Can I retire at age 40 with 2,880,000?

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 $2,880,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%16.7%
1 years$237,828$235,709$233,642$231,625$229,655$223,379
2 years$117,736$115,544$113,419$111,358$109,360$103,082
3 years$77,711$75,509$73,389$71,348$69,382$63,300
4 years$57,703$55,507$53,409$51,402$49,484$43,644
5 years$45,701$43,518$41,447$39,482$37,617$32,035
6 years$37,702$35,536$33,496$31,574$29,765$24,447
7 years$31,991$29,843$27,835$25,959$24,207$19,152
8 years$27,709$25,581$23,606$21,776$20,082$15,288
9 years$24,381$22,273$20,332$18,548$16,912$12,375
10 years$21,720$19,632$17,726$15,989$14,410$10,123
11 years$19,544$17,478$15,606$13,915$12,393$8,350
12 years$17,732$15,687$13,850$12,205$10,739$6,933
13 years$16,200$14,176$12,374$10,776$9,365$5,787
14 years$14,888$12,886$11,118$9,565$8,209$4,851
15 years$13,752$11,772$10,038$8,531$7,228$4,081
16 years$12,759$10,800$9,101$7,638$6,388$3,443
17 years$11,884$9,947$8,281$6,863$5,664$2,912
18 years$11,107$9,191$7,560$6,185$5,036$2,468
19 years$10,413$8,518$6,921$5,589$4,489$2,095
20 years$9,788$7,916$6,351$5,062$4,010$1,781
21 years$9,224$7,373$5,842$4,594$3,588$1,516
22 years$8,712$6,882$5,384$4,177$3,216$1,291
23 years$8,245$6,437$4,972$3,804$2,887$1,101
24 years$7,818$6,031$4,598$3,469$2,595$939
25 years$7,425$5,660$4,259$3,168$2,335$802
26 years$7,063$5,319$3,950$2,897$2,103$685
27 years$6,729$5,006$3,668$2,652$1,896$586
28 years$6,419$4,717$3,409$2,429$1,711$501
29 years$6,131$4,450$3,173$2,228$1,545$428
30 years$5,862$4,203$2,955$2,045$1,396$366
31 years$5,612$3,973$2,755$1,878$1,262$313
32 years$5,377$3,759$2,571$1,726$1,142$268
33 years$5,158$3,560$2,400$1,587$1,033$230
34 years$4,951$3,374$2,243$1,460$936$197
35 years$4,757$3,200$2,097$1,344$847$168
36 years$4,574$3,038$1,961$1,238$768$144
37 years$4,401$2,885$1,836$1,141$696$123
38 years$4,238$2,742$1,719$1,051$631$106
39 years$4,084$2,607$1,611$969$572$91
40 years$3,937$2,480$1,510$894$519$78
41 years$3,799$2,361$1,416$825$471$66
42 years$3,667$2,249$1,328$761$427$57
43 years$3,541$2,143$1,246$703$388$49
44 years$3,422$2,042$1,170$649$352$42
45 years$3,308$1,948$1,098$599$319$36
46 years$3,200$1,858$1,031$554$290$31
47 years$3,096$1,773$969$511$263$26
48 years$2,997$1,693$911$473$239$23
49 years$2,902$1,616$856$437$217$19
50 years$2,812$1,544$805$404$197$17

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,880,000, adding $4,197 every year, while hoping to spend $36,307 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: 68/11/21 Blend
39$2,880,000$2,880,000$2,880,000$2,880,000
40$3,178,089$3,025,449$2,980,809$3,377,225
41$3,463,624$3,135,066$3,042,036$3,620,644
42$3,777,066$3,248,837$3,104,097$3,882,222
43$4,121,225$3,366,927$3,166,982$4,167,498
44$4,499,192$3,489,510$3,230,679$4,478,807
45$4,914,377$3,616,763$3,295,174$4,818,721
46$5,370,534$3,748,874$3,360,452$5,190,071
47$5,871,797$3,886,038$3,426,496$5,595,975
48$6,422,723$4,028,457$3,493,286$6,039,866
49$7,028,332$4,176,342$3,560,803$6,525,527
50$7,694,154$4,329,915$3,629,021$7,057,121
51$8,426,281$4,489,404$3,697,916$7,639,235
52$9,231,425$4,655,048$3,767,460$8,276,921
53$10,116,982$4,827,097$3,837,622$8,975,743
54$11,091,101$5,005,812$3,908,369$9,741,829
55$12,162,759$5,191,462$3,979,665$10,581,931
56$13,341,847$5,384,331$4,051,471$11,503,486
57$14,639,265$5,584,712$4,123,744$12,514,685
58$16,067,020$5,792,914$4,196,440$13,624,554
59$17,638,345$6,009,255$4,269,510$14,843,033
60$19,367,819$6,234,071$4,342,901$16,181,075
61$21,271,505$6,467,709$4,416,557$17,650,746
62$23,367,105$6,710,533$4,490,417$19,265,339
63$25,674,121$6,962,921$4,564,418$21,039,500
64$28,214,046$7,225,269$4,638,491$22,989,364
65$31,010,560$7,497,989$4,712,562$25,132,708
66$34,089,757$7,781,510$4,786,552$27,489,119
67$37,480,390$8,076,281$4,860,379$30,080,176
68$41,214,142$8,382,771$4,933,954$32,929,657
69$45,325,925$8,701,468$5,007,182$36,063,761
70$49,854,211$9,032,881$5,079,964$39,511,352
71$54,841,390$9,377,541$5,152,192$43,304,235
72$60,334,176$9,736,005$5,223,755$47,477,457
73$66,384,043$10,108,851$5,294,532$52,069,629
74$73,047,715$10,496,683$5,364,398$57,123,302
75$80,387,694$10,900,133$5,433,218$62,685,356
76$88,472,858$11,319,859$5,500,850$68,807,451
77$97,379,106$11,756,549$5,567,145$75,546,510
78$107,190,075$12,210,920$5,631,945$82,965,255
79$117,997,929$12,683,722$5,695,081$91,132,802
80$129,904,230$13,175,736$5,756,379$100,125,308
81$143,020,895$13,687,781$5,815,651$110,026,694
82$157,471,252$14,220,708$5,872,701$120,929,435
83$173,391,206$14,775,409$5,927,322$132,935,428
84$190,930,519$15,352,813$5,979,297$146,156,960
85$210,254,224$15,953,893$6,028,396$160,717,764
86$231,544,183$16,579,662$6,074,376$176,754,185
87$255,000,806$17,231,182$6,116,983$194,416,467
88$280,844,936$17,909,557$6,155,950$213,870,174
89$309,319,940$18,615,946$6,190,995$235,297,746
90$340,694,002$19,351,556$6,221,821$258,900,227
91$375,262,656$20,117,648$6,248,118$284,899,156
92$413,351,576$20,915,542$6,269,559$313,538,660
93$455,319,648$21,746,615$6,285,801$345,087,761
94$501,562,359$22,612,306$6,296,482$379,842,908
95$552,515,529$23,514,119$6,301,224$418,130,781
96$608,659,429$24,453,626$6,299,630$460,311,368
97$670,523,306$25,432,469$6,291,283$506,781,368
98$738,690,388$26,452,365$6,275,746$557,977,932
99$813,803,384$27,515,107$6,252,561$614,382,787
100$896,570,553$28,622,571$6,221,245$676,526,788