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

Use the below retirement simulation to view the chances of a successful retirement.
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%13.8%
1 years$231,221$229,162$227,152$225,191$223,276$219,758
2 years$114,466$112,334$110,268$108,265$106,322$102,787
3 years$75,553$73,412$71,351$69,366$67,455$64,013
4 years$56,100$53,965$51,925$49,975$48,109$44,786
5 years$44,431$42,309$40,296$38,385$36,572$33,378
6 years$36,655$34,549$32,565$30,697$28,938$25,877
7 years$31,102$29,014$27,062$25,238$23,535$20,607
8 years$26,940$24,870$22,951$21,171$19,524$16,729
9 years$23,704$21,654$19,767$18,033$16,442$13,779
10 years$21,117$19,087$17,234$15,545$14,010$11,476
11 years$19,001$16,992$15,172$13,529$12,049$9,642
12 years$17,240$15,251$13,465$11,866$10,441$8,158
13 years$15,750$13,783$12,030$10,476$9,105$6,942
14 years$14,475$12,528$10,809$9,300$7,981$5,936
15 years$13,370$11,445$9,759$8,294$7,027$5,095
16 years$12,405$10,500$8,848$7,426$6,211$4,388
17 years$11,554$9,670$8,051$6,672$5,507$3,789
18 years$10,799$8,936$7,350$6,013$4,896$3,280
19 years$10,123$8,282$6,728$5,433$4,364$2,845
20 years$9,516$7,696$6,175$4,921$3,898$2,472
21 years$8,968$7,168$5,680$4,466$3,489$2,151
22 years$8,470$6,691$5,235$4,061$3,127$1,874
23 years$8,016$6,258$4,833$3,698$2,807$1,634
24 years$7,601$5,864$4,470$3,373$2,523$1,427
25 years$7,219$5,503$4,140$3,080$2,270$1,247
26 years$6,867$5,172$3,840$2,816$2,045$1,090
27 years$6,542$4,867$3,566$2,578$1,844$954
28 years$6,241$4,586$3,315$2,362$1,664$835
29 years$5,961$4,327$3,085$2,166$1,502$731
30 years$5,700$4,086$2,873$1,988$1,357$641
31 years$5,456$3,863$2,679$1,826$1,227$562
32 years$5,228$3,655$2,499$1,678$1,110$492
33 years$5,014$3,461$2,334$1,543$1,005$432
34 years$4,814$3,280$2,180$1,420$910$379
35 years$4,625$3,111$2,038$1,307$824$332
36 years$4,447$2,953$1,907$1,204$746$292
37 years$4,279$2,805$1,785$1,109$677$256
38 years$4,120$2,666$1,671$1,022$613$225
39 years$3,970$2,535$1,566$942$556$197
40 years$3,828$2,412$1,468$869$504$173
41 years$3,693$2,296$1,376$802$458$152
42 years$3,565$2,186$1,291$740$415$134
43 years$3,443$2,083$1,211$683$377$117
44 years$3,327$1,986$1,137$631$342$103
45 years$3,216$1,893$1,068$583$311$91
46 years$3,111$1,806$1,003$538$282$80
47 years$3,010$1,724$942$497$256$70
48 years$2,914$1,646$885$459$233$61
49 years$2,822$1,571$832$425$211$54
50 years$2,734$1,501$782$392$192$47

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 $6,931 every year, while hoping to spend $26,249 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: 40/34/26 Blend
39$2,800,000$2,800,000$2,800,000$2,800,000
40$3,092,749$2,944,349$2,900,949$3,192,457
41$3,380,281$3,060,694$2,970,202$3,381,626
42$3,696,261$3,181,859$3,040,896$3,583,179
43$4,043,564$3,308,054$3,113,050$3,800,728
44$4,425,355$3,439,497$3,186,685$4,035,750
45$4,845,124$3,576,415$3,261,821$4,289,871
46$5,306,713$3,719,046$3,338,479$4,564,875
47$5,814,357$3,867,638$3,416,677$4,862,722
48$6,372,721$4,022,452$3,496,435$5,185,566
49$6,986,945$4,183,758$3,577,772$5,535,776
50$7,662,692$4,351,841$3,660,706$5,915,954
51$8,406,203$4,526,998$3,745,256$6,328,961
52$9,224,352$4,709,537$3,831,438$6,777,943
53$10,124,715$4,899,783$3,919,270$7,266,359
54$11,115,638$5,098,075$4,008,768$7,798,014
55$12,206,319$5,304,766$4,099,948$8,377,093
56$13,406,891$5,520,227$4,192,824$9,008,198
57$14,728,521$5,744,845$4,287,410$9,696,394
58$16,183,512$5,979,025$4,383,720$10,447,251
59$17,785,421$6,223,188$4,481,766$11,266,901
60$19,549,188$6,477,778$4,581,559$12,162,088
61$21,491,273$6,743,257$4,683,109$13,140,238
62$23,629,815$7,020,109$4,786,426$14,209,519
63$25,984,801$7,308,839$4,891,515$15,378,926
64$28,578,254$7,609,976$4,998,385$16,658,356
65$31,434,445$7,924,073$5,107,040$18,058,706
66$34,580,115$8,251,710$5,217,483$19,591,972
67$38,044,733$8,593,490$5,329,715$21,271,360
68$41,860,772$8,950,047$5,443,736$23,111,408
69$46,064,015$9,322,043$5,559,545$25,128,127
70$50,693,891$9,710,170$5,677,137$27,339,143
71$55,793,853$10,115,153$5,796,506$29,763,866
72$61,411,780$10,537,750$5,917,642$32,423,669
73$67,600,434$10,978,752$6,040,536$35,342,091
74$74,417,958$11,438,991$6,165,174$38,545,053
75$81,928,421$11,919,332$6,291,538$42,061,101
76$90,202,426$12,420,686$6,419,611$45,921,676
77$99,317,774$12,944,000$6,549,369$50,161,407
78$109,360,201$13,490,270$6,680,787$54,818,433
79$120,424,184$14,060,536$6,813,836$59,934,763
80$132,613,835$14,655,886$6,948,483$65,556,668
81$146,043,881$15,277,459$7,084,692$71,735,119
82$160,840,750$15,926,448$7,222,422$78,526,257
83$177,143,762$16,604,099$7,361,629$85,991,930
84$195,106,444$17,311,719$7,502,262$94,200,264
85$214,897,982$18,050,674$7,644,269$103,226,309
86$236,704,813$18,822,394$7,787,589$113,152,741
87$260,732,389$19,628,376$7,932,158$124,070,640
88$287,207,114$20,470,188$8,077,906$136,080,346
89$316,378,481$21,349,469$8,224,758$149,292,400
90$348,521,430$22,267,936$8,372,630$163,828,585
91$383,938,937$23,227,387$8,521,436$179,823,071
92$422,964,883$24,229,703$8,671,078$197,423,679
93$465,967,197$25,276,854$8,821,455$216,793,267
94$513,351,334$26,370,903$8,972,456$238,111,265
95$565,564,100$27,514,007$9,123,963$261,575,365
96$623,097,873$28,708,428$9,275,851$287,403,379
97$686,495,247$29,956,532$9,427,982$315,835,290
98$756,354,156$31,260,796$9,580,215$347,135,513
99$833,333,521$32,623,816$9,732,393$381,595,385
100$918,159,466$34,048,309$9,884,353$419,535,905