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%14.9%
1 years$242,782$240,620$238,510$236,451$234,440$229,706
2 years$120,189$117,951$115,782$113,678$111,638$106,890
3 years$79,330$77,082$74,918$72,835$70,828$66,213
4 years$58,905$56,664$54,521$52,473$50,515$46,069
5 years$46,653$44,425$42,311$40,305$38,401$34,137
6 years$38,487$36,276$34,193$32,232$30,385$26,307
7 years$32,657$30,465$28,415$26,500$24,711$20,821
8 years$28,287$26,114$24,098$22,230$20,500$16,796
9 years$24,889$22,737$20,756$18,935$17,264$13,743
10 years$22,172$20,041$18,095$16,322$14,710$11,369
11 years$19,951$17,842$15,931$14,205$12,651$9,486
12 years$18,102$16,014$14,138$12,460$10,963$7,969
13 years$16,538$14,472$12,632$11,000$9,560$6,733
14 years$15,199$13,154$11,349$9,765$8,380$5,714
15 years$14,039$12,017$10,247$8,708$7,379$4,868
16 years$13,025$11,025$9,290$7,797$6,521$4,160
17 years$12,132$10,154$8,454$7,006$5,782$3,564
18 years$11,338$9,383$7,717$6,314$5,141$3,061
19 years$10,629$8,696$7,065$5,705$4,583$2,633
20 years$9,992$8,080$6,484$5,167$4,093$2,269
21 years$9,416$7,527$5,964$4,689$3,663$1,958
22 years$8,893$7,026$5,497$4,264$3,283$1,691
23 years$8,417$6,571$5,075$3,883$2,947$1,463
24 years$7,981$6,157$4,694$3,542$2,649$1,266
25 years$7,580$5,778$4,347$3,234$2,384$1,097
26 years$7,210$5,430$4,032$2,957$2,147$950
27 years$6,869$5,110$3,744$2,707$1,936$824
28 years$6,553$4,816$3,480$2,480$1,747$715
29 years$6,259$4,543$3,239$2,274$1,577$621
30 years$5,985$4,290$3,017$2,087$1,425$539
31 years$5,729$4,056$2,813$1,917$1,289$468
32 years$5,489$3,838$2,624$1,762$1,166$407
33 years$5,265$3,634$2,450$1,620$1,055$353
34 years$5,054$3,444$2,289$1,491$955$307
35 years$4,856$3,267$2,140$1,372$865$267
36 years$4,669$3,101$2,002$1,264$784$232
37 years$4,493$2,945$1,874$1,164$710$202
38 years$4,327$2,799$1,755$1,073$644$176
39 years$4,169$2,661$1,644$990$584$153
40 years$4,019$2,532$1,541$913$530$133
41 years$3,878$2,410$1,445$842$481$116
42 years$3,743$2,296$1,356$777$436$101
43 years$3,615$2,187$1,272$717$396$87
44 years$3,493$2,085$1,194$662$359$76
45 years$3,377$1,988$1,121$612$326$66
46 years$3,266$1,897$1,053$565$296$58
47 years$3,161$1,810$989$522$269$50
48 years$3,060$1,728$930$482$244$44
49 years$2,963$1,650$874$446$222$38
50 years$2,870$1,576$821$412$201$33

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 $3,365 every year, while hoping to spend $26,652 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: 57/33/10 Blend
39$2,940,000$2,940,000$2,940,000$2,940,000
40$3,243,351$3,087,531$3,041,961$3,420,206
41$3,545,815$3,210,462$3,115,509$3,662,824
42$3,878,238$3,338,524$3,190,628$3,923,796
43$4,243,646$3,471,940$3,267,342$4,207,508
44$4,645,375$3,610,942$3,345,675$4,516,138
45$5,087,100$3,755,776$3,425,652$4,852,082
46$5,572,870$3,906,694$3,507,297$5,217,974
47$6,107,146$4,063,965$3,590,635$5,616,710
48$6,694,841$4,227,866$3,675,688$6,051,477
49$7,341,372$4,398,688$3,762,480$6,525,778
50$8,052,704$4,576,736$3,851,035$7,043,470
51$8,835,411$4,762,327$3,941,376$7,608,794
52$9,696,736$4,955,795$4,033,525$8,226,418
53$10,644,660$5,157,485$4,127,505$8,901,476
54$11,687,976$5,367,763$4,223,337$9,639,621
55$12,836,373$5,587,007$4,321,043$10,447,073
56$14,100,528$5,815,615$4,420,643$11,330,678
57$15,492,205$6,054,003$4,522,157$12,297,970
58$17,024,365$6,302,604$4,625,604$13,357,244
59$18,711,292$6,561,874$4,731,004$14,517,633
60$20,568,725$6,832,287$4,838,373$15,789,187
61$22,614,005$7,114,339$4,947,730$17,182,975
62$24,866,243$7,408,551$5,059,088$18,711,181
63$27,346,496$7,715,467$5,172,464$20,387,223
64$30,077,968$8,035,654$5,287,870$22,225,873
65$33,086,227$8,369,707$5,405,320$24,243,400
66$36,399,448$8,718,248$5,524,824$26,457,718
67$40,048,678$9,081,929$5,646,392$28,888,555
68$44,068,128$9,461,429$5,770,032$31,557,638
69$48,495,499$9,857,460$5,895,749$34,488,894
70$53,372,333$10,270,769$6,023,550$37,708,677
71$58,744,409$10,702,134$6,153,436$41,246,012
72$64,662,171$11,152,371$6,285,409$45,132,869
73$71,181,208$11,622,333$6,419,466$49,404,460
74$78,362,778$12,112,914$6,555,604$54,099,573
75$86,274,381$12,625,047$6,693,818$59,260,930
76$94,990,404$13,159,710$6,834,097$64,935,594
77$104,592,817$13,717,928$6,976,431$71,175,407
78$115,171,948$14,300,770$7,120,804$78,037,478
79$126,827,336$14,909,356$7,267,200$85,584,716
80$139,668,670$15,544,861$7,415,598$93,886,427
81$153,816,827$16,208,512$7,565,973$103,018,960
82$169,405,007$16,901,593$7,718,297$113,066,426
83$186,579,996$17,625,449$7,872,538$124,121,489
84$205,503,547$18,381,488$8,028,659$136,286,237
85$226,353,911$19,171,183$8,186,622$149,673,142
86$249,327,516$19,996,076$8,346,379$164,406,118
87$274,640,822$20,857,783$8,507,882$180,621,686
88$302,532,365$21,757,994$8,671,075$198,470,260
89$333,265,008$22,698,477$8,835,898$218,117,562
90$367,128,422$23,681,086$9,002,284$239,746,180
91$404,441,821$24,707,759$9,170,161$263,557,290
92$445,556,976$25,780,528$9,339,450$289,772,547
93$490,861,532$26,901,519$9,510,066$318,636,175
94$540,782,672$28,072,957$9,681,917$350,417,265
95$595,791,146$29,297,174$9,854,903$385,412,312
96$656,405,717$30,576,609$10,028,916$423,948,005
97$723,198,056$31,913,818$10,203,841$466,384,307
98$796,798,140$33,311,478$10,379,552$513,117,846
99$877,900,201$34,772,391$10,555,917$564,585,652
100$967,269,274$36,299,491$10,732,793$621,269,277