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%15.5%
1 years$222,963$220,977$219,040$217,149$215,302$210,439
2 years$110,378$108,322$106,330$104,398$102,525$97,651
3 years$72,854$70,790$68,803$66,889$65,046$60,315
4 years$54,096$52,038$50,071$48,190$46,391$41,838
5 years$42,844$40,798$38,857$37,014$35,266$30,904
6 years$35,345$33,315$31,402$29,601$27,905$23,738
7 years$29,991$27,978$26,095$24,336$22,694$18,724
8 years$25,977$23,982$22,131$20,415$18,827$15,052
9 years$22,857$20,881$19,061$17,389$15,855$12,272
10 years$20,362$18,405$16,618$14,990$13,509$10,114
11 years$18,323$16,385$14,630$13,045$11,618$8,407
12 years$16,624$14,707$12,984$11,443$10,068$7,036
13 years$15,188$13,290$11,600$10,102$8,780$5,920
14 years$13,958$12,081$10,423$8,968$7,696$5,004
15 years$12,893$11,036$9,411$7,997$6,776$4,245
16 years$11,962$10,125$8,532$7,161$5,989$3,612
17 years$11,141$9,325$7,764$6,434$5,310$3,082
18 years$10,413$8,617$7,087$5,798$4,722$2,635
19 years$9,762$7,986$6,488$5,239$4,208$2,257
20 years$9,176$7,421$5,954$4,745$3,759$1,936
21 years$8,648$6,912$5,477$4,307$3,364$1,663
22 years$8,167$6,452$5,048$3,916$3,015$1,430
23 years$7,730$6,035$4,661$3,566$2,707$1,231
24 years$7,329$5,654$4,310$3,252$2,433$1,060
25 years$6,961$5,306$3,992$2,970$2,189$914
26 years$6,622$4,987$3,703$2,716$1,972$788
27 years$6,308$4,693$3,438$2,486$1,778$680
28 years$6,018$4,422$3,196$2,278$1,604$587
29 years$5,748$4,172$2,974$2,089$1,449$507
30 years$5,496$3,940$2,771$1,917$1,309$438
31 years$5,261$3,725$2,583$1,760$1,183$379
32 years$5,041$3,524$2,410$1,618$1,070$327
33 years$4,835$3,338$2,250$1,488$969$283
34 years$4,642$3,163$2,102$1,369$877$245
35 years$4,460$3,000$1,966$1,260$794$212
36 years$4,288$2,848$1,839$1,161$720$183
37 years$4,126$2,705$1,721$1,069$652$159
38 years$3,973$2,570$1,612$986$591$137
39 years$3,829$2,444$1,510$909$536$119
40 years$3,691$2,325$1,415$838$486$103
41 years$3,561$2,214$1,327$773$441$89
42 years$3,437$2,108$1,245$714$400$77
43 years$3,320$2,009$1,168$659$363$67
44 years$3,208$1,915$1,097$608$330$58
45 years$3,101$1,826$1,030$562$299$50
46 years$3,000$1,742$967$519$272$43
47 years$2,903$1,662$909$479$247$37
48 years$2,810$1,587$854$443$224$32
49 years$2,721$1,515$802$409$204$28
50 years$2,636$1,447$754$378$185$24

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 $3,753 every year, while hoping to spend $31,386 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: 69/19/12 Blend
39$2,700,000$2,700,000$2,700,000$2,700,000
40$2,979,271$2,836,171$2,794,321$3,176,883
41$3,249,762$2,941,749$2,854,537$3,414,189
42$3,546,792$3,051,448$2,915,717$3,669,584
43$3,873,033$3,165,438$2,977,862$3,948,169
44$4,231,432$3,283,894$3,040,970$4,252,218
45$4,625,233$3,406,999$3,105,037$4,584,235
46$5,058,010$3,534,946$3,170,060$4,946,975
47$5,533,703$3,667,934$3,236,032$5,343,473
48$6,056,649$3,806,172$3,302,948$5,777,068
49$6,631,629$3,949,875$3,370,798$6,251,437
50$7,263,908$4,099,273$3,439,573$6,770,628
51$7,959,290$4,254,600$3,509,262$7,339,100
52$8,724,166$4,416,104$3,579,851$7,961,760
53$9,565,579$4,584,041$3,651,324$8,644,014
54$10,491,291$4,758,682$3,723,666$9,391,813
55$11,509,851$4,940,306$3,796,857$10,211,714
56$12,630,680$5,129,205$3,870,876$11,110,936
57$13,864,159$5,325,685$3,945,700$12,097,429
58$15,221,724$5,530,065$4,021,302$13,179,950
59$16,715,980$5,742,678$4,097,655$14,368,146
60$18,360,810$5,963,870$4,174,728$15,672,641
61$20,171,518$6,194,004$4,252,486$17,105,137
62$22,164,961$6,433,459$4,330,893$18,678,525
63$24,359,718$6,682,630$4,409,908$20,407,005
64$26,776,259$6,941,928$4,489,490$22,306,219
65$29,437,141$7,211,786$4,569,591$24,393,400
66$32,367,218$7,492,652$4,650,161$26,687,529
67$35,593,879$7,784,997$4,731,146$29,209,519
68$39,147,303$8,089,310$4,812,488$31,982,410
69$43,060,747$8,406,105$4,894,125$35,031,582
70$47,370,854$8,735,915$4,975,990$38,384,999
71$52,118,007$9,079,301$5,058,011$42,073,468
72$57,346,702$9,436,845$5,140,113$46,130,931
73$63,105,973$9,809,158$5,222,214$50,594,784
74$69,449,852$10,196,876$5,304,228$55,506,227
75$76,437,879$10,600,665$5,386,061$60,910,656
76$84,135,665$11,021,220$5,467,617$66,858,087
77$92,615,511$11,459,268$5,548,790$73,403,627
78$101,957,088$11,915,567$5,629,469$80,607,996
79$112,248,192$12,390,911$5,709,538$88,538,094
80$123,585,570$12,886,128$5,788,870$97,267,636
81$136,075,835$13,402,085$5,867,334$106,877,845
82$149,836,470$13,939,687$5,944,789$117,458,217
83$164,996,938$14,499,880$6,021,088$129,107,362
84$181,699,904$15,083,652$6,096,072$141,933,938
85$200,102,581$15,692,037$6,169,577$156,057,673
86$220,378,213$16,326,116$6,241,427$171,610,492
87$242,717,712$16,987,018$6,311,437$188,737,763
88$267,331,460$17,675,922$6,379,411$207,599,667
89$294,451,290$18,394,064$6,445,143$228,372,707
90$324,332,683$19,142,734$6,508,416$251,251,375
91$357,257,169$19,923,280$6,569,000$276,449,982
92$393,534,993$20,737,114$6,626,654$304,204,685
93$433,508,039$21,585,709$6,681,124$334,775,707
94$477,553,059$22,470,609$6,732,142$368,449,797
95$526,085,228$23,393,426$6,779,425$405,542,934
96$579,562,063$24,355,846$6,822,678$446,403,304
97$638,487,744$25,359,633$6,861,589$491,414,589
98$703,417,870$26,406,632$6,895,828$540,999,582
99$774,964,708$27,498,771$6,925,053$595,624,181
100$853,802,966$28,638,069$6,948,901$655,801,779