Can I retire at age 40 with 2,580,000?

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 $2,580,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.6%
1 years$213,054$211,156$209,305$207,497$205,733$201,004
2 years$105,472$103,508$101,604$99,758$97,968$93,230
3 years$69,616$67,644$65,745$63,916$62,155$57,556
4 years$51,692$49,725$47,845$46,048$44,329$39,904
5 years$40,940$38,985$37,130$35,369$33,699$29,460
6 years$33,775$31,834$30,006$28,285$26,664$22,617
7 years$28,658$26,734$24,936$23,255$21,685$17,829
8 years$24,823$22,916$21,147$19,508$17,990$14,324
9 years$21,841$19,953$18,214$16,616$15,150$11,672
10 years$19,457$17,587$15,880$14,323$12,909$9,614
11 years$17,508$15,657$13,980$12,466$11,102$7,986
12 years$15,885$14,053$12,407$10,934$9,621$6,679
13 years$14,513$12,700$11,085$9,653$8,389$5,616
14 years$13,338$11,544$9,960$8,569$7,354$4,744
15 years$12,320$10,545$8,992$7,642$6,475$4,021
16 years$11,430$9,675$8,153$6,843$5,723$3,419
17 years$10,646$8,910$7,419$6,148$5,074$2,915
18 years$9,950$8,234$6,772$5,541$4,512$2,490
19 years$9,328$7,631$6,200$5,006$4,021$2,132
20 years$8,769$7,091$5,690$4,534$3,592$1,827
21 years$8,263$6,605$5,234$4,115$3,214$1,568
22 years$7,804$6,166$4,824$3,742$2,881$1,348
23 years$7,386$5,766$4,454$3,408$2,586$1,159
24 years$7,003$5,403$4,119$3,108$2,325$998
25 years$6,652$5,070$3,815$2,838$2,092$859
26 years$6,328$4,765$3,538$2,595$1,884$741
27 years$6,028$4,485$3,285$2,375$1,699$639
28 years$5,750$4,226$3,054$2,176$1,533$551
29 years$5,492$3,987$2,842$1,996$1,384$475
30 years$5,252$3,765$2,647$1,832$1,251$410
31 years$5,027$3,559$2,468$1,682$1,131$354
32 years$4,817$3,368$2,303$1,546$1,023$306
33 years$4,620$3,189$2,150$1,422$926$264
34 years$4,436$3,023$2,009$1,308$838$229
35 years$4,262$2,867$1,878$1,204$759$197
36 years$4,098$2,721$1,757$1,109$688$171
37 years$3,943$2,584$1,645$1,022$623$148
38 years$3,797$2,456$1,540$942$565$128
39 years$3,658$2,336$1,443$868$512$110
40 years$3,527$2,222$1,352$801$465$95
41 years$3,403$2,115$1,268$739$422$82
42 years$3,285$2,014$1,190$682$383$71
43 years$3,172$1,919$1,116$630$347$62
44 years$3,065$1,830$1,048$581$315$53
45 years$2,963$1,745$984$537$286$46
46 years$2,866$1,664$924$496$260$40
47 years$2,774$1,588$868$458$236$34
48 years$2,685$1,516$816$423$214$30
49 years$2,600$1,448$767$391$195$26
50 years$2,519$1,383$721$362$177$22

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,580,000, adding $3,521 every year, while hoping to spend $33,417 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: 70/21/9 Blend
39$2,580,000$2,580,000$2,580,000$2,580,000
40$2,846,792$2,710,052$2,670,062$3,041,061
41$3,101,609$2,807,289$2,723,954$3,267,379
42$3,381,298$2,908,171$2,778,531$3,510,526
43$3,688,360$3,012,840$2,833,781$3,775,688
44$4,025,550$3,121,447$2,889,690$4,065,023
45$4,395,905$3,234,147$2,946,243$4,380,905
46$4,802,767$3,351,100$3,003,423$4,725,949
47$5,249,822$3,472,477$3,061,210$5,103,031
48$5,741,128$3,598,452$3,119,584$5,515,319
49$6,281,155$3,729,208$3,178,522$5,966,300
50$6,874,829$3,864,936$3,237,999$6,459,814
51$7,527,578$4,005,834$3,297,988$7,000,088
52$8,245,379$4,152,108$3,358,460$7,591,777
53$9,034,821$4,303,975$3,419,381$8,240,007
54$9,903,162$4,461,658$3,480,719$8,950,424
55$10,858,396$4,625,392$3,542,436$9,729,243
56$11,909,336$4,795,419$3,604,490$10,583,312
57$13,065,688$4,971,995$3,666,841$11,520,171
58$14,338,149$5,155,383$3,729,440$12,548,124
59$15,738,503$5,345,859$3,792,239$13,676,319
60$17,279,736$5,543,712$3,855,185$14,914,831
61$18,976,155$5,749,240$3,918,220$16,274,759
62$20,843,527$5,962,757$3,981,284$17,768,328
63$22,899,222$6,184,587$4,044,313$19,409,003
64$25,162,383$6,415,072$4,107,237$21,211,619
65$27,654,100$6,654,565$4,169,984$23,192,517
66$30,397,615$6,903,435$4,232,475$25,369,701
67$33,418,536$7,162,068$4,294,627$27,763,001
68$36,745,083$7,430,865$4,356,353$30,394,266
69$40,408,350$7,710,246$4,417,560$33,287,568
70$44,442,601$8,000,648$4,478,147$36,469,423
71$48,885,593$8,302,526$4,538,012$39,969,049
72$53,778,930$8,616,357$4,597,042$43,818,634
73$59,168,458$8,942,635$4,655,120$48,053,643
74$65,104,696$9,281,880$4,712,122$52,713,147
75$71,643,314$9,634,631$4,767,917$57,840,198
76$78,845,656$10,001,452$4,822,367$63,482,229
77$86,779,321$10,382,931$4,875,324$69,691,501
78$95,518,799$10,779,682$4,926,634$76,525,597
79$105,146,175$11,192,345$4,976,136$84,047,964
80$115,751,905$11,621,590$5,023,655$92,328,510
81$127,435,664$12,068,113$5,069,013$101,444,263
82$140,307,294$12,532,643$5,112,018$111,480,098
83$154,487,837$13,015,941$5,152,468$122,529,535
84$170,110,674$13,518,800$5,190,154$134,695,621
85$187,322,790$14,042,049$5,224,852$148,091,902
86$206,286,159$14,586,553$5,256,329$162,843,492
87$227,179,269$15,153,216$5,284,338$179,088,256
88$250,198,812$15,742,981$5,308,620$196,978,105
89$275,561,537$16,356,833$5,328,905$216,680,430
90$303,506,297$16,995,801$5,344,907$238,379,685
91$334,296,304$17,660,960$5,356,325$262,279,120
92$368,221,610$18,353,430$5,362,845$288,602,699
93$405,601,851$19,074,385$5,364,137$317,597,217
94$446,789,257$19,825,047$5,359,854$349,534,624
95$492,171,984$20,606,697$5,349,632$384,714,589
96$542,177,771$21,420,670$5,333,089$423,467,331
97$597,277,982$22,268,361$5,309,826$466,156,730
98$657,992,054$23,151,229$5,279,423$513,183,763
99$724,892,401$24,070,796$5,241,440$564,990,284
100$798,609,815$25,028,654$5,195,418$622,063,197