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%11.6%
1 years$237,828$235,709$233,642$231,625$229,655$228,112
2 years$117,736$115,544$113,419$111,358$109,360$107,804
3 years$77,711$75,509$73,389$71,348$69,382$67,861
4 years$57,703$55,507$53,409$51,402$49,484$48,010
5 years$45,701$43,518$41,447$39,482$37,617$36,194
6 years$37,702$35,536$33,496$31,574$29,765$28,395
7 years$31,991$29,843$27,835$25,959$24,207$22,890
8 years$27,709$25,581$23,606$21,776$20,082$18,819
9 years$24,381$22,273$20,332$18,548$16,912$15,702
10 years$21,720$19,632$17,726$15,989$14,410$13,252
11 years$19,544$17,478$15,606$13,915$12,393$11,287
12 years$17,732$15,687$13,850$12,205$10,739$9,685
13 years$16,200$14,176$12,374$10,776$9,365$8,360
14 years$14,888$12,886$11,118$9,565$8,209$7,253
15 years$13,752$11,772$10,038$8,531$7,228$6,319
16 years$12,759$10,800$9,101$7,638$6,388$5,525
17 years$11,884$9,947$8,281$6,863$5,664$4,846
18 years$11,107$9,191$7,560$6,185$5,036$4,261
19 years$10,413$8,518$6,921$5,589$4,489$3,755
20 years$9,788$7,916$6,351$5,062$4,010$3,316
21 years$9,224$7,373$5,842$4,594$3,588$2,933
22 years$8,712$6,882$5,384$4,177$3,216$2,598
23 years$8,245$6,437$4,972$3,804$2,887$2,305
24 years$7,818$6,031$4,598$3,469$2,595$2,047
25 years$7,425$5,660$4,259$3,168$2,335$1,819
26 years$7,063$5,319$3,950$2,897$2,103$1,619
27 years$6,729$5,006$3,668$2,652$1,896$1,441
28 years$6,419$4,717$3,409$2,429$1,711$1,284
29 years$6,131$4,450$3,173$2,228$1,545$1,145
30 years$5,862$4,203$2,955$2,045$1,396$1,021
31 years$5,612$3,973$2,755$1,878$1,262$911
32 years$5,377$3,759$2,571$1,726$1,142$814
33 years$5,158$3,560$2,400$1,587$1,033$727
34 years$4,951$3,374$2,243$1,460$936$649
35 years$4,757$3,200$2,097$1,344$847$580
36 years$4,574$3,038$1,961$1,238$768$519
37 years$4,401$2,885$1,836$1,141$696$464
38 years$4,238$2,742$1,719$1,051$631$415
39 years$4,084$2,607$1,611$969$572$371
40 years$3,937$2,480$1,510$894$519$332
41 years$3,799$2,361$1,416$825$471$297
42 years$3,667$2,249$1,328$761$427$266
43 years$3,541$2,143$1,246$703$388$238
44 years$3,422$2,042$1,170$649$352$213
45 years$3,308$1,948$1,098$599$319$191
46 years$3,200$1,858$1,031$554$290$171
47 years$3,096$1,773$969$511$263$153
48 years$2,997$1,693$911$473$239$137
49 years$2,902$1,616$856$437$217$123
50 years$2,812$1,544$805$404$197$110

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 $6,254 every year, while hoping to spend $46,769 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: 80/7/13 Blend
39$2,880,000$2,880,000$2,880,000$2,880,000
40$3,180,211$3,027,571$2,982,931$3,426,184
41$3,454,831$3,126,160$3,033,097$3,687,292
42$3,755,894$3,228,013$3,083,377$3,967,084
43$4,086,049$3,333,239$3,133,724$4,272,785
44$4,448,212$3,441,954$3,184,089$4,606,966
45$4,845,595$3,554,275$3,234,422$4,972,463
46$5,281,737$3,670,326$3,284,666$5,372,397
47$5,760,535$3,790,232$3,334,763$5,810,204
48$6,286,282$3,914,126$3,384,650$6,289,672
49$6,863,708$4,042,143$3,434,261$6,814,970
50$7,498,022$4,174,425$3,483,525$7,390,693
51$8,194,964$4,311,115$3,532,367$8,021,902
52$8,960,857$4,452,366$3,580,708$8,714,171
53$9,802,666$4,598,334$3,628,463$9,473,642
54$10,728,065$4,749,180$3,675,544$10,307,079
55$11,745,510$4,905,071$3,721,856$11,221,937
56$12,864,313$5,066,181$3,767,300$12,226,427
57$14,094,739$5,232,690$3,811,770$13,329,594
58$15,448,093$5,404,783$3,855,156$14,541,408
59$16,936,834$5,582,652$3,897,339$15,872,848
60$18,574,687$5,766,498$3,938,196$17,336,013
61$20,376,776$5,956,527$3,977,595$18,944,234
62$22,359,762$6,152,952$4,015,400$20,712,198
63$24,542,007$6,355,996$4,051,466$22,656,089
64$26,943,740$6,565,888$4,085,638$24,793,737
65$29,587,250$6,782,865$4,117,755$27,144,790
66$32,497,099$7,007,175$4,147,650$29,730,895
67$35,700,349$7,239,072$4,175,142$32,575,906
68$39,226,820$7,478,822$4,200,044$35,706,107
69$43,109,369$7,726,698$4,222,159$39,150,459
70$47,384,203$7,982,984$4,241,279$42,940,874
71$52,091,216$8,247,975$4,257,187$47,112,518
72$57,274,371$8,521,976$4,269,653$51,704,137
73$62,982,107$8,805,304$4,278,437$56,758,429
74$69,267,804$9,098,286$4,283,287$62,322,442
75$76,190,280$9,401,262$4,283,937$68,448,022
76$83,814,349$9,714,584$4,280,109$75,192,296
77$92,211,432$10,038,617$4,271,512$82,618,218
78$101,460,229$10,373,741$4,257,839$90,795,157
79$111,647,466$10,720,348$4,238,770$99,799,556
80$122,868,708$11,078,845$4,213,969$109,715,650
81$135,229,262$11,449,654$4,183,082$120,636,262
82$148,845,172$11,833,213$4,145,741$132,663,681
83$163,844,315$12,229,976$4,101,559$145,910,623
84$180,367,604$12,640,414$4,050,130$160,501,299
85$198,570,320$13,065,015$3,991,030$176,572,584
86$218,623,578$13,504,286$3,923,815$194,275,309
87$240,715,940$13,958,752$3,848,019$213,775,689
88$265,055,194$14,428,959$3,763,156$235,256,884
89$291,870,318$14,915,472$3,668,716$258,920,735
90$321,413,638$15,418,879$3,564,167$284,989,666
91$353,963,213$15,939,788$3,448,950$313,708,782
92$389,825,454$16,478,830$3,322,483$345,348,185
93$429,338,021$17,036,663$3,184,156$380,205,522
94$472,873,006$17,613,967$3,033,332$418,608,795
95$520,840,448$18,211,447$2,869,345$460,919,457
96$573,692,203$18,829,837$2,691,497$507,535,826
97$631,926,207$19,469,898$2,499,061$558,896,840
98$696,091,177$20,132,420$2,291,277$615,486,206
99$766,791,792$20,818,223$2,067,349$677,836,961
100$844,694,398$21,528,159$1,826,449$746,536,510