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

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 $2,940,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.1%
1 years$242,782$240,620$238,510$236,451$234,440$233,354
2 years$120,189$117,951$115,782$113,678$111,638$110,542
3 years$79,330$77,082$74,918$72,835$70,828$69,755
4 years$58,905$56,664$54,521$52,473$50,515$49,474
5 years$46,653$44,425$42,311$40,305$38,401$37,395
6 years$38,487$36,276$34,193$32,232$30,385$29,416
7 years$32,657$30,465$28,415$26,500$24,711$23,779
8 years$28,287$26,114$24,098$22,230$20,500$19,605
9 years$24,889$22,737$20,756$18,935$17,264$16,406
10 years$22,172$20,041$18,095$16,322$14,710$13,888
11 years$19,951$17,842$15,931$14,205$12,651$11,865
12 years$18,102$16,014$14,138$12,460$10,963$10,212
13 years$16,538$14,472$12,632$11,000$9,560$8,843
14 years$15,199$13,154$11,349$9,765$8,380$7,697
15 years$14,039$12,017$10,247$8,708$7,379$6,728
16 years$13,025$11,025$9,290$7,797$6,521$5,903
17 years$12,132$10,154$8,454$7,006$5,782$5,195
18 years$11,338$9,383$7,717$6,314$5,141$4,584
19 years$10,629$8,696$7,065$5,705$4,583$4,054
20 years$9,992$8,080$6,484$5,167$4,093$3,593
21 years$9,416$7,527$5,964$4,689$3,663$3,190
22 years$8,893$7,026$5,497$4,264$3,283$2,836
23 years$8,417$6,571$5,075$3,883$2,947$2,525
24 years$7,981$6,157$4,694$3,542$2,649$2,251
25 years$7,580$5,778$4,347$3,234$2,384$2,009
26 years$7,210$5,430$4,032$2,957$2,147$1,794
27 years$6,869$5,110$3,744$2,707$1,936$1,604
28 years$6,553$4,816$3,480$2,480$1,747$1,435
29 years$6,259$4,543$3,239$2,274$1,577$1,284
30 years$5,985$4,290$3,017$2,087$1,425$1,150
31 years$5,729$4,056$2,813$1,917$1,289$1,031
32 years$5,489$3,838$2,624$1,762$1,166$924
33 years$5,265$3,634$2,450$1,620$1,055$829
34 years$5,054$3,444$2,289$1,491$955$744
35 years$4,856$3,267$2,140$1,372$865$667
36 years$4,669$3,101$2,002$1,264$784$599
37 years$4,493$2,945$1,874$1,164$710$538
38 years$4,327$2,799$1,755$1,073$644$483
39 years$4,169$2,661$1,644$990$584$434
40 years$4,019$2,532$1,541$913$530$390
41 years$3,878$2,410$1,445$842$481$351
42 years$3,743$2,296$1,356$777$436$315
43 years$3,615$2,187$1,272$717$396$283
44 years$3,493$2,085$1,194$662$359$255
45 years$3,377$1,988$1,121$612$326$229
46 years$3,266$1,897$1,053$565$296$206
47 years$3,161$1,810$989$522$269$185
48 years$3,060$1,728$930$482$244$167
49 years$2,963$1,650$874$446$222$150
50 years$2,870$1,576$821$412$201$135

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 $4,095 every year, while hoping to spend $24,061 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: 47/24/29 Blend
39$2,940,000$2,940,000$2,940,000$2,940,000
40$3,244,104$3,088,284$3,042,714$3,369,411
41$3,549,402$3,214,009$3,119,044$3,584,138
42$3,885,034$3,345,089$3,197,125$3,814,433
43$4,254,068$3,481,759$3,276,990$4,063,973
44$4,659,886$3,624,268$3,358,672$4,334,582
45$5,106,213$3,772,875$3,442,205$4,628,263
46$5,597,151$3,927,851$3,527,624$4,947,221
47$6,137,224$4,089,479$3,614,963$5,293,880
48$6,731,413$4,258,056$3,704,256$5,670,905
49$7,385,207$4,433,890$3,795,539$6,081,228
50$8,104,655$4,617,307$3,888,846$6,528,073
51$8,896,420$4,808,646$3,984,213$7,014,988
52$9,767,845$5,008,260$4,081,675$7,545,876
53$10,727,022$5,216,522$4,181,267$8,125,032
54$11,782,865$5,433,818$4,283,026$8,757,182
55$12,945,197$5,660,554$4,386,987$9,447,525
56$14,224,841$5,897,156$4,493,186$10,201,787
57$15,633,726$6,144,067$4,601,658$11,026,267
58$17,184,992$6,401,753$4,712,440$11,927,900
59$18,893,121$6,670,698$4,825,566$12,914,318
60$20,774,069$6,951,413$4,941,073$13,993,926
61$22,845,421$7,244,429$5,058,996$15,175,976
62$25,126,551$7,550,303$5,179,369$16,470,654
63$27,638,810$7,869,619$5,302,229$17,889,174
64$30,405,724$8,202,985$5,427,608$19,443,886
65$33,453,217$8,551,040$5,555,543$21,148,389
66$36,809,857$8,914,453$5,686,065$23,017,658
67$40,507,123$9,293,922$5,819,209$25,068,181
68$44,579,704$9,690,179$5,955,007$27,318,122
69$49,065,825$10,103,989$6,093,491$29,787,479
70$54,007,609$10,536,154$6,234,693$32,498,283
71$59,451,473$10,987,513$6,378,642$35,474,793
72$65,448,565$11,458,944$6,525,370$38,743,733
73$72,055,253$11,951,366$6,674,903$42,334,536
74$79,333,646$12,465,741$6,827,270$46,279,624
75$87,352,192$13,003,076$6,982,497$50,614,709
76$96,186,314$13,564,425$7,140,610$55,379,129
77$105,919,130$14,150,893$7,301,632$60,616,219
78$116,642,229$14,763,635$7,465,585$66,373,715
79$128,456,544$15,403,861$7,632,489$72,704,205
80$141,473,299$16,072,837$7,802,365$79,665,621
81$155,815,060$16,771,891$7,975,228$87,321,783
82$171,616,891$17,502,409$8,151,094$95,743,002
83$189,027,634$18,265,847$8,329,976$105,006,739
84$208,211,306$19,063,726$8,511,883$115,198,330
85$229,348,652$19,897,642$8,696,824$126,411,796
86$252,638,851$20,769,263$8,884,804$138,750,720
87$278,301,394$21,680,337$9,075,825$152,329,228
88$306,578,158$22,632,696$9,269,887$167,273,057
89$337,735,688$23,628,255$9,466,986$183,720,744
90$372,067,713$24,669,024$9,667,115$201,824,926
91$409,897,917$25,757,104$9,870,261$221,753,780
92$451,583,001$26,894,699$10,076,411$243,692,603
93$497,516,041$28,084,113$10,285,545$267,845,562
94$548,130,206$29,327,763$10,497,639$294,437,612
95$603,902,843$30,628,180$10,712,666$323,716,621
96$665,359,985$31,988,012$10,930,592$355,955,699
97$733,081,315$33,410,037$11,151,379$391,455,775
98$807,705,642$34,897,160$11,374,982$430,548,432
99$889,936,925$36,452,429$11,601,352$473,599,032
100$980,550,927$38,079,034$11,830,433$521,010,159