Can I retire at age 40 with 2,220,000?

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 $2,220,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.8%
1 years$183,326$181,693$180,099$178,544$177,026$174,959
2 years$90,755$89,065$87,427$85,839$84,298$82,218
3 years$59,902$58,205$56,571$54,998$53,482$51,453
4 years$44,479$42,787$41,169$39,623$38,144$36,181
5 years$35,228$33,545$31,949$30,434$28,996$27,106
6 years$29,062$27,392$25,820$24,338$22,944$21,128
7 years$24,659$23,004$21,456$20,010$18,660$16,919
8 years$21,359$19,719$18,197$16,786$15,480$13,815
9 years$18,794$17,169$15,673$14,298$13,036$11,446
10 years$16,742$15,133$13,664$12,325$11,108$9,591
11 years$15,065$13,472$12,029$10,726$9,553$8,109
12 years$13,669$12,092$10,676$9,408$8,278$6,905
13 years$12,488$10,928$9,538$8,306$7,219$5,914
14 years$11,477$9,933$8,570$7,373$6,328$5,091
15 years$10,601$9,074$7,738$6,576$5,572$4,400
16 years$9,835$8,325$7,015$5,888$4,924$3,815
17 years$9,161$7,667$6,384$5,290$4,366$3,318
18 years$8,562$7,085$5,827$4,768$3,882$2,893
19 years$8,026$6,566$5,335$4,308$3,460$2,528
20 years$7,545$6,102$4,896$3,902$3,091$2,212
21 years$7,110$5,683$4,503$3,541$2,766$1,940
22 years$6,715$5,305$4,150$3,220$2,479$1,703
23 years$6,356$4,962$3,832$2,932$2,226$1,497
24 years$6,026$4,649$3,544$2,674$2,000$1,317
25 years$5,724$4,363$3,283$2,442$1,800$1,160
26 years$5,445$4,100$3,044$2,233$1,621$1,022
27 years$5,187$3,859$2,827$2,044$1,462$901
28 years$4,948$3,636$2,628$1,873$1,319$796
29 years$4,726$3,430$2,446$1,717$1,191$702
30 years$4,519$3,240$2,278$1,576$1,076$621
31 years$4,326$3,062$2,124$1,448$973$548
32 years$4,145$2,898$1,982$1,330$880$485
33 years$3,976$2,744$1,850$1,223$797$429
34 years$3,817$2,601$1,729$1,126$721$379
35 years$3,667$2,467$1,616$1,036$653$336
36 years$3,526$2,341$1,512$954$592$297
37 years$3,393$2,224$1,415$879$536$263
38 years$3,267$2,113$1,325$810$486$233
39 years$3,148$2,010$1,242$747$441$206
40 years$3,035$1,912$1,164$689$400$183
41 years$2,928$1,820$1,091$636$363$162
42 years$2,826$1,733$1,024$587$329$143
43 years$2,730$1,652$960$542$299$127
44 years$2,638$1,574$902$500$271$112
45 years$2,550$1,501$847$462$246$100
46 years$2,466$1,432$795$427$224$88
47 years$2,387$1,367$747$394$203$78
48 years$2,310$1,305$702$364$184$69
49 years$2,237$1,246$660$337$167$61
50 years$2,167$1,190$620$311$152$54

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,220,000, adding $5,011 every year, while hoping to spend $42,581 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: 37/48/15 Blend
39$2,220,000$2,220,000$2,220,000$2,220,000
40$2,451,609$2,333,949$2,299,539$2,530,952
41$2,656,367$2,403,006$2,331,268$2,657,477
42$2,880,584$2,474,021$2,362,632$2,789,613
43$3,126,198$2,547,043$2,393,575$2,931,422
44$3,395,347$2,622,124$2,424,036$3,083,793
45$3,690,382$2,699,319$2,453,952$3,247,701
46$4,013,896$2,778,680$2,483,254$3,424,220
47$4,368,741$2,860,263$2,511,871$3,614,530
48$4,758,062$2,944,125$2,539,727$3,819,930
49$5,185,320$3,030,323$2,566,744$4,041,849
50$5,654,329$3,118,916$2,592,837$4,281,857
51$6,169,291$3,209,963$2,617,917$4,541,685
52$6,734,833$3,303,525$2,641,891$4,823,235
53$7,356,052$3,399,664$2,664,661$5,128,602
54$8,038,566$3,498,444$2,686,124$5,460,092
55$8,788,560$3,599,928$2,706,169$5,820,243
56$9,612,850$3,704,182$2,724,683$6,211,849
57$10,518,946$3,811,271$2,741,545$6,637,987
58$11,515,119$3,921,264$2,756,627$7,102,044
59$12,610,484$4,034,229$2,769,797$7,607,750
60$13,815,082$4,150,235$2,780,914$8,159,213
61$15,139,976$4,269,353$2,789,830$8,760,956
62$16,597,356$4,391,653$2,796,392$9,417,962
63$18,200,652$4,517,209$2,800,436$10,135,718
64$19,964,660$4,646,094$2,801,792$10,920,268
65$21,905,684$4,778,382$2,800,281$11,778,270
66$24,041,689$4,914,147$2,795,716$12,717,056
67$26,392,467$5,053,467$2,787,898$13,744,706
68$28,979,828$5,196,416$2,776,623$14,870,119
69$31,827,803$5,343,073$2,761,672$16,103,097
70$34,962,871$5,493,515$2,742,820$17,454,443
71$38,414,207$5,647,821$2,719,828$18,936,055
72$42,213,961$5,806,069$2,692,447$20,561,043
73$46,397,557$5,968,339$2,660,416$22,343,851
74$51,004,030$6,134,709$2,623,462$24,300,391
75$56,076,392$6,305,261$2,581,299$26,448,199
76$61,662,038$6,480,073$2,533,626$28,806,593
77$67,813,194$6,659,225$2,480,131$31,396,859
78$74,587,410$6,842,796$2,420,485$34,242,452
79$82,048,100$7,030,867$2,354,345$37,369,216
80$90,265,142$7,223,516$2,281,352$40,805,627
81$99,315,539$7,420,821$2,201,130$44,583,063
82$109,284,142$7,622,859$2,113,286$48,736,101
83$120,264,453$7,829,707$2,017,409$53,302,839
84$132,359,505$8,041,441$1,913,070$58,325,260
85$145,682,837$8,258,134$1,799,821$63,849,628
86$160,359,563$8,479,859$1,677,191$69,926,918
87$176,527,552$8,706,686$1,544,691$76,613,308
88$194,338,733$8,938,685$1,401,809$83,970,698
89$213,960,524$9,175,920$1,248,009$92,067,303
90$235,577,413$9,418,456$1,082,734$100,978,293
91$259,392,702$9,666,353$905,398$110,786,501
92$285,630,422$9,919,669$715,393$121,583,209
93$314,537,449$10,178,456$512,082$133,469,006
94$346,385,833$10,442,765$294,801$146,554,742
95$381,475,368$10,712,640$62,857$160,962,568
96$420,136,417$10,988,122$0$176,827,097
97$462,733,037$11,269,244$0$194,326,226
98$509,666,407$11,556,038$0$213,606,525
99$561,378,620$11,848,524$0$234,838,194
100$618,356,856$12,146,718$0$258,219,881