Can I retire at age 40 with 2,920,000?

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 $2,920,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.4%
1 years$241,131$238,983$236,887$234,842$232,845$230,509
2 years$119,372$117,149$114,994$112,905$110,879$108,526
3 years$78,791$76,558$74,409$72,339$70,346$68,049
4 years$58,504$56,278$54,150$52,116$50,171$47,949
5 years$46,335$44,123$42,023$40,030$38,139$35,997
6 years$38,225$36,030$33,961$32,013$30,178$28,119
7 years$32,435$30,258$28,222$26,319$24,543$22,568
8 years$28,094$25,936$23,934$22,079$20,361$18,469
9 years$24,720$22,582$20,614$18,806$17,147$15,338
10 years$22,022$19,905$17,972$16,211$14,610$12,884
11 years$19,816$17,720$15,822$14,108$12,565$10,919
12 years$17,979$15,905$14,042$12,375$10,889$9,322
13 years$16,425$14,373$12,546$10,925$9,495$8,005
14 years$15,095$13,065$11,272$9,698$8,323$6,909
15 years$13,944$11,935$10,177$8,649$7,329$5,987
16 years$12,937$10,950$9,227$7,744$6,477$5,206
17 years$12,049$10,085$8,396$6,958$5,743$4,541
18 years$11,261$9,319$7,665$6,271$5,106$3,970
19 years$10,557$8,637$7,017$5,666$4,551$3,479
20 years$9,924$8,025$6,440$5,132$4,065$3,054
21 years$9,352$7,475$5,923$4,657$3,638$2,685
22 years$8,833$6,978$5,459$4,235$3,261$2,365
23 years$8,360$6,526$5,041$3,857$2,927$2,085
24 years$7,926$6,115$4,662$3,517$2,631$1,840
25 years$7,528$5,738$4,318$3,212$2,368$1,625
26 years$7,161$5,393$4,004$2,937$2,133$1,437
27 years$6,822$5,076$3,718$2,688$1,923$1,272
28 years$6,508$4,783$3,457$2,463$1,735$1,126
29 years$6,216$4,512$3,217$2,259$1,567$997
30 years$5,944$4,261$2,996$2,073$1,416$884
31 years$5,690$4,028$2,793$1,904$1,280$784
32 years$5,452$3,811$2,606$1,750$1,158$695
33 years$5,229$3,609$2,434$1,609$1,048$617
34 years$5,020$3,421$2,274$1,480$949$547
35 years$4,823$3,245$2,126$1,363$859$486
36 years$4,638$3,080$1,989$1,255$778$432
37 years$4,463$2,925$1,861$1,156$706$383
38 years$4,297$2,780$1,743$1,066$640$341
39 years$4,140$2,643$1,633$983$580$303
40 years$3,992$2,515$1,531$907$526$269
41 years$3,851$2,394$1,435$836$477$239
42 years$3,718$2,280$1,346$772$433$212
43 years$3,590$2,172$1,263$713$393$189
44 years$3,469$2,071$1,186$658$357$168
45 years$3,354$1,975$1,113$608$324$149
46 years$3,244$1,884$1,046$561$294$133
47 years$3,139$1,798$983$519$267$118
48 years$3,039$1,716$923$479$243$105
49 years$2,943$1,639$868$443$220$93
50 years$2,851$1,565$816$409$200$83

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,920,000, adding $4,488 every year, while hoping to spend $20,384 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: 62/17/21 Blend
39$2,920,000$2,920,000$2,920,000$2,920,000
40$3,222,469$3,067,709$3,022,449$3,404,398
41$3,529,473$3,196,339$3,102,013$3,656,430
42$3,867,107$3,330,588$3,183,559$3,928,808
43$4,238,476$3,470,710$3,267,132$4,225,724
44$4,646,997$3,616,972$3,352,777$4,549,570
45$5,096,438$3,769,650$3,440,542$4,902,980
46$5,590,948$3,929,037$3,530,474$5,288,852
47$6,135,101$4,095,435$3,622,621$5,710,374
48$6,733,934$4,269,165$3,717,032$6,171,057
49$7,392,999$4,450,558$3,813,756$6,674,764
50$8,118,414$4,639,964$3,912,845$7,225,748
51$8,916,917$4,837,747$4,014,351$7,828,689
52$9,795,937$5,044,290$4,118,326$8,488,743
53$10,763,655$5,259,993$4,224,822$9,211,582
54$11,829,089$5,485,275$4,333,895$10,003,454
55$13,002,176$5,720,572$4,445,600$10,871,239
56$14,293,862$5,966,345$4,559,992$11,822,509
57$15,716,212$6,223,072$4,677,128$12,865,606
58$17,282,520$6,491,257$4,797,067$14,009,715
59$19,007,435$6,771,426$4,919,865$15,264,950
60$20,907,096$7,064,128$5,045,584$16,642,452
61$22,999,291$7,369,942$5,174,282$18,154,488
62$25,303,620$7,689,470$5,306,022$19,814,571
63$27,841,680$8,023,345$5,440,864$21,637,583
64$30,637,270$8,372,228$5,578,872$23,639,918
65$33,716,617$8,736,812$5,720,109$25,839,630
66$37,108,618$9,117,823$5,864,640$28,256,608
67$40,845,121$9,516,020$6,012,529$30,912,760
68$44,961,216$9,932,198$6,163,841$33,832,218
69$49,495,575$10,367,190$6,318,645$37,041,568
70$54,490,811$10,821,869$6,477,006$40,570,093
71$59,993,881$11,297,148$6,638,993$44,450,056
72$66,056,531$11,793,983$6,804,675$48,716,997
73$72,735,786$12,313,377$6,974,119$53,410,070
74$80,094,481$12,856,377$7,147,397$58,572,411
75$88,201,862$13,424,084$7,324,579$64,251,541
76$97,134,235$14,017,647$7,505,735$70,499,817
77$106,975,687$14,638,271$7,690,938$77,374,921
78$117,818,880$15,287,220$7,880,257$84,940,404
79$129,765,927$15,965,815$8,073,767$93,266,286
80$142,929,353$16,675,441$8,271,540$102,429,711
81$157,433,158$17,417,549$8,473,647$112,515,675
82$173,413,989$18,193,658$8,680,163$123,617,828
83$191,022,428$19,005,359$8,891,161$135,839,354
84$210,424,415$19,854,321$9,106,714$149,293,943
85$231,802,812$20,742,289$9,326,896$164,106,861
86$255,359,131$21,671,094$9,551,779$180,416,133
87$281,315,437$22,642,651$9,781,438$198,373,837
88$309,916,440$23,658,970$10,015,945$218,147,547
89$341,431,811$24,722,153$10,255,373$239,921,901
90$376,158,722$25,834,405$10,499,794$263,900,350
91$414,424,655$26,998,035$10,749,281$290,307,069
92$456,590,493$28,215,462$11,003,905$319,389,075
93$503,053,924$29,489,220$11,263,736$351,418,552
94$554,253,197$30,821,964$11,528,844$386,695,419
95$610,671,261$32,216,478$11,799,298$425,550,157
96$672,840,321$33,675,677$12,075,166$468,346,924
97$741,346,864$35,202,616$12,356,514$515,486,991
98$816,837,194$36,800,494$12,643,407$567,412,525
99$900,023,536$38,472,666$12,935,910$624,610,757
100$991,690,756$40,222,647$13,234,083$687,618,582