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%16.3%
1 years$184,977$183,329$181,722$180,153$178,621$174,020
2 years$91,573$89,867$88,215$86,612$85,057$80,453
3 years$60,442$58,729$57,081$55,493$53,964$49,500
4 years$44,880$43,172$41,540$39,980$38,488$34,198
5 years$35,545$33,848$32,237$30,708$29,258$25,155
6 years$29,324$27,639$26,052$24,558$23,151$19,238
7 years$24,882$23,211$21,649$20,190$18,828$15,106
8 years$21,552$19,896$18,360$16,937$15,619$12,086
9 years$18,963$17,323$15,814$14,427$13,154$9,807
10 years$16,893$15,270$13,787$12,436$11,208$8,043
11 years$15,201$13,594$12,138$10,823$9,639$6,651
12 years$13,792$12,201$10,772$9,493$8,353$5,537
13 years$12,600$11,026$9,624$8,381$7,284$4,634
14 years$11,580$10,022$8,647$7,440$6,385$3,895
15 years$10,696$9,156$7,807$6,635$5,622$3,286
16 years$9,924$8,400$7,078$5,941$4,969$2,781
17 years$9,243$7,736$6,441$5,338$4,406$2,358
18 years$8,639$7,149$5,880$4,810$3,917$2,005
19 years$8,099$6,625$5,383$4,347$3,491$1,707
20 years$7,613$6,157$4,940$3,937$3,119$1,455
21 years$7,174$5,735$4,544$3,573$2,791$1,242
22 years$6,776$5,353$4,188$3,249$2,502$1,062
23 years$6,413$5,007$3,867$2,959$2,246$908
24 years$6,080$4,691$3,576$2,698$2,018$777
25 years$5,775$4,402$3,312$2,464$1,816$666
26 years$5,494$4,137$3,072$2,253$1,636$571
27 years$5,234$3,894$2,853$2,062$1,475$489
28 years$4,992$3,669$2,652$1,890$1,331$420
29 years$4,768$3,461$2,468$1,733$1,202$360
30 years$4,560$3,269$2,299$1,590$1,086$309
31 years$4,365$3,090$2,143$1,461$982$265
32 years$4,182$2,924$1,999$1,342$888$228
33 years$4,012$2,769$1,867$1,234$804$196
34 years$3,851$2,624$1,744$1,136$728$168
35 years$3,700$2,489$1,631$1,045$659$144
36 years$3,558$2,363$1,526$963$597$124
37 years$3,423$2,244$1,428$887$541$107
38 years$3,296$2,132$1,337$818$491$92
39 years$3,176$2,028$1,253$754$445$79
40 years$3,062$1,929$1,174$695$404$68
41 years$2,954$1,836$1,101$642$366$58
42 years$2,852$1,749$1,033$592$332$50
43 years$2,754$1,666$969$547$302$43
44 years$2,661$1,588$910$505$274$37
45 years$2,573$1,515$854$466$248$32
46 years$2,489$1,445$802$431$226$27
47 years$2,408$1,379$754$398$205$23
48 years$2,331$1,316$708$368$186$20
49 years$2,257$1,257$666$340$169$17
50 years$2,187$1,201$626$314$153$15

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 $5,279 every year, while hoping to spend $37,952 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: 59/35/6 Blend
39$2,240,000$2,240,000$2,240,000$2,240,000
40$2,473,925$2,355,205$2,320,485$2,616,672
41$2,685,885$2,430,230$2,357,841$2,787,981
42$2,918,193$2,507,658$2,395,176$2,969,867
43$3,172,884$2,587,569$2,432,450$3,167,216
44$3,452,200$2,670,042$2,469,619$3,381,514
45$3,758,610$2,755,160$2,506,637$3,614,393
46$4,094,834$2,843,008$2,543,455$3,867,651
47$4,463,868$2,933,676$2,580,021$4,143,263
48$4,869,011$3,027,255$2,616,281$4,443,406
49$5,313,898$3,123,838$2,652,174$4,770,475
50$5,802,533$3,223,524$2,687,640$5,127,104
51$6,339,328$3,326,413$2,722,612$5,516,195
52$6,929,141$3,432,609$2,757,021$5,940,941
53$7,577,326$3,542,220$2,790,794$6,404,857
54$8,289,781$3,655,356$2,823,853$6,911,815
55$9,073,002$3,772,132$2,856,115$7,466,076
56$9,934,148$3,892,666$2,887,495$8,072,332
57$10,881,105$4,017,081$2,917,901$8,735,750
58$11,922,563$4,145,503$2,947,235$9,462,020
59$13,068,095$4,278,063$2,975,398$10,257,408
60$14,328,248$4,414,896$3,002,281$11,128,816
61$15,714,643$4,556,140$3,027,772$12,083,843
62$17,240,086$4,701,939$3,051,751$13,130,860
63$18,918,684$4,852,444$3,074,094$14,279,088
64$20,765,982$5,007,806$3,094,669$15,538,681
65$22,799,109$5,168,186$3,113,337$16,920,827
66$25,036,938$5,333,746$3,129,953$18,437,846
67$27,500,263$5,504,657$3,144,364$20,103,314
68$30,211,998$5,681,094$3,156,409$21,932,181
69$33,197,392$5,863,237$3,165,918$23,940,921
70$36,484,264$6,051,274$3,172,715$26,147,680
71$40,103,271$6,245,398$3,176,612$28,572,448
72$44,088,191$6,445,809$3,177,415$31,237,250
73$48,476,246$6,652,714$3,174,919$34,166,350
74$53,308,452$6,866,325$3,168,906$37,386,480
75$58,630,002$7,086,863$3,159,153$40,927,092
76$64,490,699$7,314,556$3,145,422$44,820,636
77$70,945,422$7,549,641$3,127,464$49,102,864
78$78,054,641$7,792,359$3,105,021$53,813,166
79$85,884,993$8,042,963$3,077,818$58,994,945
80$94,509,907$8,301,714$3,045,570$64,696,021
81$104,010,300$8,568,880$3,007,978$70,969,083
82$114,475,334$8,844,738$2,964,729$77,872,187
83$126,003,265$9,129,578$2,915,495$85,469,303
84$138,702,366$9,423,695$2,859,932$93,830,916
85$152,691,948$9,727,397$2,797,680$103,034,689
86$168,103,489$10,041,001$2,728,365$113,166,202
87$185,081,871$10,364,837$2,651,591$124,319,749
88$203,786,751$10,699,243$2,566,948$136,599,237
89$224,394,065$11,044,570$2,474,006$150,119,157
90$247,097,687$11,401,182$2,372,313$165,005,669
91$272,111,265$11,769,454$2,261,400$181,397,792
92$299,670,232$12,149,775$2,140,774$199,448,711
93$330,034,026$12,542,545$2,009,920$219,327,225
94$363,488,547$12,948,179$1,868,303$241,219,339
95$400,348,846$13,367,108$1,715,359$265,330,016
96$440,962,108$13,799,775$1,550,502$291,885,116
97$485,710,918$14,246,640$1,373,120$321,133,520
98$535,016,884$14,708,177$1,182,571$353,349,484
99$589,344,607$15,184,878$978,188$388,835,221
100$649,206,071$15,677,252$759,272$427,923,758