Can I retire at age 40 with 3,500,000?

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 $3,500,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.6%
1 years$289,027$286,452$283,940$281,489$279,095$273,796
2 years$143,083$140,418$137,835$135,331$132,902$127,584
3 years$94,441$91,765$89,188$86,708$84,319$79,147
4 years$70,125$67,457$64,906$62,468$60,137$55,152
5 years$55,539$52,887$50,370$47,982$45,715$40,931
6 years$45,818$43,186$40,706$38,371$36,173$31,595
7 years$38,878$36,268$33,827$31,547$29,418$25,048
8 years$33,674$31,088$28,688$26,464$24,405$20,241
9 years$29,630$27,068$24,709$22,542$20,553$16,592
10 years$26,396$23,859$21,542$19,431$17,512$13,751
11 years$23,752$21,240$18,965$16,911$15,061$11,495
12 years$21,550$19,064$16,831$14,833$13,051$9,676
13 years$19,688$17,228$15,038$13,095$11,381$8,191
14 years$18,094$15,660$13,511$11,625$9,977$6,966
15 years$16,713$14,306$12,199$10,367$8,784$5,946
16 years$15,506$13,125$11,060$9,283$7,763$5,092
17 years$14,443$12,088$10,064$8,340$6,884$4,372
18 years$13,498$11,170$9,187$7,516$6,121$3,763
19 years$12,654$10,352$8,411$6,792$5,455$3,245
20 years$11,895$9,620$7,719$6,151$4,873$2,802
21 years$11,210$8,960$7,100$5,583$4,361$2,424
22 years$10,587$8,364$6,544$5,076$3,909$2,099
23 years$10,020$7,823$6,042$4,623$3,509$1,819
24 years$9,501$7,329$5,588$4,216$3,154$1,578
25 years$9,024$6,878$5,175$3,850$2,838$1,370
26 years$8,584$6,464$4,800$3,521$2,556$1,190
27 years$8,177$6,084$4,457$3,223$2,305$1,035
28 years$7,801$5,733$4,143$2,953$2,080$900
29 years$7,451$5,408$3,856$2,708$1,878$783
30 years$7,124$5,107$3,592$2,485$1,697$682
31 years$6,820$4,828$3,348$2,282$1,534$594
32 years$6,535$4,569$3,124$2,097$1,388$517
33 years$6,268$4,326$2,917$1,929$1,256$450
34 years$6,017$4,100$2,725$1,775$1,137$392
35 years$5,781$3,889$2,548$1,634$1,030$342
36 years$5,559$3,691$2,384$1,504$933$298
37 years$5,349$3,506$2,231$1,386$846$260
38 years$5,151$3,332$2,089$1,278$767$227
39 years$4,963$3,168$1,957$1,178$695$198
40 years$4,785$3,014$1,835$1,087$631$172
41 years$4,616$2,869$1,720$1,003$572$150
42 years$4,456$2,733$1,614$925$519$131
43 years$4,304$2,604$1,514$854$471$114
44 years$4,158$2,482$1,421$789$428$100
45 years$4,020$2,367$1,335$728$388$87
46 years$3,888$2,258$1,254$673$352$76
47 years$3,763$2,155$1,178$622$320$66
48 years$3,642$2,057$1,107$574$291$58
49 years$3,527$1,964$1,040$531$264$50
50 years$3,417$1,876$978$491$240$44

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $3,500,000, adding $2,784 every year, while hoping to spend $35,703 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: 42/37/21 Blend
39$3,500,000$3,500,000$3,500,000$3,500,000
40$3,859,872$3,674,372$3,620,122$3,998,135
41$4,215,591$3,816,428$3,703,408$4,238,767
42$4,606,397$3,964,249$3,788,288$4,495,524
43$5,035,831$4,118,078$3,874,777$4,772,845
44$5,507,794$4,278,172$3,962,890$5,072,635
45$6,026,583$4,444,798$4,052,642$5,396,993
46$6,596,935$4,618,233$4,144,046$5,748,220
47$7,224,065$4,798,769$4,237,114$6,128,847
48$7,913,722$4,986,711$4,331,859$6,541,654
49$8,672,236$5,182,374$4,428,291$6,989,698
50$9,506,585$5,386,092$4,526,420$7,476,338
51$10,424,456$5,598,210$4,626,254$8,005,270
52$11,434,318$5,819,089$4,727,801$8,580,555
53$12,545,503$6,049,109$4,831,067$9,206,660
54$13,768,293$6,288,664$4,936,056$9,888,499
55$15,114,017$6,538,166$5,042,772$10,631,476
56$16,595,156$6,798,046$5,151,215$11,441,536
57$18,225,467$7,068,756$5,261,385$12,325,219
58$20,020,104$7,350,764$5,373,281$13,289,724
59$21,995,767$7,644,563$5,486,898$14,342,969
60$24,170,856$7,950,668$5,602,230$15,493,669
61$26,565,647$8,269,614$5,719,268$16,751,415
62$29,202,482$8,601,964$5,838,003$18,126,763
63$32,105,979$8,948,304$5,958,419$19,631,333
64$35,303,264$9,309,247$6,080,502$21,277,915
65$38,824,232$9,685,434$6,204,233$23,080,589
66$42,701,818$10,077,536$6,329,590$25,054,855
67$46,972,321$10,486,252$6,456,548$27,217,781
68$51,675,734$10,912,315$6,585,080$29,588,155
69$56,856,131$11,356,491$6,715,152$32,186,666
70$62,562,077$11,819,579$6,846,730$35,036,096
71$68,847,089$12,302,418$6,979,775$38,161,530
72$75,770,137$12,805,881$7,114,242$41,590,593
73$83,396,206$13,330,885$7,250,085$45,353,708
74$91,796,906$13,878,385$7,387,250$49,484,379
75$101,051,148$14,449,384$7,525,680$54,019,504
76$111,245,887$15,044,926$7,665,313$58,999,724
77$122,476,947$15,666,106$7,806,080$64,469,798
78$134,849,920$16,314,070$7,947,908$70,479,030
79$148,481,167$16,990,014$8,090,718$77,081,721
80$163,498,912$17,695,191$8,234,423$84,337,689
81$180,044,456$18,430,911$8,378,932$92,312,819
82$198,273,509$19,198,544$8,524,144$101,079,693
83$218,357,657$19,999,523$8,669,953$110,718,260
84$240,485,986$20,835,348$8,816,245$121,316,594
85$264,866,864$21,707,587$8,962,896$132,971,719
86$291,729,908$22,617,882$9,109,777$145,790,520
87$321,328,151$23,567,951$9,256,747$159,890,747
88$353,940,431$24,559,589$9,403,656$175,402,123
89$389,874,023$25,594,677$9,550,347$192,467,562
90$429,467,539$26,675,182$9,696,649$211,244,514
91$473,094,124$27,803,162$9,842,383$231,906,447
92$521,164,980$28,980,771$9,987,358$254,644,476
93$574,133,242$30,210,264$10,131,369$279,669,161
94$632,498,265$31,493,999$10,274,202$307,212,492
95$696,810,329$32,834,445$10,415,628$337,530,070
96$767,675,835$34,234,186$10,555,405$370,903,514
97$845,763,036$35,695,927$10,693,276$407,643,110
98$931,808,335$37,222,497$10,828,970$448,090,736
99$1,026,623,245$38,816,859$10,962,201$492,623,081
100$1,131,102,045$40,482,114$11,092,664$541,655,192