Can I retire at age 40 with 2,250,000?

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 $2,250,000?

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$185,803$184,148$182,533$180,957$179,418$177,323
2 years$91,982$90,269$88,608$86,999$85,437$83,329
3 years$60,712$58,991$57,335$55,741$54,205$52,148
4 years$45,080$43,365$41,726$40,158$38,659$36,670
5 years$35,704$33,999$32,381$30,845$29,388$27,472
6 years$29,455$27,762$26,168$24,667$23,254$21,414
7 years$24,993$23,315$21,746$20,280$18,912$17,148
8 years$21,648$19,985$18,442$17,013$15,689$14,002
9 years$19,048$17,401$15,884$14,491$13,212$11,601
10 years$16,969$15,338$13,848$12,491$11,258$9,721
11 years$15,269$13,654$12,192$10,871$9,682$8,218
12 years$13,853$12,255$10,820$9,536$8,390$6,998
13 years$12,657$11,075$9,667$8,418$7,316$5,994
14 years$11,632$10,067$8,686$7,473$6,414$5,159
15 years$10,744$9,197$7,842$6,665$5,647$4,459
16 years$9,968$8,438$7,110$5,967$4,991$3,867
17 years$9,285$7,771$6,470$5,362$4,425$3,363
18 years$8,677$7,181$5,906$4,832$3,935$2,932
19 years$8,135$6,655$5,407$4,366$3,507$2,562
20 years$7,647$6,184$4,962$3,954$3,133$2,242
21 years$7,206$5,760$4,564$3,589$2,803$1,966
22 years$6,806$5,377$4,207$3,263$2,513$1,726
23 years$6,441$5,029$3,884$2,972$2,256$1,517
24 years$6,108$4,712$3,592$2,710$2,027$1,335
25 years$5,801$4,422$3,327$2,475$1,824$1,175
26 years$5,518$4,156$3,086$2,263$1,643$1,036
27 years$5,257$3,911$2,865$2,072$1,482$914
28 years$5,015$3,685$2,664$1,898$1,337$806
29 years$4,790$3,477$2,479$1,741$1,207$712
30 years$4,580$3,283$2,309$1,597$1,091$629
31 years$4,384$3,104$2,152$1,467$986$556
32 years$4,201$2,937$2,008$1,348$892$491
33 years$4,029$2,781$1,875$1,240$807$435
34 years$3,868$2,636$1,752$1,141$731$384
35 years$3,716$2,500$1,638$1,050$662$340
36 years$3,574$2,373$1,532$967$600$301
37 years$3,439$2,254$1,434$891$544$266
38 years$3,311$2,142$1,343$821$493$236
39 years$3,190$2,037$1,258$757$447$209
40 years$3,076$1,938$1,179$699$405$185
41 years$2,968$1,845$1,106$644$368$164
42 years$2,865$1,757$1,037$595$334$145
43 years$2,767$1,674$973$549$303$129
44 years$2,673$1,596$914$507$275$114
45 years$2,584$1,522$858$468$250$101
46 years$2,500$1,451$806$432$227$89
47 years$2,419$1,385$757$400$206$79
48 years$2,341$1,322$711$369$187$70
49 years$2,268$1,263$669$341$170$62
50 years$2,197$1,206$629$315$154$55

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,250,000, adding $4,739 every year, while hoping to spend $20,447 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: 39/44/17 Blend
39$2,250,000$2,250,000$2,250,000$2,250,000
40$2,484,388$2,365,138$2,330,263$2,568,482
41$2,716,040$2,459,275$2,386,572$2,723,170
42$2,970,636$2,557,338$2,444,081$2,888,002
43$3,250,493$2,659,500$2,502,810$3,065,799
44$3,558,167$2,765,939$2,562,777$3,257,743
45$3,896,471$2,876,841$2,624,002$3,465,135
46$4,268,506$2,992,402$2,686,501$3,689,399
47$4,677,689$3,112,824$2,750,294$3,932,102
48$5,127,782$3,238,322$2,815,398$4,194,962
49$5,622,934$3,369,118$2,881,832$4,479,868
50$6,167,713$3,505,445$2,949,613$4,788,893
51$6,767,154$3,647,546$3,018,759$5,124,318
52$7,426,803$3,795,675$3,089,287$5,488,647
53$8,152,773$3,950,098$3,161,214$5,884,631
54$8,951,797$4,111,094$3,234,556$6,315,298
55$9,831,296$4,278,954$3,309,329$6,783,972
56$10,799,446$4,453,980$3,385,549$7,294,311
57$11,865,255$4,636,492$3,463,232$7,850,336
58$13,038,652$4,826,820$3,542,391$8,456,471
59$14,330,575$5,025,315$3,623,041$9,117,577
60$15,753,076$5,232,337$3,705,195$9,839,007
61$17,319,436$5,448,268$3,788,866$10,626,647
62$19,044,291$5,673,506$3,874,065$11,486,970
63$20,943,767$5,908,466$3,960,804$12,427,103
64$23,035,634$6,153,583$4,049,094$13,454,884
65$25,339,472$6,409,313$4,138,942$14,578,942
66$27,876,859$6,676,130$4,230,358$15,808,771
67$30,671,572$6,954,534$4,323,348$17,154,820
68$33,749,811$7,245,044$4,417,918$18,628,592
69$37,140,446$7,548,206$4,514,074$20,242,747
70$40,875,294$7,864,590$4,611,817$22,011,222
71$44,989,411$8,194,793$4,711,150$23,949,361
72$49,521,431$8,539,437$4,812,074$26,074,055
73$54,513,924$8,899,177$4,914,585$28,403,901
74$60,013,803$9,274,695$5,018,683$30,959,376
75$66,072,762$9,666,707$5,124,360$33,763,028
76$72,747,769$10,075,960$5,231,610$36,839,682
77$80,101,596$10,503,237$5,340,425$40,216,678
78$88,203,421$10,949,358$5,450,791$43,924,123
79$97,129,474$11,415,180$5,562,696$47,995,173
80$106,963,756$11,901,600$5,676,123$52,466,341
81$117,798,839$12,409,558$5,791,052$57,377,842
82$129,736,730$12,940,036$5,907,462$62,773,968
83$142,889,843$13,494,063$6,025,328$68,703,502
84$157,382,051$14,072,717$6,144,621$75,220,175
85$173,349,865$14,677,125$6,265,310$82,383,171
86$190,943,713$15,308,465$6,387,360$90,257,680
87$210,329,366$15,967,975$6,510,731$98,915,510
88$231,689,502$16,656,947$6,635,382$108,435,763
89$255,225,428$17,376,734$6,761,264$118,905,573
90$281,158,982$18,128,754$6,888,326$130,420,926
91$309,734,626$18,914,491$7,016,513$143,087,562
92$341,221,755$19,735,498$7,145,763$157,021,970
93$375,917,238$20,593,401$7,276,010$172,352,475
94$414,148,222$21,489,904$7,407,183$189,220,454
95$456,275,221$22,426,789$7,539,203$207,781,658
96$502,695,516$23,405,924$7,671,989$228,207,677
97$553,846,908$24,429,264$7,805,450$250,687,556
98$610,211,850$25,498,855$7,939,490$275,429,572
99$672,322,002$26,616,842$8,074,006$302,663,194
100$740,763,248$27,785,470$8,208,887$332,641,241