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

Use the below retirement simulation to view the chances of a successful retirement.
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%17.7%
1 years$208,099$206,246$204,437$202,672$200,948$194,672
2 years$103,019$101,101$99,241$97,438$95,690$89,422
3 years$67,997$66,070$64,216$62,430$60,709$54,647
4 years$50,490$48,569$46,733$44,977$43,299$37,488
5 years$39,988$38,079$36,266$34,547$32,915$27,372
6 years$32,989$31,094$29,309$27,627$26,044$20,774
7 years$27,992$26,113$24,356$22,714$21,181$16,183
8 years$24,246$22,383$20,655$19,054$17,572$12,842
9 years$21,333$19,489$17,791$16,230$14,798$10,332
10 years$19,005$17,178$15,510$13,990$12,609$8,399
11 years$17,101$15,293$13,655$12,176$10,844$6,884
12 years$15,516$13,726$12,118$10,680$9,397$5,678
13 years$14,175$12,404$10,827$9,429$8,194$4,708
14 years$13,027$11,275$9,728$8,370$7,183$3,919
15 years$12,033$10,300$8,783$7,464$6,325$3,274
16 years$11,165$9,450$7,963$6,683$5,590$2,742
17 years$10,399$8,703$7,246$6,005$4,956$2,302
18 years$9,719$8,042$6,615$5,412$4,407$1,937
19 years$9,111$7,453$6,056$4,890$3,928$1,632
20 years$8,565$6,926$5,558$4,429$3,508$1,376
21 years$8,071$6,451$5,112$4,019$3,140$1,162
22 years$7,623$6,022$4,711$3,655$2,814$983
23 years$7,214$5,632$4,350$3,328$2,526$831
24 years$6,840$5,277$4,023$3,036$2,271$704
25 years$6,497$4,952$3,726$2,772$2,043$596
26 years$6,180$4,654$3,456$2,535$1,840$505
27 years$5,888$4,380$3,209$2,320$1,659$428
28 years$5,617$4,128$2,983$2,126$1,497$363
29 years$5,364$3,894$2,776$1,949$1,352$308
30 years$5,130$3,677$2,586$1,789$1,222$261
31 years$4,910$3,476$2,411$1,643$1,104$222
32 years$4,705$3,289$2,249$1,510$999$188
33 years$4,513$3,115$2,100$1,389$904$160
34 years$4,332$2,952$1,962$1,278$819$136
35 years$4,162$2,800$1,835$1,176$741$115
36 years$4,002$2,658$1,716$1,083$672$98
37 years$3,851$2,524$1,606$998$609$83
38 years$3,708$2,399$1,504$920$552$71
39 years$3,573$2,281$1,409$848$501$60
40 years$3,445$2,170$1,321$782$454$51
41 years$3,324$2,066$1,239$722$412$43
42 years$3,208$1,968$1,162$666$374$37
43 years$3,099$1,875$1,090$615$339$31
44 years$2,994$1,787$1,023$568$308$27
45 years$2,895$1,704$961$524$280$23
46 years$2,800$1,626$903$484$254$19
47 years$2,709$1,551$848$447$230$16
48 years$2,622$1,481$797$414$209$14
49 years$2,540$1,414$749$382$190$12
50 years$2,460$1,351$704$353$173$10

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 $5,139 every year, while hoping to spend $25,989 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: 48/41/11 Blend
39$2,520,000$2,520,000$2,520,000$2,520,000
40$2,782,341$2,648,781$2,609,721$2,907,262
41$3,038,488$2,750,919$2,669,494$3,095,874
42$3,319,890$2,857,191$2,730,399$3,297,418
43$3,629,097$2,967,772$2,792,446$3,515,655
44$3,968,917$3,082,844$2,855,645$3,752,150
45$4,342,442$3,202,599$2,920,004$4,008,622
46$4,753,081$3,327,236$2,985,534$4,286,960
47$5,204,587$3,456,963$3,052,242$4,589,240
48$5,701,098$3,591,997$3,120,135$4,917,747
49$6,247,171$3,732,566$3,189,221$5,274,987
50$6,847,827$3,878,907$3,259,504$5,663,721
51$7,508,599$4,031,266$3,330,991$6,086,982
52$8,235,581$4,189,904$3,403,684$6,548,106
53$9,035,491$4,355,089$3,477,588$7,050,761
54$9,915,728$4,527,105$3,552,704$7,598,985
55$10,884,445$4,706,246$3,629,032$8,197,216
56$11,950,626$4,892,820$3,706,573$8,850,340
57$13,124,171$5,087,149$3,785,324$9,563,732
58$14,415,987$5,289,570$3,865,283$10,343,304
59$15,838,093$5,500,434$3,946,445$11,195,565
60$17,403,730$5,720,108$4,028,803$12,127,678
61$19,127,493$5,948,975$4,112,350$13,147,526
62$21,025,460$6,187,438$4,197,077$14,263,785
63$23,115,349$6,435,914$4,282,971$15,486,006
64$25,416,683$6,694,842$4,370,019$16,824,704
65$27,950,976$6,964,681$4,458,206$18,291,453
66$30,741,933$7,245,908$4,547,513$19,898,997
67$33,815,676$7,539,023$4,637,921$21,661,366
68$37,200,991$7,844,551$4,729,406$23,594,008
69$40,929,595$8,163,036$4,821,944$25,713,935
70$45,036,440$8,495,052$4,915,507$28,039,876
71$49,560,043$8,841,196$5,010,062$30,592,459
72$54,542,845$9,202,092$5,105,576$33,394,399
73$60,031,614$9,578,394$5,202,012$36,470,711
74$66,077,888$9,970,784$5,299,329$39,848,946
75$72,738,458$10,379,978$5,397,482$43,559,446
76$80,075,906$10,806,722$5,496,423$47,635,630
77$88,159,195$11,251,797$5,596,099$52,114,308
78$97,064,318$11,716,021$5,696,454$57,036,023
79$106,875,020$12,200,247$5,797,426$62,445,431
80$117,683,583$12,705,371$5,898,951$68,391,725
81$129,591,700$13,232,325$6,000,957$74,929,089
82$142,711,433$13,782,089$6,103,369$82,117,213
83$157,166,272$14,355,684$6,206,105$90,021,848
84$173,092,301$14,954,181$6,309,078$98,715,427
85$190,639,479$15,578,700$6,412,196$108,277,745
86$209,973,060$16,230,410$6,515,358$118,796,706
87$231,275,149$16,910,537$6,618,460$130,369,151
88$254,746,423$17,620,363$6,721,388$143,101,771
89$280,608,026$18,361,228$6,824,022$157,112,103
90$309,103,652$19,134,536$6,926,234$172,529,643
91$340,501,851$19,941,755$7,027,890$189,497,057
92$375,098,560$20,784,420$7,128,843$208,171,529
93$413,219,896$21,664,140$7,228,943$228,726,238
94$455,225,240$22,582,597$7,328,027$251,351,986
95$501,510,621$23,541,551$7,425,922$276,258,995
96$552,512,462$24,542,845$7,522,448$303,678,887
97$608,711,695$25,588,406$7,617,412$333,866,863
98$670,638,303$26,680,253$7,710,611$367,104,109
99$738,876,322$27,820,498$7,801,829$403,700,442
100$814,069,357$29,011,352$7,890,840$443,997,225