Can I retire at age 40 with 2,340,000?

Use the below retirement simulation to view the chances of a successful retirement.
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 $2,340,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.4%
1 years$193,235$191,514$189,834$188,195$186,595$183,958
2 years$95,661$93,879$92,153$90,479$88,855$86,204
3 years$63,140$61,351$59,629$57,970$56,373$53,790
4 years$46,883$45,100$43,395$41,764$40,206$37,710
5 years$37,132$35,359$33,676$32,079$30,564$28,163
6 years$30,633$28,873$27,215$25,654$24,184$21,881
7 years$25,992$24,247$22,616$21,092$19,668$17,464
8 years$22,514$20,785$19,180$17,693$16,317$14,210
9 years$19,810$18,097$16,520$15,071$13,741$11,732
10 years$17,647$15,951$14,402$12,991$11,708$9,795
11 years$15,880$14,201$12,680$11,306$10,069$8,250
12 years$14,408$12,746$11,253$9,917$8,726$6,998
13 years$13,163$11,518$10,054$8,755$7,609$5,971
14 years$12,097$10,470$9,033$7,772$6,670$5,119
15 years$11,174$9,564$8,156$6,931$5,873$4,406
16 years$10,367$8,775$7,394$6,206$5,190$3,805
17 years$9,656$8,082$6,729$5,576$4,602$3,295
18 years$9,024$7,468$6,142$5,025$4,092$2,861
19 years$8,460$6,921$5,623$4,541$3,647$2,489
20 years$7,953$6,431$5,161$4,112$3,258$2,169
21 years$7,495$5,991$4,747$3,732$2,915$1,893
22 years$7,078$5,592$4,375$3,394$2,613$1,654
23 years$6,699$5,230$4,039$3,091$2,346$1,447
24 years$6,352$4,900$3,736$2,819$2,108$1,267
25 years$6,033$4,599$3,460$2,574$1,897$1,111
26 years$5,739$4,322$3,209$2,354$1,709$974
27 years$5,467$4,067$2,980$2,154$1,541$855
28 years$5,215$3,833$2,770$1,974$1,390$751
29 years$4,981$3,616$2,578$1,810$1,255$660
30 years$4,763$3,415$2,401$1,661$1,134$580
31 years$4,560$3,228$2,239$1,526$1,026$510
32 years$4,369$3,054$2,089$1,402$928$449
33 years$4,191$2,893$1,950$1,289$840$395
34 years$4,023$2,741$1,822$1,186$760$348
35 years$3,865$2,600$1,704$1,092$688$306
36 years$3,716$2,468$1,594$1,006$624$269
37 years$3,576$2,344$1,492$927$565$237
38 years$3,444$2,228$1,397$854$513$209
39 years$3,318$2,118$1,309$788$465$184
40 years$3,199$2,015$1,227$726$422$162
41 years$3,086$1,918$1,150$670$382$143
42 years$2,979$1,827$1,079$619$347$126
43 years$2,877$1,741$1,012$571$315$111
44 years$2,780$1,659$950$527$286$98
45 years$2,688$1,582$892$487$260$86
46 years$2,600$1,510$838$450$236$76
47 years$2,516$1,441$787$416$214$67
48 years$2,435$1,375$740$384$194$59
49 years$2,358$1,313$695$355$177$52
50 years$2,285$1,254$654$328$160$46

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,340,000, adding $5,008 every year, while hoping to spend $40,035 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: 65/14/21 Blend
39$2,340,000$2,340,000$2,340,000$2,340,000
40$2,583,846$2,459,826$2,423,556$2,737,641
41$2,804,801$2,537,760$2,462,148$2,919,563
42$3,046,952$2,618,172$2,500,691$3,113,298
43$3,312,418$2,701,139$2,539,142$3,324,092
44$3,603,535$2,786,745$2,577,452$3,553,620
45$3,922,872$2,875,072$2,615,574$3,803,725
46$4,273,263$2,966,209$2,653,453$4,076,437
47$4,657,827$3,060,244$2,691,035$4,373,992
48$5,080,000$3,157,270$2,728,260$4,698,853
49$5,543,567$3,257,384$2,765,064$5,053,730
50$6,052,699$3,360,684$2,801,381$5,441,612
51$6,611,988$3,467,272$2,837,142$5,865,788
52$7,226,496$3,577,252$2,872,270$6,329,882
53$7,901,795$3,690,735$2,906,689$6,837,887
54$8,644,029$3,807,831$2,940,313$7,394,199
55$9,459,962$3,928,657$2,973,056$8,003,664
56$10,357,049$4,053,332$3,004,824$8,671,618
57$11,343,502$4,181,979$3,035,519$9,403,941
58$12,428,369$4,314,727$3,065,040$10,207,110
59$13,621,620$4,451,705$3,093,275$11,088,263
60$14,934,237$4,593,051$3,120,112$12,055,261
61$16,378,322$4,738,903$3,145,429$13,116,768
62$17,967,209$4,889,408$3,169,099$14,282,328
63$19,715,589$5,044,713$3,190,988$15,562,458
64$21,639,649$5,204,974$3,210,956$16,968,744
65$23,757,225$5,370,349$3,228,855$18,513,955
66$26,087,968$5,541,003$3,244,528$20,212,157
67$28,653,535$5,717,106$3,257,813$22,078,852
68$31,477,783$5,898,832$3,268,538$24,131,118
69$34,587,005$6,086,363$3,276,522$26,387,776
70$38,010,170$6,279,885$3,281,576$28,869,563
71$41,779,200$6,479,592$3,283,501$31,599,330
72$45,929,268$6,685,682$3,282,088$34,602,257
73$50,499,134$6,898,361$3,277,119$37,906,088
74$55,531,506$7,117,841$3,268,363$41,541,399
75$61,073,446$7,344,342$3,255,580$45,541,880
76$67,176,813$7,578,089$3,238,516$49,944,655
77$73,898,750$7,819,318$3,216,909$54,790,634
78$81,302,226$8,068,268$3,190,479$60,124,898
79$89,456,630$8,325,190$3,158,937$65,997,122
80$98,438,422$8,590,341$3,121,978$72,462,048
81$108,331,860$8,863,986$3,079,283$79,580,000
82$119,229,789$9,146,401$3,030,518$87,417,450
83$131,234,522$9,437,868$2,975,334$96,047,652
84$144,458,800$9,738,681$2,913,365$105,551,327
85$159,026,864$10,049,142$2,844,229$116,017,428
86$175,075,618$10,369,564$2,767,524$127,543,981
87$192,755,927$10,700,269$2,682,833$140,239,007
88$212,234,039$11,041,590$2,589,715$154,221,544
89$233,693,155$11,393,872$2,487,715$169,622,770
90$257,335,155$11,757,469$2,376,351$186,587,239
91$283,382,505$12,132,750$2,255,123$205,274,251
92$312,080,359$12,520,093$2,123,509$225,859,351
93$343,698,869$12,919,891$1,980,959$248,535,989
94$378,535,735$13,332,547$1,826,903$273,517,343
95$416,919,019$13,758,480$1,660,743$301,038,336
96$459,210,235$14,198,123$1,481,854$331,357,850
97$505,807,769$14,651,920$1,289,585$364,761,171
98$557,150,630$15,120,333$1,083,256$401,562,684
99$613,722,603$15,603,838$862,153$442,108,839
100$676,056,810$16,102,927$625,536$486,781,424