Can I retire at age 40 with 2,730,000?

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 $2,730,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.6%
1 years$225,441$223,433$221,474$219,561$217,694$210,137
2 years$111,604$109,526$107,511$105,558$103,664$96,129
3 years$73,664$71,576$69,567$67,632$65,769$58,492
4 years$54,697$52,616$50,627$48,725$46,907$39,944
5 years$43,320$41,252$39,289$37,426$35,658$29,027
6 years$35,738$33,685$31,751$29,930$28,215$21,922
7 years$30,324$28,289$26,385$24,607$22,946$16,989
8 years$26,266$24,249$22,377$20,642$19,036$13,411
9 years$23,111$21,113$19,273$17,582$16,031$10,730
10 years$20,589$18,610$16,803$15,156$13,659$8,674
11 years$18,526$16,567$14,793$13,190$11,747$7,068
12 years$16,809$14,870$13,128$11,570$10,180$5,795
13 years$15,357$13,438$11,729$10,214$8,877$4,775
14 years$14,113$12,215$10,539$9,067$7,782$3,950
15 years$13,036$11,158$9,515$8,086$6,852$3,279
16 years$12,095$10,238$8,627$7,240$6,056$2,729
17 years$11,265$9,429$7,850$6,505$5,369$2,276
18 years$10,529$8,712$7,166$5,863$4,774$1,902
19 years$9,870$8,075$6,560$5,297$4,255$1,591
20 years$9,278$7,503$6,021$4,798$3,801$1,333
21 years$8,744$6,989$5,538$4,354$3,401$1,118
22 years$8,258$6,524$5,104$3,959$3,049$939
23 years$7,816$6,102$4,713$3,606$2,737$788
24 years$7,410$5,717$4,358$3,289$2,460$663
25 years$7,038$5,365$4,037$3,003$2,214$557
26 years$6,695$5,042$3,744$2,746$1,994$469
27 years$6,378$4,745$3,477$2,514$1,798$395
28 years$6,085$4,472$3,232$2,303$1,622$332
29 years$5,811$4,218$3,008$2,112$1,465$280
30 years$5,557$3,984$2,801$1,938$1,323$236
31 years$5,320$3,766$2,612$1,780$1,196$198
32 years$5,097$3,563$2,437$1,636$1,082$167
33 years$4,889$3,375$2,275$1,504$979$141
34 years$4,693$3,198$2,126$1,384$887$119
35 years$4,509$3,034$1,987$1,274$803$100
36 years$4,336$2,879$1,859$1,173$728$84
37 years$4,172$2,735$1,740$1,081$660$71
38 years$4,017$2,599$1,630$997$598$60
39 years$3,871$2,471$1,527$919$542$50
40 years$3,732$2,351$1,431$848$492$43
41 years$3,601$2,238$1,342$782$446$36
42 years$3,476$2,132$1,259$722$405$30
43 years$3,357$2,031$1,181$666$367$26
44 years$3,244$1,936$1,109$615$334$22
45 years$3,136$1,846$1,041$568$303$18
46 years$3,033$1,761$978$525$275$15
47 years$2,935$1,681$919$485$250$13
48 years$2,841$1,604$863$448$227$11
49 years$2,751$1,532$811$414$206$9
50 years$2,665$1,464$763$383$187$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,730,000, adding $5,489 every year, while hoping to spend $38,237 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: 40/34/26 Blend
39$2,730,000$2,730,000$2,730,000$2,730,000
40$3,014,122$2,869,432$2,827,117$3,111,336
41$3,280,878$2,969,350$2,881,141$3,282,143
42$3,573,563$3,072,883$2,935,694$3,462,828
43$3,894,779$3,180,167$2,990,753$3,657,566
44$4,247,395$3,291,344$3,046,292$3,867,666
45$4,634,572$3,406,563$3,102,285$4,094,567
46$5,059,790$3,525,976$3,158,704$4,339,849
47$5,526,884$3,649,744$3,215,516$4,605,252
48$6,040,078$3,778,033$3,272,687$4,892,688
49$6,604,026$3,911,016$3,330,182$5,204,261
50$7,223,853$4,048,873$3,387,960$5,542,283
51$7,905,209$4,191,791$3,445,979$5,909,300
52$8,654,315$4,339,964$3,504,195$6,308,112
53$9,478,028$4,493,595$3,562,558$6,741,801
54$10,383,901$4,652,894$3,621,017$7,213,757
55$11,380,254$4,818,081$3,679,516$7,727,711
56$12,476,257$4,989,384$3,737,997$8,287,772
57$13,682,011$5,167,040$3,796,396$8,898,459
58$15,008,648$5,351,297$3,854,647$9,564,749
59$16,468,430$5,542,411$3,912,678$10,292,121
60$18,074,871$5,740,649$3,970,413$11,086,606
61$19,842,858$5,946,291$4,027,772$11,954,844
62$21,788,797$6,159,627$4,084,670$12,904,149
63$23,930,763$6,380,958$4,141,016$13,942,571
64$26,288,675$6,610,599$4,196,714$15,078,977
65$28,884,478$6,848,877$4,251,662$16,323,130
66$31,742,356$7,096,133$4,305,754$17,685,782
67$34,888,955$7,352,722$4,358,875$19,178,776
68$38,353,636$7,619,013$4,410,905$20,815,154
69$42,168,754$7,895,391$4,461,718$22,609,280
70$46,369,960$8,182,259$4,511,178$24,576,979
71$50,996,539$8,480,032$4,559,145$26,735,676
72$56,091,779$8,789,147$4,605,470$29,104,570
73$61,703,382$9,110,057$4,649,995$31,704,807
74$67,883,911$9,443,234$4,692,554$34,559,680
75$74,691,288$9,789,171$4,732,973$37,694,850
76$82,189,339$10,148,379$4,771,067$41,138,586
77$90,448,396$10,521,395$4,806,642$44,922,028
78$99,545,963$10,908,774$4,839,495$49,079,486
79$109,567,445$11,311,097$4,869,412$53,648,753
80$120,606,953$11,728,970$4,896,166$58,671,472
81$132,768,196$12,163,022$4,919,521$64,193,517
82$146,165,454$12,613,913$4,939,227$70,265,431
83$160,924,662$13,082,326$4,955,023$76,942,901
84$177,184,594$13,568,977$4,966,633$84,287,280
85$195,098,177$14,074,611$4,973,769$92,366,166
86$214,833,929$14,600,005$4,976,128$101,254,038
87$236,577,553$15,145,968$4,973,392$111,032,958
88$260,533,689$15,713,347$4,965,227$121,793,344
89$286,927,847$16,303,022$4,951,283$133,634,819
90$316,008,529$16,915,912$4,931,193$146,667,155
91$348,049,584$17,552,976$4,904,572$161,011,301
92$383,352,783$18,215,214$4,871,018$176,800,529
93$422,250,677$18,903,669$4,830,107$194,181,684
94$465,109,727$19,619,430$4,781,396$213,316,572
95$512,333,768$20,363,632$4,724,422$234,383,486
96$564,367,822$21,137,459$4,658,700$257,578,883
97$621,702,293$21,942,148$4,583,720$283,119,237
98$684,877,603$22,778,989$4,498,950$311,243,084
99$754,489,287$23,649,328$4,403,833$342,213,268
100$831,193,619$24,554,569$4,297,786$376,319,417