Can I retire at age 40 with 2,700,000?

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 $2,700,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.1%
1 years$222,963$220,977$219,040$217,149$215,302$213,409
2 years$110,378$108,322$106,330$104,398$102,525$100,617
3 years$72,854$70,790$68,803$66,889$65,046$63,183
4 years$54,096$52,038$50,071$48,190$46,391$44,587
5 years$42,844$40,798$38,857$37,014$35,266$33,526
6 years$35,345$33,315$31,402$29,601$27,905$26,231
7 years$29,991$27,978$26,095$24,336$22,694$21,088
8 years$25,977$23,982$22,131$20,415$18,827$17,288
9 years$22,857$20,881$19,061$17,389$15,855$14,382
10 years$20,362$18,405$16,618$14,990$13,509$12,102
11 years$18,323$16,385$14,630$13,045$11,618$10,276
12 years$16,624$14,707$12,984$11,443$10,068$8,789
13 years$15,188$13,290$11,600$10,102$8,780$7,563
14 years$13,958$12,081$10,423$8,968$7,696$6,540
15 years$12,893$11,036$9,411$7,997$6,776$5,679
16 years$11,962$10,125$8,532$7,161$5,989$4,948
17 years$11,141$9,325$7,764$6,434$5,310$4,325
18 years$10,413$8,617$7,087$5,798$4,722$3,789
19 years$9,762$7,986$6,488$5,239$4,208$3,328
20 years$9,176$7,421$5,954$4,745$3,759$2,928
21 years$8,648$6,912$5,477$4,307$3,364$2,580
22 years$8,167$6,452$5,048$3,916$3,015$2,277
23 years$7,730$6,035$4,661$3,566$2,707$2,012
24 years$7,329$5,654$4,310$3,252$2,433$1,780
25 years$6,961$5,306$3,992$2,970$2,189$1,576
26 years$6,622$4,987$3,703$2,716$1,972$1,397
27 years$6,308$4,693$3,438$2,486$1,778$1,239
28 years$6,018$4,422$3,196$2,278$1,604$1,099
29 years$5,748$4,172$2,974$2,089$1,449$976
30 years$5,496$3,940$2,771$1,917$1,309$867
31 years$5,261$3,725$2,583$1,760$1,183$771
32 years$5,041$3,524$2,410$1,618$1,070$685
33 years$4,835$3,338$2,250$1,488$969$610
34 years$4,642$3,163$2,102$1,369$877$543
35 years$4,460$3,000$1,966$1,260$794$483
36 years$4,288$2,848$1,839$1,161$720$430
37 years$4,126$2,705$1,721$1,069$652$383
38 years$3,973$2,570$1,612$986$591$341
39 years$3,829$2,444$1,510$909$536$304
40 years$3,691$2,325$1,415$838$486$271
41 years$3,561$2,214$1,327$773$441$241
42 years$3,437$2,108$1,245$714$400$215
43 years$3,320$2,009$1,168$659$363$191
44 years$3,208$1,915$1,097$608$330$171
45 years$3,101$1,826$1,030$562$299$152
46 years$3,000$1,742$967$519$272$136
47 years$2,903$1,662$909$479$247$121
48 years$2,810$1,587$854$443$224$108
49 years$2,721$1,515$802$409$204$96
50 years$2,636$1,447$754$378$185$86

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,700,000, adding $2,622 every year, while hoping to spend $23,126 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: 44/40/16 Blend
39$2,700,000$2,700,000$2,700,000$2,700,000
40$2,978,105$2,835,005$2,793,155$3,095,278
41$3,257,265$2,949,314$2,862,119$3,291,913
42$3,564,125$3,068,449$2,932,619$3,502,405
43$3,901,486$3,192,623$3,004,682$3,730,060
44$4,272,432$3,322,056$3,078,333$3,976,471
45$4,680,364$3,456,981$3,153,602$4,243,389
46$5,129,028$3,597,640$3,230,514$4,532,738
47$5,622,551$3,744,286$3,309,098$4,846,627
48$6,165,479$3,897,184$3,389,381$5,187,379
49$6,762,823$4,056,611$3,471,390$5,557,543
50$7,420,103$4,222,857$3,555,153$5,959,922
51$8,143,400$4,396,224$3,640,698$6,397,596
52$8,939,417$4,577,029$3,728,051$6,873,953
53$9,815,537$4,765,603$3,817,241$7,392,717
54$10,779,897$4,962,293$3,908,294$7,957,982
55$11,841,462$5,167,460$4,001,237$8,574,252
56$13,010,110$5,381,485$4,096,097$9,246,480
57$14,296,726$5,604,762$4,192,901$9,980,116
58$15,713,304$5,837,707$4,291,675$10,781,151
59$17,273,059$6,080,753$4,392,444$11,656,183
60$18,990,555$6,334,354$4,495,235$12,612,465
61$20,881,838$6,598,984$4,600,072$13,657,982
62$22,964,591$6,875,139$4,706,980$14,801,521
63$25,258,298$7,163,340$4,815,982$16,052,752
64$27,784,429$7,464,129$4,927,103$17,422,315
65$30,566,645$7,778,074$5,040,364$18,921,927
66$33,631,014$8,105,772$5,155,788$20,564,481
67$37,006,267$8,447,844$5,273,396$22,364,172
68$40,724,059$8,804,941$5,393,208$24,336,626
69$44,819,275$9,177,745$5,515,243$26,499,048
70$49,330,356$9,566,970$5,639,518$28,870,379
71$54,299,663$9,973,361$5,766,052$31,471,474
72$59,773,873$10,397,701$5,894,859$34,325,299
73$65,804,425$10,840,805$6,025,955$37,457,140
74$72,448,003$11,303,531$6,159,350$40,894,842
75$79,767,068$11,786,774$6,295,058$44,669,070
76$87,830,454$12,291,470$6,433,087$48,813,595
77$96,714,010$12,818,602$6,573,445$53,365,608
78$106,501,321$13,369,195$6,716,138$58,366,069
79$117,284,496$13,944,327$6,861,169$63,860,093
80$129,165,037$14,545,120$7,008,540$69,897,368
81$142,254,794$15,172,755$7,158,250$76,532,623
82$156,677,027$15,828,464$7,310,295$83,826,140
83$172,567,564$16,513,538$7,464,669$91,844,321
84$190,076,083$17,229,330$7,621,364$100,660,308
85$209,367,531$17,977,254$7,780,367$110,354,672
86$230,623,672$18,758,792$7,941,662$121,016,167
87$254,044,810$19,575,497$8,105,231$132,742,564
88$279,851,677$20,428,992$8,271,052$145,641,569
89$308,287,513$21,320,978$8,439,098$159,831,836
90$339,620,371$22,253,238$8,609,339$175,444,079
91$374,145,638$23,227,635$8,781,741$192,622,303
92$412,188,827$24,246,123$8,956,263$211,525,157
93$454,108,652$25,310,748$9,132,863$232,327,424
94$500,300,411$26,423,651$9,311,491$255,221,668
95$551,199,719$27,587,076$9,492,091$280,420,042
96$607,286,619$28,803,372$9,674,605$308,156,285
97$669,090,116$30,074,998$9,858,966$338,687,923
98$737,193,168$31,404,533$10,045,101$372,298,690
99$812,238,190$32,794,675$10,232,932$409,301,200
100$894,933,121$34,248,250$10,422,371$450,039,892