Can I retire at age 40 with 2,080,000?

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 $2,080,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.4%
1 years$171,764$170,234$168,742$167,285$165,862$162,846
2 years$85,032$83,448$81,913$80,425$78,982$75,955
3 years$56,125$54,534$53,003$51,529$50,109$47,164
4 years$41,674$40,089$38,573$37,124$35,738$32,899
5 years$33,006$31,430$29,934$28,515$27,168$24,441
6 years$27,229$25,665$24,191$22,803$21,497$18,887
7 years$23,104$21,553$20,103$18,748$17,483$14,990
8 years$20,012$18,475$17,049$15,727$14,504$12,127
9 years$17,609$16,086$14,684$13,396$12,214$9,953
10 years$15,687$14,179$12,802$11,548$10,407$8,259
11 years$14,115$12,623$11,271$10,050$8,950$6,913
12 years$12,807$11,329$10,003$8,815$7,756$5,826
13 years$11,700$10,239$8,937$7,782$6,764$4,939
14 years$10,753$9,307$8,030$6,908$5,929$4,205
15 years$9,932$8,502$7,250$6,161$5,220$3,595
16 years$9,215$7,800$6,573$5,517$4,614$3,083
17 years$8,583$7,184$5,981$4,957$4,091$2,651
18 years$8,022$6,638$5,460$4,467$3,637$2,285
19 years$7,520$6,152$4,998$4,036$3,242$1,973
20 years$7,069$5,717$4,587$3,656$2,896$1,707
21 years$6,662$5,325$4,219$3,318$2,591$1,478
22 years$6,292$4,971$3,889$3,016$2,323$1,282
23 years$5,955$4,649$3,591$2,747$2,085$1,113
24 years$5,646$4,356$3,321$2,506$1,874$967
25 years$5,363$4,088$3,076$2,288$1,686$841
26 years$5,101$3,842$2,852$2,092$1,519$732
27 years$4,860$3,616$2,649$1,915$1,370$637
28 years$4,636$3,407$2,462$1,755$1,236$555
29 years$4,428$3,214$2,291$1,609$1,116$484
30 years$4,234$3,035$2,134$1,477$1,008$422
31 years$4,053$2,869$1,990$1,356$912$368
32 years$3,884$2,715$1,857$1,246$825$321
33 years$3,725$2,571$1,733$1,146$746$280
34 years$3,576$2,437$1,620$1,055$676$244
35 years$3,436$2,311$1,514$971$612$213
36 years$3,304$2,194$1,417$894$554$186
37 years$3,179$2,084$1,326$824$503$163
38 years$3,061$1,980$1,242$759$456$142
39 years$2,949$1,883$1,163$700$413$124
40 years$2,844$1,791$1,090$646$375$108
41 years$2,743$1,705$1,022$596$340$95
42 years$2,648$1,624$959$550$309$83
43 years$2,558$1,547$900$508$280$72
44 years$2,471$1,475$845$469$254$63
45 years$2,389$1,407$793$433$231$55
46 years$2,311$1,342$745$400$209$48
47 years$2,236$1,280$700$369$190$42
48 years$2,165$1,222$658$341$173$37
49 years$2,096$1,167$618$315$157$32
50 years$2,031$1,115$581$292$143$28

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,080,000, adding $4,579 every year, while hoping to spend $33,939 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: 58/19/23 Blend
39$2,080,000$2,080,000$2,080,000$2,080,000
40$2,296,883$2,186,643$2,154,403$2,415,648
41$2,495,054$2,257,678$2,190,465$2,568,152
42$2,712,302$2,331,056$2,226,597$2,730,308
43$2,950,535$2,406,856$2,262,767$2,906,372
44$3,211,857$2,485,160$2,298,937$3,097,696
45$3,498,587$2,566,052$2,335,071$3,305,769
46$3,813,274$2,649,621$2,371,128$3,532,230
47$4,158,732$2,735,956$2,407,065$3,778,883
48$4,538,056$2,825,151$2,442,835$4,047,717
49$4,954,658$2,917,304$2,478,390$4,340,918
50$5,412,296$3,012,514$2,513,678$4,660,897
51$5,915,108$3,110,886$2,548,645$5,010,308
52$6,467,657$3,212,527$2,583,232$5,392,073
53$7,074,966$3,317,549$2,617,378$5,809,411
54$7,742,569$3,426,066$2,651,018$6,265,867
55$8,476,566$3,538,198$2,684,082$6,765,346
56$9,283,675$3,654,068$2,716,497$7,312,151
57$10,171,298$3,773,805$2,748,188$7,911,020
58$11,147,589$3,897,541$2,779,071$8,567,172
59$12,221,536$4,025,413$2,809,062$9,286,357
60$13,403,036$4,157,562$2,838,070$10,074,911
61$14,703,000$4,294,136$2,865,999$10,939,811
62$16,133,444$4,435,288$2,892,749$11,888,746
63$17,707,612$4,581,174$2,918,213$12,930,187
64$19,440,095$4,731,958$2,942,279$14,073,466
65$21,346,970$4,887,808$2,964,831$15,328,864
66$23,445,952$5,048,902$2,985,743$16,707,710
67$25,756,559$5,215,418$3,004,886$18,222,485
68$28,300,301$5,387,547$3,022,123$19,886,941
69$31,100,877$5,565,482$3,037,309$21,716,232
70$34,184,401$5,749,425$3,050,293$23,727,051
71$37,579,648$5,939,585$3,060,916$25,937,796
72$41,318,326$6,136,178$3,069,011$28,368,737
73$45,435,374$6,339,430$3,074,401$31,042,207
74$49,969,293$6,549,572$3,076,904$33,982,818
75$54,962,505$6,766,846$3,076,325$37,217,689
76$60,461,760$6,991,501$3,072,461$40,776,699
77$66,518,571$7,223,796$3,065,100$44,692,776
78$73,189,703$7,464,000$3,054,019$49,002,202
79$80,537,707$7,712,390$3,038,982$53,744,957
80$88,631,511$7,969,254$3,019,746$58,965,097
81$97,547,069$8,234,892$2,996,052$64,711,169
82$107,368,082$8,509,614$2,967,632$71,036,666
83$118,186,782$8,793,740$2,934,202$78,000,538
84$130,104,804$9,087,604$2,895,468$85,667,742
85$143,234,148$9,391,550$2,851,121$94,109,860
86$157,698,232$9,705,938$2,800,835$103,405,771
87$173,633,061$10,031,138$2,744,272$113,642,396
88$191,188,504$10,367,535$2,681,076$124,915,520
89$210,529,717$10,715,529$2,610,877$137,330,694
90$231,838,693$11,075,535$2,533,286$151,004,231
91$255,315,985$11,447,981$2,447,897$166,064,308
92$281,182,597$11,833,314$2,354,283$182,652,169
93$309,682,073$12,231,997$2,252,002$200,923,464
94$341,082,788$12,644,509$2,140,588$221,049,714
95$375,680,491$13,071,348$2,019,556$243,219,933
96$413,801,087$13,513,031$1,888,398$267,642,411
97$455,803,722$13,970,094$1,746,584$294,546,680
98$502,084,166$14,443,092$1,593,558$324,185,679
99$553,078,552$14,932,605$1,428,743$356,838,146
100$609,267,492$15,439,230$1,251,534$392,811,244