Can I retire at age 40 with 2,450,000?

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 $2,450,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16%
1 years$202,319$200,517$198,758$197,042$195,366$190,566
2 years$100,158$98,292$96,485$94,732$93,032$88,225
3 years$66,109$64,235$62,432$60,696$59,023$54,361
4 years$49,087$47,220$45,434$43,728$42,096$37,613
5 years$38,877$37,021$35,259$33,587$32,001$27,710
6 years$32,073$30,230$28,495$26,860$25,321$21,227
7 years$27,214$25,387$23,679$22,083$20,593$16,696
8 years$23,572$21,762$20,082$18,525$17,084$13,382
9 years$20,741$18,947$17,296$15,779$14,387$10,878
10 years$18,477$16,701$15,079$13,602$12,258$8,938
11 years$16,626$14,868$13,276$11,838$10,543$7,406
12 years$15,085$13,345$11,782$10,383$9,136$6,177
13 years$13,782$12,060$10,526$9,167$7,967$5,180
14 years$12,666$10,962$9,458$8,137$6,984$4,364
15 years$11,699$10,014$8,539$7,257$6,149$3,689
16 years$10,854$9,188$7,742$6,498$5,434$3,128
17 years$10,110$8,462$7,045$5,838$4,819$2,659
18 years$9,449$7,819$6,431$5,261$4,284$2,265
19 years$8,858$7,246$5,887$4,754$3,819$1,933
20 years$8,327$6,734$5,403$4,306$3,411$1,652
21 years$7,847$6,272$4,970$3,908$3,052$1,413
22 years$7,411$5,855$4,580$3,553$2,736$1,211
23 years$7,014$5,476$4,229$3,236$2,456$1,038
24 years$6,650$5,131$3,911$2,951$2,208$891
25 years$6,316$4,815$3,623$2,695$1,987$765
26 years$6,009$4,525$3,360$2,464$1,789$657
27 years$5,724$4,259$3,120$2,256$1,613$565
28 years$5,461$4,013$2,900$2,067$1,456$486
29 years$5,215$3,786$2,699$1,895$1,314$418
30 years$4,987$3,575$2,514$1,739$1,188$359
31 years$4,774$3,380$2,344$1,597$1,074$309
32 years$4,575$3,198$2,187$1,468$971$266
33 years$4,388$3,029$2,042$1,350$879$229
34 years$4,212$2,870$1,908$1,242$796$197
35 years$4,047$2,722$1,784$1,143$721$170
36 years$3,891$2,584$1,669$1,053$653$146
37 years$3,744$2,454$1,562$970$592$126
38 years$3,605$2,332$1,462$894$537$109
39 years$3,474$2,218$1,370$825$487$94
40 years$3,350$2,110$1,284$761$441$81
41 years$3,231$2,009$1,204$702$400$70
42 years$3,119$1,913$1,130$648$363$60
43 years$3,013$1,823$1,060$598$330$52
44 years$2,911$1,737$995$552$299$45
45 years$2,814$1,657$934$510$272$38
46 years$2,722$1,580$877$471$247$33
47 years$2,634$1,508$824$435$224$29
48 years$2,550$1,440$775$402$203$25
49 years$2,469$1,375$728$372$185$21
50 years$2,392$1,313$685$343$168$18

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,450,000, adding $4,010 every year, while hoping to spend $28,612 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: 83/11/6 Blend
39$2,450,000$2,450,000$2,450,000$2,450,000
40$2,704,036$2,574,186$2,536,211$2,927,199
41$2,949,405$2,669,878$2,590,731$3,169,234
42$3,218,842$2,769,301$2,646,119$3,430,673
43$3,514,773$2,872,605$2,702,373$3,716,849
44$3,839,869$2,979,952$2,759,491$4,030,223
45$4,197,072$3,091,505$2,817,470$4,373,506
46$4,589,624$3,207,440$2,876,306$4,749,684
47$5,021,096$3,327,935$2,935,993$5,162,043
48$5,495,423$3,453,179$2,996,524$5,614,203
49$6,016,941$3,583,369$3,057,892$6,110,152
50$6,590,424$3,718,710$3,120,087$6,654,281
51$7,221,135$3,859,414$3,183,097$7,251,426
52$7,914,870$4,005,705$3,246,911$7,906,916
53$8,678,018$4,157,816$3,311,513$8,626,619
54$9,517,615$4,315,988$3,376,889$9,416,999
55$10,441,417$4,480,476$3,443,019$10,285,176
56$11,457,965$4,651,544$3,509,884$11,238,995
57$12,576,675$4,829,467$3,577,463$12,287,095
58$13,807,918$5,014,533$3,645,730$13,438,997
59$15,163,123$5,207,042$3,714,659$14,705,187
60$16,654,883$5,407,309$3,784,222$16,097,216
61$18,297,074$5,615,660$3,854,386$17,627,814
62$20,104,985$5,832,437$3,925,118$19,311,003
63$22,095,464$6,057,997$3,996,379$21,162,230
64$24,287,075$6,292,712$4,068,131$23,198,516
65$26,700,273$6,536,971$4,140,330$25,438,614
66$29,357,598$6,791,180$4,212,929$27,903,184
67$32,283,888$7,055,763$4,285,877$30,614,990
68$35,506,512$7,331,163$4,359,121$33,599,114
69$39,055,629$7,617,842$4,432,604$36,883,189
70$42,964,470$7,916,283$4,506,263$40,497,664
71$47,269,655$8,226,990$4,580,032$44,476,089
72$52,011,538$8,550,491$4,653,842$48,855,429
73$57,234,585$8,887,335$4,727,615$53,676,415
74$62,987,795$9,238,097$4,801,273$58,983,927
75$69,325,165$9,603,378$4,874,730$64,827,416
76$76,306,193$9,983,805$4,947,895$71,261,371
77$83,996,447$10,380,034$5,020,672$78,345,834
78$92,468,178$10,792,749$5,092,958$86,146,963
79$101,801,005$11,222,666$5,164,644$94,737,657
80$112,082,663$11,670,533$5,235,616$104,198,246
81$123,409,837$12,137,131$5,305,751$114,617,245
82$135,889,066$12,623,277$5,374,920$126,092,187
83$149,637,757$13,129,823$5,442,986$138,730,551
84$164,785,287$13,657,663$5,509,804$152,650,766
85$181,474,225$14,207,728$5,575,222$167,983,334
86$199,861,682$14,780,992$5,639,077$184,872,059
87$220,120,787$15,378,475$5,701,201$203,475,405
88$242,442,328$16,001,240$5,761,411$223,967,987
89$267,036,546$16,650,402$5,819,519$246,542,224
90$294,135,125$17,327,123$5,875,324$271,410,149
91$323,993,376$18,032,620$5,928,616$298,805,412
92$356,892,647$18,768,165$5,979,171$328,985,485
93$393,142,980$19,535,088$6,026,757$362,234,091
94$433,086,037$20,334,780$6,071,126$398,863,878
95$477,098,323$21,168,695$6,112,019$439,219,373
96$525,594,745$22,038,353$6,149,164$483,680,234
97$579,032,521$22,945,345$6,182,273$532,664,828
98$637,915,505$23,891,334$6,211,046$586,634,181
99$702,798,935$24,878,058$6,235,165$646,096,330
100$774,294,681$25,907,337$6,254,297$711,611,118