Can I retire at age 40 with 3,200,000?

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 $3,200,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%12.5%
1 years$264,253$261,899$259,603$257,361$255,172$252,508
2 years$130,818$128,382$126,021$123,731$121,511$118,827
3 years$86,346$83,899$81,544$79,276$77,091$74,472
4 years$64,114$61,675$59,343$57,114$54,982$52,448
5 years$50,778$48,354$46,053$43,869$41,797$39,354
6 years$41,891$39,484$37,217$35,082$33,072$30,725
7 years$35,545$33,159$30,928$28,843$26,897$24,646
8 years$30,788$28,423$26,229$24,196$22,313$20,158
9 years$27,090$24,748$22,591$20,609$18,791$16,731
10 years$24,133$21,814$19,696$17,766$16,011$14,045
11 years$21,716$19,420$17,340$15,461$13,770$11,896
12 years$19,703$17,430$15,388$13,562$11,933$10,149
13 years$18,000$15,752$13,749$11,973$10,406$8,710
14 years$16,543$14,318$12,353$10,628$9,121$7,512
15 years$15,281$13,080$11,153$9,478$8,031$6,506
16 years$14,177$12,000$10,112$8,487$7,098$5,653
17 years$13,205$11,052$9,202$7,625$6,294$4,927
18 years$12,341$10,212$8,400$6,872$5,596$4,305
19 years$11,569$9,465$7,690$6,210$4,988$3,769
20 years$10,876$8,795$7,057$5,624$4,455$3,307
21 years$10,249$8,192$6,491$5,104$3,987$2,906
22 years$9,680$7,647$5,983$4,641$3,574$2,557
23 years$9,161$7,152$5,524$4,226$3,208$2,252
24 years$8,686$6,701$5,109$3,855$2,883$1,986
25 years$8,250$6,289$4,732$3,520$2,595$1,753
26 years$7,848$5,910$4,388$3,219$2,337$1,549
27 years$7,477$5,562$4,075$2,946$2,107$1,369
28 years$7,132$5,241$3,788$2,699$1,901$1,211
29 years$6,812$4,945$3,525$2,475$1,717$1,072
30 years$6,514$4,670$3,284$2,272$1,551$949
31 years$6,235$4,414$3,061$2,087$1,402$841
32 years$5,975$4,177$2,856$1,918$1,269$745
33 years$5,731$3,956$2,667$1,763$1,148$661
34 years$5,501$3,749$2,492$1,622$1,039$586
35 years$5,286$3,556$2,330$1,494$942$520
36 years$5,082$3,375$2,179$1,376$853$461
37 years$4,890$3,206$2,040$1,267$773$409
38 years$4,709$3,046$1,910$1,168$701$363
39 years$4,538$2,897$1,790$1,077$636$323
40 years$4,375$2,756$1,677$993$577$286
41 years$4,221$2,624$1,573$917$523$254
42 years$4,074$2,499$1,475$846$475$226
43 years$3,935$2,381$1,384$781$431$201
44 years$3,802$2,269$1,300$721$391$178
45 years$3,676$2,164$1,220$666$355$158
46 years$3,555$2,064$1,146$615$322$141
47 years$3,440$1,970$1,077$568$293$125
48 years$3,330$1,881$1,012$525$266$111
49 years$3,225$1,796$951$485$241$99
50 years$3,124$1,715$894$449$219$88

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $3,200,000, adding $5,556 every year, while hoping to spend $21,728 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: 80/12/8 Blend
39$3,200,000$3,200,000$3,200,000$3,200,000
40$3,532,131$3,362,531$3,312,931$3,810,599
41$3,869,290$3,504,177$3,400,796$4,135,534
42$4,240,111$3,652,035$3,490,876$4,488,575
43$4,648,004$3,806,386$3,583,222$4,875,307
44$5,096,728$3,967,527$3,677,888$5,299,083
45$5,590,423$4,135,764$3,774,925$5,763,597
46$6,133,649$4,311,420$3,874,389$6,272,915
47$6,731,435$4,494,833$3,976,334$6,831,516
48$7,389,317$4,686,356$4,080,817$7,444,332
49$8,113,399$4,886,358$4,187,896$8,116,794
50$8,910,404$5,095,228$4,297,629$8,854,883
51$9,787,740$5,313,369$4,410,074$9,665,186
52$10,753,572$5,541,207$4,525,294$10,554,959
53$11,816,894$5,779,184$4,643,350$11,532,194
54$12,987,619$6,027,765$4,764,303$12,605,692
55$14,276,668$6,287,438$4,888,219$13,785,149
56$15,696,075$6,558,709$5,015,162$15,081,243
57$17,259,103$6,842,114$5,145,197$16,505,739
58$18,980,363$7,138,209$5,278,393$18,071,595
59$20,875,958$7,447,579$5,414,817$19,793,085
60$22,963,631$7,770,836$5,554,539$21,685,936
61$25,262,934$8,108,619$5,697,628$23,767,471
62$27,795,411$8,461,600$5,844,157$26,056,773
63$30,584,805$8,830,480$5,994,198$28,574,869
64$33,657,275$9,215,994$6,147,824$31,344,919
65$37,041,652$9,618,912$6,305,111$34,392,444
66$40,769,702$10,040,041$6,466,134$37,745,556
67$44,876,432$10,480,223$6,630,970$41,435,230
68$49,400,418$10,940,344$6,799,697$45,495,593
69$54,384,168$11,421,327$6,972,394$49,964,244
70$59,874,524$11,924,144$7,149,140$54,882,606
71$65,923,107$12,449,809$7,330,018$60,296,324
72$72,586,799$12,999,384$7,515,109$66,255,685
73$79,928,283$13,573,984$7,704,495$72,816,098
74$88,016,633$14,174,775$7,898,261$80,038,613
75$96,927,969$14,802,978$8,096,492$87,990,497
76$106,746,171$15,459,873$8,299,273$96,745,868
77$117,563,673$16,146,799$8,506,691$106,386,392
78$129,482,336$16,865,161$8,718,834$117,002,053
79$142,614,408$17,616,428$8,935,789$128,692,002
80$157,083,585$18,402,141$9,157,646$141,565,491
81$173,026,178$19,223,912$9,384,494$155,742,901
82$190,592,397$20,083,433$9,616,423$171,356,879
83$209,947,773$20,982,473$9,853,525$188,553,588
84$231,274,718$21,922,886$10,095,891$207,494,082
85$254,774,249$22,906,617$10,343,612$228,355,831
86$280,667,881$23,935,700$10,596,782$251,334,387
87$309,199,723$25,012,268$10,855,493$276,645,233
88$340,638,781$26,138,555$11,119,837$304,525,813
89$375,281,494$27,316,901$11,389,909$335,237,770
90$413,454,536$28,549,759$11,665,801$369,069,418
91$455,517,900$29,839,699$11,947,607$406,338,458
92$501,868,295$31,189,413$12,235,420$447,394,973
93$552,942,887$32,601,721$12,529,334$492,624,735
94$609,223,435$34,079,578$12,829,440$542,452,841
95$671,240,831$35,626,083$13,135,831$597,347,724
96$739,580,114$37,244,479$13,448,600$657,825,569
97$814,885,994$38,938,168$13,767,837$724,455,191
98$897,868,939$40,710,711$14,093,633$797,863,393
99$989,311,878$42,565,843$14,426,077$878,740,883
100$1,090,077,597$44,507,477$14,765,257$967,848,793