Can I retire at age 40 with 3,900,000?

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 $3,900,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%20%
1 years$322,058$319,190$316,391$313,659$310,991$298,535
2 years$159,435$156,466$153,588$150,798$148,091$135,698
3 years$105,234$102,252$99,381$96,617$93,955$82,015
4 years$78,139$75,166$72,324$69,607$67,010$55,614
5 years$61,886$58,931$56,127$53,465$50,940$40,117
6 years$51,055$48,122$45,359$42,757$40,307$30,064
7 years$43,321$40,412$37,693$35,153$32,780$23,114
8 years$37,523$34,641$31,967$29,489$27,194$18,094
9 years$33,016$30,161$27,533$25,118$22,902$14,353
10 years$29,412$26,586$24,004$21,652$19,513$11,500
11 years$26,466$23,668$21,133$18,843$16,782$9,286
12 years$24,013$21,243$18,755$16,528$14,543$7,542
13 years$21,938$19,197$16,756$14,592$12,682$6,156
14 years$20,161$17,450$15,055$12,953$11,117$5,043
15 years$18,623$15,941$13,593$11,552$9,788$4,144
16 years$17,278$14,625$12,324$10,343$8,651$3,414
17 years$16,093$13,469$11,214$9,294$7,670$2,818
18 years$15,041$12,446$10,237$8,375$6,820$2,330
19 years$14,100$11,535$9,372$7,568$6,079$1,929
20 years$13,255$10,719$8,601$6,854$5,430$1,599
21 years$12,491$9,984$7,911$6,221$4,859$1,327
22 years$11,797$9,320$7,291$5,656$4,355$1,101
23 years$11,165$8,717$6,732$5,151$3,910$915
24 years$10,586$8,167$6,226$4,698$3,514$761
25 years$10,055$7,664$5,767$4,290$3,162$633
26 years$9,565$7,203$5,348$3,923$2,848$526
27 years$9,112$6,779$4,966$3,591$2,568$438
28 years$8,692$6,388$4,617$3,290$2,317$364
29 years$8,302$6,026$4,296$3,017$2,092$303
30 years$7,939$5,691$4,002$2,769$1,891$253
31 years$7,599$5,380$3,731$2,543$1,709$210
32 years$7,282$5,091$3,481$2,337$1,546$175
33 years$6,984$4,821$3,250$2,149$1,399$146
34 years$6,705$4,569$3,037$1,977$1,267$122
35 years$6,442$4,334$2,839$1,820$1,147$101
36 years$6,194$4,113$2,656$1,676$1,040$84
37 years$5,960$3,907$2,486$1,545$942$70
38 years$5,739$3,713$2,328$1,424$854$59
39 years$5,530$3,531$2,181$1,313$775$49
40 years$5,332$3,359$2,044$1,211$703$41
41 years$5,144$3,197$1,917$1,117$637$34
42 years$4,965$3,045$1,798$1,031$578$28
43 years$4,795$2,901$1,687$952$525$24
44 years$4,634$2,766$1,584$879$477$20
45 years$4,480$2,637$1,487$812$433$16
46 years$4,333$2,516$1,397$750$393$14
47 years$4,193$2,401$1,312$693$357$11
48 years$4,059$2,292$1,233$640$324$9
49 years$3,930$2,189$1,159$591$294$8
50 years$3,808$2,091$1,090$547$267$7

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $3,900,000, adding $2,337 every year, while hoping to spend $44,601 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: 77/7/16 Blend
39$3,900,000$3,900,000$3,900,000$3,900,000
40$4,300,211$4,093,511$4,033,061$4,616,184
41$4,691,377$4,246,638$4,120,713$4,978,197
42$5,120,947$4,405,773$4,209,807$5,369,253
43$5,592,792$4,571,164$4,300,344$5,796,883
44$6,111,175$4,743,068$4,392,323$6,264,723
45$6,680,792$4,921,756$4,485,743$6,776,777
46$7,306,817$5,107,507$4,580,600$7,337,458
47$7,994,952$5,300,614$4,676,889$7,951,622
48$8,751,475$5,501,382$4,774,603$8,624,621
49$9,583,307$5,710,131$4,873,734$9,362,346
50$10,498,070$5,927,193$4,974,270$10,171,290
51$11,504,162$6,152,915$5,076,197$11,058,602
52$12,610,838$6,387,659$5,179,501$12,032,158
53$13,828,292$6,631,803$5,284,162$13,100,634
54$15,167,757$6,885,741$5,390,161$14,273,588
55$16,641,611$7,149,885$5,497,474$15,561,549
56$18,263,490$7,424,664$5,606,074$16,976,115
57$20,048,421$7,710,527$5,715,933$18,530,064
58$22,012,959$8,007,942$5,827,016$20,237,476
59$24,175,347$8,317,398$5,939,287$22,113,859
60$26,555,687$8,639,404$6,052,708$24,176,301
61$29,176,127$8,974,495$6,167,233$26,443,627
62$32,061,072$9,323,225$6,282,815$28,936,581
63$35,237,414$9,686,176$6,399,402$31,678,015
64$38,734,785$10,063,954$6,516,938$34,693,109
65$42,585,838$10,457,192$6,635,360$38,009,606
66$46,826,552$10,866,553$6,754,602$41,658,073
67$51,496,572$11,292,726$6,874,594$45,672,191
68$56,639,587$11,736,434$6,995,257$50,089,072
69$62,303,735$12,198,430$7,116,509$54,949,604
70$68,542,065$12,679,502$7,238,260$60,298,845
71$75,413,029$13,180,471$7,360,416$66,186,440
72$82,981,042$13,702,198$7,482,873$72,667,093
73$91,317,082$14,245,579$7,605,524$79,801,079
74$100,499,365$14,811,554$7,728,250$87,654,820
75$110,614,082$15,401,101$7,850,927$96,301,501
76$121,756,209$16,015,245$7,973,424$105,821,769
77$134,030,406$16,655,057$8,095,598$116,304,487
78$147,552,006$17,321,653$8,217,299$127,847,577
79$162,448,101$18,016,204$8,338,368$140,558,941
80$178,858,739$18,739,930$8,458,635$154,557,478
81$196,938,251$19,494,107$8,577,921$169,974,210
82$216,856,706$20,280,071$8,696,034$186,953,511
83$238,801,511$21,099,216$8,812,772$205,654,476
84$262,979,188$21,953,000$8,927,923$226,252,416
85$289,617,314$22,842,947$9,041,258$248,940,518
86$318,966,679$23,770,650$9,152,539$273,931,661
87$351,303,644$24,737,775$9,261,512$301,460,432
88$386,932,753$25,746,064$9,367,910$331,785,333
89$426,189,610$26,797,337$9,471,451$365,191,223
90$469,444,042$27,893,499$9,571,837$401,992,009
91$517,103,594$29,036,539$9,668,753$442,533,601
92$569,617,372$30,228,542$9,761,868$487,197,184
93$627,480,286$31,471,682$9,850,832$536,402,811
94$691,237,718$32,768,237$9,935,278$590,613,367
95$761,490,673$34,120,589$10,014,818$650,338,941
96$838,901,451$35,531,227$10,089,043$716,141,636
97$924,199,898$37,002,756$10,157,525$788,640,878
98$1,018,190,298$38,537,901$10,219,812$868,519,258
99$1,121,758,961$40,139,512$10,275,429$956,528,980
100$1,235,882,596$41,810,568$10,323,877$1,053,498,955