Can I retire at age 40 with 2,750,000?

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 $2,750,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.1%
1 years$227,092$225,070$223,096$221,170$219,289$212,952
2 years$112,422$110,328$108,299$106,332$104,423$98,089
3 years$74,204$72,101$70,077$68,128$66,250$60,118
4 years$55,098$53,002$50,998$49,082$47,250$41,366
5 years$43,638$41,554$39,576$37,700$35,919$30,299
6 years$36,000$33,932$31,984$30,149$28,421$23,071
7 years$30,547$28,496$26,579$24,787$23,114$18,034
8 years$26,458$24,426$22,541$20,793$19,175$14,362
9 years$23,280$21,268$19,414$17,711$16,149$11,597
10 years$20,740$18,746$16,926$15,267$13,759$9,463
11 years$18,662$16,689$14,901$13,287$11,834$7,786
12 years$16,932$14,979$13,224$11,655$10,255$6,448
13 years$15,469$13,537$11,815$10,289$8,942$5,367
14 years$14,216$12,304$10,616$9,134$7,839$4,487
15 years$13,132$11,240$9,585$8,146$6,902$3,764
16 years$12,184$10,313$8,690$7,293$6,100$3,167
17 years$11,348$9,498$7,908$6,553$5,409$2,670
18 years$10,606$8,776$7,219$5,906$4,809$2,256
19 years$9,943$8,134$6,608$5,336$4,286$1,909
20 years$9,346$7,558$6,065$4,833$3,829$1,618
21 years$8,808$7,040$5,578$4,386$3,426$1,373
22 years$8,319$6,572$5,141$3,988$3,071$1,166
23 years$7,873$6,146$4,747$3,632$2,757$991
24 years$7,465$5,759$4,390$3,313$2,478$843
25 years$7,090$5,404$4,066$3,025$2,230$718
26 years$6,744$5,079$3,771$2,766$2,008$611
27 years$6,425$4,780$3,502$2,532$1,811$520
28 years$6,129$4,504$3,256$2,320$1,634$444
29 years$5,854$4,249$3,030$2,127$1,475$378
30 years$5,598$4,013$2,822$1,952$1,333$322
31 years$5,359$3,794$2,631$1,793$1,205$275
32 years$5,135$3,590$2,455$1,648$1,090$235
33 years$4,925$3,399$2,292$1,515$987$200
34 years$4,728$3,222$2,141$1,394$893$171
35 years$4,542$3,056$2,002$1,284$809$146
36 years$4,368$2,900$1,873$1,182$733$124
37 years$4,203$2,755$1,753$1,089$664$106
38 years$4,047$2,618$1,642$1,004$602$91
39 years$3,899$2,489$1,538$926$546$77
40 years$3,760$2,369$1,442$854$495$66
41 years$3,627$2,255$1,352$788$449$56
42 years$3,501$2,147$1,268$727$408$48
43 years$3,381$2,046$1,190$671$370$41
44 years$3,267$1,950$1,117$620$336$35
45 years$3,159$1,860$1,049$572$305$30
46 years$3,055$1,774$985$529$277$26
47 years$2,956$1,693$925$488$251$22
48 years$2,862$1,616$870$451$228$19
49 years$2,771$1,543$817$417$207$16
50 years$2,685$1,474$768$385$188$14

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,750,000, adding $4,990 every year, while hoping to spend $49,299 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: 73/9/18 Blend
39$2,750,000$2,750,000$2,750,000$2,750,000
40$3,035,647$2,889,897$2,847,272$3,244,133
41$3,292,829$2,979,048$2,890,202$3,472,319
42$3,574,592$3,070,916$2,932,918$3,715,746
43$3,883,390$3,165,580$2,975,360$3,981,139
44$4,221,927$3,263,125$3,017,466$4,270,670
45$4,593,182$3,363,637$3,059,170$4,586,731
46$5,000,434$3,467,202$3,100,399$4,931,956
47$5,447,297$3,573,913$3,141,081$5,309,245
48$5,937,749$3,683,863$3,181,135$5,721,795
49$6,476,175$3,797,148$3,220,478$6,173,125
50$7,067,402$3,913,865$3,259,022$6,667,113
51$7,716,750$4,034,118$3,296,672$7,208,030
52$8,430,079$4,158,010$3,333,331$7,800,582
53$9,213,843$4,285,648$3,368,893$8,449,952
54$10,075,153$4,417,144$3,403,250$9,161,852
55$11,021,845$4,552,610$3,436,285$9,942,572
56$12,062,548$4,692,163$3,467,876$10,799,045
57$13,206,773$4,835,923$3,497,894$11,738,908
58$14,464,994$4,984,014$3,526,204$12,770,574
59$15,848,754$5,136,561$3,552,662$13,903,316
60$17,370,770$5,293,696$3,577,120$15,147,347
61$19,045,054$5,455,552$3,599,418$16,513,923
62$20,887,042$5,622,267$3,619,391$18,015,445
63$22,913,743$5,793,981$3,636,864$19,665,576
64$25,143,900$5,970,841$3,651,654$21,479,374
65$27,598,160$6,152,994$3,663,566$23,473,427
66$30,299,276$6,340,595$3,672,400$25,666,018
67$33,272,319$6,533,801$3,677,942$28,077,288
68$36,544,912$6,732,773$3,679,969$30,729,434
69$40,147,491$6,937,677$3,678,246$33,646,914
70$44,113,596$7,148,685$3,672,529$36,856,678
71$48,480,182$7,365,970$3,662,558$40,388,426
72$53,287,971$7,589,712$3,648,063$44,274,882
73$58,581,832$7,820,096$3,628,762$48,552,109
74$64,411,210$8,057,312$3,604,356$53,259,844
75$70,830,586$8,301,553$3,574,535$58,441,877
76$77,899,996$8,553,019$3,538,972$64,146,462
77$85,685,593$8,811,914$3,497,325$70,426,774
78$94,260,275$9,078,449$3,449,237$77,341,408
79$103,704,369$9,352,839$3,394,332$84,954,937
80$114,106,391$9,635,305$3,332,219$93,338,516
81$125,563,881$9,926,073$3,262,486$102,570,558
82$138,184,322$10,225,376$3,184,705$112,737,471
83$152,086,155$10,533,452$3,098,425$123,934,475
84$167,399,897$10,850,545$3,003,176$136,266,501
85$184,269,371$11,176,906$2,898,466$149,849,183
86$202,853,063$11,512,791$2,783,782$164,809,945
87$223,325,621$11,858,463$2,658,584$181,289,210
88$245,879,498$12,214,191$2,522,310$199,441,719
89$270,726,773$12,580,253$2,374,374$219,438,000
90$298,101,148$12,956,929$2,214,159$241,465,969
91$328,260,157$13,344,511$2,041,026$265,732,710
92$361,487,595$13,743,294$1,854,302$292,466,429
93$398,096,196$14,153,581$1,653,287$321,918,607
94$438,430,586$14,575,684$1,437,250$354,366,375
95$482,870,533$15,009,921$1,205,425$390,115,130
96$531,834,536$15,456,615$957,016$429,501,422
97$585,783,770$15,916,101$691,187$472,896,123
98$645,226,443$16,388,718$407,070$520,707,938
99$710,722,589$16,874,814$103,756$573,387,256
100$782,889,358$17,374,745$0$631,430,408