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

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 $2,340,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.7%
1 years$193,235$191,514$189,834$188,195$186,595$181,495
2 years$95,661$93,879$92,153$90,479$88,855$83,754
3 years$63,140$61,351$59,629$57,970$56,373$51,431
4 years$46,883$45,100$43,395$41,764$40,206$35,461
5 years$37,132$35,359$33,676$32,079$30,564$26,028
6 years$30,633$28,873$27,215$25,654$24,184$19,863
7 years$25,992$24,247$22,616$21,092$19,668$15,561
8 years$22,514$20,785$19,180$17,693$16,317$12,422
9 years$19,810$18,097$16,520$15,071$13,741$10,054
10 years$17,647$15,951$14,402$12,991$11,708$8,225
11 years$15,880$14,201$12,680$11,306$10,069$6,785
12 years$14,408$12,746$11,253$9,917$8,726$5,633
13 years$13,163$11,518$10,054$8,755$7,609$4,702
14 years$12,097$10,470$9,033$7,772$6,670$3,942
15 years$11,174$9,564$8,156$6,931$5,873$3,316
16 years$10,367$8,775$7,394$6,206$5,190$2,798
17 years$9,656$8,082$6,729$5,576$4,602$2,366
18 years$9,024$7,468$6,142$5,025$4,092$2,005
19 years$8,460$6,921$5,623$4,541$3,647$1,702
20 years$7,953$6,431$5,161$4,112$3,258$1,447
21 years$7,495$5,991$4,747$3,732$2,915$1,231
22 years$7,078$5,592$4,375$3,394$2,613$1,049
23 years$6,699$5,230$4,039$3,091$2,346$895
24 years$6,352$4,900$3,736$2,819$2,108$763
25 years$6,033$4,599$3,460$2,574$1,897$652
26 years$5,739$4,322$3,209$2,354$1,709$557
27 years$5,467$4,067$2,980$2,154$1,541$476
28 years$5,215$3,833$2,770$1,974$1,390$407
29 years$4,981$3,616$2,578$1,810$1,255$348
30 years$4,763$3,415$2,401$1,661$1,134$298
31 years$4,560$3,228$2,239$1,526$1,026$255
32 years$4,369$3,054$2,089$1,402$928$218
33 years$4,191$2,893$1,950$1,289$840$187
34 years$4,023$2,741$1,822$1,186$760$160
35 years$3,865$2,600$1,704$1,092$688$137
36 years$3,716$2,468$1,594$1,006$624$117
37 years$3,576$2,344$1,492$927$565$100
38 years$3,444$2,228$1,397$854$513$86
39 years$3,318$2,118$1,309$788$465$74
40 years$3,199$2,015$1,227$726$422$63
41 years$3,086$1,918$1,150$670$382$54
42 years$2,979$1,827$1,079$619$347$46
43 years$2,877$1,741$1,012$571$315$40
44 years$2,780$1,659$950$527$286$34
45 years$2,688$1,582$892$487$260$29
46 years$2,600$1,510$838$450$236$25
47 years$2,516$1,441$787$416$214$21
48 years$2,435$1,375$740$384$194$18
49 years$2,358$1,313$695$355$177$16
50 years$2,285$1,254$654$328$160$13

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 $4,818 every year, while hoping to spend $30,044 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: 79/9/12 Blend
39$2,340,000$2,340,000$2,340,000$2,340,000
40$2,583,650$2,459,630$2,423,360$2,781,590
41$2,815,215$2,548,185$2,472,576$3,000,939
42$3,069,394$2,640,073$2,522,433$3,237,169
43$3,348,460$2,735,424$2,572,923$3,495,475
44$3,654,919$2,834,376$2,624,032$3,778,048
45$3,991,532$2,937,072$2,675,749$4,087,305
46$4,361,340$3,043,660$2,728,057$4,425,904
47$4,767,692$3,154,295$2,780,943$4,796,774
48$5,214,279$3,269,138$2,834,387$5,203,142
49$5,705,167$3,388,357$2,888,370$5,648,562
50$6,244,835$3,512,127$2,942,872$6,136,945
51$6,838,218$3,640,631$2,997,868$6,672,604
52$7,490,753$3,774,059$3,053,333$7,260,285
53$8,208,431$3,912,608$3,109,240$7,905,221
54$8,997,850$4,056,486$3,165,559$8,613,172
55$9,866,283$4,205,906$3,222,258$9,390,485
56$10,821,742$4,361,093$3,279,302$10,244,153
57$11,873,054$4,522,281$3,336,653$11,181,877
58$13,029,946$4,689,714$3,394,271$12,212,145
59$14,303,136$4,863,644$3,452,114$13,344,304
60$15,704,430$5,044,338$3,510,135$14,588,655
61$17,246,842$5,232,070$3,568,284$15,956,545
62$18,944,707$5,427,129$3,626,509$17,460,476
63$20,813,823$5,629,814$3,684,753$19,114,222
64$22,871,597$5,840,439$3,742,956$20,932,959
65$25,137,209$6,059,329$3,801,054$22,933,409
66$27,631,793$6,286,826$3,858,979$25,133,995
67$30,378,639$6,523,283$3,916,657$27,555,016
68$33,403,408$6,769,071$3,974,013$30,218,837
69$36,734,377$7,024,577$4,030,963$33,150,105
70$40,402,704$7,290,203$4,087,422$36,375,971
71$44,442,726$7,566,369$4,143,297$39,926,356
72$48,892,278$7,853,514$4,198,490$43,834,228
73$53,793,049$8,152,096$4,252,899$48,135,913
74$59,190,983$8,462,591$4,306,414$52,871,439
75$65,136,704$8,785,499$4,358,920$58,084,912
76$71,685,998$9,121,339$4,410,294$63,824,931
77$78,900,339$9,470,653$4,460,407$70,145,051
78$86,847,467$9,834,008$4,509,124$77,104,282
79$95,602,030$10,211,996$4,556,301$84,767,648
80$105,246,286$10,605,233$4,601,786$93,206,803
81$115,870,881$11,014,363$4,645,420$102,500,700
82$127,575,703$11,440,059$4,687,034$112,736,345
83$140,470,825$11,883,023$4,726,450$124,009,609
84$154,677,546$12,343,987$4,763,483$136,426,138
85$170,329,531$12,823,718$4,797,935$150,102,348
86$187,574,077$13,323,014$4,829,600$165,166,521
87$206,573,502$13,842,710$4,858,260$181,760,021
88$227,506,674$14,383,678$4,883,686$200,038,621
89$250,570,703$14,946,827$4,905,639$220,173,979
90$275,982,802$15,533,109$4,923,865$242,355,252
91$303,982,333$16,143,516$4,938,099$266,790,887
92$334,833,068$16,779,085$4,948,062$293,710,582
93$368,825,680$17,440,900$4,953,462$323,367,458
94$406,280,488$18,130,093$4,953,992$356,040,447
95$447,550,476$18,847,846$4,949,328$392,036,921
96$493,024,628$19,595,394$4,939,134$431,695,599
97$543,131,600$20,374,027$4,923,055$475,389,737
98$598,343,764$21,185,096$4,900,719$523,530,654
99$659,181,671$22,030,008$4,871,735$576,571,618
100$726,218,959$22,910,236$4,835,696$635,012,114