Can I retire at age 40 with 2,990,000?

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 $2,990,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%15.4%
1 years$246,911$244,712$242,566$240,472$238,427$233,137
2 years$122,233$119,957$117,751$115,611$113,537$108,234
3 years$80,679$78,393$76,192$74,073$72,032$66,883
4 years$59,907$57,627$55,449$53,366$51,374$46,418
5 years$47,446$45,180$43,030$40,990$39,054$34,305
6 years$39,142$36,893$34,775$32,780$30,902$26,365
7 years$33,213$30,983$28,898$26,950$25,131$20,808
8 years$28,768$26,558$24,508$22,608$20,849$16,737
9 years$25,312$23,124$21,109$19,257$17,558$13,654
10 years$22,550$20,382$18,403$16,600$14,960$11,260
11 years$20,291$18,145$16,202$14,447$12,866$9,366
12 years$18,410$16,286$14,379$12,672$11,150$7,843
13 years$16,819$14,718$12,846$11,187$9,723$6,604
14 years$15,457$13,378$11,542$9,931$8,523$5,585
15 years$14,278$12,221$10,421$8,856$7,504$4,741
16 years$13,247$11,213$9,448$7,930$6,632$4,038
17 years$12,338$10,326$8,598$7,125$5,881$3,447
18 years$11,531$9,542$7,849$6,421$5,229$2,949
19 years$10,810$8,844$7,185$5,802$4,660$2,528
20 years$10,162$8,218$6,594$5,255$4,163$2,170
21 years$9,576$7,655$6,065$4,769$3,725$1,866
22 years$9,045$7,145$5,590$4,336$3,339$1,605
23 years$8,560$6,683$5,161$3,949$2,997$1,383
24 years$8,116$6,261$4,773$3,602$2,694$1,192
25 years$7,709$5,876$4,421$3,289$2,424$1,029
26 years$7,333$5,523$4,100$3,008$2,184$888
27 years$6,986$5,197$3,808$2,753$1,969$767
28 years$6,664$4,897$3,540$2,522$1,777$663
29 years$6,365$4,620$3,294$2,313$1,604$573
30 years$6,086$4,363$3,068$2,123$1,449$495
31 years$5,826$4,125$2,860$1,950$1,310$428
32 years$5,583$3,903$2,669$1,792$1,185$371
33 years$5,355$3,696$2,492$1,648$1,073$321
34 years$5,140$3,503$2,328$1,516$971$278
35 years$4,939$3,323$2,177$1,396$880$240
36 years$4,749$3,154$2,036$1,285$797$208
37 years$4,570$2,995$1,906$1,184$722$180
38 years$4,400$2,846$1,785$1,091$655$156
39 years$4,240$2,707$1,672$1,006$594$135
40 years$4,088$2,575$1,567$928$539$117
41 years$3,944$2,451$1,470$856$489$101
42 years$3,807$2,335$1,379$790$443$88
43 years$3,676$2,224$1,294$730$402$76
44 years$3,553$2,120$1,214$674$365$66
45 years$3,434$2,022$1,140$622$332$57
46 years$3,322$1,929$1,071$575$301$49
47 years$3,214$1,841$1,006$531$273$43
48 years$3,112$1,757$945$491$248$37
49 years$3,013$1,678$889$453$226$32
50 years$2,919$1,603$835$419$205$28

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,990,000, adding $2,770 every year, while hoping to spend $48,969 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: 73/16/11 Blend
39$2,990,000$2,990,000$2,990,000$2,990,000
40$3,297,837$3,139,367$3,093,022$3,531,274
41$3,582,114$3,241,094$3,144,536$3,787,619
42$3,893,746$3,346,163$3,196,134$4,061,956
43$4,235,471$3,454,689$3,247,768$4,361,091
44$4,610,306$3,566,785$3,299,385$4,687,463
45$5,021,573$3,682,573$3,350,930$5,043,760
46$5,472,931$3,802,177$3,402,344$5,432,938
47$5,968,411$3,925,725$3,453,563$5,858,256
48$6,512,453$4,053,350$3,504,522$6,323,300
49$7,109,949$4,185,189$3,555,148$6,832,020
50$7,766,285$4,321,385$3,605,368$7,388,766
51$8,487,398$4,462,085$3,655,099$7,998,328
52$9,279,827$4,607,441$3,704,259$8,665,982
53$10,150,774$4,757,611$3,752,757$9,397,542
54$11,108,178$4,912,758$3,800,499$10,199,406
55$12,160,780$5,073,051$3,847,384$11,078,627
56$13,318,214$5,238,665$3,893,305$12,042,972
57$14,591,092$5,409,780$3,938,152$13,100,995
58$15,991,109$5,586,585$3,981,805$14,262,122
59$17,531,147$5,769,272$4,024,140$15,536,735
60$19,225,400$5,958,043$4,065,025$16,936,271
61$21,089,508$6,153,105$4,104,321$18,473,333
62$23,140,704$6,354,673$4,141,882$20,161,802
63$25,397,974$6,562,970$4,177,553$22,016,972
64$27,882,238$6,778,226$4,211,172$24,055,693
65$30,616,548$7,000,681$4,242,568$26,296,530
66$33,626,303$7,230,581$4,271,561$28,759,936
67$36,939,488$7,468,182$4,297,961$31,468,448
68$40,586,943$7,713,750$4,321,570$34,446,896
69$44,602,647$7,967,559$4,342,177$37,722,637
70$49,024,041$8,229,894$4,359,565$41,325,815
71$53,892,383$8,501,048$4,373,500$45,289,643
72$59,253,134$8,781,328$4,383,740$49,650,717
73$65,156,389$9,071,048$4,390,031$54,449,361
74$71,657,349$9,370,538$4,392,105$59,730,006
75$78,816,839$9,680,135$4,389,681$65,541,609
76$86,701,886$10,000,191$4,382,465$71,938,117
77$95,386,349$10,331,070$4,370,148$78,978,972
78$104,951,614$10,673,150$4,352,405$86,729,674
79$115,487,365$11,026,821$4,328,897$95,262,397
80$127,092,430$11,392,489$4,299,269$104,656,671
81$139,875,710$11,770,573$4,263,147$115,000,133
82$153,957,210$12,161,509$4,220,140$126,389,349
83$169,469,170$12,565,747$4,169,838$138,930,733
84$186,557,311$12,983,755$4,111,814$152,741,540
85$205,382,215$13,416,017$4,045,619$167,950,983
86$226,120,836$13,863,036$3,970,781$184,701,446
87$248,968,169$14,325,333$3,886,810$203,149,827
88$274,139,094$14,803,446$3,793,190$223,469,021
89$301,870,404$15,297,937$3,689,384$245,849,550
90$332,423,034$15,809,385$3,574,828$270,501,363
91$366,084,531$16,338,392$3,448,932$297,655,812
92$403,171,762$16,885,583$3,311,080$327,567,840
93$444,033,910$17,451,604$3,160,629$360,518,386
94$489,055,763$18,037,127$2,996,904$396,817,035
95$538,661,352$18,642,848$2,819,203$436,804,940
96$593,317,952$19,269,489$2,626,787$480,858,042
97$653,540,489$19,917,800$2,418,890$529,390,619
98$719,896,403$20,588,557$2,194,708$582,859,193
99$793,011,007$21,282,567$1,953,402$641,766,844
100$873,573,383$22,000,666$1,694,094$706,667,952