Can I retire at age 40 with 2,060,000?

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 $2,060,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.5%
1 years$170,113$168,598$167,119$165,676$164,267$159,907
2 years$84,214$82,646$81,126$79,652$78,223$73,860
3 years$55,585$54,010$52,494$51,034$49,628$45,399
4 years$41,273$39,703$38,202$36,767$35,395$31,333
5 years$32,689$31,128$29,646$28,241$26,907$23,023
6 years$26,967$25,418$23,959$22,584$21,290$17,589
7 years$22,882$21,346$19,910$18,568$17,315$13,795
8 years$19,820$18,298$16,885$15,576$14,364$11,025
9 years$17,439$15,931$14,543$13,267$12,097$8,935
10 years$15,536$14,043$12,679$11,437$10,307$7,318
11 years$13,980$12,501$11,162$9,953$8,864$6,044
12 years$12,684$11,221$9,906$8,730$7,682$5,025
13 years$11,588$10,140$8,851$7,708$6,699$4,200
14 years$10,649$9,217$7,952$6,842$5,872$3,526
15 years$9,837$8,420$7,180$6,102$5,170$2,970
16 years$9,127$7,725$6,510$5,463$4,569$2,510
17 years$8,501$7,115$5,924$4,909$4,052$2,125
18 years$7,945$6,574$5,407$4,424$3,602$1,804
19 years$7,448$6,093$4,950$3,997$3,211$1,534
20 years$7,001$5,662$4,543$3,620$2,868$1,306
21 years$6,598$5,274$4,179$3,286$2,567$1,113
22 years$6,231$4,923$3,851$2,987$2,301$950
23 years$5,897$4,604$3,556$2,721$2,065$811
24 years$5,592$4,314$3,289$2,481$1,856$693
25 years$5,311$4,048$3,046$2,266$1,670$593
26 years$5,052$3,805$2,825$2,072$1,505$507
27 years$4,813$3,581$2,623$1,897$1,356$434
28 years$4,591$3,374$2,439$1,738$1,224$372
29 years$4,385$3,183$2,269$1,594$1,105$319
30 years$4,193$3,006$2,114$1,462$999$273
31 years$4,014$2,842$1,971$1,343$903$234
32 years$3,846$2,689$1,839$1,234$817$201
33 years$3,689$2,546$1,717$1,135$739$172
34 years$3,542$2,413$1,604$1,044$669$147
35 years$3,403$2,289$1,500$961$606$126
36 years$3,272$2,173$1,403$885$549$108
37 years$3,148$2,064$1,313$816$498$93
38 years$3,032$1,961$1,230$752$451$80
39 years$2,921$1,865$1,152$693$409$69
40 years$2,816$1,774$1,080$640$371$59
41 years$2,717$1,689$1,013$590$337$50
42 years$2,623$1,608$950$545$306$43
43 years$2,533$1,533$891$503$277$37
44 years$2,448$1,461$837$464$252$32
45 years$2,366$1,393$786$429$228$27
46 years$2,289$1,329$738$396$207$23
47 years$2,215$1,268$693$366$188$20
48 years$2,144$1,211$651$338$171$17
49 years$2,076$1,156$612$312$155$15
50 years$2,011$1,104$576$289$141$13

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,060,000, adding $6,122 every year, while hoping to spend $51,411 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: 66/23/11 Blend
39$2,060,000$2,060,000$2,060,000$2,060,000
40$2,276,435$2,167,255$2,135,325$2,420,825
41$2,453,930$2,218,749$2,152,157$2,569,279
42$2,647,807$2,271,044$2,167,831$2,724,830
43$2,859,682$2,324,124$2,182,252$2,893,523
44$3,091,335$2,377,971$2,195,322$3,076,638
45$3,344,725$2,432,566$2,206,940$3,275,582
46$3,622,011$2,487,886$2,216,996$3,491,908
47$3,925,568$2,543,903$2,225,377$3,727,324
48$4,258,012$2,600,591$2,231,963$3,983,714
49$4,622,224$2,657,915$2,236,629$4,263,150
50$5,021,377$2,715,839$2,239,243$4,567,917
51$5,458,967$2,774,324$2,239,666$4,900,530
52$5,938,841$2,833,325$2,237,754$5,263,763
53$6,465,238$2,892,794$2,233,355$5,660,670
54$7,042,828$2,952,677$2,226,308$6,094,615
55$7,676,754$3,012,915$2,216,446$6,569,307
56$8,372,680$3,073,445$2,203,594$7,088,829
57$9,136,846$3,134,197$2,187,568$7,657,684
58$9,976,128$3,195,096$2,168,174$8,280,832
59$10,898,096$3,256,059$2,145,212$8,963,736
60$11,911,095$3,316,998$2,118,469$9,712,421
61$13,024,313$3,377,818$2,087,724$10,533,521
62$14,247,875$3,438,413$2,052,745$11,434,349
63$15,592,936$3,498,673$2,013,290$12,422,964
64$17,071,784$3,558,476$1,969,103$13,508,245
65$18,697,958$3,617,694$1,919,920$14,699,979
66$20,486,374$3,676,186$1,865,463$16,008,950
67$22,453,468$3,733,802$1,805,439$17,447,042
68$24,617,346$3,790,383$1,739,546$19,027,352
69$26,997,959$3,845,755$1,667,464$20,764,311
70$29,617,288$3,899,734$1,588,861$22,673,827
71$32,499,552$3,952,123$1,503,389$24,773,427
72$35,671,439$4,002,709$1,410,686$27,082,430
73$39,162,352$4,051,268$1,310,370$29,622,122
74$43,004,690$4,097,558$1,202,044$32,415,967
75$47,234,150$4,141,320$1,085,295$35,489,819
76$51,890,070$4,182,281$959,689$38,872,172
77$57,015,791$4,220,147$824,773$42,594,430
78$62,659,074$4,254,607$680,075$46,691,199
79$68,872,543$4,285,326$525,101$51,200,620
80$75,714,187$4,311,951$359,336$56,164,723
81$83,247,902$4,334,105$182,242$61,629,833
82$91,544,099$4,351,387$0$67,646,998
83$100,680,363$4,363,371$0$74,273,271
84$110,742,187$4,369,603$0$81,592,741
85$121,823,778$4,369,601$0$89,652,399
86$134,028,947$4,362,855$0$98,527,623
87$147,472,086$4,348,822$0$108,301,482
88$162,279,249$4,326,925$0$119,065,520
89$178,589,341$4,296,552$0$130,920,615
90$196,555,427$4,257,056$0$143,977,940
91$216,346,178$4,207,749$0$158,360,005
92$238,147,461$4,147,902$0$174,201,820
93$262,164,095$4,076,743$0$191,652,167
94$288,621,783$3,993,453$0$210,875,005
95$317,769,238$3,897,166$0$232,051,021
96$349,880,537$3,786,963$0$255,379,333
97$385,257,701$3,661,874$0$281,079,374
98$424,233,551$3,520,871$0$309,392,962
99$467,174,844$3,362,864$0$340,586,584
100$514,485,737$3,186,703$0$374,953,913