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%17.5%
1 years$160,203$158,776$157,384$156,025$154,698$149,987
2 years$79,309$77,832$76,400$75,012$73,666$68,959
3 years$52,347$50,864$49,436$48,061$46,737$42,183
4 years$38,869$37,390$35,977$34,625$33,333$28,967
5 years$30,784$29,314$27,919$26,596$25,339$21,173
6 years$25,396$23,937$22,563$21,269$20,050$16,087
7 years$21,549$20,103$18,750$17,486$16,306$12,546
8 years$18,665$17,232$15,901$14,669$13,527$9,968
9 years$16,423$15,003$13,696$12,494$11,392$8,029
10 years$14,631$13,225$11,940$10,770$9,707$6,535
11 years$13,165$11,773$10,512$9,373$8,348$5,363
12 years$11,945$10,567$9,329$8,222$7,234$4,430
13 years$10,913$9,549$8,335$7,259$6,308$3,677
14 years$10,029$8,680$7,489$6,443$5,530$3,066
15 years$9,264$7,929$6,762$5,746$4,869$2,565
16 years$8,595$7,275$6,130$5,145$4,303$2,151
17 years$8,005$6,700$5,578$4,623$3,816$1,809
18 years$7,482$6,191$5,092$4,166$3,393$1,524
19 years$7,014$5,738$4,662$3,765$3,024$1,286
20 years$6,593$5,332$4,278$3,409$2,701$1,086
21 years$6,213$4,967$3,935$3,094$2,417$919
22 years$5,868$4,636$3,627$2,813$2,167$778
23 years$5,554$4,336$3,349$2,562$1,945$659
24 years$5,266$4,063$3,097$2,337$1,748$559
25 years$5,002$3,813$2,869$2,134$1,573$474
26 years$4,758$3,583$2,660$1,951$1,417$402
27 years$4,533$3,372$2,470$1,786$1,277$342
28 years$4,324$3,178$2,297$1,637$1,153$290
29 years$4,130$2,998$2,137$1,501$1,041$247
30 years$3,949$2,831$1,991$1,377$940$210
31 years$3,780$2,676$1,856$1,265$850$178
32 years$3,622$2,532$1,732$1,163$769$151
33 years$3,474$2,398$1,617$1,069$696$129
34 years$3,335$2,273$1,511$984$630$110
35 years$3,204$2,156$1,412$905$571$93
36 years$3,081$2,046$1,321$834$517$79
37 years$2,965$1,943$1,237$768$469$67
38 years$2,855$1,847$1,158$708$425$57
39 years$2,751$1,756$1,085$653$385$49
40 years$2,652$1,671$1,017$602$350$42
41 years$2,559$1,591$954$556$317$35
42 years$2,470$1,515$894$513$288$30
43 years$2,385$1,443$839$473$261$26
44 years$2,305$1,376$788$437$237$22
45 years$2,228$1,312$740$404$215$19
46 years$2,155$1,251$695$373$195$16
47 years$2,086$1,194$653$345$177$13
48 years$2,019$1,140$613$318$161$11
49 years$1,955$1,089$577$294$146$10
50 years$1,894$1,040$542$272$133$8

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 $2,130 every year, while hoping to spend $27,889 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: 48/28/24 Blend
39$1,940,000$1,940,000$1,940,000$1,940,000
40$2,140,077$2,037,257$2,007,187$2,228,106
41$2,328,691$2,107,409$2,044,754$2,360,052
42$2,535,609$2,180,064$2,082,645$2,500,308
43$2,762,669$2,255,314$2,120,841$2,652,059
44$3,011,894$2,333,258$2,159,322$2,816,397
45$3,285,514$2,413,994$2,198,066$2,994,528
46$3,585,986$2,497,629$2,237,051$3,187,775
47$3,916,014$2,584,270$2,276,249$3,397,595
48$4,278,578$2,674,031$2,315,635$3,625,591
49$4,676,963$2,767,028$2,355,179$3,873,526
50$5,114,786$2,863,385$2,394,849$4,143,343
51$5,596,031$2,963,227$2,434,613$4,437,178
52$6,125,088$3,066,687$2,474,435$4,757,384
53$6,706,794$3,173,902$2,514,275$5,106,550
54$7,346,477$3,285,014$2,554,095$5,487,525
55$8,050,010$3,400,172$2,593,849$5,903,450
56$8,823,860$3,519,529$2,633,492$6,357,778
57$9,675,155$3,643,247$2,672,975$6,854,316
58$10,611,746$3,771,491$2,712,245$7,397,252
59$11,642,286$3,904,436$2,751,247$7,991,201
60$12,776,307$4,042,262$2,789,922$8,641,244
61$14,024,314$4,185,156$2,828,207$9,352,976
62$15,397,879$4,333,314$2,866,037$10,132,560
63$16,909,755$4,486,939$2,903,342$10,986,785
64$18,573,993$4,646,242$2,940,047$11,923,126
65$20,406,076$4,811,443$2,976,074$12,949,818
66$22,423,064$4,982,772$3,011,341$14,075,933
67$24,643,755$5,160,466$3,045,759$15,311,463
68$27,088,863$5,344,773$3,079,237$16,667,414
69$29,781,212$5,535,952$3,111,676$18,155,911
70$32,745,953$5,734,272$3,142,975$19,790,312
71$36,010,801$5,940,011$3,173,025$21,585,331
72$39,606,292$6,153,462$3,201,711$23,557,180
73$43,566,079$6,374,927$3,228,914$25,723,718
74$47,927,243$6,604,722$3,254,506$28,104,621
75$52,730,644$6,843,176$3,278,354$30,721,566
76$58,021,309$7,090,630$3,300,319$33,598,436
77$63,848,854$7,347,443$3,320,251$36,761,545
78$70,267,955$7,613,985$3,337,996$40,239,885
79$77,338,858$7,890,642$3,353,391$44,065,396
80$85,127,956$8,177,818$3,366,265$48,273,275
81$93,708,409$8,475,933$3,376,436$52,902,298
82$103,160,837$8,785,423$3,383,717$57,995,192
83$113,574,078$9,106,745$3,387,907$63,599,034
84$125,046,032$9,440,373$3,388,799$69,765,696
85$137,684,578$9,786,802$3,386,175$76,552,334
86$151,608,596$10,146,547$3,379,803$84,021,926
87$166,949,091$10,520,145$3,369,444$92,243,865
88$183,850,423$10,908,157$3,354,846$101,294,615
89$202,471,675$11,311,167$3,335,742$111,258,430
90$222,988,154$11,729,781$3,311,857$122,228,150
91$245,593,041$12,164,636$3,282,900$134,306,076
92$270,499,219$12,616,391$3,248,565$147,604,933
93$297,941,281$13,085,736$3,208,534$162,248,935
94$328,177,745$13,573,391$3,162,473$178,374,955
95$361,493,492$14,080,103$3,110,032$196,133,819
96$398,202,455$14,606,656$3,050,846$215,691,723
97$438,650,587$15,153,863$2,984,530$237,231,808
98$483,219,120$15,722,575$2,910,685$260,955,880
99$532,328,167$16,313,679$2,828,890$287,086,319
100$586,440,689$16,928,098$2,738,707$315,868,177