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%16.5%
1 years$231,221$229,162$227,152$225,191$223,276$217,349
2 years$114,466$112,334$110,268$108,265$106,322$100,392
3 years$75,553$73,412$71,351$69,366$67,455$61,708
4 years$56,100$53,965$51,925$49,975$48,109$42,589
5 years$44,431$42,309$40,296$38,385$36,572$31,294
6 years$36,655$34,549$32,565$30,697$28,938$23,907
7 years$31,102$29,014$27,062$25,238$23,535$18,751
8 years$26,940$24,870$22,951$21,171$19,524$14,985
9 years$23,704$21,654$19,767$18,033$16,442$12,144
10 years$21,117$19,087$17,234$15,545$14,010$9,947
11 years$19,001$16,992$15,172$13,529$12,049$8,216
12 years$17,240$15,251$13,465$11,866$10,441$6,830
13 years$15,750$13,783$12,030$10,476$9,105$5,709
14 years$14,475$12,528$10,809$9,300$7,981$4,792
15 years$13,370$11,445$9,759$8,294$7,027$4,037
16 years$12,405$10,500$8,848$7,426$6,211$3,411
17 years$11,554$9,670$8,051$6,672$5,507$2,889
18 years$10,799$8,936$7,350$6,013$4,896$2,452
19 years$10,123$8,282$6,728$5,433$4,364$2,084
20 years$9,516$7,696$6,175$4,921$3,898$1,775
21 years$8,968$7,168$5,680$4,466$3,489$1,513
22 years$8,470$6,691$5,235$4,061$3,127$1,291
23 years$8,016$6,258$4,833$3,698$2,807$1,102
24 years$7,601$5,864$4,470$3,373$2,523$942
25 years$7,219$5,503$4,140$3,080$2,270$806
26 years$6,867$5,172$3,840$2,816$2,045$689
27 years$6,542$4,867$3,566$2,578$1,844$590
28 years$6,241$4,586$3,315$2,362$1,664$505
29 years$5,961$4,327$3,085$2,166$1,502$433
30 years$5,700$4,086$2,873$1,988$1,357$371
31 years$5,456$3,863$2,679$1,826$1,227$318
32 years$5,228$3,655$2,499$1,678$1,110$273
33 years$5,014$3,461$2,334$1,543$1,005$234
34 years$4,814$3,280$2,180$1,420$910$200
35 years$4,625$3,111$2,038$1,307$824$172
36 years$4,447$2,953$1,907$1,204$746$147
37 years$4,279$2,805$1,785$1,109$677$127
38 years$4,120$2,666$1,671$1,022$613$109
39 years$3,970$2,535$1,566$942$556$93
40 years$3,828$2,412$1,468$869$504$80
41 years$3,693$2,296$1,376$802$458$69
42 years$3,565$2,186$1,291$740$415$59
43 years$3,443$2,083$1,211$683$377$50
44 years$3,327$1,986$1,137$631$342$43
45 years$3,216$1,893$1,068$583$311$37
46 years$3,111$1,806$1,003$538$282$32
47 years$3,010$1,724$942$497$256$27
48 years$2,914$1,646$885$459$233$24
49 years$2,822$1,571$832$425$211$20
50 years$2,734$1,501$782$392$192$17

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 $2,268 every year, while hoping to spend $39,568 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: 31/49/20 Blend
39$2,800,000$2,800,000$2,800,000$2,800,000
40$3,087,939$2,939,539$2,896,139$3,164,341
41$3,360,809$3,041,477$2,951,060$3,324,077
42$3,660,186$3,147,083$3,006,494$3,492,174
43$3,988,730$3,256,496$3,062,418$3,672,295
44$4,349,376$3,369,859$3,118,804$3,865,512
45$4,745,351$3,487,322$3,175,623$4,072,997
46$5,180,215$3,609,038$3,232,844$4,296,040
47$5,657,887$3,735,171$3,290,434$4,536,056
48$6,182,683$3,865,886$3,348,356$4,794,598
49$6,759,362$4,001,359$3,406,570$5,073,373
50$7,393,161$4,141,771$3,465,035$5,374,255
51$8,089,855$4,287,309$3,523,706$5,699,304
52$8,855,804$4,438,170$3,582,533$6,050,784
53$9,698,014$4,594,559$3,641,466$6,431,183
54$10,624,205$4,756,686$3,700,449$6,843,235
55$11,642,883$4,924,773$3,759,423$7,289,948
56$12,763,419$5,099,049$3,818,326$7,774,628
57$13,996,139$5,279,752$3,877,090$8,300,911
58$15,352,417$5,467,132$3,935,645$8,872,797
59$16,844,789$5,661,447$3,993,914$9,494,685
60$18,487,065$5,862,966$4,051,818$10,171,415
61$20,294,462$6,071,968$4,109,271$10,908,312
62$22,283,749$6,288,746$4,166,182$11,711,235
63$24,473,398$6,513,602$4,222,457$12,586,632
64$26,883,769$6,746,852$4,277,993$13,541,599
65$29,537,291$6,988,825$4,332,683$14,583,945
66$32,458,680$7,239,864$4,386,414$15,722,266
67$35,675,172$7,500,323$4,439,065$16,966,026
68$39,216,776$7,770,575$4,490,510$18,325,639
69$43,116,559$8,051,006$4,540,614$19,812,575
70$47,410,960$8,342,017$4,589,237$21,439,458
71$52,140,130$8,644,028$4,636,228$23,220,190
72$57,348,313$8,957,474$4,681,431$25,170,077
73$63,084,262$9,282,812$4,724,680$27,305,974
74$69,401,700$9,620,513$4,765,801$29,646,442
75$76,359,826$9,971,071$4,804,608$32,211,919
76$84,023,874$10,334,999$4,840,908$35,024,914
77$92,465,729$10,712,834$4,874,498$38,110,219
78$101,764,603$11,105,132$4,905,163$41,495,137
79$112,007,783$11,512,475$4,932,677$45,209,738
80$123,291,459$11,935,468$4,956,804$49,287,146
81$135,721,625$12,374,743$4,977,294$53,763,843
82$149,415,082$12,830,957$4,993,885$58,680,015
83$164,500,542$13,304,795$5,006,301$64,079,929
84$181,119,841$13,796,973$5,014,256$70,012,347
85$199,429,275$14,308,236$5,017,444$76,530,982
86$219,601,081$14,839,359$5,015,548$83,695,009
87$241,825,057$15,391,153$5,008,235$91,569,613
88$266,310,355$15,964,463$4,995,153$100,226,608
89$293,287,457$16,560,167$4,975,936$109,745,106
90$323,010,347$17,179,184$4,950,199$120,212,267
91$355,758,909$17,822,471$4,917,538$131,724,114
92$391,841,573$18,491,027$4,877,531$144,386,439
93$431,598,219$19,185,893$4,829,734$158,315,794
94$475,403,390$19,908,155$4,773,683$173,640,595
95$523,669,827$20,658,945$4,708,892$190,502,325
96$576,852,362$21,439,446$4,634,852$209,056,864
97$635,452,213$22,250,890$4,551,030$229,475,965
98$700,021,719$23,094,563$4,456,870$251,948,863
99$771,169,545$23,971,808$4,351,786$276,684,059
100$849,566,437$24,884,024$4,235,169$303,911,288