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%12.5%
1 years$225,441$223,433$221,474$219,561$217,694$215,421
2 years$111,604$109,526$107,511$105,558$103,664$101,374
3 years$73,664$71,576$69,567$67,632$65,769$63,534
4 years$54,697$52,616$50,627$48,725$46,907$44,745
5 years$43,320$41,252$39,289$37,426$35,658$33,574
6 years$35,738$33,685$31,751$29,930$28,215$26,212
7 years$30,324$28,289$26,385$24,607$22,946$21,026
8 years$26,266$24,249$22,377$20,642$19,036$17,197
9 years$23,111$21,113$19,273$17,582$16,031$14,274
10 years$20,589$18,610$16,803$15,156$13,659$11,982
11 years$18,526$16,567$14,793$13,190$11,747$10,149
12 years$16,809$14,870$13,128$11,570$10,180$8,659
13 years$15,357$13,438$11,729$10,214$8,877$7,431
14 years$14,113$12,215$10,539$9,067$7,782$6,409
15 years$13,036$11,158$9,515$8,086$6,852$5,550
16 years$12,095$10,238$8,627$7,240$6,056$4,823
17 years$11,265$9,429$7,850$6,505$5,369$4,203
18 years$10,529$8,712$7,166$5,863$4,774$3,673
19 years$9,870$8,075$6,560$5,297$4,255$3,216
20 years$9,278$7,503$6,021$4,798$3,801$2,821
21 years$8,744$6,989$5,538$4,354$3,401$2,479
22 years$8,258$6,524$5,104$3,959$3,049$2,181
23 years$7,816$6,102$4,713$3,606$2,737$1,921
24 years$7,410$5,717$4,358$3,289$2,460$1,694
25 years$7,038$5,365$4,037$3,003$2,214$1,496
26 years$6,695$5,042$3,744$2,746$1,994$1,321
27 years$6,378$4,745$3,477$2,514$1,798$1,168
28 years$6,085$4,472$3,232$2,303$1,622$1,033
29 years$5,811$4,218$3,008$2,112$1,465$915
30 years$5,557$3,984$2,801$1,938$1,323$810
31 years$5,320$3,766$2,612$1,780$1,196$718
32 years$5,097$3,563$2,437$1,636$1,082$636
33 years$4,889$3,375$2,275$1,504$979$564
34 years$4,693$3,198$2,126$1,384$887$500
35 years$4,509$3,034$1,987$1,274$803$444
36 years$4,336$2,879$1,859$1,173$728$394
37 years$4,172$2,735$1,740$1,081$660$349
38 years$4,017$2,599$1,630$997$598$310
39 years$3,871$2,471$1,527$919$542$275
40 years$3,732$2,351$1,431$848$492$244
41 years$3,601$2,238$1,342$782$446$217
42 years$3,476$2,132$1,259$722$405$193
43 years$3,357$2,031$1,181$666$367$171
44 years$3,244$1,936$1,109$615$334$152
45 years$3,136$1,846$1,041$568$303$135
46 years$3,033$1,761$978$525$275$120
47 years$2,935$1,681$919$485$250$107
48 years$2,841$1,604$863$448$227$95
49 years$2,751$1,532$811$414$206$84
50 years$2,665$1,464$763$383$187$75

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 $3,312 every year, while hoping to spend $46,420 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: 66/21/13 Blend
39$2,730,000$2,730,000$2,730,000$2,730,000
40$3,011,876$2,867,186$2,824,871$3,201,466
41$3,269,697$2,958,288$2,870,114$3,419,460
42$3,552,260$3,052,298$2,915,316$3,651,884
43$3,862,039$3,149,309$2,960,428$3,904,756
44$4,201,761$3,249,419$3,005,396$4,180,072
45$4,574,427$3,352,726$3,050,163$4,480,032
46$4,983,343$3,459,335$3,094,668$4,807,053
47$5,432,152$3,569,350$3,138,848$5,163,801
48$5,924,865$3,682,882$3,182,633$5,553,207
49$6,465,902$3,800,044$3,225,952$5,978,503
50$7,060,131$3,920,953$3,268,728$6,443,243
51$7,712,915$4,045,730$3,310,881$6,951,345
52$8,430,161$4,174,500$3,352,324$7,507,121
53$9,218,378$4,307,391$3,392,968$8,115,321
54$10,084,735$4,444,536$3,432,715$8,781,178
55$11,037,133$4,586,073$3,471,466$9,510,452
56$12,084,274$4,732,144$3,509,113$10,309,491
57$13,235,745$4,882,894$3,545,544$11,185,286
58$14,502,111$5,038,476$3,580,640$12,145,537
59$15,895,011$5,199,046$3,614,276$13,198,728
60$17,427,268$5,364,765$3,646,319$14,354,203
61$19,113,010$5,535,799$3,676,632$15,622,257
62$20,967,805$5,712,321$3,705,067$17,014,230
63$23,008,804$5,894,508$3,731,470$18,542,616
64$25,254,908$6,082,545$3,755,680$20,221,180
65$27,726,939$6,276,620$3,777,526$22,065,086
66$30,447,843$6,476,930$3,796,829$24,091,041
67$33,442,900$6,683,677$3,813,400$26,317,454
68$36,739,969$6,897,070$3,827,042$28,764,605
69$40,369,744$7,117,325$3,837,546$31,454,839
70$44,366,049$7,344,665$3,844,695$34,412,776
71$48,766,153$7,579,320$3,848,259$37,665,544
72$53,611,122$7,821,529$3,847,997$41,243,031
73$58,946,209$8,071,536$3,843,657$45,178,171
74$64,821,277$8,329,597$3,834,975$49,507,252
75$71,291,273$8,595,972$3,821,672$54,270,257
76$78,416,743$8,870,935$3,803,458$59,511,244
77$86,264,404$9,154,764$3,780,027$65,278,759
78$94,907,775$9,447,749$3,751,060$71,626,295
79$104,427,868$9,750,189$3,716,221$78,612,794
80$114,913,955$10,062,393$3,675,158$86,303,208
81$126,464,408$10,384,679$3,627,506$94,769,105
82$139,187,628$10,717,379$3,572,877$104,089,349
83$153,203,067$11,060,832$3,510,870$114,350,841
84$168,642,358$11,415,391$3,441,062$125,649,342
85$185,650,553$11,781,419$3,363,012$138,090,372
86$204,387,494$12,159,293$3,276,258$151,790,209
87$225,029,321$12,549,401$3,180,315$166,876,984
88$247,770,135$12,952,145$3,074,679$183,491,892
89$272,823,828$13,367,940$2,958,821$201,790,522
90$300,426,105$13,797,215$2,832,187$221,944,325
91$330,836,702$14,240,413$2,694,199$244,142,236
92$364,341,844$14,697,992$2,544,254$268,592,452
93$401,256,945$15,170,427$2,381,720$295,524,399
94$441,929,582$15,658,206$2,205,936$325,190,896
95$486,742,777$16,161,836$2,016,212$357,870,544
96$536,118,614$16,681,839$1,811,829$393,870,350
97$590,522,221$17,218,757$1,592,033$433,528,630
98$650,466,160$17,773,149$1,356,038$477,218,199
99$716,515,266$18,345,592$1,103,024$525,349,893
100$789,291,981$18,936,684$832,133$578,376,439