Can I retire at age 40 with 3,800,000?

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 $3,800,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%11.5%
1 years$313,800$311,005$308,278$305,616$303,017$301,108
2 years$155,347$152,454$149,650$146,931$144,294$142,368
3 years$102,536$99,630$96,833$94,140$91,546$89,663
4 years$76,135$73,239$70,470$67,823$65,291$63,466
5 years$60,299$57,420$54,687$52,094$49,633$47,871
6 years$49,745$46,888$44,196$41,660$39,273$37,576
7 years$42,210$39,376$36,727$34,251$31,940$30,308
8 years$36,561$33,753$31,147$28,732$26,497$24,931
9 years$32,169$29,388$26,827$24,474$22,314$20,814
10 years$28,658$25,904$23,388$21,097$19,013$17,578
11 years$25,787$23,061$20,591$18,360$16,352$14,981
12 years$23,397$20,698$18,274$16,104$14,170$12,862
13 years$21,376$18,705$16,326$14,218$12,357$11,109
14 years$19,645$17,002$14,669$12,621$10,832$9,645
15 years$18,146$15,532$13,244$11,256$9,537$8,408
16 years$16,835$14,250$12,008$10,078$8,429$7,357
17 years$15,681$13,124$10,927$9,055$7,474$6,457
18 years$14,655$12,127$9,975$8,161$6,645$5,681
19 years$13,739$11,239$9,131$7,374$5,923$5,011
20 years$12,915$10,444$8,380$6,678$5,291$4,428
21 years$12,171$9,728$7,708$6,061$4,734$3,919
22 years$11,495$9,081$7,104$5,511$4,244$3,475
23 years$10,879$8,493$6,560$5,019$3,809$3,084
24 years$10,315$7,958$6,067$4,578$3,424$2,741
25 years$9,797$7,468$5,619$4,180$3,081$2,438
26 years$9,320$7,019$5,211$3,822$2,775$2,171
27 years$8,878$6,605$4,839$3,499$2,502$1,935
28 years$8,469$6,224$4,499$3,206$2,258$1,725
29 years$8,089$5,872$4,186$2,940$2,039$1,539
30 years$7,735$5,545$3,899$2,698$1,842$1,374
31 years$7,405$5,242$3,635$2,478$1,665$1,228
32 years$7,095$4,960$3,392$2,277$1,507$1,097
33 years$6,805$4,697$3,167$2,094$1,363$981
34 years$6,533$4,452$2,959$1,927$1,234$877
35 years$6,277$4,223$2,766$1,774$1,118$784
36 years$6,035$4,008$2,588$1,633$1,013$702
37 years$5,807$3,807$2,422$1,505$918$628
38 years$5,592$3,618$2,268$1,387$832$562
39 years$5,388$3,440$2,125$1,279$755$503
40 years$5,195$3,273$1,992$1,180$685$451
41 years$5,012$3,115$1,868$1,088$621$404
42 years$4,838$2,967$1,752$1,005$564$362
43 years$4,672$2,827$1,644$927$512$324
44 years$4,515$2,695$1,543$856$464$290
45 years$4,365$2,570$1,449$791$421$260
46 years$4,222$2,451$1,361$730$383$233
47 years$4,085$2,339$1,279$675$348$209
48 years$3,954$2,233$1,202$624$316$187
49 years$3,830$2,133$1,129$576$287$168
50 years$3,710$2,037$1,062$533$260$151

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $3,800,000, adding $3,458 every year, while hoping to spend $26,333 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: 53/33/14 Blend
39$3,800,000$3,800,000$3,800,000$3,800,000
40$4,191,167$3,989,767$3,930,867$4,397,520
41$4,590,648$4,157,247$4,034,533$4,706,184
42$5,029,993$4,332,052$4,140,789$5,038,740
43$5,513,242$4,514,511$4,249,694$5,399,974
44$6,044,842$4,704,972$4,361,309$5,792,612
45$6,629,697$4,903,797$4,475,694$6,219,653
46$7,273,208$5,111,365$4,592,912$6,684,391
47$7,981,327$5,328,074$4,713,026$7,190,450
48$8,760,611$5,554,338$4,836,101$7,741,811
49$9,618,285$5,790,592$4,962,202$8,342,856
50$10,562,311$6,037,292$5,091,397$8,998,402
51$11,601,461$6,294,913$5,223,753$9,713,747
52$12,745,400$6,563,955$5,359,339$10,494,718
53$14,004,780$6,844,938$5,498,226$11,347,728
54$15,391,337$7,138,408$5,640,485$12,279,830
55$16,918,001$7,444,938$5,786,189$13,298,786
56$18,599,022$7,765,125$5,935,412$14,413,136
57$20,450,103$8,099,597$6,088,228$15,632,278
58$22,488,544$8,449,007$6,244,714$16,966,556
59$24,733,410$8,814,044$6,404,947$18,427,353
60$27,205,711$9,195,425$6,569,006$20,027,201
61$29,928,595$9,593,902$6,736,969$21,779,891
62$32,927,572$10,010,264$6,908,918$23,700,608
63$36,230,752$10,445,335$7,084,935$25,806,067
64$39,869,111$10,899,978$7,265,102$28,114,669
65$43,876,781$11,375,097$7,449,503$30,646,677
66$48,291,375$11,871,640$7,638,224$33,424,399
67$53,154,342$12,390,596$7,831,351$36,472,397
68$58,511,354$12,933,005$8,028,971$39,817,721
69$64,412,743$13,499,953$8,231,172$43,490,156
70$70,913,970$14,092,578$8,438,044$47,522,502
71$78,076,153$14,712,073$8,649,676$51,950,880
72$85,966,640$15,359,684$8,866,161$56,815,073
73$94,659,649$16,036,720$9,087,589$62,158,893
74$104,236,964$16,744,551$9,314,054$68,030,594
75$114,788,709$17,484,608$9,545,649$74,483,326
76$126,414,199$18,258,395$9,782,470$81,575,627
77$139,222,876$19,067,485$10,024,611$89,371,976
78$153,335,341$19,913,524$10,272,168$97,943,397
79$168,884,498$20,798,239$10,525,237$107,368,124
80$186,016,801$21,723,437$10,783,917$117,732,336
81$204,893,641$22,691,011$11,048,304$129,130,964
82$225,692,867$23,702,945$11,318,497$141,668,584
83$248,610,466$24,761,316$11,594,593$155,460,397
84$273,862,413$25,868,300$11,876,691$170,633,314
85$301,686,710$27,026,177$12,164,891$187,327,146
86$332,345,630$28,237,336$12,459,291$205,695,918
87$366,128,197$29,504,278$12,759,990$225,909,316
88$403,352,910$30,829,625$13,067,087$248,154,287
89$444,370,753$32,216,122$13,380,680$272,636,789
90$489,568,505$33,666,647$13,700,868$299,583,737
91$539,372,393$35,184,214$14,027,747$329,245,131
92$594,252,116$36,771,980$14,361,417$361,896,409
93$654,725,280$38,433,254$14,701,971$397,841,045
94$721,362,278$40,171,504$15,049,507$437,413,397
95$794,791,684$41,990,360$15,404,119$480,981,860
96$875,706,178$43,893,630$15,765,899$528,952,333
97$964,869,091$45,885,302$16,134,940$581,772,042
98$1,063,121,610$47,969,553$16,511,332$639,933,748
99$1,171,390,715$50,150,762$16,895,163$703,980,395
100$1,290,697,936$52,433,517$17,286,519$774,510,217