Can I retire at age 40 with 2,520,000?

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 $2,520,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.8%
1 years$208,099$206,246$204,437$202,672$200,948$196,170
2 years$103,019$101,101$99,241$97,438$95,690$90,904
3 years$67,997$66,070$64,216$62,430$60,709$56,065
4 years$50,490$48,569$46,733$44,977$43,299$38,832
5 years$39,988$38,079$36,266$34,547$32,915$28,638
6 years$32,989$31,094$29,309$27,627$26,044$21,962
7 years$27,992$26,113$24,356$22,714$21,181$17,293
8 years$24,246$22,383$20,655$19,054$17,572$13,877
9 years$21,333$19,489$17,791$16,230$14,798$11,294
10 years$19,005$17,178$15,510$13,990$12,609$9,291
11 years$17,101$15,293$13,655$12,176$10,844$7,708
12 years$15,516$13,726$12,118$10,680$9,397$6,438
13 years$14,175$12,404$10,827$9,429$8,194$5,406
14 years$13,027$11,275$9,728$8,370$7,183$4,560
15 years$12,033$10,300$8,783$7,464$6,325$3,860
16 years$11,165$9,450$7,963$6,683$5,590$3,278
17 years$10,399$8,703$7,246$6,005$4,956$2,791
18 years$9,719$8,042$6,615$5,412$4,407$2,381
19 years$9,111$7,453$6,056$4,890$3,928$2,034
20 years$8,565$6,926$5,558$4,429$3,508$1,741
21 years$8,071$6,451$5,112$4,019$3,140$1,492
22 years$7,623$6,022$4,711$3,655$2,814$1,280
23 years$7,214$5,632$4,350$3,328$2,526$1,099
24 years$6,840$5,277$4,023$3,036$2,271$945
25 years$6,497$4,952$3,726$2,772$2,043$812
26 years$6,180$4,654$3,456$2,535$1,840$699
27 years$5,888$4,380$3,209$2,320$1,659$602
28 years$5,617$4,128$2,983$2,126$1,497$518
29 years$5,364$3,894$2,776$1,949$1,352$447
30 years$5,130$3,677$2,586$1,789$1,222$385
31 years$4,910$3,476$2,411$1,643$1,104$332
32 years$4,705$3,289$2,249$1,510$999$286
33 years$4,513$3,115$2,100$1,389$904$247
34 years$4,332$2,952$1,962$1,278$819$213
35 years$4,162$2,800$1,835$1,176$741$184
36 years$4,002$2,658$1,716$1,083$672$158
37 years$3,851$2,524$1,606$998$609$137
38 years$3,708$2,399$1,504$920$552$118
39 years$3,573$2,281$1,409$848$501$102
40 years$3,445$2,170$1,321$782$454$88
41 years$3,324$2,066$1,239$722$412$76
42 years$3,208$1,968$1,162$666$374$66
43 years$3,099$1,875$1,090$615$339$57
44 years$2,994$1,787$1,023$568$308$49
45 years$2,895$1,704$961$524$280$42
46 years$2,800$1,626$903$484$254$36
47 years$2,709$1,551$848$447$230$31
48 years$2,622$1,481$797$414$209$27
49 years$2,540$1,414$749$382$190$23
50 years$2,460$1,351$704$353$173$20

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,520,000, adding $3,903 every year, while hoping to spend $58,376 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: 36/49/15 Blend
39$2,520,000$2,520,000$2,520,000$2,520,000
40$2,781,066$2,647,506$2,608,446$2,868,259
41$3,002,623$2,715,122$2,633,717$2,999,177
42$3,244,822$2,784,095$2,657,879$3,134,589
43$3,509,708$2,854,429$2,680,831$3,279,518
44$3,799,530$2,926,128$2,702,471$3,434,842
45$4,116,767$2,999,193$2,722,689$3,601,528
46$4,464,147$3,073,624$2,741,369$3,780,640
47$4,844,675$3,149,416$2,758,389$3,973,350
48$5,261,661$3,226,566$2,773,624$4,180,949
49$5,718,747$3,305,065$2,786,938$4,404,857
50$6,219,950$3,384,904$2,798,190$4,646,641
51$6,769,688$3,466,067$2,807,233$4,908,025
52$7,372,832$3,548,540$2,813,911$5,190,906
53$8,034,745$3,632,303$2,818,061$5,497,379
54$8,761,333$3,717,330$2,819,511$5,829,748
55$9,559,106$3,803,596$2,818,081$6,190,553
56$10,435,232$3,891,069$2,813,584$6,582,593
57$11,397,607$3,979,713$2,805,820$7,008,951
58$12,454,930$4,069,486$2,794,582$7,473,026
59$13,616,786$4,160,344$2,779,654$7,978,563
60$14,893,731$4,252,234$2,760,806$8,529,688
61$16,297,398$4,345,100$2,737,799$9,130,950
62$17,840,601$4,438,878$2,710,384$9,787,362
63$19,537,459$4,533,499$2,678,297$10,504,448
64$21,403,524$4,628,886$2,641,265$11,288,297
65$23,455,936$4,724,953$2,599,000$12,145,620
66$25,713,575$4,821,610$2,551,200$13,083,813
67$28,197,245$4,918,754$2,497,551$14,111,030
68$30,929,867$5,016,276$2,437,722$15,236,257
69$33,936,697$5,114,057$2,371,369$16,469,397
70$37,245,561$5,211,966$2,298,130$17,821,369
71$40,887,119$5,309,864$2,217,629$19,304,204
72$44,895,155$5,407,597$2,129,469$20,931,168
73$49,306,894$5,505,003$2,033,240$22,716,879
74$54,163,352$5,601,903$1,928,508$24,677,451
75$59,509,724$5,698,106$1,814,823$26,830,648
76$65,395,810$5,793,407$1,691,714$29,196,046
77$71,876,484$5,887,585$1,558,687$31,795,225
78$79,012,210$5,980,402$1,415,229$34,651,973
79$86,869,618$6,071,603$1,260,800$37,792,507
80$95,522,122$6,160,916$1,094,841$41,245,726
81$105,050,624$6,248,046$916,764$45,043,484
82$115,544,269$6,332,681$725,956$49,220,891
83$127,101,287$6,414,486$521,779$53,816,646
84$139,829,924$6,493,101$303,564$58,873,404
85$153,849,457$6,568,144$70,614$64,438,181
86$169,291,324$6,639,205$0$70,562,799
87$186,300,363$6,705,850$0$77,332,862
88$205,036,175$6,767,611$0$84,796,752
89$225,674,634$6,823,994$0$93,012,672
90$248,409,547$6,874,470$0$102,057,238
91$273,454,478$6,918,476$0$112,014,884
92$301,044,768$6,955,414$0$122,978,667
93$331,439,752$6,984,647$0$135,051,142
94$364,925,209$7,005,498$0$148,345,334
95$401,816,059$7,017,246$0$162,985,807
96$442,459,333$7,019,127$0$179,109,841
97$487,237,449$7,010,328$0$196,868,731
98$536,571,822$6,989,987$0$216,429,216
99$590,926,839$6,957,188$0$237,975,056
100$650,814,246$6,910,959$0$261,708,771