Can I retire at age 40 with 2,820,000?

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 $2,820,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.5%
1 years$232,873$230,799$228,775$226,800$224,871$217,151
2 years$115,284$113,137$111,056$109,038$107,081$99,383
3 years$76,092$73,936$71,860$69,862$67,937$60,501
4 years$56,501$54,351$52,296$50,332$48,453$41,337
5 years$44,748$42,612$40,584$38,659$36,833$30,055
6 years$36,916$34,796$32,798$30,916$29,145$22,710
7 years$31,324$29,221$27,255$25,418$23,703$17,611
8 years$27,132$25,048$23,114$21,323$19,664$13,909
9 years$23,873$21,809$19,909$18,162$16,560$11,136
10 years$21,267$19,223$17,357$15,656$14,110$9,008
11 years$19,137$17,113$15,281$13,625$12,135$7,344
12 years$17,363$15,360$13,561$11,951$10,516$6,026
13 years$15,863$13,881$12,116$10,551$9,170$4,969
14 years$14,578$12,618$10,886$9,366$8,038$4,114
15 years$13,466$11,526$9,829$8,353$7,078$3,417
16 years$12,494$10,575$8,911$7,479$6,255$2,846
17 years$11,637$9,739$8,109$6,720$5,546$2,375
18 years$10,876$9,000$7,402$6,056$4,931$1,986
19 years$10,196$8,341$6,777$5,472$4,396$1,663
20 years$9,584$7,751$6,219$4,956$3,926$1,394
21 years$9,032$7,219$5,720$4,498$3,513$1,170
22 years$8,530$6,739$5,272$4,090$3,149$983
23 years$8,073$6,303$4,868$3,725$2,827$827
24 years$7,655$5,905$4,502$3,397$2,541$695
25 years$7,270$5,542$4,170$3,102$2,287$585
26 years$6,916$5,209$3,867$2,837$2,060$493
27 years$6,589$4,902$3,591$2,596$1,857$415
28 years$6,285$4,619$3,338$2,379$1,676$350
29 years$6,003$4,357$3,107$2,181$1,513$295
30 years$5,740$4,115$2,894$2,002$1,367$248
31 years$5,495$3,890$2,698$1,839$1,236$209
32 years$5,265$3,681$2,517$1,690$1,118$177
33 years$5,050$3,486$2,350$1,554$1,012$149
34 years$4,848$3,304$2,196$1,430$916$126
35 years$4,658$3,134$2,053$1,316$830$106
36 years$4,479$2,974$1,921$1,212$752$89
37 years$4,310$2,825$1,798$1,117$681$75
38 years$4,150$2,685$1,683$1,029$618$64
39 years$3,999$2,553$1,577$949$560$54
40 years$3,855$2,429$1,478$875$508$45
41 years$3,719$2,312$1,386$808$461$38
42 years$3,590$2,202$1,300$745$418$32
43 years$3,467$2,098$1,220$688$380$27
44 years$3,351$2,000$1,145$635$345$23
45 years$3,239$1,907$1,075$587$313$19
46 years$3,133$1,819$1,010$542$284$16
47 years$3,032$1,736$949$501$258$14
48 years$2,935$1,657$892$463$234$12
49 years$2,842$1,583$838$428$213$10
50 years$2,753$1,512$788$395$193$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,820,000, adding $3,338 every year, while hoping to spend $31,890 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: 27/46/27 Blend
39$2,820,000$2,820,000$2,820,000$2,820,000
40$3,111,083$2,961,623$2,917,913$3,168,799
41$3,394,483$3,072,812$2,981,733$3,326,793
42$3,705,721$3,188,380$3,046,621$3,493,335
43$4,047,602$3,308,509$3,112,581$3,671,496
44$4,423,218$3,433,387$3,179,613$3,862,288
45$4,835,974$3,563,210$3,247,718$4,066,818
46$5,289,621$3,698,185$3,316,894$4,286,302
47$5,788,292$3,838,526$3,387,140$4,522,072
48$6,336,541$3,984,456$3,458,451$4,775,590
49$6,939,382$4,136,209$3,530,824$5,048,460
50$7,602,343$4,294,027$3,604,251$5,342,441
51$8,331,514$4,458,166$3,678,724$5,659,467
52$9,133,602$4,628,890$3,754,236$6,001,659
53$10,016,001$4,806,477$3,830,773$6,371,347
54$10,986,853$4,991,214$3,908,324$6,771,089
55$12,055,132$5,183,404$3,986,874$7,203,698
56$13,230,726$5,383,361$4,066,404$7,672,261
57$14,524,528$5,591,414$4,146,897$8,180,175
58$15,948,543$5,807,907$4,228,331$8,731,170
59$17,515,997$6,033,196$4,310,682$9,329,348
60$19,241,463$6,267,657$4,393,925$9,979,219
61$21,140,999$6,511,680$4,478,029$10,685,741
62$23,232,301$6,765,672$4,562,963$11,454,366
63$25,534,866$7,030,060$4,648,692$12,291,093
64$28,070,178$7,305,288$4,735,179$13,202,517
65$30,861,910$7,591,822$4,822,381$14,195,895
66$33,936,150$7,890,146$4,910,256$15,279,211
67$37,321,641$8,200,766$4,998,753$16,461,249
68$41,050,058$8,524,214$5,087,821$17,751,674
69$45,156,304$8,861,040$5,177,403$19,161,122
70$49,678,840$9,211,825$5,267,439$20,701,300
71$54,660,048$9,577,170$5,357,865$22,385,090
72$60,146,629$9,957,707$5,448,609$24,226,674
73$66,190,045$10,354,096$5,539,598$26,241,661
74$72,847,007$10,767,023$5,630,752$28,447,234
75$80,180,005$11,197,210$5,721,984$30,862,310
76$88,257,900$11,645,408$5,813,206$33,507,717
77$97,156,575$12,112,403$5,904,318$36,406,384
78$106,959,652$12,599,017$5,995,218$39,583,560
79$117,759,275$13,106,107$6,085,797$43,067,046
80$129,656,986$13,634,572$6,175,936$46,887,455
81$142,764,681$14,185,348$6,265,513$51,078,498
82$157,205,666$14,759,417$6,354,395$55,677,300
83$173,115,819$15,357,804$6,442,442$60,724,747
84$190,644,876$15,981,580$6,529,507$66,265,867
85$209,957,841$16,631,865$6,615,433$72,350,252
86$231,236,544$17,309,830$6,700,054$79,032,523
87$254,681,360$18,016,700$6,783,194$86,372,842
88$280,513,096$18,753,755$6,864,668$94,437,473
89$308,975,078$19,522,335$6,944,280$103,299,409
90$340,335,445$20,323,839$7,021,823$113,039,048
91$374,889,685$21,159,731$7,097,078$123,744,956
92$412,963,417$22,031,543$7,169,815$135,514,693
93$454,915,473$22,940,875$7,239,791$148,455,731
94$501,141,276$23,889,403$7,306,749$162,686,461
95$552,076,581$24,878,879$7,370,420$178,337,307
96$608,201,582$25,911,133$7,430,518$195,551,951
97$670,045,448$26,988,084$7,486,746$214,488,685
98$738,191,319$28,111,736$7,538,787$235,321,895
99$813,281,808$29,284,185$7,586,311$258,243,704
100$896,025,068$30,507,626$7,628,968$283,465,778