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%13%
1 years$322,058$319,190$316,391$313,659$310,991$307,105
2 years$159,435$156,466$153,588$150,798$148,091$144,181
3 years$105,234$102,252$99,381$96,617$93,955$90,142
4 years$78,139$75,166$72,324$69,607$67,010$63,323
5 years$61,886$58,931$56,127$53,465$50,940$47,391
6 years$51,055$48,122$45,359$42,757$40,307$36,900
7 years$43,321$40,412$37,693$35,153$32,780$29,516
8 years$37,523$34,641$31,967$29,489$27,194$24,073
9 years$33,016$30,161$27,533$25,118$22,902$19,922
10 years$29,412$26,586$24,004$21,652$19,513$16,673
11 years$26,466$23,668$21,133$18,843$16,782$14,078
12 years$24,013$21,243$18,755$16,528$14,543$11,973
13 years$21,938$19,197$16,756$14,592$12,682$10,242
14 years$20,161$17,450$15,055$12,953$11,117$8,804
15 years$18,623$15,941$13,593$11,552$9,788$7,598
16 years$17,278$14,625$12,324$10,343$8,651$6,580
17 years$16,093$13,469$11,214$9,294$7,670$5,715
18 years$15,041$12,446$10,237$8,375$6,820$4,975
19 years$14,100$11,535$9,372$7,568$6,079$4,341
20 years$13,255$10,719$8,601$6,854$5,430$3,794
21 years$12,491$9,984$7,911$6,221$4,859$3,321
22 years$11,797$9,320$7,291$5,656$4,355$2,911
23 years$11,165$8,717$6,732$5,151$3,910$2,555
24 years$10,586$8,167$6,226$4,698$3,514$2,244
25 years$10,055$7,664$5,767$4,290$3,162$1,973
26 years$9,565$7,203$5,348$3,923$2,848$1,737
27 years$9,112$6,779$4,966$3,591$2,568$1,529
28 years$8,692$6,388$4,617$3,290$2,317$1,347
29 years$8,302$6,026$4,296$3,017$2,092$1,188
30 years$7,939$5,691$4,002$2,769$1,891$1,047
31 years$7,599$5,380$3,731$2,543$1,709$924
32 years$7,282$5,091$3,481$2,337$1,546$816
33 years$6,984$4,821$3,250$2,149$1,399$720
34 years$6,705$4,569$3,037$1,977$1,267$636
35 years$6,442$4,334$2,839$1,820$1,147$562
36 years$6,194$4,113$2,656$1,676$1,040$496
37 years$5,960$3,907$2,486$1,545$942$439
38 years$5,739$3,713$2,328$1,424$854$388
39 years$5,530$3,531$2,181$1,313$775$343
40 years$5,332$3,359$2,044$1,211$703$303
41 years$5,144$3,197$1,917$1,117$637$268
42 years$4,965$3,045$1,798$1,031$578$237
43 years$4,795$2,901$1,687$952$525$209
44 years$4,634$2,766$1,584$879$477$185
45 years$4,480$2,637$1,487$812$433$164
46 years$4,333$2,516$1,397$750$393$145
47 years$4,193$2,401$1,312$693$357$128
48 years$4,059$2,292$1,233$640$324$113
49 years$3,930$2,189$1,159$591$294$100
50 years$3,808$2,091$1,090$547$267$89

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 $5,425 every year, while hoping to spend $51,877 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: 61/9/30 Blend
39$3,900,000$3,900,000$3,900,000$3,900,000
40$4,303,396$4,096,696$4,036,246$4,530,607
41$4,687,146$4,242,237$4,116,263$4,831,783
42$5,108,299$4,393,171$4,197,223$5,154,375
43$5,570,617$4,549,708$4,279,101$5,505,456
44$6,078,241$4,712,065$4,361,872$5,887,825
45$6,635,734$4,880,469$4,445,508$6,304,559
46$7,248,124$5,055,156$4,529,977$6,759,053
47$7,920,946$5,236,373$4,615,245$7,255,039
48$8,660,303$5,424,376$4,701,276$7,796,633
49$9,472,913$5,619,430$4,788,028$8,388,365
50$10,366,182$5,821,813$4,875,458$9,035,223
51$11,348,265$6,031,815$4,963,519$9,742,705
52$12,428,150$6,249,736$5,052,159$10,516,864
53$13,615,738$6,475,889$5,141,322$11,364,368
54$14,921,937$6,710,601$5,230,950$12,292,563
55$16,358,766$6,954,212$5,320,979$13,309,540
56$17,939,467$7,207,076$5,411,339$14,424,214
57$19,678,632$7,469,562$5,501,958$15,646,405
58$21,592,336$7,742,053$5,592,757$16,986,932
59$23,698,291$8,024,951$5,683,651$18,457,714
60$26,016,015$8,318,672$5,774,552$20,071,881
61$28,567,013$8,623,652$5,865,364$21,843,903
62$31,374,980$8,940,342$5,955,985$23,789,718
63$34,466,025$9,269,215$6,046,307$25,926,889
64$37,868,916$9,610,764$6,136,215$28,274,766
65$41,615,354$9,965,499$6,225,587$30,854,669
66$45,740,268$10,333,957$6,314,292$33,690,088
67$50,282,148$10,716,694$6,402,194$36,806,909
68$55,283,406$11,114,291$6,489,146$40,233,650
69$60,790,775$11,527,353$6,574,994$44,001,736
70$66,855,753$11,956,511$6,659,575$48,145,794
71$73,535,084$12,402,425$6,742,715$52,703,978
72$80,891,298$12,865,780$6,824,232$57,718,330
73$88,993,299$13,347,291$6,903,932$63,235,176
74$97,917,013$13,847,706$6,981,611$69,305,563
75$107,746,108$14,367,803$7,057,055$75,985,742
76$118,572,779$14,908,393$7,130,034$83,337,694
77$130,498,623$15,470,325$7,200,310$91,429,720
78$143,635,592$16,054,480$7,267,631$100,337,084
79$158,107,055$16,661,782$7,331,729$110,142,720
80$174,048,957$17,293,192$7,392,324$120,938,017
81$191,611,104$17,949,712$7,449,121$132,823,683
82$210,958,580$18,632,391$7,501,809$145,910,691
83$232,273,296$19,342,320$7,550,061$160,321,331
84$255,755,718$20,080,639$7,593,533$176,190,358
85$281,626,748$20,848,537$7,631,864$193,666,270
86$310,129,818$21,647,257$7,664,673$212,912,705
87$341,533,182$22,478,095$7,691,561$234,109,988
88$376,132,447$23,342,402$7,712,109$257,456,831
89$414,253,368$24,241,591$7,725,876$283,172,210
90$456,254,918$25,177,135$7,732,400$311,497,431
91$502,532,679$26,150,574$7,731,195$342,698,405
92$553,522,574$27,163,514$7,721,752$377,068,165
93$609,704,983$28,217,633$7,703,536$414,929,624
94$671,609,275$29,314,681$7,675,989$456,638,627
95$739,818,808$30,456,487$7,638,521$502,587,310
96$814,976,433$31,644,962$7,590,519$553,207,801
97$897,790,563$32,882,099$7,531,335$608,976,298
98$989,041,860$34,169,982$7,460,295$670,417,565
99$1,089,590,605$35,510,785$7,376,689$738,109,887
100$1,200,384,815$36,906,782$7,279,777$812,690,525