Can I retire at age 40 with 1,990,000?

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 $1,990,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19%
1 years$164,332$162,869$161,440$160,046$158,685$152,933
2 years$81,353$79,838$78,369$76,945$75,564$69,833
3 years$53,696$52,175$50,710$49,300$47,941$42,410
4 years$39,871$38,354$36,904$35,518$34,192$28,903
5 years$31,578$30,070$28,639$27,281$25,992$20,960
6 years$26,051$24,554$23,145$21,817$20,567$15,794
7 years$22,105$20,621$19,233$17,937$16,726$12,212
8 years$19,146$17,676$16,311$15,047$13,876$9,617
9 years$16,847$15,390$14,049$12,816$11,686$7,676
10 years$15,008$13,565$12,248$11,048$9,957$6,189
11 years$13,504$12,077$10,783$9,615$8,563$5,030
12 years$12,253$10,839$9,570$8,434$7,421$4,113
13 years$11,194$9,796$8,550$7,446$6,471$3,380
14 years$10,288$8,904$7,682$6,609$5,672$2,789
15 years$9,503$8,134$6,936$5,894$4,994$2,308
16 years$8,816$7,463$6,288$5,278$4,414$1,915
17 years$8,212$6,873$5,722$4,742$3,914$1,593
18 years$7,675$6,351$5,224$4,274$3,480$1,327
19 years$7,195$5,886$4,782$3,862$3,102$1,107
20 years$6,763$5,469$4,389$3,497$2,771$925
21 years$6,374$5,095$4,037$3,174$2,479$773
22 years$6,020$4,756$3,720$2,886$2,222$647
23 years$5,697$4,448$3,435$2,628$1,995$542
24 years$5,402$4,167$3,177$2,397$1,793$454
25 years$5,131$3,911$2,943$2,189$1,614$380
26 years$4,881$3,676$2,729$2,002$1,453$319
27 years$4,649$3,459$2,534$1,832$1,310$268
28 years$4,435$3,259$2,356$1,679$1,182$225
29 years$4,236$3,075$2,192$1,539$1,068$188
30 years$4,051$2,904$2,042$1,413$965$158
31 years$3,878$2,745$1,904$1,298$872$133
32 years$3,716$2,598$1,776$1,192$789$112
33 years$3,564$2,460$1,658$1,097$714$94
34 years$3,421$2,331$1,550$1,009$646$79
35 years$3,287$2,211$1,449$929$586$66
36 years$3,161$2,099$1,355$855$530$56
37 years$3,041$1,993$1,269$788$481$47
38 years$2,928$1,894$1,188$726$436$39
39 years$2,822$1,801$1,113$670$395$33
40 years$2,721$1,714$1,043$618$359$28
41 years$2,625$1,632$978$570$325$23
42 years$2,534$1,554$918$526$295$20
43 years$2,447$1,480$861$486$268$16
44 years$2,364$1,411$808$448$243$14
45 years$2,286$1,346$759$414$221$12
46 years$2,211$1,284$713$382$200$10
47 years$2,139$1,225$670$353$182$8
48 years$2,071$1,170$629$327$165$7
49 years$2,006$1,117$591$302$150$6
50 years$1,943$1,067$556$279$136$5

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $1,990,000, adding $4,447 every year, while hoping to spend $39,741 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: 35/36/29 Blend
39$1,990,000$1,990,000$1,990,000$1,990,000
40$2,197,567$2,092,097$2,061,252$2,255,160
41$2,379,435$2,152,326$2,088,020$2,359,029
42$2,578,521$2,214,174$2,114,353$2,467,149
43$2,796,540$2,277,678$2,140,193$2,583,053
44$3,035,380$2,342,877$2,165,483$2,707,464
45$3,297,120$2,409,809$2,190,157$2,841,181
46$3,584,049$2,478,513$2,214,151$2,985,081
47$3,898,690$2,549,028$2,237,393$3,140,131
48$4,243,820$2,621,394$2,259,809$3,307,396
49$4,622,498$2,695,651$2,281,321$3,488,046
50$5,038,094$2,771,839$2,301,846$3,683,373
51$5,494,321$2,850,000$2,321,299$3,894,797
52$5,995,266$2,930,174$2,339,587$4,123,885
53$6,545,434$3,012,403$2,356,614$4,372,359
54$7,149,787$3,096,730$2,372,279$4,642,120
55$7,813,790$3,183,194$2,386,475$4,935,259
56$8,543,465$3,271,840$2,399,091$5,254,081
57$9,345,447$3,362,708$2,410,009$5,601,127
58$10,227,043$3,455,841$2,419,104$5,979,193
59$11,196,305$3,551,281$2,426,248$6,391,363
60$12,262,103$3,649,069$2,431,303$6,841,032
61$13,434,213$3,749,248$2,434,126$7,331,944
62$14,723,401$3,851,860$2,434,568$7,868,222
63$16,141,531$3,956,944$2,432,469$8,454,411
64$17,701,675$4,064,543$2,427,665$9,095,519
65$19,418,236$4,174,695$2,419,982$9,797,063
66$21,307,082$4,287,442$2,409,237$10,565,125
67$23,385,699$4,402,820$2,395,241$11,406,406
68$25,673,351$4,520,869$2,377,792$12,328,292
69$28,191,266$4,641,625$2,356,682$13,338,922
70$30,962,835$4,765,124$2,331,690$14,447,263
71$34,013,829$4,891,401$2,302,587$15,663,203
72$37,372,648$5,020,488$2,269,132$16,997,633
73$41,070,582$5,152,416$2,231,072$18,462,561
74$45,142,113$5,287,215$2,188,144$20,071,216
75$49,625,233$5,424,913$2,140,071$21,838,181
76$54,561,808$5,565,535$2,086,565$23,779,527
77$59,997,969$5,709,104$2,027,322$25,912,965
78$65,984,552$5,855,639$1,962,027$28,258,014
79$72,577,569$6,005,159$1,890,348$30,836,187
80$79,838,746$6,157,677$1,811,940$33,671,192
81$87,836,099$6,313,203$1,726,440$36,789,160
82$96,644,576$6,471,745$1,633,471$40,218,887
83$106,346,767$6,633,305$1,532,637$43,992,112
84$117,033,682$6,797,882$1,423,524$48,143,812
85$128,805,608$6,965,468$1,305,703$52,712,537
86$141,773,056$7,136,053$1,178,721$57,740,772
87$156,057,807$7,309,618$1,042,107$63,275,340
88$171,794,055$7,486,142$895,369$69,367,843
89$189,129,679$7,665,592$737,994$76,075,154
90$208,227,634$7,847,934$569,444$83,459,950
91$229,267,492$8,033,122$389,160$91,591,308
92$252,447,136$8,221,105$196,557$100,545,356
93$277,984,626$8,411,821$0$110,405,995
94$306,120,258$8,605,201$0$121,268,470
95$337,118,832$8,801,164$0$133,296,993
96$371,272,152$8,999,620$0$146,543,191
97$408,901,777$9,200,467$0$161,131,050
98$450,362,060$9,403,591$0$177,197,199
99$496,043,489$9,608,866$0$194,892,199
100$546,376,376$9,816,151$0$214,381,968