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%13.5%
1 years$201,493$199,698$197,947$196,238$194,569$191,741
2 years$99,749$97,891$96,091$94,345$92,652$89,808
3 years$65,839$63,973$62,177$60,448$58,782$56,012
4 years$48,887$47,027$45,249$43,549$41,924$39,248
5 years$38,719$36,870$35,115$33,450$31,870$29,296
6 years$31,942$30,107$28,378$26,750$25,218$22,749
7 years$27,103$25,284$23,582$21,993$20,509$18,146
8 years$23,476$21,673$20,000$18,449$17,014$14,758
9 years$20,656$18,870$17,226$15,715$14,328$12,177
10 years$18,402$16,633$15,018$13,546$12,208$10,160
11 years$16,558$14,807$13,221$11,789$10,500$8,552
12 years$15,023$13,290$11,734$10,341$9,099$7,250
13 years$13,725$12,011$10,483$9,129$7,934$6,182
14 years$12,614$10,917$9,419$8,104$6,955$5,296
15 years$11,651$9,973$8,504$7,227$6,124$4,555
16 years$10,810$9,150$7,710$6,471$5,412$3,931
17 years$10,069$8,427$7,016$5,814$4,799$3,402
18 years$9,410$7,787$6,405$5,240$4,267$2,951
19 years$8,822$7,217$5,863$4,735$3,803$2,565
20 years$8,293$6,706$5,381$4,288$3,397$2,234
21 years$7,815$6,247$4,950$3,892$3,040$1,948
22 years$7,381$5,831$4,562$3,539$2,725$1,701
23 years$6,985$5,454$4,212$3,223$2,446$1,487
24 years$6,623$5,110$3,895$2,939$2,199$1,302
25 years$6,291$4,795$3,608$2,684$1,978$1,140
26 years$5,984$4,507$3,346$2,454$1,782$999
27 years$5,701$4,241$3,107$2,247$1,607$876
28 years$5,438$3,997$2,889$2,058$1,450$769
29 years$5,194$3,770$2,688$1,888$1,309$675
30 years$4,967$3,561$2,504$1,732$1,183$593
31 years$4,754$3,366$2,334$1,591$1,069$521
32 years$4,556$3,185$2,178$1,462$967$458
33 years$4,370$3,016$2,033$1,345$875$403
34 years$4,195$2,859$1,900$1,237$793$354
35 years$4,030$2,711$1,776$1,139$718$311
36 years$3,875$2,573$1,662$1,049$650$274
37 years$3,729$2,444$1,555$966$590$241
38 years$3,591$2,323$1,457$891$534$212
39 years$3,460$2,209$1,365$821$485$187
40 years$3,336$2,102$1,279$758$440$164
41 years$3,218$2,000$1,199$699$399$145
42 years$3,106$1,905$1,125$645$362$127
43 years$3,000$1,815$1,056$595$328$112
44 years$2,899$1,730$991$550$298$99
45 years$2,803$1,650$930$508$271$87
46 years$2,711$1,574$874$469$246$77
47 years$2,623$1,502$821$433$223$68
48 years$2,539$1,434$772$400$203$59
49 years$2,459$1,369$725$370$184$52
50 years$2,382$1,308$682$342$167$46

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 $2,306 every year, while hoping to spend $33,932 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: 56/32/12 Blend
39$2,440,000$2,440,000$2,440,000$2,440,000
40$2,691,259$2,561,939$2,524,119$2,833,680
41$2,929,664$2,651,370$2,572,573$3,019,790
42$3,191,249$2,744,047$2,621,514$3,218,486
43$3,478,342$2,840,091$2,670,921$3,434,115
44$3,793,509$2,939,632$2,720,773$3,668,300
45$4,139,576$3,042,802$2,771,047$3,922,828
46$4,519,653$3,149,740$2,821,718$4,199,661
47$4,937,170$3,260,590$2,872,758$4,500,961
48$5,395,904$3,375,502$2,924,138$4,829,106
49$5,900,016$3,494,631$2,975,826$5,186,712
50$6,454,090$3,618,140$3,027,789$5,576,658
51$7,063,176$3,746,198$3,079,988$6,002,113
52$7,732,838$3,878,979$3,132,386$6,466,564
53$8,469,206$4,016,668$3,184,939$6,973,852
54$9,279,033$4,159,453$3,237,603$7,528,201
55$10,169,761$4,307,533$3,290,329$8,134,264
56$11,149,588$4,461,112$3,343,066$8,797,163
57$12,227,545$4,620,407$3,395,759$9,522,538
58$13,413,587$4,785,639$3,448,349$10,316,599
59$14,718,678$4,957,040$3,500,773$11,186,183
60$16,154,901$5,134,853$3,552,967$12,138,818
61$17,735,568$5,319,328$3,604,859$13,182,798
62$19,475,349$5,510,728$3,656,374$14,327,252
63$21,390,406$5,709,325$3,707,435$15,582,237
64$23,498,549$5,915,404$3,757,955$16,958,829
65$25,819,402$6,129,259$3,807,847$18,469,227
66$28,374,588$6,351,200$3,857,017$20,126,866
67$31,187,933$6,581,546$3,905,365$21,946,546
68$34,285,692$6,820,632$3,952,784$23,944,568
69$37,696,796$7,068,805$3,999,165$26,138,889
70$41,453,121$7,326,430$4,044,390$28,549,289
71$45,589,797$7,593,882$4,088,334$31,197,557
72$50,145,530$7,871,555$4,130,867$34,107,697
73$55,162,973$8,159,861$4,171,850$37,306,151
74$60,689,127$8,459,225$4,211,138$40,822,050
75$66,775,784$8,770,093$4,248,577$44,687,486
76$73,480,015$9,092,929$4,284,006$48,937,816
77$80,864,711$9,428,217$4,317,254$53,611,991
78$88,999,173$9,776,460$4,348,143$58,752,926
79$97,959,767$10,138,185$4,376,484$64,407,901
80$107,830,645$10,513,939$4,402,079$70,629,009
81$118,704,542$10,904,292$4,424,719$77,473,643
82$130,683,643$11,309,841$4,444,186$85,005,037
83$143,880,557$11,731,205$4,460,249$93,292,864
84$158,419,373$12,169,033$4,472,665$102,413,889
85$174,436,832$12,623,999$4,481,183$112,452,694
86$192,083,620$13,096,806$4,485,534$123,502,474
87$211,525,789$13,588,190$4,485,439$135,665,914
88$232,946,324$14,098,915$4,480,605$149,056,158
89$256,546,867$14,629,779$4,470,723$163,797,876
90$282,549,626$15,181,617$4,455,471$180,028,435
91$311,199,468$15,755,297$4,434,510$197,899,198
92$342,766,232$16,351,725$4,407,485$217,576,949
93$377,547,275$16,971,847$4,374,023$239,245,464
94$415,870,280$17,616,650$4,333,735$263,107,246
95$458,096,346$18,287,164$4,286,213$289,385,432
96$504,623,402$18,984,463$4,231,029$318,325,900
97$555,889,955$19,709,668$4,167,735$350,199,584
98$612,379,238$20,463,950$4,095,862$385,305,030
99$674,623,766$21,248,529$4,014,920$423,971,214
100$743,210,365$22,064,681$3,924,393$466,560,642