Can I retire at age 40 with 2,440,000?

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 $2,440,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.4%
1 years$201,493$199,698$197,947$196,238$194,569$192,617
2 years$99,749$97,891$96,091$94,345$92,652$90,686
3 years$65,839$63,973$62,177$60,448$58,782$56,863
4 years$48,887$47,027$45,249$43,549$41,924$40,067
5 years$38,719$36,870$35,115$33,450$31,870$30,080
6 years$31,942$30,107$28,378$26,750$25,218$23,497
7 years$27,103$25,284$23,582$21,993$20,509$18,858
8 years$23,476$21,673$20,000$18,449$17,014$15,433
9 years$20,656$18,870$17,226$15,715$14,328$12,817
10 years$18,402$16,633$15,018$13,546$12,208$10,766
11 years$16,558$14,807$13,221$11,789$10,500$9,124
12 years$15,023$13,290$11,734$10,341$9,099$7,789
13 years$13,725$12,011$10,483$9,129$7,934$6,689
14 years$12,614$10,917$9,419$8,104$6,955$5,773
15 years$11,651$9,973$8,504$7,227$6,124$5,003
16 years$10,810$9,150$7,710$6,471$5,412$4,350
17 years$10,069$8,427$7,016$5,814$4,799$3,794
18 years$9,410$7,787$6,405$5,240$4,267$3,317
19 years$8,822$7,217$5,863$4,735$3,803$2,907
20 years$8,293$6,706$5,381$4,288$3,397$2,552
21 years$7,815$6,247$4,950$3,892$3,040$2,244
22 years$7,381$5,831$4,562$3,539$2,725$1,976
23 years$6,985$5,454$4,212$3,223$2,446$1,742
24 years$6,623$5,110$3,895$2,939$2,199$1,538
25 years$6,291$4,795$3,608$2,684$1,978$1,358
26 years$5,984$4,507$3,346$2,454$1,782$1,201
27 years$5,701$4,241$3,107$2,247$1,607$1,062
28 years$5,438$3,997$2,889$2,058$1,450$941
29 years$5,194$3,770$2,688$1,888$1,309$833
30 years$4,967$3,561$2,504$1,732$1,183$739
31 years$4,754$3,366$2,334$1,591$1,069$655
32 years$4,556$3,185$2,178$1,462$967$581
33 years$4,370$3,016$2,033$1,345$875$515
34 years$4,195$2,859$1,900$1,237$793$457
35 years$4,030$2,711$1,776$1,139$718$406
36 years$3,875$2,573$1,662$1,049$650$361
37 years$3,729$2,444$1,555$966$590$320
38 years$3,591$2,323$1,457$891$534$285
39 years$3,460$2,209$1,365$821$485$253
40 years$3,336$2,102$1,279$758$440$225
41 years$3,218$2,000$1,199$699$399$200
42 years$3,106$1,905$1,125$645$362$177
43 years$3,000$1,815$1,056$595$328$158
44 years$2,899$1,730$991$550$298$140
45 years$2,803$1,650$930$508$271$125
46 years$2,711$1,574$874$469$246$111
47 years$2,623$1,502$821$433$223$99
48 years$2,539$1,434$772$400$203$88
49 years$2,459$1,369$725$370$184$78
50 years$2,382$1,308$682$342$167$69

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,440,000, adding $5,799 every year, while hoping to spend $44,823 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: 86/5/9 Blend
39$2,440,000$2,440,000$2,440,000$2,440,000
40$2,694,862$2,565,542$2,527,722$2,923,096
41$2,922,046$2,643,562$2,564,709$3,150,937
42$3,170,901$2,723,903$2,601,433$3,394,552
43$3,443,590$2,806,631$2,637,838$3,660,854
44$3,742,495$2,891,814$2,673,864$3,952,100
45$4,070,239$2,979,523$2,709,448$4,270,773
46$4,429,712$3,069,828$2,744,523$4,619,611
47$4,824,097$3,162,804$2,779,020$5,001,626
48$5,256,900$3,258,527$2,812,862$5,420,139
49$5,731,983$3,357,073$2,845,971$5,878,807
50$6,253,598$3,458,523$2,878,265$6,381,657
51$6,826,433$3,562,958$2,909,654$6,933,126
52$7,455,648$3,670,462$2,940,046$7,538,101
53$8,146,929$3,781,120$2,969,343$8,201,969
54$8,906,542$3,895,021$2,997,443$8,930,660
55$9,741,387$4,012,255$3,024,235$9,730,710
56$10,659,068$4,132,915$3,049,605$10,609,319
57$11,667,959$4,257,094$3,073,434$11,574,418
58$12,777,290$4,384,891$3,095,593$12,634,747
59$13,997,228$4,516,404$3,115,949$13,799,934
60$15,338,973$4,651,736$3,134,362$15,080,589
61$16,814,869$4,790,992$3,150,683$16,488,399
62$18,438,512$4,934,277$3,164,758$18,036,244
63$20,224,886$5,081,702$3,176,423$19,738,312
64$22,190,498$5,233,379$3,185,506$21,610,239
65$24,353,536$5,389,422$3,191,828$23,669,252
66$26,734,042$5,549,949$3,195,200$25,934,332
67$29,354,098$5,715,080$3,195,422$28,426,397
68$32,238,034$5,884,937$3,192,287$31,168,493
69$35,412,661$6,059,647$3,185,577$34,186,013
70$38,907,521$6,239,337$3,175,061$37,506,941
71$42,755,163$6,424,140$3,160,501$41,162,111
72$46,991,455$6,614,189$3,141,643$45,185,499
73$51,655,920$6,809,621$3,118,225$49,614,544
74$56,792,108$7,010,576$3,089,969$54,490,502
75$62,448,006$7,217,197$3,056,587$59,858,831
76$68,676,493$7,429,631$3,017,773$65,769,627
77$75,535,839$7,648,025$2,973,212$72,278,090
78$83,090,249$7,872,533$2,922,569$79,445,048
79$91,410,476$8,103,309$2,865,497$87,337,531
80$100,574,485$8,340,512$2,801,631$96,029,401
81$110,668,187$8,584,301$2,730,590$105,602,052
82$121,786,252$8,834,843$2,651,975$116,145,178
83$134,033,002$9,092,302$2,565,369$127,757,615
84$147,523,395$9,356,851$2,470,335$140,548,281
85$162,384,106$9,628,662$2,366,416$154,637,196
86$178,754,730$9,907,911$2,253,136$170,156,621
87$196,789,092$10,194,779$2,129,996$187,252,304
88$216,656,702$10,489,446$1,996,474$206,084,855
89$238,544,355$10,792,098$1,852,025$226,831,261
90$262,657,892$11,102,923$1,696,080$249,686,560
91$289,224,143$11,422,112$1,528,045$274,865,678
92$318,493,068$11,749,858$1,347,297$302,605,462
93$350,740,118$12,086,358$1,153,188$333,166,912
94$386,268,831$12,431,811$945,041$366,837,644
95$425,413,698$12,786,417$722,147$403,934,609
96$468,543,324$13,150,380$483,767$444,807,082
97$516,063,901$13,523,906$229,131$489,839,961
98$568,423,045$13,907,204$0$539,457,396
99$626,114,022$14,300,483$0$594,130,890
100$689,680,401$14,703,955$0$654,395,182