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

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 $2,080,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%19.6%
1 years$171,764$170,234$168,742$167,285$165,862$159,470
2 years$85,032$83,448$81,913$80,425$78,982$72,619
3 years$56,125$54,534$53,003$51,529$50,109$43,975
4 years$41,674$40,089$38,573$37,124$35,738$29,879
5 years$33,006$31,430$29,934$28,515$27,168$21,599
6 years$27,229$25,665$24,191$22,803$21,497$16,222
7 years$23,104$21,553$20,103$18,748$17,483$12,500
8 years$20,012$18,475$17,049$15,727$14,504$9,809
9 years$17,609$16,086$14,684$13,396$12,214$7,800
10 years$15,687$14,179$12,802$11,548$10,407$6,266
11 years$14,115$12,623$11,271$10,050$8,950$5,072
12 years$12,807$11,329$10,003$8,815$7,756$4,131
13 years$11,700$10,239$8,937$7,782$6,764$3,381
14 years$10,753$9,307$8,030$6,908$5,929$2,778
15 years$9,932$8,502$7,250$6,161$5,220$2,289
16 years$9,215$7,800$6,573$5,517$4,614$1,891
17 years$8,583$7,184$5,981$4,957$4,091$1,566
18 years$8,022$6,638$5,460$4,467$3,637$1,299
19 years$7,520$6,152$4,998$4,036$3,242$1,078
20 years$7,069$5,717$4,587$3,656$2,896$897
21 years$6,662$5,325$4,219$3,318$2,591$746
22 years$6,292$4,971$3,889$3,016$2,323$621
23 years$5,955$4,649$3,591$2,747$2,085$518
24 years$5,646$4,356$3,321$2,506$1,874$432
25 years$5,363$4,088$3,076$2,288$1,686$360
26 years$5,101$3,842$2,852$2,092$1,519$301
27 years$4,860$3,616$2,649$1,915$1,370$251
28 years$4,636$3,407$2,462$1,755$1,236$210
29 years$4,428$3,214$2,291$1,609$1,116$175
30 years$4,234$3,035$2,134$1,477$1,008$146
31 years$4,053$2,869$1,990$1,356$912$122
32 years$3,884$2,715$1,857$1,246$825$102
33 years$3,725$2,571$1,733$1,146$746$85
34 years$3,576$2,437$1,620$1,055$676$71
35 years$3,436$2,311$1,514$971$612$60
36 years$3,304$2,194$1,417$894$554$50
37 years$3,179$2,084$1,326$824$503$42
38 years$3,061$1,980$1,242$759$456$35
39 years$2,949$1,883$1,163$700$413$29
40 years$2,844$1,791$1,090$646$375$24
41 years$2,743$1,705$1,022$596$340$20
42 years$2,648$1,624$959$550$309$17
43 years$2,558$1,547$900$508$280$14
44 years$2,471$1,475$845$469$254$12
45 years$2,389$1,407$793$433$231$10
46 years$2,311$1,342$745$400$209$8
47 years$2,236$1,280$700$369$190$7
48 years$2,165$1,222$658$341$173$6
49 years$2,096$1,167$618$315$157$5
50 years$2,031$1,115$581$292$143$4

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 $6,886 every year, while hoping to spend $58,648 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: 60/34/6 Blend
39$2,080,000$2,080,000$2,080,000$2,080,000
40$2,299,263$2,189,023$2,156,783$2,434,184
41$2,471,387$2,233,884$2,166,634$2,570,155
42$2,659,102$2,278,978$2,174,850$2,711,021
43$2,863,936$2,324,253$2,181,313$2,863,169
44$3,087,571$2,369,656$2,185,901$3,027,682
45$3,331,861$2,415,126$2,188,486$3,205,756
46$3,598,842$2,460,599$2,188,932$3,398,708
47$3,890,761$2,506,005$2,187,098$3,607,988
48$4,210,087$2,551,268$2,182,835$3,835,195
49$4,559,543$2,596,307$2,175,986$4,082,089
50$4,942,124$2,641,034$2,166,389$4,350,610
51$5,361,129$2,685,353$2,153,872$4,642,895
52$5,820,193$2,729,164$2,138,255$4,961,299
53$6,323,316$2,772,357$2,119,351$5,308,418
54$6,874,907$2,814,814$2,096,961$5,687,111
55$7,479,817$2,856,410$2,070,879$6,100,532
56$8,143,394$2,897,010$2,040,889$6,552,152
57$8,871,526$2,936,469$2,006,765$7,045,800
58$9,670,699$2,974,634$1,968,269$7,585,696
59$10,548,057$3,011,338$1,925,153$8,176,488
60$11,511,471$3,046,405$1,877,157$8,823,302
61$12,569,610$3,079,647$1,824,010$9,531,787
62$13,732,023$3,110,863$1,765,428$10,308,168
63$15,009,233$3,139,839$1,701,113$11,159,306
64$16,412,829$3,166,345$1,630,755$12,092,765
65$17,955,580$3,190,139$1,554,028$13,116,882
66$19,651,555$3,210,961$1,470,593$14,240,843
67$21,516,251$3,228,536$1,380,095$15,474,777
68$23,566,743$3,242,568$1,282,163$16,829,846
69$25,821,844$3,252,748$1,176,409$18,318,355
70$28,302,281$3,258,742$1,062,428$19,953,864
71$31,030,891$3,260,197$939,796$21,751,321
72$34,032,835$3,256,740$808,073$23,727,204
73$37,335,837$3,247,973$666,796$25,899,671
74$40,970,442$3,233,473$515,483$28,288,741
75$44,970,306$3,212,792$353,631$30,916,476
76$49,372,515$3,185,456$180,715$33,807,195
77$54,217,928$3,150,961$0$36,987,701
78$59,551,570$3,108,772$0$40,487,784
79$65,423,052$3,058,323$0$44,352,125
80$71,887,037$2,999,014$0$48,605,073
81$79,003,759$2,930,211$0$53,286,228
82$86,839,592$2,851,240$0$58,439,236
83$95,467,668$2,761,389$0$64,112,199
84$104,968,578$2,659,904$0$70,358,134
85$115,431,121$2,545,987$0$77,235,471
86$126,953,149$2,418,795$0$84,808,609
87$139,642,488$2,277,434$0$93,148,524
88$153,617,954$2,120,960$0$102,333,440
89$169,010,472$1,948,374$0$112,449,570
90$185,964,318$1,758,622$0$123,591,931
91$204,638,471$1,550,587$0$135,865,244
92$225,208,120$1,323,091$0$149,384,923
93$247,866,314$1,074,889$0$164,278,168
94$272,825,784$804,663$0$180,685,166
95$300,320,948$511,026$0$198,760,422
96$330,610,127$192,509$0$218,674,212
97$363,977,980$0$0$240,614,201
98$400,738,192$0$0$264,844,247
99$441,236,430$0$0$291,617,781
100$485,853,612$0$0$321,114,637