Can I retire at age 40 with 2,800,000?

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 $2,800,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.4%
1 years$231,221$229,162$227,152$225,191$223,276$221,036
2 years$114,466$112,334$110,268$108,265$106,322$104,066
3 years$75,553$73,412$71,351$69,366$67,455$65,253
4 years$56,100$53,965$51,925$49,975$48,109$45,978
5 years$44,431$42,309$40,296$38,385$36,572$34,518
6 years$36,655$34,549$32,565$30,697$28,938$26,964
7 years$31,102$29,014$27,062$25,238$23,535$21,640
8 years$26,940$24,870$22,951$21,171$19,524$17,710
9 years$23,704$21,654$19,767$18,033$16,442$14,708
10 years$21,117$19,087$17,234$15,545$14,010$12,354
11 years$19,001$16,992$15,172$13,529$12,049$10,471
12 years$17,240$15,251$13,465$11,866$10,441$8,939
13 years$15,750$13,783$12,030$10,476$9,105$7,676
14 years$14,475$12,528$10,809$9,300$7,981$6,625
15 years$13,370$11,445$9,759$8,294$7,027$5,741
16 years$12,405$10,500$8,848$7,426$6,211$4,992
17 years$11,554$9,670$8,051$6,672$5,507$4,354
18 years$10,799$8,936$7,350$6,013$4,896$3,807
19 years$10,123$8,282$6,728$5,433$4,364$3,336
20 years$9,516$7,696$6,175$4,921$3,898$2,929
21 years$8,968$7,168$5,680$4,466$3,489$2,575
22 years$8,470$6,691$5,235$4,061$3,127$2,267
23 years$8,016$6,258$4,833$3,698$2,807$1,999
24 years$7,601$5,864$4,470$3,373$2,523$1,764
25 years$7,219$5,503$4,140$3,080$2,270$1,559
26 years$6,867$5,172$3,840$2,816$2,045$1,378
27 years$6,542$4,867$3,566$2,578$1,844$1,219
28 years$6,241$4,586$3,315$2,362$1,664$1,079
29 years$5,961$4,327$3,085$2,166$1,502$956
30 years$5,700$4,086$2,873$1,988$1,357$847
31 years$5,456$3,863$2,679$1,826$1,227$751
32 years$5,228$3,655$2,499$1,678$1,110$666
33 years$5,014$3,461$2,334$1,543$1,005$591
34 years$4,814$3,280$2,180$1,420$910$525
35 years$4,625$3,111$2,038$1,307$824$466
36 years$4,447$2,953$1,907$1,204$746$414
37 years$4,279$2,805$1,785$1,109$677$368
38 years$4,120$2,666$1,671$1,022$613$327
39 years$3,970$2,535$1,566$942$556$290
40 years$3,828$2,412$1,468$869$504$258
41 years$3,693$2,296$1,376$802$458$229
42 years$3,565$2,186$1,291$740$415$204
43 years$3,443$2,083$1,211$683$377$181
44 years$3,327$1,986$1,137$631$342$161
45 years$3,216$1,893$1,068$583$311$143
46 years$3,111$1,806$1,003$538$282$127
47 years$3,010$1,724$942$497$256$113
48 years$2,914$1,646$885$459$233$101
49 years$2,822$1,571$832$425$211$89
50 years$2,734$1,501$782$392$192$80

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,800,000, adding $5,325 every year, while hoping to spend $22,893 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: 82/6/12 Blend
39$2,800,000$2,800,000$2,800,000$2,800,000
40$3,091,093$2,942,693$2,899,293$3,337,521
41$3,382,026$3,062,527$2,972,061$3,619,691
42$3,701,868$3,187,465$3,046,500$3,925,878
43$4,053,541$3,317,734$3,122,641$4,261,378
44$4,440,270$3,453,570$3,200,516$4,629,123
45$4,865,602$3,595,220$3,280,158$5,032,339
46$5,333,450$3,742,942$3,361,600$5,474,582
47$5,848,122$3,897,006$3,444,874$5,959,766
48$6,414,366$4,057,696$3,530,013$6,492,203
49$7,037,414$4,225,306$3,617,051$7,076,645
50$7,723,030$4,400,145$3,706,022$7,718,322
51$8,477,564$4,582,537$3,796,959$8,422,999
52$9,308,014$4,772,820$3,889,896$9,197,024
53$10,222,091$4,971,348$3,984,867$10,047,392
54$11,228,291$5,178,490$4,081,906$10,981,808
55$12,335,975$5,394,634$4,181,048$12,008,759
56$13,555,458$5,620,185$4,282,327$13,137,596
57$14,898,106$5,855,566$4,385,776$14,378,623
58$16,376,444$6,101,220$4,491,431$15,743,187
59$18,004,273$6,357,612$4,599,326$17,243,795
60$19,796,800$6,625,225$4,709,494$18,894,222
61$21,770,781$6,904,569$4,821,970$20,709,646
62$23,944,681$7,196,174$4,936,786$22,706,792
63$26,338,848$7,500,595$5,053,978$24,904,085
64$28,975,702$7,818,416$5,173,577$27,321,825
65$31,879,949$8,150,243$5,295,618$29,982,381
66$35,078,814$8,496,716$5,420,131$32,910,399
67$38,602,297$8,858,499$5,547,150$36,133,034
68$42,483,457$9,236,291$5,676,705$39,680,207
69$46,758,723$9,630,822$5,808,827$43,584,886
70$51,468,237$10,042,857$5,943,548$47,883,398
71$56,656,235$10,473,195$6,080,895$52,615,772
72$62,371,464$10,922,675$6,220,898$57,826,111
73$68,667,640$11,392,172$6,363,584$63,563,015
74$75,603,955$11,882,605$6,508,980$69,880,034
75$83,245,640$12,394,934$6,657,112$76,836,177
76$91,664,574$12,930,164$6,808,004$84,496,463
77$100,939,967$13,489,349$6,961,679$92,932,539
78$111,159,107$14,073,590$7,118,159$102,223,353
79$122,418,182$14,684,042$7,277,463$112,455,902
80$134,823,189$15,321,913$7,439,611$123,726,046
81$148,490,936$15,988,468$7,604,619$136,139,418
82$163,550,139$16,685,031$7,772,502$149,812,420
83$180,142,645$17,412,989$7,943,272$164,873,316
84$198,424,763$18,173,794$8,116,940$181,463,449
85$218,568,747$18,968,967$8,293,515$199,738,569
86$240,764,413$19,800,101$8,473,002$219,870,304
87$265,220,939$20,668,862$8,655,404$242,047,781
88$292,168,835$21,576,997$8,840,720$266,479,409
89$321,862,121$22,526,334$9,028,949$293,394,844
90$354,580,722$23,518,789$9,220,083$323,047,158
91$390,633,113$24,556,367$9,414,114$355,715,227
92$430,359,231$25,641,169$9,611,026$391,706,362
93$474,133,680$26,775,394$9,810,804$431,359,209
94$522,369,275$27,961,348$10,013,425$475,046,943
95$575,520,930$29,201,443$10,218,864$523,180,795
96$634,089,959$30,498,208$10,427,090$576,213,926
97$698,628,804$31,854,289$10,638,067$634,645,708
98$769,746,255$33,272,462$10,851,754$699,026,436
99$848,113,190$34,755,630$11,068,105$769,962,523
100$934,468,916$36,306,837$11,287,068$848,122,221