826$1,883,582$8,137,567
59$9,928,307$2,867,717$1,848,010$8,823,582
60$10,839,215$2,906,456$1,808,139$9,576,236
61$11,839,829$2,943,886$1,763,725$10,402,266
62$12,939,198$2,979,843$1,714,517$11,309,097
63$14,147,292$3,014,151$1,660,249$12,304,910
64$15,475,093$3,046,622$1,600,645$13,398,722
65$16,934,700$3,077,054$1,535,414$14,600,468
66$18,539,443$3,105,233$1,464,254$15,921,100
67$20,304,008$3,130,932$1,386,848$17,372,683
68$22,244,576$3,153,906$1,302,866$18,968,516
69$24,378,972$3,173,897$1,211,962$20,723,254
70$26,726,838$3,190,629$1,113,773$22,653,047
71$29,309,815$3,203,809$1,007,924$24,775,694
72$32,151,746$3,213,125$894,020$27,110,811
73$35,278,902$3,218,247$771,647$29,680,012
74$38,720,231$3,218,821$640,378$32,507,121
75$42,507,625$3,214,474$499,761$35,618,392
76$46,676,228$3,204,809$349,329$39,042,758
77$51,264,763$3,189,404$188,591$42,812,104
78$56,315,897$3,167,812$17,036$46,961,569
79$61,876,643$3,139,560$0$51,529,882
80$67,998,806$3,104,144$0$56,582,750
81$74,739,468$3,061,031$0$62,148,196
82$82,161,528$3,009,656$0$68,275,769
83$90,334,295$2,949,420$0$75,022,677
84$99,334,142$2,879,690$0$82,451,961
85$109,245,224$2,799,795$0$90,633,092
86$120,160,275$2,709,023$0$99,642,624
87$132,181,481$2,606,623$0$109,564,918
88$145,421,442$2,491,797$0$120,492,939
89$160,004,239$2,363,706$0$132,529,133
90$176,066,601$2,221,456$0$145,786,393
91$193,759,194$2,064,108$0$160,389,127
92$213,248,046$1,890,663$0$176,474,431
93$234,716,112$1,700,071$0$194,193,384
94$258,364,999$1,491,218$0$213,712,473
95$284,416,869$1,262,928$0$235,215,169
96$313,116,537$1,013,959$0$258,903,652
97$344,733,779$742,998$0$285,000,728
98$379,565,880$448,660$0$313,751,927
99$417,940,437$129,482$0$345,427,824
100$460,218,451$0$0$380,326,591