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

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 $2,700,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16%
1 years$222,963$220,977$219,040$217,149$215,302$210,012
2 years$110,378$108,322$106,330$104,398$102,525$97,228
3 years$72,854$70,790$68,803$66,889$65,046$59,907
4 years$54,096$52,038$50,071$48,190$46,391$41,451
5 years$42,844$40,798$38,857$37,014$35,266$30,538
6 years$35,345$33,315$31,402$29,601$27,905$23,393
7 years$29,991$27,978$26,095$24,336$22,694$18,400
8 years$25,977$23,982$22,131$20,415$18,827$14,748
9 years$22,857$20,881$19,061$17,389$15,855$11,988
10 years$20,362$18,405$16,618$14,990$13,509$9,850
11 years$18,323$16,385$14,630$13,045$11,618$8,161
12 years$16,624$14,707$12,984$11,443$10,068$6,807
13 years$15,188$13,290$11,600$10,102$8,780$5,709
14 years$13,958$12,081$10,423$8,968$7,696$4,809
15 years$12,893$11,036$9,411$7,997$6,776$4,065
16 years$11,962$10,125$8,532$7,161$5,989$3,447
17 years$11,141$9,325$7,764$6,434$5,310$2,930
18 years$10,413$8,617$7,087$5,798$4,722$2,496
19 years$9,762$7,986$6,488$5,239$4,208$2,130
20 years$9,176$7,421$5,954$4,745$3,759$1,820
21 years$8,648$6,912$5,477$4,307$3,364$1,557
22 years$8,167$6,452$5,048$3,916$3,015$1,334
23 years$7,730$6,035$4,661$3,566$2,707$1,144
24 years$7,329$5,654$4,310$3,252$2,433$981
25 years$6,961$5,306$3,992$2,970$2,189$843
26 years$6,622$4,987$3,703$2,716$1,972$724
27 years$6,308$4,693$3,438$2,486$1,778$622
28 years$6,018$4,422$3,196$2,278$1,604$535
29 years$5,748$4,172$2,974$2,089$1,449$460
30 years$5,496$3,940$2,771$1,917$1,309$396
31 years$5,261$3,725$2,583$1,760$1,183$341
32 years$5,041$3,524$2,410$1,618$1,070$293
33 years$4,835$3,338$2,250$1,488$969$253
34 years$4,642$3,163$2,102$1,369$877$218
35 years$4,460$3,000$1,966$1,260$794$187
36 years$4,288$2,848$1,839$1,161$720$161
37 years$4,126$2,705$1,721$1,069$652$139
38 years$3,973$2,570$1,612$986$591$120
39 years$3,829$2,444$1,510$909$536$103
40 years$3,691$2,325$1,415$838$486$89
41 years$3,561$2,214$1,327$773$441$77
42 years$3,437$2,108$1,245$714$400$66
43 years$3,320$2,009$1,168$659$363$57
44 years$3,208$1,915$1,097$608$330$49
45 years$3,101$1,826$1,030$562$299$42
46 years$3,000$1,742$967$519$272$36
47 years$2,903$1,662$909$479$247$31
48 years$2,810$1,587$854$443$224$27
49 years$2,721$1,515$802$409$204$23
50 years$2,636$1,447$754$378$185$20

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 $3,649 every year, while hoping to spend $53,626 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: 55/17/28 Blend
39$2,700,000$2,700,000$2,700,000$2,700,000
40$2,979,164$2,836,064$2,794,214$3,119,738
41$3,225,981$2,917,973$2,830,762$3,299,007
42$3,496,176$3,002,099$2,866,738$3,488,317
43$3,792,077$3,088,493$2,902,065$3,693,429
44$4,116,248$3,177,208$2,936,663$3,915,883
45$4,471,511$3,268,297$2,970,447$4,157,374
46$4,860,977$3,361,816$3,003,329$4,419,772
47$5,288,069$3,457,817$3,035,213$4,705,134
48$5,756,560$3,556,358$3,066,000$5,015,728
49$6,270,604$3,657,494$3,095,586$5,354,052
50$6,834,777$3,761,283$3,123,859$5,722,858
51$7,454,119$3,867,781$3,150,704$6,125,177
52$8,134,184$3,977,046$3,175,997$6,564,349
53$8,881,087$4,089,138$3,199,609$7,044,056
54$9,701,567$4,204,114$3,221,405$7,568,352
55$10,603,045$4,322,035$3,241,241$8,141,706
56$11,593,700$4,442,959$3,258,966$8,769,040
57$12,682,540$4,566,946$3,274,424$9,455,781
58$13,879,489$4,694,057$3,287,447$10,207,906
59$15,195,482$4,824,351$3,297,862$11,032,003
60$16,642,565$4,957,888$3,305,485$11,935,332
61$18,234,011$5,094,729$3,310,122$12,925,891
62$19,984,442$5,234,932$3,311,574$14,012,497
63$21,909,970$5,378,559$3,309,626$15,204,863
64$24,028,346$5,525,667$3,304,058$16,513,695
65$26,359,128$5,676,316$3,294,634$17,950,792
66$28,923,867$5,830,563$3,281,112$19,529,153
67$31,746,306$5,988,465$3,263,235$21,263,107
68$34,852,609$6,150,080$3,240,732$23,168,443
69$38,271,602$6,315,461$3,213,324$25,262,562
70$42,035,050$6,484,662$3,180,714$27,564,641
71$46,177,951$6,657,737$3,142,594$30,095,812
72$50,738,870$6,834,734$3,098,640$32,879,366
73$55,760,303$7,015,704$3,048,512$35,940,970
74$61,289,073$7,200,693$2,991,856$39,308,909
75$67,376,775$7,389,744$2,928,301$43,014,357
76$74,080,265$7,582,900$2,857,457$47,091,668
77$81,462,188$7,780,198$2,778,918$51,578,701
78$89,591,579$7,981,675$2,692,259$56,517,182
79$98,544,505$8,187,363$2,597,035$61,953,092
80$108,404,789$8,397,288$2,492,780$67,937,108
81$119,264,797$8,611,475$2,379,009$74,525,077
82$131,226,312$8,829,943$2,255,211$81,778,545
83$144,401,492$9,052,706$2,120,856$89,765,340
84$158,913,928$9,279,772$1,975,388$98,560,212
85$174,899,812$9,511,144$1,818,227$108,245,541
86$192,509,220$9,746,818$1,648,766$118,912,112
87$211,907,532$9,986,784$1,466,371$130,659,976
88$233,276,987$10,231,022$1,270,381$143,599,395
89$256,818,405$10,479,507$1,060,104$157,851,880
90$282,753,083$10,732,204$834,818$173,551,347
91$311,324,883$10,989,068$593,770$190,845,373
92$342,802,533$11,250,044$336,173$209,896,598
93$377,482,162$11,515,067$61,205$230,884,258
94$415,690,097$11,784,059$0$254,005,878
95$457,785,941$12,056,933$0$279,548,521
96$504,165,968$12,333,584$0$307,706,722
97$555,266,863$12,613,895$0$338,726,829
98$611,569,841$12,897,735$0$372,900,481
99$673,605,195$13,184,954$0$410,549,060
100$741,957,295$13,475,386$0$452,026,719