Can I retire at age 40 with 2,640,000?

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 $2,640,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.1%
1 years$218,009$216,067$214,172$212,323$210,517$206,945
2 years$107,925$105,915$103,967$102,078$100,246$96,658
3 years$71,235$69,217$67,274$65,403$63,600$60,108
4 years$52,894$50,882$48,958$47,119$45,360$41,991
5 years$41,892$39,892$37,993$36,192$34,482$31,245
6 years$34,560$32,575$30,704$28,943$27,285$24,184
7 years$29,325$27,356$25,515$23,796$22,190$19,226
8 years$25,400$23,449$21,639$19,961$18,408$15,582
9 years$22,349$20,417$18,638$17,003$15,503$12,811
10 years$19,910$17,996$16,249$14,657$13,209$10,650
11 years$17,916$16,021$14,305$12,756$11,360$8,931
12 years$16,255$14,380$12,695$11,188$9,844$7,542
13 years$14,850$12,995$11,343$9,878$8,585$6,405
14 years$13,648$11,812$10,191$8,768$7,525$5,466
15 years$12,606$10,791$9,201$7,820$6,626$4,682
16 years$11,696$9,900$8,342$7,002$5,856$4,023
17 years$10,894$9,118$7,591$6,291$5,192$3,467
18 years$10,181$8,425$6,930$5,669$4,617$2,995
19 years$9,545$7,808$6,344$5,123$4,115$2,592
20 years$8,973$7,256$5,822$4,640$3,676$2,247
21 years$8,455$6,759$5,355$4,211$3,289$1,951
22 years$7,986$6,309$4,936$3,829$2,948$1,696
23 years$7,558$5,901$4,557$3,487$2,647$1,475
24 years$7,166$5,528$4,215$3,180$2,379$1,285
25 years$6,806$5,188$3,904$2,904$2,141$1,120
26 years$6,475$4,876$3,620$2,656$1,928$977
27 years$6,168$4,589$3,362$2,431$1,738$853
28 years$5,884$4,324$3,125$2,227$1,569$745
29 years$5,620$4,079$2,908$2,042$1,416$651
30 years$5,374$3,852$2,709$1,874$1,280$569
31 years$5,144$3,642$2,526$1,721$1,157$497
32 years$4,929$3,446$2,356$1,582$1,047$435
33 years$4,728$3,263$2,200$1,455$947$380
34 years$4,539$3,093$2,056$1,339$858$333
35 years$4,361$2,934$1,922$1,232$777$291
36 years$4,193$2,784$1,798$1,135$704$255
37 years$4,035$2,645$1,683$1,046$638$223
38 years$3,885$2,513$1,576$964$578$195
39 years$3,743$2,390$1,476$889$524$171
40 years$3,609$2,274$1,384$820$476$150
41 years$3,482$2,164$1,298$756$432$131
42 years$3,361$2,061$1,217$698$392$115
43 years$3,246$1,964$1,142$644$355$101
44 years$3,137$1,872$1,072$595$323$88
45 years$3,032$1,785$1,007$549$293$77
46 years$2,933$1,703$946$507$266$68
47 years$2,838$1,625$888$469$241$59
48 years$2,747$1,551$835$433$219$52
49 years$2,661$1,482$785$400$199$46
50 years$2,578$1,415$738$370$181$40

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,640,000, adding $4,028 every year, while hoping to spend $43,185 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: 49/31/20 Blend
39$2,640,000$2,640,000$2,640,000$2,640,000
40$2,913,435$2,773,515$2,732,595$3,039,645
41$3,164,657$2,863,469$2,778,188$3,217,577
42$3,440,056$2,956,383$2,823,862$3,406,046
43$3,742,053$3,052,357$2,869,572$3,609,884
44$4,073,313$3,151,493$2,915,274$3,830,553
45$4,436,774$3,253,899$2,960,918$4,069,665
46$4,835,669$3,359,684$3,006,453$4,328,990
47$5,273,561$3,468,963$3,051,823$4,610,479
48$5,754,375$3,581,852$3,096,970$4,916,277
49$6,282,433$3,698,475$3,141,831$5,248,744
50$6,862,499$3,818,958$3,186,339$5,610,481
51$7,499,817$3,943,431$3,230,425$6,004,348
52$8,200,169$4,072,029$3,274,015$6,433,494
53$8,969,920$4,204,893$3,317,029$6,901,388
54$9,816,087$4,342,167$3,359,384$7,411,846
55$10,746,396$4,484,001$3,400,991$7,969,074
56$11,769,362$4,630,551$3,441,758$8,577,699
57$12,894,366$4,781,977$3,481,586$9,242,819
58$14,131,743$4,938,446$3,520,371$9,970,048
59$15,492,881$5,100,130$3,558,003$10,765,567
60$16,990,325$5,267,206$3,594,367$11,636,187
61$18,637,899$5,439,860$3,629,339$12,589,406
62$20,450,834$5,618,283$3,662,792$13,633,484
63$22,445,913$5,802,672$3,694,589$14,777,520
64$24,641,626$5,993,233$3,724,587$16,031,536
65$27,058,348$6,190,178$3,752,637$17,406,573
66$29,718,529$6,393,726$3,778,580$18,914,790
67$32,646,906$6,604,106$3,802,249$20,569,587
68$35,870,735$6,821,552$3,823,470$22,385,721
69$39,420,051$7,046,309$3,842,057$24,379,451
70$43,327,948$7,278,630$3,857,818$26,568,692
71$47,630,893$7,518,777$3,870,549$28,973,176
72$52,369,068$7,767,021$3,880,036$31,614,647
73$57,586,752$8,023,643$3,886,056$34,517,060
74$63,332,734$8,288,936$3,888,372$37,706,805
75$69,660,779$8,563,199$3,886,739$41,212,962
76$76,630,129$8,846,747$3,880,896$45,067,570
77$84,306,068$9,139,904$3,870,571$49,305,929
78$92,760,533$9,443,004$3,855,481$53,966,934
79$102,072,792$9,756,397$3,835,325$59,093,442
80$112,330,199$10,080,442$3,809,790$64,732,673
81$123,629,010$10,415,514$3,778,549$70,936,658
82$136,075,295$10,762,001$3,741,256$77,762,728
83$149,785,939$11,120,303$3,697,552$85,274,055
84$164,889,744$11,490,837$3,647,060$93,540,248
85$181,528,645$11,874,035$3,589,383$102,638,007
86$199,859,049$12,270,344$3,524,109$112,651,849
87$220,053,309$12,680,229$3,450,805$123,674,904
88$242,301,357$13,104,170$3,369,016$135,809,794
89$266,812,487$13,542,667$3,278,271$149,169,599
90$293,817,340$13,996,236$3,178,071$163,878,925
91$323,570,071$14,465,414$3,067,899$180,075,080
92$356,350,757$14,950,758$2,947,213$197,909,368
93$392,468,034$15,452,845$2,815,444$217,548,518
94$432,262,013$15,972,274$2,672,000$239,176,256
95$476,107,487$16,509,665$2,516,262$262,995,036
96$524,417,475$17,065,662$2,347,581$289,227,957
97$577,647,113$17,640,935$2,165,280$318,120,861
98$636,297,954$18,236,176$1,968,653$349,944,657
99$700,922,702$18,852,106$1,756,959$384,997,875
100$772,130,429$19,489,470$1,529,429$423,609,486