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%17.9%
1 years$160,203$158,776$157,384$156,025$154,698$149,746
2 years$79,309$77,832$76,400$75,012$73,666$68,722
3 years$52,347$50,864$49,436$48,061$46,737$41,957
4 years$38,869$37,390$35,977$34,625$33,333$28,754
5 years$30,784$29,314$27,919$26,596$25,339$20,973
6 years$25,396$23,937$22,563$21,269$20,050$15,900
7 years$21,549$20,103$18,750$17,486$16,306$12,372
8 years$18,665$17,232$15,901$14,669$13,527$9,806
9 years$16,423$15,003$13,696$12,494$11,392$7,880
10 years$14,631$13,225$11,940$10,770$9,707$6,398
11 years$13,165$11,773$10,512$9,373$8,348$5,237
12 years$11,945$10,567$9,329$8,222$7,234$4,314
13 years$10,913$9,549$8,335$7,259$6,308$3,572
14 years$10,029$8,680$7,489$6,443$5,530$2,969
15 years$9,264$7,929$6,762$5,746$4,869$2,477
16 years$8,595$7,275$6,130$5,145$4,303$2,072
17 years$8,005$6,700$5,578$4,623$3,816$1,737
18 years$7,482$6,191$5,092$4,166$3,393$1,459
19 years$7,014$5,738$4,662$3,765$3,024$1,227
20 years$6,593$5,332$4,278$3,409$2,701$1,034
21 years$6,213$4,967$3,935$3,094$2,417$872
22 years$5,868$4,636$3,627$2,813$2,167$736
23 years$5,554$4,336$3,349$2,562$1,945$621
24 years$5,266$4,063$3,097$2,337$1,748$525
25 years$5,002$3,813$2,869$2,134$1,573$444
26 years$4,758$3,583$2,660$1,951$1,417$376
27 years$4,533$3,372$2,470$1,786$1,277$318
28 years$4,324$3,178$2,297$1,637$1,153$269
29 years$4,130$2,998$2,137$1,501$1,041$228
30 years$3,949$2,831$1,991$1,377$940$193
31 years$3,780$2,676$1,856$1,265$850$164
32 years$3,622$2,532$1,732$1,163$769$139
33 years$3,474$2,398$1,617$1,069$696$118
34 years$3,335$2,273$1,511$984$630$100
35 years$3,204$2,156$1,412$905$571$84
36 years$3,081$2,046$1,321$834$517$72
37 years$2,965$1,943$1,237$768$469$61
38 years$2,855$1,847$1,158$708$425$51
39 years$2,751$1,756$1,085$653$385$44
40 years$2,652$1,671$1,017$602$350$37
41 years$2,559$1,591$954$556$317$31
42 years$2,470$1,515$894$513$288$27
43 years$2,385$1,443$839$473$261$23
44 years$2,305$1,376$788$437$237$19
45 years$2,228$1,312$740$404$215$16
46 years$2,155$1,251$695$373$195$14
47 years$2,086$1,194$653$345$177$12
48 years$2,019$1,140$613$318$161$10
49 years$1,955$1,089$577$294$146$8
50 years$1,894$1,040$542$272$133$7

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 $2,880 every year, while hoping to spend $42,286 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: 49/39/12 Blend
39$1,940,000$1,940,000$1,940,000$1,940,000
40$2,140,851$2,038,031$2,007,961$2,238,605
41$2,314,226$2,092,902$2,030,235$2,360,942
42$2,503,867$2,149,045$2,051,839$2,489,096
43$2,711,391$2,206,477$2,072,705$2,627,345
44$2,938,573$2,265,216$2,092,761$2,776,648
45$3,187,373$2,325,277$2,111,934$2,938,058
46$3,459,947$2,386,676$2,130,145$3,112,737
47$3,758,667$2,449,430$2,147,311$3,301,963
48$4,086,150$2,513,551$2,163,345$3,507,143
49$4,445,276$2,579,053$2,178,155$3,729,827
50$4,839,216$2,645,948$2,191,645$3,971,720
51$5,271,464$2,714,248$2,203,713$4,234,701
52$5,745,869$2,783,961$2,214,253$4,520,839
53$6,266,669$2,855,098$2,223,153$4,832,413
54$6,838,536$2,927,663$2,230,294$5,171,933
55$7,466,611$3,001,664$2,235,554$5,542,163
56$8,156,562$3,077,102$2,238,802$5,946,148
57$8,914,632$3,153,981$2,239,902$6,387,244
58$9,747,697$3,232,298$2,238,712$6,869,145
59$10,663,333$3,312,052$2,235,080$7,395,924
60$11,669,888$3,393,237$2,228,849$7,972,065
61$12,776,556$3,475,845$2,219,855$8,602,511
62$13,993,469$3,559,866$2,207,925$9,292,706
63$15,331,789$3,645,285$2,192,876$10,048,651
64$16,803,814$3,732,087$2,174,520$10,876,954
65$18,423,092$3,820,249$2,152,656$11,784,900
66$20,204,554$3,909,747$2,127,077$12,780,514
67$22,164,648$4,000,554$2,097,563$13,872,640
68$24,321,497$4,092,636$2,063,886$15,071,023
69$26,695,070$4,185,956$2,025,807$16,386,400
70$29,307,370$4,280,471$1,983,074$17,830,604
71$32,182,642$4,376,133$1,935,427$19,416,675
72$35,347,597$4,472,889$1,882,589$21,158,981
73$38,831,671$4,570,680$1,824,275$23,073,357
74$42,667,297$4,669,439$1,760,184$25,177,253
75$46,890,213$4,769,093$1,690,001$27,489,897
76$51,539,798$4,869,562$1,613,400$30,032,480
77$56,659,444$4,970,758$1,530,036$32,828,355
78$62,296,966$5,072,583$1,439,551$35,903,256
79$68,505,050$5,174,934$1,341,570$39,285,545
80$75,341,754$5,277,694$1,235,700$43,006,475
81$82,871,050$5,380,738$1,121,534$47,100,489
82$91,163,435$5,483,932$998,643$51,605,546
83$100,296,588$5,587,128$866,580$56,563,476
84$110,356,109$5,690,166$724,880$62,020,378
85$121,436,324$5,792,875$573,055$68,027,055
86$133,641,172$5,895,070$410,596$74,639,495
87$147,085,193$5,996,550$236,972$81,919,400
88$161,894,602$6,097,100$51,630$89,934,766
89$178,208,482$6,196,488$0$98,760,529
90$196,180,098$6,294,467$0$108,497,989
91$215,978,341$6,390,769$0$119,227,712
92$237,789,322$6,485,107$0$131,043,461
93$261,818,131$6,577,175$0$144,055,852
94$288,290,769$6,666,645$0$158,386,788
95$317,456,282$6,753,166$0$174,170,605
96$349,589,114$6,836,361$0$191,555,342
97$384,991,691$6,915,831$0$210,704,141
98$423,997,282$6,991,145$0$231,796,782
99$466,973,142$7,061,848$0$255,031,389
100$514,323,975$7,127,452$0$280,626,295