Can I retire at age 40 with 2,400,000?

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 $2,400,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.5%
1 years$198,190$196,424$194,702$193,021$191,379$187,823
2 years$98,114$96,286$94,516$92,799$91,133$87,563
3 years$64,759$62,924$61,158$59,457$57,819$54,346
4 years$48,086$46,256$44,507$42,835$41,237$37,889
5 years$38,084$36,265$34,539$32,902$31,347$28,134
6 years$31,418$29,613$27,913$26,312$24,804$21,729
7 years$26,659$24,869$23,196$21,632$20,172$17,236
8 years$23,091$21,318$19,672$18,147$16,735$13,936
9 years$20,318$18,561$16,943$15,457$14,093$11,431
10 years$18,100$16,360$14,772$13,324$12,008$9,479
11 years$16,287$14,565$13,005$11,596$10,327$7,929
12 years$14,777$13,072$11,541$10,171$8,950$6,679
13 years$13,500$11,814$10,311$8,980$7,804$5,657
14 years$12,407$10,738$9,265$7,971$6,841$4,814
15 years$11,460$9,810$8,365$7,109$6,023$4,113
16 years$10,633$9,000$7,584$6,365$5,324$3,524
17 years$9,904$8,289$6,901$5,719$4,720$3,028
18 years$9,256$7,659$6,300$5,154$4,197$2,608
19 years$8,677$7,099$5,767$4,657$3,741$2,251
20 years$8,157$6,596$5,293$4,218$3,341$1,945
21 years$7,687$6,144$4,868$3,828$2,990$1,684
22 years$7,260$5,735$4,487$3,481$2,680$1,459
23 years$6,871$5,364$4,143$3,170$2,406$1,266
24 years$6,515$5,026$3,832$2,891$2,163$1,099
25 years$6,188$4,717$3,549$2,640$1,946$955
26 years$5,886$4,433$3,291$2,414$1,753$830
27 years$5,607$4,172$3,056$2,210$1,580$722
28 years$5,349$3,931$2,841$2,025$1,426$629
29 years$5,109$3,708$2,644$1,857$1,288$548
30 years$4,885$3,502$2,463$1,704$1,163$477
31 years$4,677$3,311$2,296$1,565$1,052$416
32 years$4,481$3,133$2,142$1,438$951$362
33 years$4,298$2,967$2,000$1,323$861$316
34 years$4,126$2,812$1,869$1,217$780$275
35 years$3,964$2,667$1,747$1,120$706$240
36 years$3,812$2,531$1,634$1,032$640$210
37 years$3,668$2,404$1,530$951$580$183
38 years$3,532$2,285$1,433$876$526$160
39 years$3,403$2,173$1,342$808$477$139
40 years$3,281$2,067$1,258$745$432$122
41 years$3,165$1,968$1,180$687$392$106
42 years$3,056$1,874$1,107$634$356$93
43 years$2,951$1,785$1,038$586$323$81
44 years$2,852$1,702$975$541$293$71
45 years$2,757$1,623$915$499$266$62
46 years$2,666$1,548$860$461$242$54
47 years$2,580$1,477$808$426$219$47
48 years$2,498$1,410$759$394$199$41
49 years$2,419$1,347$713$364$181$36
50 years$2,343$1,287$671$336$164$31

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,400,000, adding $5,598 every year, while hoping to spend $23,276 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: 52/27/21 Blend
39$2,400,000$2,400,000$2,400,000$2,400,000
40$2,650,574$2,523,374$2,486,174$2,772,744
41$2,896,167$2,622,254$2,544,696$2,956,424
42$3,166,031$2,725,199$2,604,397$3,153,238
43$3,462,616$2,832,384$2,665,294$3,366,827
44$3,788,622$2,943,990$2,727,401$3,598,792
45$4,147,025$3,060,209$2,790,733$3,850,896
46$4,541,102$3,181,240$2,855,303$4,125,076
47$4,974,464$3,307,290$2,921,125$4,423,464
48$5,451,089$3,438,577$2,988,212$4,748,402
49$5,975,361$3,575,327$3,056,578$5,102,472
50$6,552,108$3,717,779$3,126,234$5,488,509
51$7,186,652$3,866,180$3,197,192$5,909,635
52$7,884,857$4,020,788$3,269,464$6,369,288
53$8,653,180$4,181,875$3,343,059$6,871,246
54$9,498,741$4,349,723$3,417,988$7,419,671
55$10,429,382$4,524,629$3,494,259$8,019,143
56$11,453,743$4,706,900$3,571,882$8,674,703
57$12,581,348$4,896,861$3,650,862$9,391,900
58$13,822,686$5,094,848$3,731,207$10,176,844
59$15,189,320$5,301,215$3,812,922$11,036,261
60$16,693,986$5,516,331$3,896,011$11,977,556
61$18,350,723$5,740,581$3,980,477$13,008,881
62$20,174,996$5,974,368$4,066,323$14,139,216
63$22,183,848$6,218,115$4,153,547$15,378,446
64$24,396,060$6,472,263$4,242,151$16,737,457
65$26,832,326$6,737,271$4,332,130$18,228,239
66$29,515,448$7,013,623$4,423,482$19,863,993
67$32,470,556$7,301,822$4,516,200$21,659,262
68$35,725,336$7,602,395$4,610,277$23,630,059
69$39,310,303$7,915,894$4,705,703$25,794,023
70$43,259,076$8,242,896$4,802,467$28,170,582
71$47,608,707$8,584,003$4,900,555$30,781,136
72$52,400,022$8,939,846$4,999,951$33,649,254
73$57,678,012$9,311,085$5,100,636$36,800,901
74$63,492,251$9,698,411$5,202,589$40,264,676
75$69,897,372$10,102,544$5,305,787$44,072,086
76$76,953,576$10,524,241$5,410,203$48,257,837
77$84,727,203$10,964,291$5,515,807$52,860,160
78$93,291,357$11,423,521$5,622,566$57,921,176
79$102,726,597$11,902,795$5,730,444$63,487,284
80$113,121,697$12,403,019$5,839,401$69,609,604
81$124,574,482$12,925,139$5,949,393$76,344,452
82$137,192,754$13,470,145$6,060,372$83,753,872
83$151,095,307$14,039,075$6,172,287$91,906,223
84$166,413,051$14,633,012$6,285,081$100,876,814
85$183,290,244$15,253,092$6,398,693$110,748,621
86$201,885,858$15,900,502$6,513,058$121,613,063
87$222,375,074$16,576,486$6,628,105$133,570,862
88$244,950,942$17,282,343$6,743,756$146,732,996
89$269,826,197$18,019,437$6,859,931$161,221,739
90$297,235,271$18,789,191$6,976,540$177,171,814
91$327,436,504$19,593,098$7,093,491$194,731,663
92$360,714,586$20,432,718$7,210,681$214,064,844
93$397,383,238$21,309,685$7,328,003$235,351,573
94$437,788,179$22,225,710$7,445,341$258,790,420
95$482,310,387$23,182,584$7,562,574$284,600,181
96$531,369,697$24,182,181$7,679,571$313,021,941
97$585,428,761$25,226,463$7,796,192$344,321,345
98$644,997,420$26,317,484$7,912,289$378,791,101
99$710,637,511$27,457,396$8,027,706$416,753,741
100$782,968,179$28,648,450$8,142,275$458,564,659