Can I retire at age 40 with 2,780,000?

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 $2,780,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%17.9%
1 years$229,570$227,525$225,530$223,583$221,681$214,585
2 years$113,648$111,532$109,481$107,492$105,562$98,479
3 years$75,013$72,887$70,841$68,871$66,973$60,124
4 years$55,699$53,580$51,554$49,618$47,766$41,204
5 years$44,114$42,007$40,008$38,111$36,311$30,053
6 years$36,393$34,302$32,333$30,478$28,732$22,784
7 years$30,880$28,807$26,869$25,057$23,366$17,728
8 years$26,747$24,693$22,787$21,020$19,385$14,052
9 years$23,534$21,500$19,626$17,904$16,325$11,291
10 years$20,966$18,951$17,110$15,434$13,909$9,168
11 years$18,866$16,871$15,064$13,432$11,963$7,504
12 years$17,117$15,142$13,369$11,782$10,367$6,181
13 years$15,638$13,684$11,944$10,401$9,040$5,118
14 years$14,372$12,439$10,732$9,233$7,924$4,255
15 years$13,275$11,363$9,689$8,234$6,977$3,549
16 years$12,316$10,425$8,785$7,373$6,166$2,969
17 years$11,472$9,601$7,994$6,625$5,468$2,489
18 years$10,721$8,872$7,297$5,970$4,862$2,090
19 years$10,051$8,222$6,680$5,395$4,333$1,758
20 years$9,448$7,641$6,131$4,886$3,870$1,481
21 years$8,904$7,117$5,639$4,434$3,464$1,249
22 years$8,409$6,643$5,197$4,032$3,105$1,054
23 years$7,959$6,213$4,799$3,672$2,787$890
24 years$7,546$5,822$4,438$3,349$2,505$753
25 years$7,167$5,463$4,111$3,058$2,254$636
26 years$6,818$5,135$3,812$2,796$2,030$538
27 years$6,495$4,832$3,540$2,560$1,831$456
28 years$6,196$4,553$3,291$2,345$1,652$386
29 years$5,918$4,296$3,063$2,151$1,491$327
30 years$5,659$4,057$2,853$1,974$1,348$277
31 years$5,417$3,835$2,659$1,813$1,218$235
32 years$5,191$3,629$2,481$1,666$1,102$199
33 years$4,979$3,436$2,317$1,532$997$168
34 years$4,779$3,257$2,165$1,409$903$143
35 years$4,592$3,089$2,024$1,298$818$121
36 years$4,415$2,932$1,893$1,195$741$103
37 years$4,249$2,785$1,772$1,101$672$87
38 years$4,091$2,647$1,659$1,015$609$74
39 years$3,942$2,517$1,555$936$552$63
40 years$3,801$2,394$1,457$863$501$53
41 years$3,667$2,279$1,366$796$454$45
42 years$3,539$2,171$1,282$735$412$38
43 years$3,418$2,068$1,203$678$374$32
44 years$3,303$1,971$1,129$626$340$27
45 years$3,193$1,880$1,060$578$308$23
46 years$3,088$1,793$996$534$280$20
47 years$2,989$1,711$935$494$254$17
48 years$2,893$1,634$879$456$231$14
49 years$2,802$1,560$826$422$210$12
50 years$2,714$1,490$777$390$190$10

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,780,000, adding $2,279 every year, while hoping to spend $54,944 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: 58/23/19 Blend
39$2,780,000$2,780,000$2,780,000$2,780,000
40$3,065,911$2,918,571$2,875,481$3,228,234
41$3,320,174$3,003,121$2,913,349$3,423,254
42$3,598,530$3,089,972$2,950,645$3,629,588
43$3,903,379$3,179,180$2,987,291$3,853,301
44$4,237,363$3,270,799$3,023,205$4,096,078
45$4,603,393$3,364,887$3,058,301$4,359,777
46$5,004,673$3,461,501$3,092,488$4,646,442
47$5,444,733$3,560,698$3,125,670$4,958,325
48$5,927,462$3,662,537$3,157,745$5,297,905
49$6,457,140$3,767,079$3,188,607$5,667,913
50$7,038,486$3,874,383$3,218,143$6,071,356
51$7,676,694$3,984,511$3,246,233$6,511,547
52$8,377,489$4,097,524$3,272,754$6,992,134
53$9,147,175$4,213,484$3,297,573$7,517,137
54$9,992,696$4,332,455$3,320,552$8,090,982
55$10,921,705$4,454,499$3,341,544$8,718,547
56$11,942,630$4,579,681$3,360,397$9,405,204
57$13,064,758$4,708,064$3,376,949$10,156,874
58$14,298,317$4,839,714$3,391,031$10,980,076
59$15,654,580$4,974,694$3,402,465$11,881,997
60$17,145,963$5,113,070$3,411,064$12,870,551
61$18,786,148$5,254,907$3,416,631$13,954,461
62$20,590,208$5,400,270$3,418,961$15,143,335
63$22,574,749$5,549,224$3,417,836$16,447,763
64$24,758,071$5,701,833$3,413,031$17,879,411
65$27,160,333$5,858,162$3,404,306$19,451,134
66$29,803,749$6,018,274$3,391,413$21,177,096
67$32,712,796$6,182,234$3,374,090$23,072,906
68$35,914,441$6,350,103$3,352,061$25,155,763
69$39,438,399$6,521,943$3,325,041$27,444,616
70$43,317,412$6,697,815$3,292,726$29,960,351
71$47,587,558$6,877,778$3,254,803$32,725,978
72$52,288,590$7,061,890$3,210,940$35,766,856
73$57,464,311$7,250,207$3,160,791$39,110,927
74$63,162,987$7,442,784$3,103,994$42,788,984
75$69,437,804$7,639,672$3,040,169$46,834,960
76$76,347,366$7,840,922$2,968,921$51,286,247
77$83,956,251$8,046,581$2,889,834$56,184,050
78$92,335,618$8,256,693$2,802,472$61,573,777
79$101,563,879$8,471,299$2,706,383$67,505,467
80$111,727,439$8,690,436$2,601,091$74,034,263
81$122,921,509$8,914,139$2,486,099$81,220,931
82$135,251,007$9,142,436$2,360,887$89,132,436
83$148,831,546$9,375,352$2,224,914$97,842,573
84$163,790,526$9,612,906$2,077,610$107,432,664
85$180,268,334$9,855,113$1,918,385$117,992,328
86$198,419,670$10,101,980$1,746,617$129,620,322
87$218,415,007$10,353,508$1,561,659$142,425,479
88$240,442,200$10,609,692$1,362,837$156,527,737
89$264,708,255$10,870,518$1,149,443$172,059,262
90$291,441,289$11,135,964$920,740$189,165,709
91$320,892,674$11,406,000$675,959$208,007,588
92$353,339,418$11,680,586$414,295$228,761,784
93$389,086,775$11,959,670$134,910$251,623,226
94$428,471,124$12,243,192$0$276,806,728
95$471,863,148$12,531,078$0$304,582,113
96$519,671,329$12,823,241$0$335,208,506
97$572,345,807$13,119,582$0$368,946,210
98$630,382,623$13,419,985$0$406,112,250
99$694,328,407$13,724,321$0$447,055,974
100$764,785,534$14,032,442$0$492,162,361