Can I retire at age 40 with 2,050,000?

Use the below retirement simulation to view the chances of a successful retirement.
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 $2,050,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.2%
1 years$169,287$167,779$166,308$164,872$163,470$161,293
2 years$83,805$82,245$80,732$79,265$77,843$75,654
3 years$55,315$53,748$52,239$50,786$49,387$47,253
4 years$41,073$39,510$38,017$36,589$35,223$33,161
5 years$32,530$30,977$29,502$28,104$26,776$24,791
6 years$26,836$25,295$23,842$22,475$21,187$19,282
7 years$22,771$21,242$19,813$18,478$17,231$15,407
8 years$19,724$18,209$16,803$15,500$14,294$12,551
9 years$17,355$15,854$14,472$13,203$12,038$10,374
10 years$15,460$13,974$12,617$11,381$10,257$8,672
11 years$13,912$12,441$11,108$9,905$8,821$7,313
12 years$12,622$11,166$9,858$8,688$7,644$6,212
13 years$11,532$10,091$8,808$7,670$6,666$5,307
14 years$10,598$9,172$7,914$6,809$5,843$4,556
15 years$9,789$8,379$7,145$6,072$5,145$3,926
16 years$9,082$7,688$6,478$5,437$4,547$3,396
17 years$8,459$7,080$5,895$4,885$4,032$2,945
18 years$7,906$6,542$5,381$4,402$3,585$2,560
19 years$7,412$6,063$4,926$3,978$3,195$2,230
20 years$6,967$5,634$4,521$3,603$2,854$1,947
21 years$6,566$5,248$4,158$3,270$2,554$1,701
22 years$6,201$4,899$3,833$2,973$2,289$1,489
23 years$5,869$4,582$3,539$2,708$2,055$1,305
24 years$5,565$4,293$3,273$2,469$1,847$1,145
25 years$5,285$4,029$3,031$2,255$1,662$1,005
26 years$5,028$3,786$2,811$2,062$1,497$883
27 years$4,790$3,563$2,611$1,887$1,350$776
28 years$4,569$3,358$2,427$1,729$1,218$683
29 years$4,364$3,168$2,258$1,586$1,100$601
30 years$4,173$2,992$2,104$1,455$994$529
31 years$3,995$2,828$1,961$1,337$898$466
32 years$3,828$2,676$1,830$1,228$813$411
33 years$3,671$2,534$1,708$1,130$736$362
34 years$3,524$2,402$1,596$1,039$666$319
35 years$3,386$2,278$1,492$957$603$281
36 years$3,256$2,162$1,396$881$546$248
37 years$3,133$2,054$1,307$812$495$219
38 years$3,017$1,952$1,224$748$449$193
39 years$2,907$1,856$1,146$690$407$170
40 years$2,803$1,766$1,075$636$369$150
41 years$2,704$1,681$1,008$587$335$133
42 years$2,610$1,601$945$542$304$117
43 years$2,521$1,525$887$500$276$103
44 years$2,436$1,454$833$462$250$91
45 years$2,355$1,386$782$427$227$81
46 years$2,277$1,322$734$394$206$71
47 years$2,204$1,262$690$364$187$63
48 years$2,133$1,205$648$336$170$56
49 years$2,066$1,150$609$311$155$49
50 years$2,002$1,099$573$287$140$43

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,050,000, adding $4,285 every year, while hoping to spend $57,540 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: 48/42/10 Blend
39$2,050,000$2,050,000$2,050,000$2,050,000
40$2,263,520$2,154,870$2,123,095$2,365,804
41$2,433,177$2,199,236$2,132,997$2,480,901
42$2,618,210$2,243,848$2,141,301$2,599,430
43$2,820,128$2,288,657$2,147,895$2,726,804
44$3,040,589$2,333,610$2,152,658$2,863,867
45$3,281,421$2,378,648$2,155,464$3,011,544
46$3,544,634$2,423,710$2,156,180$3,170,860
47$3,832,444$2,468,729$2,154,669$3,342,942
48$4,147,287$2,513,630$2,150,784$3,529,032
49$4,491,847$2,558,335$2,144,372$3,730,499
50$4,869,082$2,602,760$2,135,275$3,948,853
51$5,282,244$2,646,812$2,123,323$4,185,759
52$5,734,920$2,690,392$2,108,341$4,443,050
53$6,231,056$2,733,395$2,090,145$4,722,750
54$6,775,000$2,775,708$2,068,541$5,027,088
55$7,371,540$2,817,208$2,043,327$5,358,522
56$8,025,950$2,857,764$2,014,291$5,719,763
57$8,744,039$2,897,237$1,981,212$6,113,799
58$9,532,206$2,935,476$1,943,857$6,543,926
59$10,397,498$2,972,321$1,901,984$7,013,775
60$11,347,680$3,007,602$1,855,337$7,527,351
61$12,391,304$3,041,135$1,803,651$8,089,072
62$13,537,791$3,072,725$1,746,648$8,703,806
63$14,797,521$3,102,164$1,684,037$9,376,922
64$16,181,929$3,129,230$1,615,512$10,114,339
65$17,703,610$3,153,687$1,540,756$10,922,584
66$19,376,444$3,175,283$1,459,437$11,808,852
67$21,215,718$3,193,750$1,371,206$12,781,078
68$23,238,280$3,208,802$1,275,699$13,848,008
69$25,462,687$3,220,136$1,172,538$15,019,287
70$27,909,389$3,227,429$1,061,325$16,305,548
71$30,600,913$3,230,340$941,646$17,718,516
72$33,562,083$3,228,503$813,068$19,271,115
73$36,820,248$3,221,533$675,138$20,977,596
74$40,405,543$3,209,018$527,386$22,853,669
75$44,351,172$3,190,523$369,316$24,916,655
76$48,693,719$3,165,587$200,416$27,185,650
77$53,473,496$3,133,718$20,148$29,681,705
78$58,734,920$3,094,398$0$32,428,031
79$64,526,934$3,047,076$0$35,468,588
80$70,903,467$2,991,168$0$38,816,696
81$77,923,942$2,926,056$0$42,501,362
82$85,653,837$2,851,086$0$46,556,934
83$94,165,304$2,765,564$0$51,021,271
84$103,537,845$2,668,758$0$55,936,104
85$113,859,068$2,559,890$0$61,347,430
86$125,225,507$2,438,138$0$67,305,950
87$137,743,537$2,302,635$0$73,867,550
88$151,530,374$2,152,460$0$81,093,826
89$166,715,183$1,986,642$0$89,052,674
90$183,440,298$1,804,153$0$97,818,930
91$201,862,559$1,603,908$0$107,475,077
92$222,154,799$1,384,758$0$118,112,030
93$244,507,468$1,145,491$0$129,829,996
94$269,130,435$884,825$0$142,739,422
95$296,254,966$601,408$0$156,962,042
96$326,135,906$293,810$0$172,632,029
97$359,054,084$0$0$189,897,265
98$395,318,964$0$0$208,938,987
99$435,271,564$0$0$230,066,993
100$479,287,677$0$0$253,344,267