Can I retire at age 40 with 2,860,000?

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 $2,860,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.8%
1 years$236,176$234,072$232,020$230,017$228,060$219,969
2 years$116,919$114,741$112,631$110,585$108,600$100,534
3 years$77,172$74,985$72,880$70,853$68,900$61,114
4 years$57,302$55,122$53,038$51,045$49,140$41,692
5 years$45,383$43,216$41,159$39,208$37,356$30,266
6 years$37,440$35,289$33,263$31,355$29,558$22,832
7 years$31,769$29,636$27,642$25,779$24,039$17,675
8 years$27,517$25,403$23,442$21,625$19,943$13,935
9 years$24,212$22,118$20,191$18,420$16,794$11,136
10 years$21,569$19,496$17,603$15,878$14,310$8,991
11 years$19,408$17,356$15,497$13,819$12,307$7,316
12 years$17,609$15,578$13,753$12,121$10,665$5,991
13 years$16,088$14,078$12,288$10,701$9,300$4,930
14 years$14,785$12,796$11,041$9,499$8,152$4,073
15 years$13,657$11,690$9,968$8,471$7,178$3,376
16 years$12,671$10,725$9,038$7,585$6,344$2,805
17 years$11,802$9,878$8,224$6,815$5,625$2,336
18 years$11,030$9,127$7,507$6,142$5,001$1,949
19 years$10,340$8,459$6,873$5,550$4,458$1,628
20 years$9,720$7,861$6,307$5,026$3,982$1,362
21 years$9,160$7,322$5,802$4,562$3,563$1,141
22 years$8,651$6,835$5,347$4,148$3,194$956
23 years$8,188$6,392$4,937$3,777$2,867$802
24 years$7,763$5,989$4,566$3,445$2,577$673
25 years$7,374$5,621$4,229$3,146$2,319$565
26 years$7,014$5,282$3,922$2,877$2,089$475
27 years$6,682$4,971$3,642$2,633$1,883$399
28 years$6,374$4,684$3,386$2,413$1,699$335
29 years$6,088$4,419$3,151$2,212$1,534$282
30 years$5,822$4,174$2,935$2,030$1,386$237
31 years$5,573$3,945$2,736$1,865$1,253$199
32 years$5,340$3,733$2,553$1,714$1,134$168
33 years$5,122$3,535$2,384$1,576$1,026$141
34 years$4,917$3,351$2,227$1,450$929$119
35 years$4,724$3,178$2,082$1,335$841$100
36 years$4,542$3,016$1,948$1,229$762$84
37 years$4,371$2,865$1,823$1,133$691$71
38 years$4,209$2,723$1,707$1,044$626$59
39 years$4,055$2,589$1,599$963$568$50
40 years$3,910$2,463$1,499$888$515$42
41 years$3,772$2,345$1,406$819$467$35
42 years$3,641$2,233$1,319$756$424$30
43 years$3,517$2,128$1,237$698$385$25
44 years$3,398$2,028$1,162$644$349$21
45 years$3,285$1,934$1,091$595$317$18
46 years$3,177$1,845$1,024$550$288$15
47 years$3,075$1,761$962$508$262$13
48 years$2,976$1,681$904$469$238$11
49 years$2,882$1,605$850$434$216$9
50 years$2,792$1,533$799$401$196$8

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,860,000, adding $2,097 every year, while hoping to spend $21,685 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: 67/25/8 Blend
39$2,860,000$2,860,000$2,860,000$2,860,000
40$3,153,883$3,002,303$2,957,973$3,360,377
41$3,452,506$3,126,343$3,033,992$3,621,779
42$3,780,863$3,255,735$3,111,832$3,904,647
43$4,141,961$3,390,716$3,191,529$4,213,311
44$4,539,119$3,531,539$3,273,123$4,550,290
45$4,975,989$3,678,464$3,356,652$4,918,352
46$5,456,597$3,831,766$3,442,157$5,320,546
47$5,985,379$3,991,731$3,529,678$5,760,224
48$6,567,220$4,158,659$3,619,255$6,241,077
49$7,207,507$4,332,863$3,710,930$6,767,166
50$7,912,171$4,514,672$3,804,745$7,342,961
51$8,687,750$4,704,429$3,900,741$7,973,383
52$9,541,447$4,902,492$3,998,963$8,663,847
53$10,481,199$5,109,239$4,099,453$9,420,317
54$11,515,751$5,325,062$4,202,254$10,249,355
55$12,654,740$5,550,372$4,307,412$11,158,188
56$13,908,784$5,785,600$4,414,970$12,154,774
57$15,289,583$6,031,198$4,524,975$13,247,873
58$16,810,029$6,287,635$4,637,471$14,447,130
59$18,484,330$6,555,407$4,752,504$15,763,170
60$20,328,139$6,835,030$4,870,120$17,207,690
61$22,358,707$7,127,044$4,990,367$18,793,571
62$24,595,041$7,432,015$5,113,290$20,535,001
63$27,058,087$7,750,536$5,238,938$22,447,603
64$29,770,927$8,083,227$5,367,356$24,548,586
65$32,758,992$8,430,736$5,498,593$26,856,903
66$36,050,310$8,793,743$5,632,697$29,393,428
67$39,675,765$9,172,959$5,769,716$32,181,156
68$43,669,388$9,569,129$5,909,696$35,245,412
69$48,068,681$9,983,032$6,052,687$38,614,095
70$52,914,971$10,415,485$6,198,736$42,317,935
71$58,253,795$10,867,341$6,347,891$46,390,783
72$64,135,337$11,339,496$6,500,200$50,869,929
73$70,614,895$11,832,885$6,655,711$55,796,453
74$77,753,408$12,348,489$6,814,470$61,215,609
75$85,618,026$12,887,335$6,976,525$67,177,251
76$94,282,748$13,450,499$7,141,923$73,736,301
77$103,829,121$14,039,106$7,310,710$80,953,266
78$114,347,004$14,654,334$7,482,931$88,894,807
79$125,935,421$15,297,420$7,658,632$97,634,366
80$138,703,495$15,969,654$7,837,857$107,252,855
81$152,771,477$16,672,392$8,020,650$117,839,417
82$168,271,879$17,407,051$8,207,054$129,492,270
83$185,350,731$18,175,117$8,397,110$142,319,624
84$204,168,952$18,978,144$8,590,860$156,440,705
85$224,903,873$19,817,761$8,788,342$171,986,874
86$247,750,912$20,695,675$8,989,595$189,102,866
87$272,925,414$21,613,672$9,194,655$207,948,151
88$300,664,688$22,573,624$9,403,558$228,698,438
89$331,230,246$23,577,492$9,616,338$251,547,329
90$364,910,271$24,627,328$9,833,024$276,708,142
91$402,022,336$25,725,285$10,053,648$304,415,921
92$442,916,405$26,873,614$10,278,236$334,929,652
93$487,978,134$28,074,678$10,506,813$368,534,701
94$537,632,514$29,330,947$10,739,401$405,545,506
95$592,347,880$30,645,013$10,976,021$446,308,540
96$652,640,334$32,019,589$11,216,688$491,205,575
97$719,078,616$33,457,517$11,461,416$540,657,280
98$792,289,477$34,961,777$11,710,214$595,127,193
99$872,963,587$36,535,488$11,963,090$655,126,084
100$961,862,065$38,181,919$12,220,046$721,216,774