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%11.2%
1 years$171,764$170,234$168,742$167,285$165,862$165,024
2 years$85,032$83,448$81,913$80,425$78,982$78,137
3 years$56,125$54,534$53,003$51,529$50,109$49,282
4 years$41,674$40,089$38,573$37,124$35,738$34,936
5 years$33,006$31,430$29,934$28,515$27,168$26,393
6 years$27,229$25,665$24,191$22,803$21,497$20,750
7 years$23,104$21,553$20,103$18,748$17,483$16,765
8 years$20,012$18,475$17,049$15,727$14,504$13,814
9 years$17,609$16,086$14,684$13,396$12,214$11,553
10 years$15,687$14,179$12,802$11,548$10,407$9,774
11 years$14,115$12,623$11,271$10,050$8,950$8,345
12 years$12,807$11,329$10,003$8,815$7,756$7,178
13 years$11,700$10,239$8,937$7,782$6,764$6,212
14 years$10,753$9,307$8,030$6,908$5,929$5,404
15 years$9,932$8,502$7,250$6,161$5,220$4,720
16 years$9,215$7,800$6,573$5,517$4,614$4,138
17 years$8,583$7,184$5,981$4,957$4,091$3,640
18 years$8,022$6,638$5,460$4,467$3,637$3,209
19 years$7,520$6,152$4,998$4,036$3,242$2,836
20 years$7,069$5,717$4,587$3,656$2,896$2,512
21 years$6,662$5,325$4,219$3,318$2,591$2,228
22 years$6,292$4,971$3,889$3,016$2,323$1,980
23 years$5,955$4,649$3,591$2,747$2,085$1,762
24 years$5,646$4,356$3,321$2,506$1,874$1,569
25 years$5,363$4,088$3,076$2,288$1,686$1,399
26 years$5,101$3,842$2,852$2,092$1,519$1,249
27 years$4,860$3,616$2,649$1,915$1,370$1,115
28 years$4,636$3,407$2,462$1,755$1,236$997
29 years$4,428$3,214$2,291$1,609$1,116$892
30 years$4,234$3,035$2,134$1,477$1,008$798
31 years$4,053$2,869$1,990$1,356$912$714
32 years$3,884$2,715$1,857$1,246$825$640
33 years$3,725$2,571$1,733$1,146$746$574
34 years$3,576$2,437$1,620$1,055$676$514
35 years$3,436$2,311$1,514$971$612$461
36 years$3,304$2,194$1,417$894$554$414
37 years$3,179$2,084$1,326$824$503$371
38 years$3,061$1,980$1,242$759$456$333
39 years$2,949$1,883$1,163$700$413$299
40 years$2,844$1,791$1,090$646$375$268
41 years$2,743$1,705$1,022$596$340$241
42 years$2,648$1,624$959$550$309$216
43 years$2,558$1,547$900$508$280$194
44 years$2,471$1,475$845$469$254$175
45 years$2,389$1,407$793$433$231$157
46 years$2,311$1,342$745$400$209$141
47 years$2,236$1,280$700$369$190$127
48 years$2,165$1,222$658$341$173$114
49 years$2,096$1,167$618$315$157$102
50 years$2,031$1,115$581$292$143$92

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 $6,259 every year, while hoping to spend $41,845 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: 44/45/11 Blend
39$2,080,000$2,080,000$2,080,000$2,080,000
40$2,298,616$2,188,376$2,156,136$2,392,240
41$2,488,552$2,251,084$2,183,844$2,520,688
42$2,696,459$2,315,462$2,211,078$2,655,082
43$2,924,126$2,381,547$2,237,777$2,799,807
44$3,173,523$2,449,379$2,263,878$2,955,827
45$3,446,819$2,518,996$2,289,315$3,124,206
46$3,746,404$2,590,435$2,314,016$3,306,111
47$4,074,908$2,663,738$2,337,907$3,502,831
48$4,435,231$2,738,943$2,360,909$3,715,779
49$4,830,564$2,816,091$2,382,938$3,946,513
50$5,264,423$2,895,221$2,403,909$4,196,747
51$5,740,683$2,976,375$2,423,728$4,468,369
52$6,263,608$3,059,593$2,442,298$4,763,454
53$6,837,899$3,144,916$2,459,518$5,084,290
54$7,468,733$3,232,385$2,475,280$5,433,394
55$8,161,813$3,322,041$2,489,471$5,813,538
56$8,923,422$3,413,925$2,501,973$6,227,775
57$9,760,482$3,508,079$2,512,660$6,679,467
58$10,680,618$3,604,542$2,521,401$7,172,314
59$11,692,232$3,703,356$2,528,060$7,710,396
60$12,804,580$3,804,560$2,532,490$8,298,201
61$14,027,860$3,908,196$2,534,541$8,940,678
62$15,373,306$4,014,302$2,534,052$9,643,274
63$16,853,297$4,122,917$2,530,857$10,411,991
64$18,481,473$4,234,080$2,524,780$11,253,440
65$20,272,861$4,347,827$2,515,638$12,174,905
66$22,244,018$4,464,196$2,503,237$13,184,411
67$24,413,188$4,583,222$2,487,376$14,290,796
68$26,800,472$4,704,938$2,467,842$15,503,799
69$29,428,019$4,829,379$2,444,413$16,834,152
70$32,320,234$4,956,575$2,416,858$18,293,675
71$35,504,007$5,086,557$2,384,931$19,895,395
72$39,008,968$5,219,351$2,348,380$21,653,662
73$42,867,768$5,354,984$2,306,935$23,584,289
74$47,116,382$5,493,480$2,260,319$25,704,702
75$51,794,451$5,634,859$2,208,238$28,034,097
76$56,945,658$5,779,139$2,150,387$30,593,629
77$62,618,135$5,926,337$2,086,445$33,406,609
78$68,864,922$6,076,465$2,016,078$36,498,721
79$75,744,463$6,229,530$1,938,935$39,898,269
80$83,321,159$6,385,538$1,854,650$43,636,441
81$91,665,977$6,544,490$1,762,841$47,747,604
82$100,857,118$6,706,380$1,663,107$52,269,629
83$110,980,753$6,871,202$1,555,030$57,244,248
84$122,131,839$7,038,941$1,438,174$62,717,447
85$134,415,015$7,209,577$1,312,080$68,739,903
86$147,945,584$7,383,084$1,176,273$75,367,458
87$162,850,610$7,559,431$1,030,254$82,661,651
88$179,270,107$7,738,578$873,502$90,690,295
89$197,358,368$7,920,478$705,474$99,528,120
90$217,285,416$8,105,077$525,603$109,257,478
91$239,238,614$8,292,310$333,296$119,969,118
92$263,424,425$8,482,106$127,934$131,763,048
93$290,070,368$8,674,381$0$144,749,474
94$319,427,162$8,869,043$0$159,060,551
95$351,771,092$9,065,985$0$174,836,130
96$387,406,617$9,265,092$0$192,208,750
97$426,669,245$9,466,234$0$211,341,029
98$469,928,695$9,669,267$0$232,412,170
99$517,592,394$9,874,033$0$255,619,650
100$570,109,316$10,080,358$0$281,181,086