Can I retire at age 40 with 2,720,000?

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 $2,720,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.8%
1 years$224,615$222,614$220,662$218,757$216,897$214,364
2 years$111,196$109,125$107,118$105,172$103,284$100,735
3 years$73,394$71,314$69,312$67,384$65,528$63,041
4 years$54,497$52,423$50,442$48,547$46,735$44,330
5 years$43,162$41,101$39,145$37,289$35,527$33,211
6 years$35,607$33,562$31,635$29,820$28,111$25,887
7 years$30,213$28,185$26,289$24,517$22,862$20,730
8 years$26,170$24,160$22,295$20,566$18,966$16,927
9 years$23,027$21,035$19,203$17,518$15,972$14,024
10 years$20,513$18,542$16,741$15,101$13,609$11,751
11 years$18,458$16,507$14,739$13,142$11,704$9,935
12 years$16,747$14,815$13,080$11,527$10,143$8,460
13 years$15,300$13,389$11,686$10,177$8,845$7,246
14 years$14,061$12,170$10,500$9,034$7,753$6,237
15 years$12,988$11,118$9,480$8,057$6,827$5,390
16 years$12,051$10,200$8,595$7,214$6,033$4,675
17 years$11,224$9,394$7,821$6,482$5,350$4,065
18 years$10,490$8,680$7,140$5,841$4,757$3,545
19 years$9,834$8,045$6,536$5,278$4,240$3,097
20 years$9,244$7,476$5,999$4,780$3,787$2,711
21 years$8,712$6,963$5,518$4,338$3,389$2,377
22 years$8,228$6,500$5,085$3,945$3,038$2,086
23 years$7,787$6,079$4,695$3,592$2,727$1,834
24 years$7,383$5,696$4,342$3,277$2,451$1,613
25 years$7,013$5,345$4,022$2,992$2,205$1,421
26 years$6,671$5,024$3,730$2,736$1,987$1,252
27 years$6,355$4,728$3,464$2,504$1,791$1,104
28 years$6,062$4,455$3,220$2,295$1,616$975
29 years$5,790$4,203$2,997$2,104$1,459$861
30 years$5,537$3,969$2,791$1,931$1,319$760
31 years$5,300$3,752$2,602$1,774$1,192$672
32 years$5,079$3,550$2,428$1,630$1,078$594
33 years$4,871$3,362$2,267$1,499$976$525
34 years$4,676$3,187$2,118$1,379$884$465
35 years$4,493$3,023$1,980$1,270$800$411
36 years$4,320$2,869$1,852$1,169$725$364
37 years$4,157$2,725$1,734$1,077$657$322
38 years$4,003$2,589$1,624$993$596$285
39 years$3,857$2,462$1,521$916$540$253
40 years$3,719$2,343$1,426$844$490$224
41 years$3,588$2,230$1,337$779$445$198
42 years$3,463$2,124$1,254$719$403$175
43 years$3,345$2,024$1,177$664$366$155
44 years$3,232$1,929$1,105$613$332$138
45 years$3,124$1,839$1,037$566$302$122
46 years$3,022$1,755$974$523$274$108
47 years$2,924$1,674$915$483$249$96
48 years$2,831$1,599$860$446$226$85
49 years$2,741$1,526$808$412$205$75
50 years$2,656$1,458$760$381$186$67

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,720,000, adding $5,057 every year, while hoping to spend $52,732 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: 69/18/13 Blend
39$2,720,000$2,720,000$2,720,000$2,720,000
40$3,002,656$2,858,496$2,816,336$3,200,854
41$3,252,821$2,942,456$2,854,577$3,417,189
42$3,526,735$3,028,763$2,892,332$3,646,984
43$3,826,765$3,117,475$2,929,528$3,897,022
44$4,155,518$3,208,654$2,966,090$4,169,285
45$4,515,863$3,302,361$3,001,937$4,465,957
46$4,910,964$3,398,659$3,036,984$4,789,442
47$5,344,301$3,497,612$3,071,142$5,142,388
48$5,819,709$3,599,285$3,104,314$5,527,712
49$6,341,413$3,703,744$3,136,403$5,948,624
50$6,914,066$3,811,056$3,167,301$6,408,661
51$7,542,793$3,921,290$3,196,898$6,911,718
52$8,233,240$4,034,515$3,225,076$7,462,087
53$8,991,627$4,150,803$3,251,713$8,064,493
54$9,824,805$4,270,224$3,276,677$8,724,143
55$10,740,322$4,392,853$3,299,833$9,446,771
56$11,746,494$4,518,761$3,321,037$10,238,694
57$12,852,481$4,648,025$3,340,136$11,106,874
58$14,068,376$4,780,720$3,356,972$12,058,976
59$15,405,298$4,916,923$3,371,378$13,103,448
60$16,875,497$5,056,711$3,383,178$14,249,596
61$18,492,471$5,200,163$3,392,188$15,507,674
62$20,271,089$5,347,357$3,398,212$16,888,977
63$22,227,737$5,498,375$3,401,049$18,405,953
64$24,380,466$5,653,295$3,400,484$20,072,313
65$26,749,167$5,812,200$3,396,294$21,903,169
66$29,355,755$5,975,171$3,388,243$23,915,168
67$32,224,378$6,142,290$3,376,085$26,126,653
68$35,381,641$6,313,639$3,359,560$28,557,838
69$38,856,863$6,489,301$3,338,400$31,230,993
70$42,682,345$6,669,359$3,312,318$34,170,660
71$46,893,682$6,853,895$3,281,019$37,403,878
72$51,530,094$7,042,993$3,244,189$40,960,445
73$56,634,797$7,236,733$3,201,504$44,873,193
74$62,255,413$7,435,199$3,152,620$49,178,301
75$68,444,413$7,638,472$3,097,181$53,915,637
76$75,259,617$7,846,632$3,034,811$59,129,131
77$82,764,740$8,059,758$2,965,119$64,867,193
78$91,029,988$8,277,930$2,887,694$71,183,166
79$100,132,722$8,501,225$2,802,108$78,135,832
80$110,158,193$8,729,718$2,707,911$85,789,968
81$121,200,337$8,963,483$2,604,635$94,216,952
82$133,362,670$9,202,592$2,491,789$103,495,444
83$146,759,257$9,447,114$2,368,858$113,712,122
84$161,515,795$9,697,115$2,235,308$124,962,503
85$177,770,792$9,952,661$2,090,578$137,351,846
86$195,676,882$10,213,810$1,934,081$150,996,140
87$215,402,257$10,480,619$1,765,206$166,023,207
88$237,132,259$10,753,142$1,583,312$182,573,901
89$261,071,130$11,031,426$1,387,733$200,803,442
90$287,443,934$11,315,515$1,177,771$220,882,881
91$316,498,685$11,605,445$952,697$243,000,713
92$348,508,689$11,901,250$711,750$267,364,657
93$383,775,118$12,202,954$454,136$294,203,618
94$422,629,856$12,510,575$179,026$323,769,848
95$465,438,633$12,824,125$0$356,341,325
96$512,604,472$13,143,605$0$392,240,271
97$564,571,496$13,469,009$0$431,815,906
98$621,829,119$13,800,322$0$475,415,506
99$684,916,667$14,137,515$0$523,449,158
100$754,428,465$14,480,552$0$576,368,770