Can I retire at age 40 with 2,240,000?

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 $2,240,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.5%
1 years$184,977$183,329$181,722$180,153$178,621$176,755
2 years$91,573$89,867$88,215$86,612$85,057$83,179
3 years$60,442$58,729$57,081$55,493$53,964$52,131
4 years$44,880$43,172$41,540$39,980$38,488$36,713
5 years$35,545$33,848$32,237$30,708$29,258$27,548
6 years$29,324$27,639$26,052$24,558$23,151$21,508
7 years$24,882$23,211$21,649$20,190$18,828$17,252
8 years$21,552$19,896$18,360$16,937$15,619$14,111
9 years$18,963$17,323$15,814$14,427$13,154$11,712
10 years$16,893$15,270$13,787$12,436$11,208$9,831
11 years$15,201$13,594$12,138$10,823$9,639$8,327
12 years$13,792$12,201$10,772$9,493$8,353$7,105
13 years$12,600$11,026$9,624$8,381$7,284$6,097
14 years$11,580$10,022$8,647$7,440$6,385$5,259
15 years$10,696$9,156$7,807$6,635$5,622$4,554
16 years$9,924$8,400$7,078$5,941$4,969$3,957
17 years$9,243$7,736$6,441$5,338$4,406$3,449
18 years$8,639$7,149$5,880$4,810$3,917$3,013
19 years$8,099$6,625$5,383$4,347$3,491$2,639
20 years$7,613$6,157$4,940$3,937$3,119$2,315
21 years$7,174$5,735$4,544$3,573$2,791$2,034
22 years$6,776$5,353$4,188$3,249$2,502$1,790
23 years$6,413$5,007$3,867$2,959$2,246$1,577
24 years$6,080$4,691$3,576$2,698$2,018$1,390
25 years$5,775$4,402$3,312$2,464$1,816$1,227
26 years$5,494$4,137$3,072$2,253$1,636$1,084
27 years$5,234$3,894$2,853$2,062$1,475$959
28 years$4,992$3,669$2,652$1,890$1,331$848
29 years$4,768$3,461$2,468$1,733$1,202$751
30 years$4,560$3,269$2,299$1,590$1,086$665
31 years$4,365$3,090$2,143$1,461$982$589
32 years$4,182$2,924$1,999$1,342$888$522
33 years$4,012$2,769$1,867$1,234$804$463
34 years$3,851$2,624$1,744$1,136$728$410
35 years$3,700$2,489$1,631$1,045$659$364
36 years$3,558$2,363$1,526$963$597$323
37 years$3,423$2,244$1,428$887$541$287
38 years$3,296$2,132$1,337$818$491$254
39 years$3,176$2,028$1,253$754$445$226
40 years$3,062$1,929$1,174$695$404$200
41 years$2,954$1,836$1,101$642$366$178
42 years$2,852$1,749$1,033$592$332$158
43 years$2,754$1,666$969$547$302$140
44 years$2,661$1,588$910$505$274$125
45 years$2,573$1,515$854$466$248$111
46 years$2,489$1,445$802$431$226$98
47 years$2,408$1,379$754$398$205$87
48 years$2,331$1,316$708$368$186$78
49 years$2,257$1,257$666$340$169$69
50 years$2,187$1,201$626$314$153$61

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,240,000, adding $3,086 every year, while hoping to spend $47,154 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: 53/20/27 Blend
39$2,240,000$2,240,000$2,240,000$2,240,000
40$2,471,663$2,352,943$2,318,223$2,583,904
41$2,673,601$2,418,066$2,345,712$2,727,071
42$2,894,557$2,484,799$2,372,542$2,877,725
43$3,136,420$2,553,172$2,398,640$3,040,733
44$3,401,271$2,623,214$2,423,931$3,217,297
45$3,691,402$2,694,954$2,448,334$3,408,738
46$4,009,338$2,768,419$2,471,766$3,616,514
47$4,357,858$2,843,639$2,494,137$3,842,228
48$4,740,023$2,920,641$2,515,355$4,087,650
49$5,159,205$2,999,452$2,535,319$4,354,726
50$5,619,119$3,080,100$2,553,927$4,645,603
51$6,123,854$3,162,610$2,571,069$4,962,645
52$6,677,917$3,247,008$2,586,630$5,308,458
53$7,286,272$3,333,319$2,600,489$5,685,911
54$7,954,386$3,421,566$2,612,520$6,098,168
55$8,688,283$3,511,772$2,622,588$6,548,715
56$9,494,597$3,603,958$2,630,555$7,041,392
57$10,380,639$3,698,145$2,636,271$7,580,433
58$11,354,461$3,794,351$2,639,583$8,170,501
59$12,424,936$3,892,594$2,640,329$8,816,737
60$13,601,837$3,992,888$2,638,337$9,524,805
61$14,895,933$4,095,248$2,633,430$10,300,948
62$16,319,088$4,199,685$2,625,420$11,152,046
63$17,884,373$4,306,209$2,614,110$12,085,681
64$19,606,191$4,414,825$2,599,295$13,110,207
65$21,500,410$4,525,538$2,580,758$14,234,834
66$23,584,511$4,638,349$2,558,273$15,469,711
67$25,877,760$4,753,257$2,531,604$16,826,021
68$28,401,380$4,870,255$2,500,501$18,316,092
69$31,178,758$4,989,335$2,464,705$19,953,508
70$34,235,662$5,110,483$2,423,944$21,753,241
71$37,600,486$5,233,683$2,377,932$23,731,791
72$41,304,515$5,358,913$2,326,372$25,907,344
73$45,382,221$5,486,145$2,268,951$28,299,941
74$49,871,589$5,615,348$2,205,343$30,931,669
75$54,814,475$5,746,484$2,135,206$33,826,873
76$60,256,999$5,879,509$2,058,182$37,012,380
77$66,249,981$6,014,373$1,973,900$40,517,758
78$72,849,421$6,151,019$1,881,966$44,375,593
79$80,117,024$6,289,381$1,781,975$48,621,798
80$88,120,787$6,429,387$1,673,498$53,295,954
81$96,935,636$6,570,956$1,556,089$58,441,680
82$106,644,136$6,713,998$1,429,283$64,107,051
83$117,337,267$6,858,413$1,292,592$70,345,047
84$129,115,282$7,004,089$1,145,509$77,214,058
85$142,088,658$7,150,907$987,500$84,778,436
86$156,379,133$7,298,733$818,013$93,109,101
87$172,120,855$7,447,421$636,467$102,284,212
88$189,461,650$7,596,813$442,257$112,389,906
89$208,564,418$7,746,736$234,751$123,521,114
90$229,608,664$7,897,002$13,292$135,782,455
91$252,792,201$8,047,408$0$149,289,230
92$278,333,006$8,197,732$0$164,232,762
93$306,471,288$8,347,736$0$180,697,093
94$337,471,746$8,497,162$0$198,832,936
95$371,626,074$8,645,732$0$218,810,597
96$409,255,707$8,793,147$0$240,817,749
97$450,714,862$8,939,084$0$265,061,207
98$496,393,876$9,083,196$0$291,768,876
99$546,722,890$9,225,112$0$321,191,906
100$602,175,915$9,364,433$0$353,607,061