Can I retire at age 40 with 2,940,000?

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 $2,940,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.7%
1 years$242,782$240,620$238,510$236,451$234,440$228,958
2 years$120,189$117,951$115,782$113,678$111,638$106,147
3 years$79,330$77,082$74,918$72,835$70,828$65,498
4 years$58,905$56,664$54,521$52,473$50,515$45,388
5 years$46,653$44,425$42,311$40,305$38,401$33,491
6 years$38,487$36,276$34,193$32,232$30,385$25,697
7 years$32,657$30,465$28,415$26,500$24,711$20,246
8 years$28,287$26,114$24,098$22,230$20,500$16,257
9 years$24,889$22,737$20,756$18,935$17,264$13,238
10 years$22,172$20,041$18,095$16,322$14,710$10,897
11 years$19,951$17,842$15,931$14,205$12,651$9,046
12 years$18,102$16,014$14,138$12,460$10,963$7,561
13 years$16,538$14,472$12,632$11,000$9,560$6,353
14 years$15,199$13,154$11,349$9,765$8,380$5,363
15 years$14,039$12,017$10,247$8,708$7,379$4,543
16 years$13,025$11,025$9,290$7,797$6,521$3,860
17 years$12,132$10,154$8,454$7,006$5,782$3,289
18 years$11,338$9,383$7,717$6,314$5,141$2,807
19 years$10,629$8,696$7,065$5,705$4,583$2,401
20 years$9,992$8,080$6,484$5,167$4,093$2,057
21 years$9,416$7,527$5,964$4,689$3,663$1,764
22 years$8,893$7,026$5,497$4,264$3,283$1,514
23 years$8,417$6,571$5,075$3,883$2,947$1,301
24 years$7,981$6,157$4,694$3,542$2,649$1,119
25 years$7,580$5,778$4,347$3,234$2,384$963
26 years$7,210$5,430$4,032$2,957$2,147$830
27 years$6,869$5,110$3,744$2,707$1,936$715
28 years$6,553$4,816$3,480$2,480$1,747$616
29 years$6,259$4,543$3,239$2,274$1,577$531
30 years$5,985$4,290$3,017$2,087$1,425$458
31 years$5,729$4,056$2,813$1,917$1,289$395
32 years$5,489$3,838$2,624$1,762$1,166$341
33 years$5,265$3,634$2,450$1,620$1,055$295
34 years$5,054$3,444$2,289$1,491$955$254
35 years$4,856$3,267$2,140$1,372$865$220
36 years$4,669$3,101$2,002$1,264$784$190
37 years$4,493$2,945$1,874$1,164$710$164
38 years$4,327$2,799$1,755$1,073$644$141
39 years$4,169$2,661$1,644$990$584$122
40 years$4,019$2,532$1,541$913$530$106
41 years$3,878$2,410$1,445$842$481$91
42 years$3,743$2,296$1,356$777$436$79
43 years$3,615$2,187$1,272$717$396$68
44 years$3,493$2,085$1,194$662$359$59
45 years$3,377$1,988$1,121$612$326$51
46 years$3,266$1,897$1,053$565$296$44
47 years$3,161$1,810$989$522$269$38
48 years$3,060$1,728$930$482$244$33
49 years$2,963$1,650$874$446$222$28
50 years$2,870$1,576$821$412$201$25

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,940,000, adding $5,383 every year, while hoping to spend $45,232 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: 49/41/10 Blend
39$2,940,000$2,940,000$2,940,000$2,940,000
40$3,245,433$3,089,613$3,044,043$3,395,474
41$3,528,340$3,192,877$3,097,891$3,602,158
42$3,838,588$3,299,686$3,152,028$3,821,330
43$4,178,918$3,410,164$3,206,415$4,058,352
44$4,552,349$3,524,443$3,261,011$4,314,908
45$4,962,205$3,642,657$3,315,772$4,592,847
46$5,412,151$3,764,948$3,370,651$4,894,203
47$5,906,221$3,891,461$3,425,598$5,221,211
48$6,448,860$4,022,347$3,480,560$5,576,333
49$7,044,964$4,157,763$3,535,480$5,962,273
50$7,699,929$4,297,872$3,590,296$6,382,007
51$8,419,695$4,442,841$3,644,945$6,838,812
52$9,210,811$4,592,847$3,699,357$7,336,290
53$10,080,488$4,748,071$3,753,460$7,878,406
54$11,036,673$4,908,701$3,807,176$8,469,526
55$12,088,119$5,074,934$3,860,422$9,114,450
56$13,244,473$5,246,971$3,913,112$9,818,467
57$14,516,361$5,425,025$3,965,153$10,587,396
58$15,915,492$5,609,313$4,016,448$11,427,643
59$17,454,765$5,800,062$4,066,892$12,346,261
60$19,148,395$5,997,509$4,116,377$13,351,017
61$21,012,043$6,201,899$4,164,787$14,450,458
62$23,062,963$6,413,484$4,211,999$15,654,002
63$25,320,170$6,632,529$4,257,886$16,972,013
64$27,804,613$6,859,308$4,302,310$18,415,909
65$30,539,375$7,094,106$4,345,129$19,998,263
66$33,549,891$7,337,217$4,386,191$21,732,919
67$36,864,189$7,588,950$4,425,337$23,635,129
68$40,513,149$7,849,621$4,462,399$25,721,686
69$44,530,801$8,119,564$4,497,200$28,011,091
70$48,954,641$8,399,120$4,529,555$30,523,720
71$53,825,986$8,688,649$4,559,266$33,282,016
72$59,190,364$8,988,520$4,586,129$36,310,703
73$65,097,944$9,299,120$4,609,927$39,637,015
74$71,604,007$9,620,850$4,630,433$43,290,951
75$78,769,470$9,954,125$4,647,406$47,305,560
76$86,661,458$10,299,380$4,660,597$51,717,249
77$95,353,940$10,657,063$4,669,740$56,566,127
78$104,928,426$11,027,643$4,674,561$61,896,378
79$115,474,733$11,411,606$4,674,766$67,756,683
80$127,091,838$11,809,456$4,670,052$74,200,673
81$139,888,805$12,221,719$4,660,099$81,287,434
82$153,985,821$12,648,941$4,644,570$89,082,065
83$169,515,327$13,091,691$4,623,115$97,656,289
84$186,623,265$13,550,559$4,595,364$107,089,129
85$205,470,460$14,026,158$4,560,931$117,467,652
86$226,234,134$14,519,128$4,519,410$128,887,787
87$249,109,583$15,030,132$4,470,377$141,455,231
88$274,312,014$15,559,862$4,413,388$155,286,445
89$302,078,581$16,109,036$4,347,978$170,509,748
90$332,670,619$16,678,402$4,273,658$187,266,528
91$366,376,116$17,268,738$4,189,920$205,712,575
92$403,512,427$17,880,853$4,096,229$226,019,546
93$444,429,268$18,515,588$3,992,026$248,376,587
94$489,512,022$19,173,821$3,876,728$272,992,114
95$539,185,373$19,856,463$3,749,723$300,095,777
96$593,917,314$20,564,462$3,610,372$329,940,627
97$654,223,566$21,298,807$3,458,005$362,805,497
98$720,672,447$22,060,526$3,291,926$398,997,639
99$793,890,233$22,850,688$3,111,401$438,855,615
100$874,567,073$23,670,408$2,915,670$482,752,492